Integrated Diagnostics Holdings Plc

1H 2025 Results

Tuesday, 2 September 2025

Integrated Diagnostics Holdings plc records impressive revenue growth of 42% in 1H 2025 with improving margins across the board

(London) - Integrated Diagnostics Holdings ("IDH," "the Group," or "the Company"), a leading provider of diagnostic services with operations in Egypt, Jordan, Nigeria, Saudi Arabia, and Sudan announced today its unaudited financial statements for the quarter and six-month period ended 30 June 2025. The Company reported revenue of EGP 3.5 billion in 1H 2025, representing a year-on-year expansion of 42% on the back of a 10% year-on-year rise in tests performed and a 29% year-on-year increase in average revenue per test. Meanwhile, the Group's efforts to maintain a tight grip on costs saw IDH's margins improve across the income statement. During the six-month period, IDH's gross profit expanded 61% year-on-year with an associated margin of 42.0% versus 37.0% this time last year. Similarly, IDH's adjusted EBITDA increased 78% versus 1H 2024, yielding a margin of 33.6%, seven percentage points above last year's figure. Finally, IDH's bottom-line came in at EGP 571 million in 1H 2025, up 19% year-on-year. When controlling for FX gains booked in both periods, IDH's normalised¹ bottom-line more than doubled year-on-year, with an associated adjusted margin of 16.2% in 1H 2025 versus 7.3% this time last year.

On a three-month basis, IDH's revenue stood at EGP 2.0 billion, up 48% versus the same three months of last year. Further down the income statement, IDH's second quarter adjusted EBITDA stood at EGP 691 million, up 105% versus last year and with an associated margin of 35.3% in Q2 2025 versus 25.4% last year. Finally, IDH's bottom-line for the quarter came in at EGP 326 million versus the EGP 78 million bottom line recorded this time last year.

In the final weeks of the second quarter, IDH's Egyptian radiology subsidiary, Al Borg Scan, successfully completed a strategic acquisition of CAIRO RAY for Radiotherapy, a radiology and radiotherapy facility in East Cairo for a total consideration of EGP 400 million. The acquisition represents a landmark step forward in realizing the Company's long-term vision of building an established radiology offering alongside its already market-leading pathology business.

Financial Results (IFRS)

Note: Throughout the document, percentage changes are calculated using the exact value (as per the Consolidated Financials) and not the corresponding rounded figure.

1 Normalised net profit excludes FX gains from both periods.

2 Adjusted EBITDA is calculated as operating profit plus depreciation and amortization. Adjusted EBITDA also excludes the EGP 10 million share-based payment made to Dr. Amid, Biolab's CEO, during the current reporting period related to Biolab KSA. Additional information is available in notes 16 and 22 of the financial statements included at the end of this release.

3 Cash balance includes time deposits, treasury bills, current accounts, and cash on hand.

Key Operational Indicators⁴

Introduction

i.    Financial Highlights

·      IDH reported consolidated revenue of EGP 3,543 million in 1H 2025, up 42% year-on-year. Growth was supported by both a 10% rise in test volumes for the six-month period coupled with a 29% year-on-year rise in average revenue per test. On a quarterly basis, consolidated revenue reached EGP 1,960 million, up 48% from the second quarter of last year.

·      Gross profit recorded EGP 1,489 million in 1H 2025, up 61% year-on-year and with a gross profit margin (GPM) of 42.0% versus 37.0% this time last year. Improved gross profitability comes as a direct result of the Company's continued focus on cost optimisation. More specifically, during the period IDH saw its raw material as a share of revenue decline to 19.6% in 1H 2025 from 21.5% last year. Similarly, direct salaries and wages as a share of revenue declined to 19.1% from 19.5% in 1H 2024. On a quarterly basis, gross profit recorded EGP 859 million, up 73% year-on-year and yielding a GPM of 43.8% in Q2 2025 versus 37.4% last year.

·      Adjusted EBITDA⁶ stood at EGP 1,190 million in 1H 2025, an increase of 78% versus the same period of last year. IDH's adjusted EBITDA margin recorded 33.6% in 1H 2025 up from 26.7% last year. Improved EBITDA profitability came on the back of better gross profitability coupled with a substantial decline in SG&A expenditures as a share of revenue which stood at 15% in 1H 2025 versus 20% last year. On a quarterly basis, adjusted EBITDA came in at EGP 691 million in Q2 2025, 105% above last year's second quarter figure. Adjusted EBITDA margin for the quarter recorded 35.3% versus 25.4% in Q2 2024.

