Sonic Healthcare holds AGM after posting strong FY25 growth and reaffirming FY26 outlook

Sonic Healthcare booked 8% FY25 sales growth, reaffirmed its FY26 outlook, and completed a major acquisition.

| More on:
A group of people in a corporate setting do a collective high five.

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Key points

  • Sonic Healthcare reported an 8% rise in both statutory revenue to A$9,645 million and EBITDA to A$1,725 million for FY2025, alongside a 6% EPS increase to 106.7 cents.
  • The company confirmed FY26 EBITDA guidance of A$1.87–1.95 billion, supported by acquisitions like LADR Laboratory Group in Germany and strong revenue growth.
  • Looking forward, Sonic plans to maintain organic growth, focus on cost control and EPS enhancement, and continue its progressive dividend strategy amid recent market underperformance.

The Sonic Healthcare Ltd (ASX: SHL) share price is in focus after the company reaffirmed its FY26 earnings guidance and posted 8% revenue and EBITDA growth for FY2025.

What did Sonic Healthcare report in FY25?

  • Statutory revenue for FY2025 rose 8% year-over-year to A$9,645 million
  • EBITDA increased by 8% to A$1,725 million
  • Net profit climbed 7% to A$514 million
  • Earnings per share improved by 6% to 106.7 cents
  • Total FY2025 dividends of $1.07 per share, up 1% on the prior year
  • Cash generated from operations jumped 21% to A$1,297 million

What else do investors need to know?

Sonic Healthcare confirmed its FY26 EBITDA guidance range of A$1.87–1.95 billion (on constant currency), targeting up to 13% growth on FY25. Year-to-date statutory revenue as of October 2025 grew 17%, with organic revenue up 5%, supported by recent acquisitions and contract wins.

The company completed the acquisition of LADR Laboratory Group in Germany, marking a significant milestone. This deal, partly funded by issuing new Sonic shares, is expected to deliver immediate earnings per share accretion and strong returns after synergies.

What's next for Sonic Healthcare?

Looking ahead, Sonic Healthcare expects first-half weighting for FY2026 earnings to follow historical patterns, after an atypical FY2025. The company plans to sustain organic growth through innovation in pathology and diagnostics as well as pursue further targeted acquisitions.

Management is focused on controlling costs, boosting earnings per share, and extracting value from recent acquisitions, while maintaining a progressive dividend policy supported by ongoing strong cash flows.

Sonic Healthcare share price snapshot

Over the past 12 months, Sonic shares have fallen 23%, underperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 1% over the same period.

View Original Announcement

Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Sonic Healthcare. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.

More on Share Market News

Multiple ASX share investors take on one another in a tug of war in a high rise building.
Mergers & Acquisitions

BlueScope shares jump 20% on takeover news

This steel company is a takeover target. Here's what you need to know.

Read more »

A group of executives sit in front of computer screens in a darkened room while a colleague stands giving a presentation with a share price graphic lit up on the wall
Share Market News

IAG integrates RACQ Insurance into reinsurance

IAG brings RACQ Insurance into its core reinsurance program, expanding coverage and seeking greater resilience against natural catastrophe risks.

Read more »

Two company members shaking hands on a deal.
Share Market News

Monadelphous awarded $175 million BHP contract: Key details for investors

Monadelphous Group shares are in focus after landing a major $175 million construction contract with BHP in Western Australia.

Read more »

two business men sit across from each other at a negotiating table. with a large window in the background.
Share Market News

SGH confirms $13.2 billion acquisition offer for BlueScope Steel

SGH confirms a $13.2 billion joint offer to acquire BlueScope Steel, with plans for strategic business separation.

Read more »

A person leans over to whisper a secret to a colleague during a meeting.
Share Market News

BlueScope fields $30-per-share takeover bid from SGH, Steel Dynamics

The company previously rejected several earlier bids.

Read more »

woman working on tablet
Opinions

2 incredible ASX 200 shares I'd buy with $2,000 right now

These stocks are some of the best that Australians can buy.

Read more »

Man holding out Australian dollar notes, symbolising dividends.
Dividend Investing

2 ASX dividend shares with yields above 7%!

These stocks offer investors significant potential income.

Read more »

Smiling man with phone in wheelchair watching stocks and trends on computer
Share Market News

5 things to watch on the ASX 200 on Tuesday

It looks set to be a good session for Aussie investors today.

Read more »