Medical Facilities Corporation Reports Fourth Quarter and FY 2025 Results

Executive Summary

• Medical Facilities Corporation reported FY 2025 results, showing a 3.2% increase in total facility service revenue to $342.2 M and a 6.1% rise in income from operations to $58.0 M.
• Adjusted EBITDA grew 3.1% year‑over‑year to $73.7 M; quarterly Adjusted EBITDA rose 12.0% to $24.4 M.
• The company completed the sale of its 51% stake in SCNC for $1.5 M and a subsequent $46.0 M cash sale of OSH (64% ownership), returning $61.8 M to shareholders via share repurchases.

Key Details

• Revenue: FY 2025 facility service revenue $254,166 k (+3.3% YoY); Q4 2025 $75,105 k (+8.6%).
• Income from Operations: FY 2025 $46,658 k (‑10.9% YoY); Q4 2025 $17,544 k (+15.5%).
• Adjusted EBITDA: FY 2025 $73,696 k (+3.1% YoY); Q4 2025 $24,363 k (+12.0%).
• Share Repurchase: Purchased 5,155,113 common shares for $61.8 M under normal course and substantial issuer bids in 2025.
• Divestitures:
• Sold 51% of SCNC for cash proceeds of $1.5 M.
• Sold 64% of OSH for cash proceeds of $46.0 M (completed Jan 2026).
• Cash Position: Year‑end cash balance $34.2 M; net working capital $54.0 M (down from $76.4 M YoY).
• Dividend: Quarterly cash dividend C$0.09 per share (annualized C$0.36), 2.27% yield based on Dec‑31‑2025 price.
• Earnings Per Share: FY 2025 basic EPS $0.79 (‑32.5% YoY); diluted EPS $0.79 (‑32.5%). Q4 2025 basic EPS $0.15 (‑88.6% YoY).
• Finance Costs: Net interest expense $552 k (+53.8% QoQ); derivative/FX gain $6,097 k (+134.8% QoQ).
• Non‑cash Share‑based Compensation: Decreased to $205 k in Q4 2025 (‑60.3% QoQ) and $216 k FY 2025 (‑91.4% YoY).
• Distributable Cash Flow: FY 2025 cash available for distribution C$30,328 k (‑16.9% YoY); payout ratio 22.1% (down 3.1%).
• Conference Call: Management hosted a call on March 12 2026 at 8:30 am ET; webcast archived on the company website.

Notable Quotes

“We had a strong finish to the year, with the fourth quarter delivering solid growth in facility service revenue, income from operations, and Adjusted EBITDA,” – Jason Redman, President & CEO.
“With the sales of SCNC and OSH concluded, we are evaluating the best uses of the net proceeds, including additional share repurchases and/or making distributions to shareholders.” – Jason Redman.