·      Net profit came in at EGP 571 million in 1H 2025, up 19% from last year's bottom-line figure. Net profit margin (NPM) came in at 16.1% in 1H 2025 versus 19.2% last year. It is important to note that controlling for FX gains in both periods, IDH's normalised net profit posted an impressive 214% year-on-year expansion, with the Company's normalised⁷ net profit margin coming in at 16.2% in 1H 2025 versus 7.3% last year. On a three-month basis, IDH's net profit stood at EGP 326 million, up substantially from the EGP 78 million profit recorded in Q2 2024. NPM for the quarter stood at 16.6% versus 5.9% last year.

·      The Board has approved a cash dividend of USD 10 million (USD 0.017 per share) with respect to the year ended 31 December 2024.

4 Key operational indicators are calculated based on revenue for the periods of EGP 3,543 million and EGP 2,498 million for 1H 2025 and 1H 2024, respectively.

5 IDH rolled out 85 new branches in Egypt, one new branch in Jordan, and re-opened a branch in Sudan over the past 12-month period. It is important to note that due to the ongoing conflict in Sudan, only one of IDH's 18 branches in the country is currently operating (reopened in Q3 2024).

6 Adjusted EBITDA is calculated as operating profit plus depreciation and amortization. Adjusted EBITDA also excludes the EGP 10 million share-based payment made to Dr. Amid, Biolab's CEO, during the current reporting period.

7 Normalised net profit excludes FX gains from both periods.

ii.  Operational Highlights

·      As at 30 June 2025, IDH's branch network stood at 678 branches, up 87 branches from the 591 branches as at 30 June 2024. Over the last twelve months, IDH has inaugurated 85 new locations in Egypt, one new branch in Jordan, and has reopened a branch in Sudan (the remaining 17 continue to be shut indefinitely).

·      During 1H 2025, IDH conducted 19.6 million tests across its geographies, up 10% year-on-year supported by growing volumes across all its markets (excluding Sudan where operations remain largely on hold). It is important to highlight IDH's success in growing test volumes despite the strategic price adjustments introduced at the start of the year, showcasing that the Company's value proposition continues to be highly attractive to patients across its growing footprint.

·      IDH's average revenue per test rose 29% year-on-year to reach EGP 181 in 1H 2025. Meanwhile, average revenue per patient reached EGP 831 in 1H 2025, up 37% versus the same period of last year.

·      IDH served 4.3 million patients in the first half of 2025, an increase of 4% year-on-year. Meanwhile, in line with IDH's long-term value extraction strategy, the Company continued to grow its average test per patient metric, which in 1H 2025 reached a record-high of 4.6 tests versus 4.3 this time last year. The steady rise in average tests per patient highlights the efficacy of IDH's initiatives over the past several years, including its loyalty program introduced in FY 2021.

iii. Updates by Geography

·      In Egypt (83.7% of total revenue in 1H 2025), IDH recorded a top-line of EGP 2,966 million in 1H 2025, up 43% year-on-year. Top-line growth was supported by rising test volumes (up 9% versus 1H 2024) and higher average revenue per test (up 31% year-on-year).

·      IDH's Jordanian subsidiary, Biolab (13.9% of total revenues in 1H 2025), reported revenue in local currency terms of JOD 7.0 million in 1H 2025, up 7% year-on-year. Revenue growth for the period was supported by a sustained 21% year-on-year rise in test volumes, boosted by a promotional campaign launched by Biolab during the six-month period. In EGP terms, Biolab saw revenue for the first half grow 28% year-on-year to EGP 493 million.

·      In Nigeria (1.6% of total revenues in 1H 2025), Echo-Lab recorded revenue of NGN 1,768 million, up 38% from last year's first half figure. Increased revenue came on the back of a 3% year-on-year rise in test volumes coupled with a 34% year-on-year rise in average revenue per test in Naira terms as Echo-Lab continued to adjust prices to keep up with inflation in the country. In EGP-terms, revenue in Nigeria grew 49% year-on-year to EGP 58 million in 1H 2025. It is important to note that after having turned EBITDA positive in Q1 2025, IDH Nigerian subsidiary has continued to deliver positive EBITDA results on a half-year basis.

