Redcare revenue rises 18% to €847 million in third quarter as German prescription sales jump
Key Facts
Redcare Pharmacy increased revenue 18% year on year to €847 million in the third quarter of 2026, compared with €719 million a year earlier, supported by strong growth in prescription medicines in Germany, according to a company statement. Growth extended to the first nine months, with revenue rising 19% to €2.55 billion from €2.15 billion in the same period of 2025. The results showed sales expansion and improved operating profitability during the quarter. The company also recorded positive net income of €1 million and free cash flow of €15 million. The announcement came on October 29, the date the company had set for its third-quarter statement and results conference for analysts and investors.
Prescription medicines were the main growth driver, with revenue rising 31% to €358 million in the third quarter, compared with €272 million a year earlier. In Germany, where this business was particularly strong, revenue jumped 56% to €197 million. Chief Executive Peter Schmid- Linz said the German prescription business “performed strongly in the third quarter.” He added that the active customer base grew by 123,000 during the quarter, compared with an increase of 65,000 in the second quarter, which he described as “nearly double” the previous increase. This customer expansion alongside revenue growth points to an expanding German business during the period, while the faster growth of prescriptions than non-pharmaceutical products highlights their weight in total sales.
By contrast, revenue from non-prescription products rose 9% to €489 million in the third quarter, from €447 million in the same period of 2025. Growth in this business was therefore below the pace of prescription medicines, whose revenue increased 31% group-wide and 56% in Germany. The comparison showed differing growth rates across the two sales components, while non-prescription revenue remained larger than prescription revenue at group level during the quarter. On profitability, adjusted EBITDA rose 68% to €29 million. Its margin improved to 3.4% from 2.4% in the third quarter of 2025, as the company also posted positive net income and positive free cash flow.
The DACH region, which comprises Germany, Austria and Switzerland, recorded an improvement in its EBITDA margin. Schmid- Linz said the margin rose 1.2 percentage points year on year to 4.2% in the third quarter, describing the period as “an important step forward in terms of profitability in DACH.” This coincided with faster prescription sales in Germany, while the statement did not provide a separate figure for the contribution of this business to the region’s margin improvement. Redcare had raised its forecast for total revenue growth in 2026 on September 28 to a range of 16%–18%, from 15%–17% previously. It also then forecast German prescription revenue of €730 million to €760 million for the year, representing growth of between 45% and 51%.
In its third-quarter results statement, the company reaffirmed its target for an adjusted EBITDA margin of between 2.5% and 3.0% for fiscal 2026. It had raised its revenue growth guidance in September for the second time during the year, to a range of 16%–18%, and also increased its forecast for prescription revenue in Germany to €730–760 million. The third-quarter figures, including prescription growth and the improvement in the DACH margin, provide context for tracking the company’s progress toward its annual guidance. Redcare set January 11, 2027, as the date for its fiscal 2026 trading update. It is scheduled to report its full-year results on March 3, 2027.