By Brazil Stock Guide – Rede D’Or (RDOR3), Brazil’s largest private hospital operator and the controlling shareholder of SulAmérica, reported consolidated net income of R$1.2 billion in the first quarter of 2026, up 13.9% from a year earlier, supported by stronger hospital operations, expanding oncology services and improving insurance profitability.
The company posted consolidated gross revenue of R$15.5 billion during the quarter, a 10% year-over-year increase, while EBITDA rose 27.3% to R$3 billion. Consolidated EBITDA margin expanded to 20.4%, reflecting higher operating leverage, stronger pricing and better performance at SulAmérica.
Within the hospital division, Rede D’Or continued to benefit from rising demand for higher-complexity procedures. Surgical volume reached 145,600 procedures in the quarter, up 11.9% year over year, while complex surgeries increased 14.9%. Oncology revenue climbed 23.6%, driven by a 15.9% increase in infusion volumes and a 6.6% rise in oncology average ticket.
The performance reinforces a key feature of Rede D’Or’s business model: the growing weight of premium healthcare services with higher margins and greater operational integration. The company’s rolling 12-month average ticket expanded 9% through March, reaching R$12,132, reflecting pricing adjustments, greater case complexity and the maturation of newer hospital units.
SulAmérica Gains Momentum
SulAmérica also delivered a stronger contribution to consolidated earnings. The insurance, pension and asset-management operation reported EBITDA of R$849.9 million in the quarter, up 28.8%, while adjusted EBITDA reached R$1.3 billion.
The insurer ended March with more than 6 million health and dental beneficiaries, representing annual growth of 11.4%, while consolidated medical loss ratio improved to 77.2%, a decline of 1.4 percentage points versus 1Q25.
For investors, the combination of vertically integrated hospitals and a scaled insurance platform is increasingly showing clearer operational synergies and efficiency gains following the merger completed in 2022. Cash generation also strengthened meaningfully, reaching R$2.9 billion during the quarter, equivalent to 97.2% of reported EBITDA.
Expansion Continues
Despite years of aggressive expansion, Rede D’Or continues to add capacity across Brazil. The company ended March with 13,555 total beds, an increase of 501 beds compared with the same period last year.
Its organic expansion pipeline also remains substantial. Rede D’Or said it currently has around 30 greenfield and brownfield projects under development, representing 2,702 additional beds expected between 2026 and 2028.
At the same time, leverage remained relatively manageable for the sector, with net debt-to-EBITDA at 1.75x at the end of March, slightly lower than in the previous quarter.
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