Dentalcorp Holdings Ltd., Canada’s largest network of dental practices, says it generated $43.7 million in adjusted free cash flow in the third quarter of 2025, up 21 per cent from the same period last year.
“This led to continued deleveraging, with our net debt-to-PF adjusted EBITDA after-rent ratio decreasing to 3.58 times, a reduction of 0.45 times from the third quarter of 2024,” said Graham Rosenberg, Dentalcorp’s CEO and chairman.
The company reported quarterly revenue growth of 12 per cent to $420.1 million and adjusted EBITDA growth of 14 per cent to $78.7 million. Adjusted EBITDA margin expanded 30 basis points to 18.7 per cent compared with Q3 2024.
Dentalcorp acquired 13 new practices during the quarter, which are expected to generate $8.4 million in pro-forma adjusted EBITDA after rent at an average multiple of 7.5 times.
“With regard to the federal government’s Canadian Dental Care Plan, we have treated more than 135,000 CDCP patients, with 95 per cent of our practices currently accepting CDCP patients,” said Nate Tchaplia, Dentalcorp’s president and chief financial officer.
Related: Dentalcorp expects $21.4M in profits after acquiring 30 dental practices last year
The update comes as Dentalcorp moves forward with its previously announced take-private deal. In September, the company entered a definitive arrangement agreement to be acquired by funds affiliated with GTCR LLC in an all-cash transaction valuing the company at about $2.2 billion in equity and $3.3 billion on an enterprise value basis.
Related: What Dentalcorp’s $2.2B sale means for dentists in Canada
On Tuesday, the Supreme Court of British Columbia granted Dentalcorp an interim order to call a special meeting of securityholders on Dec. 4, 2025 at 11 a.m. ET to consider the GTCR transaction. The company said L Catterton Investor LP has terminated its rollover agreement with GTCR and will now sell all of its shares for $11 per share in cash.
In light of the transaction, Dentalcorp will not hold the conference call previously scheduled for Thursday, Nov. 6, and is suspending their practice of providing financial outlook for future periods.