Executive Summary
Medical Properties Trust (0JZZ.L) reported QQ3 2025 results with revenue of $237.5 million but an anomalously reported gross profit of -$379.5 million, yielding a negative EBITDA of -$245.2 million and a net loss of -$16.5 million on an EPS of -$0.0282. The quarter exhibits a severe mismatch between revenue and gross profitability, suggesting large one-time charges, impairments, or other non-cash adjustments that are not fully reconciled in the presented inputs. The core operating metrics show substantial leverage pressure, as interest expense of ~$245.5 million eclipses topline revenue and drives a negative EBITDAR and operating income. YoY revenue growth of +5.18% contrasts with a steep deterioration in profitability metrics (YoY gross profit and EBITDA both deeply negative) and a flat-to-broadly negative net income trajectory (net income of -$16.5 million, or -6.93% of revenue). QoQ, revenue slipped by about -1.18%, while profitability deteriorated further on a quarterly basis, consistent with elevated financing costs and potential portfolio or impairment-related charges in 3Q25. These dynamics imply that, in the near term, cash flow generation and coverage of fixed charges are key uncertainties. Investors should monitor management’s commentary on balance-sheet remediation, refinancing options, and portfolio optimization to restore earnings visibility.
Key Performance Indicators
QoQ: -333.16% | YoY:-271.87%
QoQ: -280.74% | YoY:-1 094.48%
Key Insights
Revenue: $237.522 million; YoY +5.18%; QoQ -1.18%
Gross Profit: -$379.543 million; YoY -271.88%; QoQ -333.16% (note: gross profit figure appears anomalous given revenue level; likely related to non-cash impairment/adjustments not reconciled in inputs)
EBITDA: -$245.182 million; EBITDA Margin: -1.03%
Operating Income: -$246.863 million; Operating Margin: -1.04%
Interest Expense: -$245.510 million
Depreciation & Amortization: $66.134 million
Income Before Tax: -$66.578 million
Income Tax Expen...
Financial Highlights
Revenue: $237.522 million; YoY +5.18%; QoQ -1.18%
Gross Profit: -$379.543 million; YoY -271.88%; QoQ -333.16% (note: gross profit figure appears anomalous given revenue level; likely related to non-cash impairment/adjustments not reconciled in inputs)
EBITDA: -$245.182 million; EBITDA Margin: -1.03%
Operating Income: -$246.863 million; Operating Margin: -1.04%
Interest Expense: -$245.510 million
Depreciation & Amortization: $66.134 million
Income Before Tax: -$66.578 million
Income Tax Expense: -$49.352 million (tax benefit component implied)
Net Income: -$16.454 million; Net Income Margin: -6.93%
EPS (Diluted): -$0.0283; Weighted Avg Shares: 600.867 million
Net income per share and earnings trend reflect heavy financing costs and potential one-time charges; the quarter shows volatility in profitability despite revenue stability.
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
237.52M |
5.18% |
-1.18% |
| Gross Profit |
-379.54M |
-271.87% |
-333.16% |
| Operating Income |
-246.86M |
-1 094.48% |
-280.74% |
| Net Income |
-16.45M |
97.95% |
83.31% |
| EPS |
-0.03 |
97.89% |
82.31% |
Management Commentary
Transcript data not provided for QQ3 2025. No management-call quotes or segment remarks could be extracted from the supplied input. If a transcript is available, please provide it to extract thematics by strategy, operations, and market conditions with direct quotes.
Forward Guidance
No formal forward guidance for QQ4 2025 or 2026 is included in the provided data. The qualitative assessment suggests that near-term drivers will hinge on (i) portfolio optimization to reduce underperforming assets, (ii) refinancing or re-pricing of leverage to reduce interest expense, and (iii) stabilization of occupancy and rent collections across hospital properties. Absent explicit guidance, the achievability of any targeted cash-flow or dividend-related metrics will depend on the ability to deleverage, manage capex/rehab needs, and navigate financing markets in a high-rate environment. Investors should monitor management commentary on debt maturity schedules, lease escalators, and portfolio dispositions as key indicators of the trajectory toward normalized earnings.