MPH Health Care's Q3 Results Reflect Investment Losses and Market Pressures

MPH Health Care AG (ticker: 93M1.DE) reported disappointing third-quarter outcomes on Thursday, with the company’s equity base shrinking substantially due to portfolio deterioration. The firm’s balance sheet weakened considerably, with equity declining 30 percent to reach 0.194 billion euros by September 30, 2025, down from 0.278 billion euros at year-end 2024.

The primary culprit behind the equity erosion stems from fair value adjustments across the investment holdings. More significantly, MPH Health Care posted a net loss of 78.5 million euros during the nine-month period, a stark reversal from the prior year’s profit of 54.5 million euros. The turnaround was chiefly attributed to the sharp drop in CR Energy AG’s valuation following the company’s insolvency proceedings, which weighed heavily on consolidated results.

On a brighter note, the company demonstrated resilience in operational performance. Revenue climbed to 274 million euros from 257 million euros year-over-year, while EBIT strengthened by 11 percent, reaching 24.5 million euros. These figures suggest underlying business momentum despite the portfolio headwinds.

Looking ahead, mph’s beauty segment remains a key growth driver for the organization. Management has outlined ambitious expansion targets, aiming to scale annual revenue in the beauty division to between 0.2 and 0.3 billion euros by 2029, underscoring the company’s strategic pivot toward high-margin consumer categories.

Trading activity reflects investor concern over recent developments. Shares of 93M1.DE closed at 18.00 euros, representing a decline of 0.35 euros or 1.91 percent on the XETRA exchange. The stock’s weakness mirrors broader concerns about the equity deterioration and near-term earnings outlook.