Highlights

  • FY26 attributable net profit after tax was A$638.7 million, while underlying net profit after tax was A$636.8 million.
  • Resident premium Revenue reached A$8,267.9 million and the resident gross Margin was 16.3%.
  • Net resident policyholder growth was 22,100, with the ahm Brand growing faster than the Medibank brand.
  • Medibank Health revenue reached A$634.8 million, with segment profit of A$100.7 million.
  • Management expects the resident gross margin to remain broadly consistent in FY27.

Medibank Private Limited (ASX:MPL) is an Australian health insurer and health services provider operating the Medibank and ahm brands alongside its Medibank Health activities. Its FY26 result showed higher reported profit, continued policyholder growth and a larger dividend, while management kept attention on affordability, claims growth and cost discipline.

FY26 Earnings and Dividend

For the year ended 30 June 2026, Medibank Private Limited (ASX:MPL) reported net profit after tax attributable to shareholders of A$638.7 million and underlying net profit after tax of A$636.8 million. Group operating profit was A$813.5 million, while net Investment income was A$178.9 million. Non-recurring cybercrime costs were A$34.9 million, and the company expects these costs to be below A$20 million in FY27, excluding any outcomes from regulatory investigations or litigation.

The total fully franked ordinary Dividend was 19.2 cents per share, including a final dividend of 10.9 cents. The full-year payout represented 83.0% of underlying net profit, within the company's 75% to 85% target range.

Health Insurance Growth and Margins

Health insurance remained the core earnings contributor. Resident premium revenue was A$8,267.9 million and net resident claims expense was A$6,918.2 million, leaving the resident gross margin at 16.3%. Health Insurance operating profit was A$769.8 million, with an Operating Margin of 9.0%.

Medibank Private Limited (ASX:MPL) added 22,100 net resident policyholders during FY26. The Medibank brand recorded 0.6% growth, while ahm grew 2.4%. Non-resident policy units were 346,200 and the non-resident gross margin was 34.8%. Operating expenses increased during the year, partly offset by around A$10 million of productivity savings.

Medibank Health Expands Its Contribution

The Medibank Health segment, which includes services such as virtual care and primary health, recorded revenue of A$634.8 million and segment profit of A$100.7 million. The segment gross margin was 51.5%. Management expects Medibank Health profit to grow by about 25% in FY27, including the full-year contribution from Better Medical.

FY27 Outlook and Key Operating Considerations

For FY27, Medibank Private Limited (ASX:MPL) expects the resident gross margin to remain broadly consistent with FY26 and is targeting continued Market Share growth. Management also expects Gross Profit growth from non-resident cover. The operating balance remains centred on premium affordability, claims Inflation and expense control, as premium increases are subject to a regulated approval process.

The company continues to face uncertainty from unresolved regulatory investigations and litigation linked to the cyber incident. Investment income also remains exposed to financial market movements, while non-resident insurance and Medibank Health margins require monitoring as those businesses expand.

Key Insights

Medibank Private Limited (ASX:MPL) enters FY27 with a large resident insurance base, ongoing policyholder growth and a growing health-services business. The main operating measures to follow are resident gross margin, claims growth, policyholder retention, expense trends and delivery against the Medibank Health profit outlook. These factors will indicate how effectively the group is balancing growth with affordability and margin discipline.