How Is Monash IVF Navigating Growth and Profit Challenges in FY25?

Financial Performance and Operational Highlights

Monash IVF Group’s 2025 Annual General Meeting presentation revealed a mixed financial picture. The company achieved a 6.7% increase in revenue to $271.9 million, driven by growth in genetics testing and day surgery procedures. However, underlying net profit after tax (NPAT) fell by 8.1% to $27.4 million, consistent with the updated guidance issued earlier in the year. Underlying EBITDA rose 5.6% to $66.3 million, maintaining a stable margin of 24.4%.

Operationally, domestic IVF stimulated cycles decreased by 5%, with new patient registrations down 7.3%, reflecting some softness in demand. Despite this, clinical pregnancy rates improved slightly to 40.3% for women under 43, underscoring ongoing clinical excellence and innovation.

Innovation and Technology Investments

Monash IVF continues to invest heavily in technology and research. The rollout of the Matcher® Electronic Witnessing System across all Australian laboratories was completed during FY25, enhancing sample accuracy and operational efficiency. The company also highlighted progress in mitochondrial donation research, backed by a $15 million grant in partnership with Monash University, and trials of a wearable fertility hormone tracker in collaboration with Symex Labs.

These initiatives aim to improve patient outcomes and maintain Monash IVF’s position at the forefront of fertility science. The company’s clinical pregnancy rates have steadily increased over recent years, reflecting the impact of these innovations.

International and Diagnostic Segments

International IVF volumes declined by 6.4% due to macroeconomic pressures and the relocation of the Singapore clinic, although underlying EBIT in this segment grew by 5.1%. Growth in Bali and Johor partially offset softness in Kuala Lumpur and Singapore. Genetics testing volumes, particularly carrier screening, grew strongly by 15%, with expanded gene panels gaining traction.

Outlook and Strategic Priorities

Looking ahead, Monash IVF expects FY26 underlying NPAT to be at the lower end of the $20 million to $23 million range, reflecting ongoing softness in Australian stimulated cycles and deferred price increases. Cost reduction initiatives are underway to mitigate margin pressures, with benefits expected in the second half of FY26 and beyond.

The company plans to resume dividends in FY26, contingent on meeting profit guidance. Strategic priorities include doctor retention and acquisition, digital transformation with the OX Health patient management system rollout, and consolidating growth in diagnostics and Asian markets. Sustainability and governance enhancements also remain key focus areas.