• 3Q FY25 operating revenue of $12.3 million, down 49.2% from 3Q FY24
• Gross profit of $7.4 million, down 51.6% from 3Q FY24
• Accelerated cost-out program to deliver $4.5 million in annualised savings

MedAdvisor Limited (ASX: MDR) reported its financial results for the quarter ended 31 March 2025 (3Q FY25), with 3Q FY25 operating revenue of $12.3 million, down 49.2% from 3Q FY24. Gross profit was $7.4 million, down 51.6% from 3Q FY24, with the group gross margin decreasing to 60.2% from 63.2% in 3Q FY24. The softening trends observed in the US market during the second quarter continued into the third quarter, influenced primarily by evolving budget priorities across the pharmaceutical industry. In the ANZ region, financial performance was impacted by reduced revenue associated with fewer health programs and a slight decrease in SaaS revenue. To address these challenges, the company has accelerated its cost-out program, Transformation 360°, to deliver annualised savings of $4.5 million across both business units. The company also announced the restructuring of its US commercial operations and the completion of a $5 million capital raise in early April 2025. The strategic review process is progressing well, with the company exploring a range of potential corporate initiatives in both the US and ANZ to maximise shareholder value.

MedAdvisor reaffirms its previously issued guidance for FY25: revenue of $93 million - $99 million and EBITDA loss of $2.6 million - $5.5 million.

Looking to FY26, the company expects revenue growth of around 15%, coupled with meaningful margin expansion, demonstrating that its strategy is working and that it's building a business with long-term strength and scalability.