HealthCo Ltd. on Tuesday reported mixed financial results for the second half of 2026, with revenue growth offset by persistent losses at its Healthscope division.
The healthcare services provider posted a 3.2% increase in total revenue to $1.85 billion for H2 2026, compared with the same period a year earlier. However, net profit fell 7.8% to $112 million, reflecting continued pressure from Healthscope, which operates underperforming facilities in Australia.
Healthscope’s ongoing losses narrowed slightly to $45 million in H2 2026 from $52 million in H1 2026, but remained a drag on HealthCo’s consolidated performance. Excluding Healthscope, HealthCo’s core operations generated a 6.1% rise in adjusted EBITDA to $287 million.
Chief Executive Officer Sarah Mitchell noted that while organic growth in the company’s core diagnostic and pathology services remained resilient, the integration of Healthscope’s turnaround plan was progressing slower than anticipated. "We are seeing steady demand in our core markets, but the legacy issues at Healthscope require additional time and resources," Mitchell said in a statement.
HealthCo maintained its full-year 2026 guidance, reaffirming revenue growth of 4-5% and adjusted EBITDA of $540-560 million. Analysts at UBS, however, trimmed their earnings estimates for the company by 5% citing delays in Healthscope’s recovery.
Shares of HealthCo were little changed in early trading, reflecting investor caution amid the mixed outlook.
