-- WELL achieved record quarterly revenues of $364.6 million in Q3-2025, an
increase of 56% compared to Q3-2024 driven by organic growth and
acquisitions. Excluding the impact of Circle Medical's deferred revenue
adjustments or "CM Deferrals"(1), revenue would have been $347.0 million
in Q3-2025, representing 48% YoY growth.
-- WELL achieved record Adjusted EBITDA(1) of $59.9 million in Q3-2025, an
increase of 296% compared to $15.1 million in Q3-2024, representing
Adjusted EBITDA(1) margin of 16.4%. Excluding the impact from CM
Deferrals, Adjusted EBITDA(1) would have been $42.3 million in Q3-2025,
representing 180% YoY growth.
-- Canadian Patient Services revenue and Adjusted EBITDA(1) was $110.1
million and $14.1 million respectively in Q3-2025, an increase of 41% and
47%, driven by acquisitions and organic growth of 16% for the Canadian
Patient Services business.
-- WELL's majority owned subsidiary, WELLSTAR Technologies Corp. announced a
financing for $62 million at a 50% increase in share price relative to
its prior December 2024 financing, reflecting approximately $535 million
post-money fully-diluted transaction valuation for WELLSTAR, with some of
Canada's most prominent fund investors providing the company with
sufficient capital to continue to invest in organic growth initiatives
and new acquisitions.
-- WELL reaffirms its previously provided guidance for annual revenue
between $1.40 billion to $1.45 billion with Adjusted EBITDA(1) between
$190 million to $210 million. Excluding the impact of CM Deferrals annual
revenue would be equivalent to $1.36 billion to $1.41 billion, while its
annual Adjusted EBITDA(1) would be between $150 million to $170 million.
VANCOUVER, British Columbia--(BUSINESS WIRE)--November 06, 2025--
WELL Health Technologies Corp. (TSX: WELL, OTCQX: WHTCF) (the "Company" or "WELL"), a digital healthcare company focused on positively impacting health outcomes by leveraging technology to empower healthcare practitioners and their patients globally, is pleased to announce its interim consolidated financial results for the quarter ended September 30, 2025.
Hamed Shahbazi, Chairman and CEO of WELL commented, "We had an excellent quarter driven by strong performance network-wide but especially in our core Canadian businesses. We're seeing our technology enabled approach, which is increasingly AI-enabled, drive real business results across the enterprise. We're also very proud to deliver another quarter of record revenue, record EBITDA and record patient visits, reflecting the strength of our platform and the growing trust our patients place in us. We've already surpassed $1 billion in revenues and $137 million in Adjusted EBITDA(1) in just the first nine months of the year. This quarter we demonstrated healthy Adjusted EBITDA(1) margins of 16.4% an improvement of 990 bps from the previous year and 250 bps better than last quarter, highlighting the Company's improving margin profile and success of our clinic digitization and transformation program."
"I am also pleased to announce that revenue and Adjusted EBITDA(1) growth aren't the only demonstration of our success. We had important operational and productivity metrics improve in our Canadian clinic business such as the number of patient visits per WELL provider as well as the ratio of billable to non-billable providers reflecting improved efficiency in our clinical operations. These are key lynchpin operational metrics that demonstrate that our core business objective of efficiency and tech-enablement is working. Operating free cash flow attributable to shareholders was $15.1 million in Q3-2025; however, total cash flow attributable to shareholders was $30.2 million when including the cash proceeds from the divestment of an asset within our CRH business."
Mr. Shahbazi further adds, "We are also very excited with the progress of our WELLSTAR subsidiary who delivered another strong better than 'Rule of 40' quarter reflecting strong organic revenue growth and healthy Adjusted EBITDA(1) margins. Last week, WELLSTAR announced a $62 million financing at a post money value of $535 million providing WELLSTAR with the capital necessary to execute on additional acquisition opportunities, prepare for its IPO listing and achieve its goal to exceed $100 million in revenues next year."
Eva Fong, WELL's Chief Financial Officer, commented, "Our third quarter results highlight the scalability of our operating model as well as the results of our disciplined approach to capital deployment. Our pace of Canadian clinical acquisitions has picked up in 2025, as we've completed 12 Canadian clinical transactions in the first nine months of the year, representing $67.0 million of acquired revenue. We remain focused on enhancing our margin profile and driving greater operating leverage across the organization, while pursuing strategic initiatives to streamline and optimize our portfolio. With a strong balance sheet and growing cash generation, we are well positioned to sustain long-term growth and deliver value to our shareholders."