·      Biolab KSA, IDH's newest venture in Saudi Arabia (0.7% of total revenues in 1H 2025), reported revenue of SAR 1.9 million in 1H 2025. During the second quarter of the year, the venture continued its steady ramp up with revenue in Q2 2025 standing 31% above revenue in the first three months of the year. Biolab KSA's May performance was particularly noteworthy when no holidays impacted patient traffic. IDH views the Saudi Arabian market as an important driver of future growth due to the market's large, growing, and increasingly health-conscious population which is looking for access to high-quality diagnostic services from a currently highly fragmented market. To capitalise on the strong momentum enjoyed in the Kingdom, Biolab KSA has inaugurated its third branch in early July of this year, taking the total operational network up to three branches. Over the coming months, IDH plans to launch three additional branches in the country (taking the total up to six), and leverage its expanded ownership stake⁸ to further accelerate growth at its newest geography.

·      In Q3 2024, IDH reopened one branch in Sudan after temporarily shutting down all branches earlier in the year. It is worth highlighting that the remaining 17 branches remain closed indefinitely as the civil conflict in the country continues.

8 In December 2024, IDH announced the purchase of Izhoor's entire 49% stake in the venture for USD 3.2 million, bringing IDH's effective stake in Biolab KSA to 100% (79% controlled by IDH and 21% by its Jordanian subsidiary Biolab). It is worth noting that Biolab KSA was originally launched as a joint venture between IDH (30%), Biolab (21%), and Izhoor Holding Medical Company (49%) in January 2024.

iv. Management Commentary

Commenting on the Group's 1H 2025 performance, IDH Chief Executive Officer, Dr. Hend El-Sherbini, said: "At the halfway point of what has thus far been a very remarkable year, we are pleased to report another strong set of financial and operational results which build on our momentum from earlier in the year and on the improving operating conditions at home and across our regional footprint. The results achieved in the first six months of 2025 highlight once more the effectiveness of our growth and investment strategies which are enabling us to capture broad-based growth across our markets while making high-quality diagnostic services increasingly accessible to patients across our footprint.

During 1H 2025, we recorded consolidated year-on-year revenue growth of 42%, with our top-line reaching a record EGP 3.5 billion for the period. Growth was supported by noteworthy performances reported across both our more established Egyptian and Jordanian markets as well as encouraging results from our newer geographies of Nigeria and Saudi Arabia.

At home, we continue to invest significantly to maintain our leadership position and remain the go-to provider for patients nationwide. During the first six months of the year, we opened up 49 new locations to better serve patients within and outside Greater Cairo. Our efforts have delivered immediate results with test and patient volumes rising 9% and 3% year-on-year, respectively, and our top-line reaching EGP 3.0 billion, up 43% versus 1H 2024. Similar to Egypt, in Jordan revenue posted solid year-on-year growth in both EGP and JOD terms supported by a promotional campaign organised by Biolab which saw test volumes for the period grow an impressive 21% versus last year. In a market where volume driven growth is key for long-term sustainability, we were very pleased to see Biolab's strategy pay off so successfully. In Nigeria, Echo-Lab is now firmly EBITDA positive, a direct result of our revamped turnaround strategy kicked off last year. We are excited for our Nigerian subsidiary to build on the progress made thus far and fully capture the vast upside offered by the local radiology market. Finally, in our newest market of Saudi Arabia, the ramp up continues as planned. During the second quarter of the year, we saw Biolab KSA's revenue in local currency terms grow a remarkable 31% quarter-on-quarter, to surpass the SAR 1 million mark. We were particularly pleased with the venture's performance during May, when no national holidays impacted patient volumes. This leaves us optimistic for Biolab KSA's second half performance, which we are confident will set the venture up for long-term success. On this front, in early July we launched the venture's third location in the country. This is the first of four branch inaugurations planned for the year as Biolab KSA continues to build on the positive momentum enjoyed in its first 18 months of operations.

As always, a key focus for IDH remains driving profitable growth with our first half results pointing to widespread improvements across all key metrics. More specifically, during 1H 2025 we saw our gross profit margin expand five percentage points versus last year and our EBITDA margin expand seven percentage points compared to 1H 2024. These remarkable improvements come as we continue to press ahead with our cost optimisation efforts, which have seen our cost of goods sold and our SG&A outlays as a share of revenue decline by a combined nine percentage points versus the first half of last year. Our bottom-line profitability has also displayed sustained improvements when controlling for the substantial FX gains recorded in the comparable period of last year, with our adjusted net profit more than doubling year-on-year and yielding an associated margin of 16% in 1H 2025 versus 7% this time last year.

Heading into the second half of 2025 our priorities remain unchanged as we work to drive sustainable growth across our entire footprint while further improving our profitability metrics. In light of our strong first half performance and the steadily improving operating conditions across our markets, we see full-year revenue growth coming in above 30% in FY 2025. Meanwhile, we see profitability continuing to improve with our full-year EBITDA margin coming in north of 30%.

