WELL Health Reports Record Revenue, Adjusted EBITDA, and Adjusted Net Profit in Q2-2025, Upgrades Guidance, and Delivers First-Ever Quarter With More Than 1 Million Patient Visits in Canada

Executive Summary

• WELL Health Technologies reported record Second Quarter 2025 financial results, with revenue increasing 57% year-over-year to $356.7 million and Adjusted EBITDA surging 231% to $49.7 million.
• The company achieved a new quarterly milestone of over 1 million patient visits in Canada and consolidated HEALWELL’s financial results following the exercise of a call option in April 2025.
• Management reaffirmed and improved its 2025 annual guidance, targeting revenue between $1.40 billion and $1.45 billion and Adjusted EBITDA in the upper half of the previously provided $190 million to $210 million range.

Key Details

• Q2 2025 Financial Performance:
  • Revenue: $356.7 million (up 57% from $227.3 million in Q2 2024). Excluding Circle Medical deferred revenue adjustments ("CM Deferrals"), revenue was $347.0 million (up 53% YoY).
  • Adjusted EBITDA: $49.7 million (up 231% from $15.0 million in Q2 2024). Excluding CM Deferrals, Adjusted EBITDA was $40.0 million.
  • Adjusted Net Income: $25.8 million ($0.10 per share), up 532% from $4.1 million in Q2 2024.
  • IFRS Net Income: Approximately $17 million.
  • Adjusted Gross Profit: $158.7 million (up 73% from $91.5 million in Q2 2024).
  • Adjusted Gross Margin: 44.5% (up 423 bps from 40.3% in Q2 2024).
  • Free Cash Flow Available to Shareholders: $11.7 million (up 34% from $8.7 million in Q2 2024).
• Segment Performance:
  • Canadian Patient Services: Revenue of $114.5 million (up 49% from $76.7 million), driven by 17.8% organic growth.
  • U.S. Patient Services: Revenue of $184.8 million (up 38% from $133.7 million).
  • WELLSTAR (SaaS): Revenue of $15.2 million (up 49% from $10.2 million).
• Operational Metrics:
  • Patient Visits: Total of 1.7 million visits in Q2 2025 (up 21% from 1.4 million in Q2 2024). Canadian visits increased 38%, while US visits decreased 1%.
  • Care Interactions: Over 2.7 million Care Interactions in Q2 2025 (approx. 10.8 million annualized run-rate).
  • Provider Productivity: Average provider visits increased by 22% year-over-year.
• M&A and Corporate Actions:
  • HEALWELL Consolidation: On April 1, 2025, WELL exercised a call option to acquire voting shares of HEALWELL for $3.9 million, obtaining control and consolidating its results. HEALWELL contributed $40.5 million to Q2 revenue.
  • Pentavere Acquisition: On July 16, 2025, HEALWELL acquired the remaining 49% of Pentavere Research Group for $13,978 via share issuance.
  • Clinic Acquisitions: Completed two clinic acquisitions in British Columbia effective July 1, 2025.
  • WELLSTAR LOIs: Executed three letters of intent for acquisitions expected to contribute ~$15M ARR, $16M annual revenue, and >$5M Adjusted EBITDA on a run-rate basis.
• Guidance Update:
  • Revenue: Reaffirmed $1.40 billion to $1.45 billion for 2025 (excluding CM Deferrals: $1.35 billion to $1.40 billion).
  • Adjusted EBITDA: Increased guidance to the upper half of the previous range of $190 million to $210 million (excluding CM Deferrals: upper half of $140 million to $160 million).
• Credit Facility: Expanded senior secured credit facility led by RBC to ~$200 million with maturity extended to 2027.

Notable Quotes

• Hamed Shahbazi, Chairman and CEO: “I am very proud of our performance this quarter as it reflects a very significant milestone in our history with best-ever performances across most of our key financial metrics. We delivered record performances across Revenue, Adjusted EBITDA, Adjusted Net Income, and patient visits.”
• Eva Fong, CFO: “Our second quarter results demonstrate the strength of our operating model and disciplined approach to capital allocation. Year to date, we have completed fourteen transactions and are pleased to report fifteen signed LOIs representing approximately $134 million in revenues.”