Spire Healthcare Group plc (LSE:SPI) reported revenue of £1.58bn for 2025, up 4.5% year on year, while adjusted EBITDA increased 3.2%. Adjusted free cash flow rose by nearly 65%, supported by £30m in transformation-related cost savings and disciplined capital expenditure.
Adjusted profit before tax declined 7.4%, and reported profit was affected by restructuring expenses and costs linked to a strategic review. Despite these factors, the company maintained margins in its hospital division, increased adjusted earnings per share and proposed a reduced final dividend, signalling continued returns to shareholders.
Operationally, Spire completed a major consolidation of administrative functions through the creation of Patient Support Centres and implemented a leaner workforce structure, reducing approximately 400 roles. The changes are intended to improve efficiency and provide greater operational flexibility.
The group also expanded its primary care offering through acquisitions in occupational health and physiotherapy, alongside the launch of outpatient-focused clinics designed to feed referrals into its hospital network. These initiatives have supported growth in private patient volumes.
Spire continued to invest in clinical capability and brand strength, maintaining strong regulator-equivalent ratings and reporting high satisfaction levels among patients and consultants. Investment in advanced technologies, including robotic surgery and AI-enabled MRI capacity, has helped strengthen its position in the private healthcare market. The company noted that private payors now account for around 70% of hospital revenue, with early 2026 trading indicating improved private revenue growth.
However, the group expects a significant decline in NHS-related revenue in the first quarter of 2026, forecasting a reduction of around 25% as a result of commissioning cuts and Activity Management Plans. Management plans to introduce additional transformation savings beyond the original £30m programme to offset the impact, while awaiting updated NHS commissioning plans from April. Continued growth in private healthcare demand is expected to support the company’s medium-term outlook.
Overall prospects are supported by steady revenue growth and operational efficiency improvements. However, relatively high leverage and modest net profitability remain areas of concern. Technical indicators suggest bearish market momentum, and valuation metrics imply the shares may be trading at relatively elevated levels.
More about Spire Healthcare
Spire Healthcare Group plc is one of the UK’s leading independent healthcare providers, operating a nationwide network of hospitals and primary care facilities. The company treats private patients—including those funded through insurance or self-pay—alongside NHS-funded cases. In recent years it has invested in advanced medical technology, including robotics and diagnostic imaging, to strengthen its offering in elective procedures and outpatient services.
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