Hospital Mater Dei (MATD3) Q2 2025 earnings summary

Executive summary

• Achieved record net revenue of BRL 546 million in Q2 2025, up 11.5% year-over-year and 9.3% sequentially, driven by improved procedure mix, operational productivity, and not by adding new beds.

• Net income reached BRL 27 million in Q2 2025, up 67% year-over-year and 34% sequentially, with a net margin of 5.0%.

• Opened Mariana Medical Center in partnership with Vale, expanding regional presence and service accessibility.

• Achieved reaccreditation of JCI and QMENTUM Diamond for hospital quality, with record-high NPS in June 2025.

• Released the 2024 Sustainability Report, highlighting ESG progress and organizational transformation.

Financial highlights

• EBITDA reached BRL 115 million in Q2 2025, up 32.4% year-over-year and 19.3% sequentially, with a margin of 21.1%, a 1.8 percentage point increase.

• Net profit for the quarter was BRL 27 million, with a net margin of 5%; first half net profit totaled BRL 47 million.

• Costs of services provided were 69.8% of net revenue, a 1.4 percentage point improvement year-over-year.

• Cash and equivalents stood at BRL 638 million as of June 2025, nearly doubling year-over-year.

• Net debt reduced by 31.4% year-over-year to BRL 772 million, with leverage ratio (net debt/EBITDA LTM) at 1.6x.

Outlook and guidance

• Expect continued ramp-up in acquired and younger units, with further improvements in EBITDA and cash generation anticipated in the second half of 2025.

• Focus remains on cost control, revenue growth through higher complexity procedures, and leveraging digital strategies for billing and receivables.

• Debt maturities extended to 2031/2032, reinforcing long-term financial sustainability.

• Prepayment of BRL 200 million in debt is under consideration, with disciplined capital allocation planned.

• Management expects further improvement in margins and cash generation, supported by recent liability management and refinancing.