Finally, we are pleased to announce that our Board of Directors has approved the distribution of a cash dividend of USD 0.017 per share (USD 10 million in total) to shareholders. This decision follows a careful assessment of market conditions and the Company's cash flow needs for strategic investments, a review which led to the postponement of this decision earlier in the year. The Board is confident that the Company's strong financial performance in the first half of 2025 and its robust liquidity position now support this distribution, reflecting our commitment to delivering shareholder value."

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Analyst and Investor Call Details

An analyst and investor call will be hosted at 13:00 pm (UK) | 15:00 (Egypt) on Monday, 15 September 2025. You can learn more details and register for the call by clicking on the link.

For more information about the event, please contact: amoataz@EFG-HERMES.com  

About Integrated Diagnostics Holdings (IDH)

IDH is a leading diagnostics services provider in the Middle East and Africa offering a broad range of clinical pathology and radiology tests to patients in Egypt, Jordan, Nigeria, Saudi Arabia, and Sudan. The Group's core brands include Al Borg, Al Borg Scan and Al Mokhtabar in Egypt, as well as Biolab (Jordan), Echo-Lab (Nigeria), Ultralab and Al Mokhtabar Sudan (both in Sudan), and Biolab KSA (Saudi Arabia). With over 40 years of experience, a long track record for quality and safety has earned the Company a trusted reputation, as well as internationally recognised accreditations for its portfolio of over 3,000 diagnostics tests. From its base of 628 branches as of 31 December 2024, IDH served over 8.9 million patients and performed more than 39.2 million tests in 2024. IDH will continue to add laboratories through a Hub, Spoke and Spike business model that provides a scalable platform for efficient expansion. Beyond organic growth, the Group targets expansion in appealing markets, including acquisitions in the Middle Eastern, African, and East Asian markets where its model is well-suited to capitalise on similar healthcare and consumer trends and capture a significant share of fragmented markets. IDH has been a Jersey-registered entity (i) whose shares are admitted to the equity shares (transition) category (previously, the standard listing segment) of the Official List of the UK Financial Conduct Authority and admitted to trading on the main market for listed securities of the London Stock Exchange (ticker: IDHC) since May 2015.

Shareholder Information

LSE: IDHC.L

Bloomberg: IDHC:LN

Listed on LSE: May 2015

Shares Outstanding: 581,326,272

Contact

Tarek Yehia

Investor Relations Director

T: +20 (0)2 3332 1126 | M: +20 10 6882 6678 | tarek.yehia@idhcorp.com

Forward-Looking Statements

These results for the six-month period ended 30 June 2025 have been prepared solely to provide additional information to shareholders to assess the group's performance in relation to its operations and growth potential. These results should not be relied upon by any other party or for any other reason. This communication contains certain forward-looking statements. A forward-looking statement is any statement that does not relate to historical facts and events, and can be identified by the use of such words and phrases as "according to estimates", "aims", "anticipates", "assumes", "believes", "could", "estimates", "expects", "forecasts", "intends", "is of the opinion", "may", "plans", "potential", "predicts", "projects", "should", "to the knowledge of", "will", "would" or, in each case their negatives or other similar expressions, which are intended to identify a statement as forward-looking. This applies, in particular, to statements containing information on future financial results, plans, or expectations regarding business and management, future growth or profitability and general economic and regulatory conditions and other matters affecting the Group.

Forward-looking statements reflect the current views of the Group's management ("Management") on future events, which are based on the assumptions of the Management and involve known and unknown risks, uncertainties and other factors that may cause the Group's actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by these forward-looking statements. The occurrence or non-occurrence of an assumption could cause the Group's actual financial condition and results of operations to differ materially from, or fail to meet expectations expressed or implied by, such forward-looking statements.

The Group's business is subject to a number of risks and uncertainties that could also cause a forward-looking statement, estimate or prediction to differ materially from those expressed or implied by the forward-looking statements contained in this communication. The information, opinions and forward-looking statements contained in this communication speak only as at its date and are subject to change without notice. The Group does not undertake any obligation to review, update, confirm or to release publicly any revisions to any forward-looking statements to reflect events that occur or circumstances that arise in relation to the content of this communication.

Group Operational & Financial Review

i.    Revenue and Cost Analysis

Detailed Segment Performance Breakdown

Revenue Contribution by Country

Average Exchange Rate

Patients Served and Tests Performed by Country

Operational Branches by Country

ii.  Balance Sheet Analysis

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