Industry Growth: dentalcorp Reports $43.7M in Q3 Cash Flow, Up 21%
Dentalcorp Holdings Ltd., which stands as Canada’s largest network of dental practices, has released robust financial results for the third quarter of 2025 (Q3 2025). The company reported strong growth in key metrics, demonstrating continued expansion in the Canadian dental market.
The positive financial update, however, is set against the backdrop of the company's previously announced definitive agreement to be taken private.
Key Financial Highlights for Q3 2025
Dentalcorp’s results show significant year-over-year increases, indicating successful operational management and continued acquisition strategy:
Adjusted Free Cash Flow: The company generated $43.7 million in adjusted free cash flow, representing a significant 21% increase compared to the same period last year (Q3 2024).
Revenue and EBITDA Growth: Quarterly revenue grew by 12% to $420.1 million, while adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) saw a 14% increase to $78.7 million.
Margin Expansion: The adjusted EBITDA margin expanded by 30 basis points to 18.7%, up from Q3 2024.
Deleveraging: This strong performance led to continued deleveraging, with the net debt-to-PF adjusted EBITDA after-rent ratio decreasing substantially from the prior year.
Acquisition and Government Program Impact
Dentalcorp continues to execute its acquisition strategy:
New Practices: The company acquired 13 new practices during the quarter. These acquisitions are expected to generate $8.4 million in pro-forma adjusted EBITDA after rent.
Canadian Dental Care Plan (CDCP): The company highlighted its participation in the federal government’s Canadian Dental Care Plan (CDCP), stating that it has treated more than 135,000 CDCP patients, with 95% of its practices currently accepting CDCP patients.
Update on Privatization Deal
The financial results come as the company proceeds with its take-private deal. In September, Dentalcorp agreed to be acquired by funds affiliated with GTCR LLC in an all-cash transaction that values the company at approximately $2.2 billion in equity ($3.3 billion on an enterprise value basis).
The Supreme Court of British Columbia has granted an interim order for the company to call a special meeting on December 4, 2025, to allow security holders to consider the transaction. Following this pending acquisition, Dentalcorp has suspended its practice of providing a financial outlook for future periods.
Original Article Details
Original Title: dentalcorp reports $43.7M in Q3 cash flow, up 21 per cent from last year
Source: Oral Health Group
Publication Date: November 6, 2025