Third Quarter 2025 Financial Highlights:
-- WELL achieved record quarterly revenue of $364.6 million in Q3-2025, an
increase of 56% compared to revenue of $234.1 million generated in
Q3-2024. This growth was mainly driven by organic growth, acquisitions
completed over the last twelve months and the inclusion of HEALWELL
results in WELL's consolidated financial reporting. Excluding the impact
of "CM Deferrals", revenue would have reached $347.0 million,
representing a 48% increase compared to the previous year.
-- Adjusted Gross Profit(1) was $165.8 million in Q3-2025, an increase of
75% compared to Adjusted Gross Profit(1) of $94.6 million in Q3-2024.
-- Adjusted Gross Margin(1) percentage was 45.5% during Q3-2025 compared to
Adjusted Gross Margin(1) percentage of 40.4% in Q3-2024. The increase in
Adjusted Gross Margin(1) percentage was primarily driven by revenue mix
and the addition of higher margin HEALWELL revenue.
-- Adjusted EBITDA(1) was $59.9 million in Q3-2025, an increase of 296%
compared to Adjusted EBITDA(1) of $15.1 million in Q3-2024. Adjusted
EBITDA(1) margin was 16.4% in Q3-2025, compared 6.5% in Q3-2024.
Excluding the impact of CM Deferrals, Adjusted EBITDA(1) would have been
$42.3 million, representing a 180% increase compared to the previous
year.
-- Adjusted EBITDA(1) attributable to WELL shareholders was $43.2 million in
Q3-2025, an increase of 238% compared to Adjusted EBITDA(1) to WELL
shareholders of $12.8 million in Q3-2024.
-- Adjusted Net Income(1) was $41.0 million, or $0.16 per share in Q3-2025,
compared to Adjusted Net Income(1) of $4.1 million, or $0.02 per share in
Q3-2024.
-- Operating Adjusted Free Cashflow(1) available to shareholders (or FCFA2S)
was $15.1 million in Q3-2025 compared to FCFA2S of $16.2 million in
Q3-2024. FCFA2S was impacted by elevated capital expenditures focused on
upgrading our clinical portfolio.
Segmented Revenue:
-- Canadian Patient Services revenue was $110.1 million in Q3-2025, an
increase of 41% compared to $78.0 million in Q3-2024.
-- U.S. Patient and Provider Services revenue was $197.4 million in Q3-2025,
an increase of 40% compared to $140.6 million in Q3-2024.
-- WELLSTAR, the Company's pure-play SaaS technology subsidiary, achieved
revenue of $17.3 million in Q3-2025, an increase of 68% compared to $10.3
million in Q3-2024. WELLSTAR's growth was driven by healthy organic
growth and acquisitions.
Third Quarter 2025 Key Metrics:
-- WELL achieved over 1.7 million patient visits in Q3-2025, an increase of
19% compared to 1.46 million patient visits in Q3-2024.
-- Canadian Patient Services visits increased 38% over the past year
primarily driven by acquisitions as well as 9% organic growth, including
the clinic absorption program.
-- As of the end of the third quarter, WELL reported 227 clinics across
Canada, including primary care, diagnostics, allied health, specialty and
executive health clinics.
Third Quarter 2025 Business Highlights:
On July 8, 2025, the Company announced the completion of two clinic acquisitions in British Columbia, effective July 1, 2025. The acquired clinics include a personalized health clinic in Vancouver and a multidisciplinary clinic in Burnaby, expanding the Company's presence in preventative health and specialty care.
On July 8, 2025, the Company announced an expansion and extension of its senior secured credit facility, led by Royal Bank of Canada, increasing total capacity to approximately $200 million and extending the maturity to 2027. The revised facility converts the accordion feature into a revolving credit line, enhancing the Company's financial flexibility to support continued growth.
On July 16, 2025 HEALWELL acquired the remaining 49% of Pentavere Research Group Inc. ("Pentavere"), by exercising a call option that it had previously negotiated at the time of its original acquisition of a majority interest in Pentavere in 2023. Pursuant to the call option, HEALWELL acquired all of the remaining issued and outstanding shares of Pentavere for an aggregate purchase price of $13,978 which was satisfied with the issuance of 10,161,562 HEALWELL Class A Subordinate Voting Shares. With 100% ownership of Pentavere, HEALWELL intends to deepen integration between its AI businesses and accelerate commercialization of AI products across healthcare offerings.
Events Subsequent to September 30, 2025:
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