Physitrack (PTRK) Q4 2025 earnings summary

Executive summary

• 2025 was a year of financial consolidation and portfolio simplification, with a focus on structural improvements and profitability, resulting in a 21% year-on-year increase in adjusted EBITDA to €4.7m and a significant swing to positive free cash flow.

• The business was streamlined by exiting unprofitable and low-margin revenue streams, leading to a leaner SaaS model with 92% of Q4 revenue now subscription-based.

• Growth slowed due to these exits, but ARR remained stable and the company is positioned for North American acceleration and disciplined capital allocation.

• Completed restructuring in Wellness, exited low-margin activities, and enhanced commercial and operational capabilities.

Financial highlights

• FY2025 pro forma revenue was €13.5m, flat year-on-year on a reported basis but up 3% pro forma and 6% at constant currency.

• Adjusted EBITDA margin reached 35% for the year, up 7 percentage points, with adjusted EBITDA less CapEx up 277% year-on-year.

• Free cash flow improved from negative €1.6m to positive €1.2m, a swing of €1.8–2m.

• Net debt reduced from €4.1m to €3.3m; cash at year-end was €0.7m; RCF drawn at €4.2m.

• Net loss after tax for the year was €8.7m, impacted by non-recurring restructuring and impairment charges.

Outlook and guidance

• The company reiterates its financial goals and expects to accelerate growth from a high-margin, recurring revenue base, with strong sales momentum and a robust enterprise-heavy pipeline, especially in North America.

• Product unification and value expansion through integration of Physicourses into the core platform.

• Cross-selling, product bundling, and AI integration are expected to drive incremental revenue.

• Medium-term targets include doubling revenue and achieving 40-45% EBITDA margin.