Novolog (NVLG) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue was ₪505.8m; adjusted EBITDA was ₪24.4m including IFRS 16, down from ₪33.6m, while net income attributable to shareholders was ₪4.1m versus ₪1.0m.

• Healthcare logistics, healthcare services and digital health all reported positive adjusted EBITDA; military conflict disrupted operations and pressured logistics and healthcare profits.

• Novohalet was sold for ₪14.5m; an agreement was signed to sell part of Pronto Diagnostics’ operations for up to ₪1.5m.

Financial highlights

• Revenue was ₪505.8m, down 0.2% year over year; gross profit was ₪31.1m including IFRS 16 and ₪30.0m excluding IFRS 16.

• Adjusted EBITDA was ₪24.4m including IFRS 16, down 27.4%; excluding the estimated “Roaring Lion” impact, it was ₪29.3m, down 12.7%.

• Net income attributable to shareholders was ₪4.1m versus ₪1.0m; separately, reported net income was ₪0.2m including IFRS 16 and ₪0.7m excluding IFRS 16.

• Cash flow from operations was negative ₪0.7m, improved from negative ₪109.6m in Q1 2025; cash was ₪163.2m at March 31, 2026.

• Including IFRS 16, operating profit rose 48% to ₪5.1m; excluding IFRS 16, it increased 81.2% to ₪3.6m.

Outlook and guidance

• Priorities include growth engines, operational efficiency, innovation, customer focus, organic growth and strategy-aligned acquisitions.

• Management is monitoring and mitigating the impact of military conflict and intends further actions to limit negative effects; strategic focus also includes divesting non-core assets and streamlining operations.

• Business priorities include complex healthcare logistics, access to personalized care, lower costs for public healthcare providers and technology for clinicians and patients.