Medibank Delivers Strong Half-Year Results, Focuses on Growth and Healthcare Evolution

Medibank has reported a strong financial performance for the first half of 2025, demonstrating resilience, customer focus, and a clear strategy to expand its role as a health company.

CEO Insights: Investing in Healthcare and Customers

CEO David Koczkar emphasized Medibank’s commitment to addressing key healthcare challenges, including affordability, system capacity, and mental health.

“The community is calling for healthcare to be done differently,” Koczkar said. “Being a strong business allows us to provide more value to our customers, support health providers, and invest in the health transition that Australia needs.”

Notably, Medibank announced an additional $160 million in COVID-19 cash givebacks, bringing total pandemic-related customer support to a record $1.62 billion—more than any other health insurer in Australia.

Beyond financial relief, Medibank continues to invest in better healthcare solutions. The company launched a virtual psychology clinic, saved customers $14 million through its Members’ Choice Advantage network, and provided $15 million in value through its Live Better rewards program. Meanwhile, its Amplar Health team expanded support services by 9.3%.

Customer Growth and Strong Market Performance

Medibank saw a 0.9% increase in net resident policyholders, adding 18,500 customers over the past year. Growth in the last six months was double that of the same period in the previous year.

The non-resident business also performed well, with policy units up 12.6% (+38,900), largely driven by the student segment.

With $3.3 billion in total claims paid and continued investment in hospitals, Medibank is reinforcing its role as a key player in Australia’s healthcare landscape.

Financial Highlights

Medibank’s financial results reflect strong operational performance:

  • Underlying net profit after tax (NPAT): $298.7 million (+13.8%)
  • Underlying earnings per share (EPS): 10.8 cents (+13.8%)
  • Interim dividend: 7.8 cents per share, fully franked (+8.3%)
  • Group operating profit: $360.1 million (+12.7%)
  • Net investment income: $114.5 million (+37.0%)

The company has also invested around $59 million over the past 18 months to support future growth and Australia’s broader health transition.

Expanding Healthcare Services

Medibank continues to push forward with innovative healthcare models. The company recently joined a group of doctors to open a short-stay surgical centre in Melbourne’s Kew, the first private hospital in Australia to offer no-gap treatments for eligible customers.

Medibank has also provided more than $67 million in financial support to private hospitals over the past two years, including $5 million in this half alone.

Outlook: A Clear Strategy for Growth

Looking ahead, Medibank expects continued momentum in both resident and non-resident health insurance, while maintaining a disciplined approach to growth. The company is targeting organic profit growth of 15% per year through FY26 and plans to invest up to $250 million in mergers and acquisitions during that period.

With a strong financial foundation and a clear vision for the future, Medibank is positioning itself at the forefront of Australia’s evolving healthcare landscape.