Terveystalo reports sharp profit decline due to corporate and welfare region cost cuts

The Finnish healthcare provider Terveystalo saw its first-quarter profit fall sharply, with adjusted operating profit dropping 30 percent to €34 million, down from €48 million in the same period last year, according to a report by Finnish news agency STT.

Revenue also declined by over 11 percent, from €347 million to €308 million. The company attributed the decrease to cost-saving measures by businesses and cautious purchasing by welfare regions.

On Tuesday, Terveystalo announced the start of restructuring negotiations affecting around 4,400 employees, which could result in the reduction of up to 110 positions.