Terveystalo Oyj Reports Strong Q3 2024 Earnings: A Comparative Analysis
Terveystalo Oyj, Finland's largest private healthcare provider, has released its interim report for January–September 2024, showcasing significant earnings growth.
Sammanfattning
Terveystalo Oyj's Q3 2024 report highlights a 5% revenue increase and a 62% rise in adjusted EBITA, driven by strong performance in healthcare services and effective profit improvement measures.
Terveystalo Oyj, a leading healthcare service provider in Finland, has demonstrated robust financial performance in its Q3 2024 interim report. The company reported a 5% increase in revenue to EUR 296 million and a remarkable 62% surge in adjusted EBITA to EUR 34 million, representing 11.6% of revenue. The healthcare services segment, a key driver of this growth, saw an 11% rise in revenue to EUR 232 million, bolstered by a strong supply, improved sales mix, and successful commercial operations.
| KPI | Q3 2024 | Q3 2023 | Change (%) |
|---|---|---|---|
| Revenue | EUR 296 million | EUR 282 million | 5% |
| Adjusted EBITA | EUR 34 million | EUR 21 million | 62% |
| Net Income | EUR 0.12 per share | EUR 0.03 per share | 300% |
Comparatively, the company's performance has improved consistently over the past quarters. The profit improvement program, initiated in late 2022, has exceeded expectations, contributing significantly to the financial results. Despite a 10% drop in the portfolio businesses' revenue, profitability improved, with adjusted EBITA rising by 70% to EUR 3 million.
The Swedish segment faced challenges with a 10% revenue decline, attributed to expired contracts and weakened demand. However, efforts to adjust the cost structure and enhance operational efficiency are underway, with a turnaround expected by early 2025.
Overall, Terveystalo's strategic focus on operational efficiency, medical quality, and value-creating services has strengthened its core business, positioning the company for future growth. The adjusted EBITA margin guidance for 2024 has been raised to 12-12.5%, reflecting confidence in meeting financial targets ahead of schedule.
For investors, Terveystalo's performance indicators suggest a solid foundation for continued profitability. The company's ability to adapt and improve operational efficiency amid market challenges indicates a resilient and promising investment opportunity.
Källa
Sammanfattning
Terveystalo's Interim Report for January–September 2024 highlights strong earnings growth and improved profitability. Revenue for the third quarter increased by 5% to EUR 296 million, with adjusted EBITA rising by over 62% to EUR 34 million. Earnings per share quadrupled to EUR 0.12. The Healthcare services segment showed a 11% revenue growth, reaching EUR 232 million, driven by a strong supply, improved sales mix, and a strong flu season. Despite a 10% revenue drop, Portfolio businesses saw a 70% increase in adjusted EBITA to EUR 3 million. The Swedish business faced a 10% revenue decline due to expired contracts and weakened demand. Terveystalo expects its full-year 2024 revenue to grow, with adjusted EBITA projected to be 12.0–12.5% of revenue. The company has adjusted its cost structure and aims for a profitability turnaround in Sweden by 2025. Terveystalo will discuss its future strategy at the December Capital Markets Day. The company remains focused on profitable growth and high medical quality.