emeis (EMEIS) H1 2025 earnings summary

Executive summary

• H1 2025 marked a significant operational and financial turnaround, with revenue reaching €2.91bn (+6.2% organic, +4.9% reported), driven by strong nursing home performance and improved occupancy rates across all geographies.

• EBITDAR rose 18.5% to €401m, and EBITDA (excl. IFRS 16) increased up to 79% year-over-year, reflecting robust operational recovery and margin expansion.

• Net loss narrowed by €120 million year-over-year to -€137 million, with positive free cash flow for the first time in a decade.

• Over €2.1bn in real estate disposals achieved or secured since mid-2022, exceeding the €1.5bn target, including a €761m real estate partnership.

• Achieved mission-driven company status, reinforcing commitment to care quality and social responsibility.

Financial highlights

• Revenue: €2,908m (+6.2% organic, +4.9% yoy); EBITDAR: €401m (+18.5% yoy, 13.8% margin); EBITDA (excl. IFRS 16): €158m (+79% yoy, 5.4% margin).

• Net operating cash flow and free cash flow turned positive at €62m and €26m, respectively.

• Net debt (excl. IFRS 16 & IFRS 5) at €4.47bn–€4.8bn, with pro forma net debt expected below €3.8bn after real estate deal.

• Net debt/EBITDA ratio improved to 15.4x (from 19.5x at Dec 2024), pro forma close to 13x.

• Staff costs reduced by one point as a percentage of sales, reflecting ongoing cost optimization.

Outlook and guidance

• 2025 EBITDAR expected to grow 15–18% like-for-like; revenue CAGR of 4–5% and EBITDAR/EBITDA CAGR of 12–16% for 2024–2028.

• Positive momentum expected to continue, supported by operational improvements, pricing power, and strategic asset disposals.

• Medium-term outlook is robust, underpinned by demographic trends and structural supply shortages.