MedAdvisor Limited / MedAdvisor Solution (ASX: MDR) is a healthcare company delivering pharmacy-driven medication management and patient engagement platforms. Through its cloud-based platforms and AI-enabled tools, MedAdvisor helps pharmacies and pharmaceutical companies deliver personalised, efficient care to millions of patients. MedAdvisor Limited was listed on ASX on 26 May 2011 at an issue price of AUD 1.38 per share.

Financial Performance

MedAdvisor Limited reported 1H25 revenue of AUD 57.1 million, a decrease of 24.4% YoY, and positive EBITDA of AUD 4.8 million. The decline in revenue reflects concentrated exposure to a small number of US pharma clients and market headwinds, such as reduced vaccination activity and lengthening sales cycles.

Gross profit for the half-year reached AUD 35 million, with a margin uplift driven by an increasing share of digital solutions, including THRiV-powered programs. Full-year FY25 guidance is for revenue between AUD 93 million and AUD 99 million, with EBITDA expected to be between AUD -2.6 million and AUD -5.5 million, factoring in transformation costs. Also, the company expects 15% compound annual revenue growth in FY26, as recent investments and operational changes take effect.

Growth Pipeline and Opportunities

MedAdvisor’s US operations are being restructured to address historical underperformance. The company is focused on expanding its commercial reach by diversifying its pipeline across brands, therapy categories, and manufacturers.

The total unweighted sales pipeline for 1H26 is valued at AUD 161.1 million, compared to AUD 63.7 million for 2H25. Notably, the US business now generates nearly 35% of revenue from THRiV, its next-generation patient engagement platform, offering better margins and scalability.

In Australia and New Zealand, MedAdvisor maintains its dominant position, with 95% of pharmacies using the MedAdvisor platform and 98% of patients reached through partnered pharmacies. The company is enhancing its SaaS model by expanding into e-commerce, telehealth, and AI-driven pharmacy workflows. Initiatives like the Women’s Health program and Expanded Scope of Practice (ESoP) services are expected to contribute to future growth.

Strategic Development and Review

The capital raise is part of the company’s ongoing transformation, which aims to reduce operating costs and improve business efficiency. The AUD 0.10 per share issue price reflects a 9.1% discount to the last close and a 1.2% discount to the 5-day VWAP as at 28 March 2025. The offer is not underwritten, though MedAdvisor’s board has committed to participating up to AUD 375,000, subject to shareholder approval.
The proceeds will support MedAdvisor’s cost-saving measures, already underway, including restructuring its US commercial operations and pharmacy network, and accelerating the shift to digital-first, high-margin patient engagement programs.

In November 2024, the company initiated a strategic review to assess corporate actions aimed at maximising shareholder value. The review examines divestment, acquisitions, cost reduction programs, and organic growth strategies. Several conditional, non-binding proposals have been received for MedAdvisor’s Australian operations, and the company expects to announce outcomes by the end of June 2025.

Industry Context

MedAdvisor is strategically positioned in the growing digital health and pharmacy-tech sectors. Global trends, such as personalised medicine, specialty treatments, and patient-centric engagement platforms, are reshaping how pharmaceutical companies and pharmacies interact with consumers. MedAdvisor’s omnichannel, AI-enabled approach is well aligned with these shifts.

However, the company also faces notable risks, including reliance on key customers in the US, evolving data privacy legislation, and growing competition from digital-native platforms. Its rebranding to MedAdvisor Solutions and increased investment in cybersecurity and SaaS infrastructure reflect efforts to strengthen its market position.

While risk remains, the proactive steps taken by management, coupled with the strategic interest in its core assets, suggest that MedAdvisor is well-positioned for a rebound. The current capital raise presents investors with an opportunity to enter at a discount while supporting the company’s transition into a leaner, growth-ready health technology platform.