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Mar 28
Integer Q1 2025 Earnings Report
Integer reported a solid first quarter with strong revenue and adjusted earnings growth despite a GAAP net loss due to debt conversion costs.
Key Takeaways
Integer Holdings posted 7% revenue growth and strong adjusted profitability in Q1 2025, although GAAP net income turned negative due to one-time expenses.
Revenue increased 7% YoY to $437,392,000, driven by growth in Cardio & Vascular segment.
Adjusted EPS rose to $1.31, up from $1.14 in Q1 2024.
GAAP Net Loss was $22,465,000 primarily due to debt conversion inducement expenses.
Adjusted operating income grew 14% YoY to $70,923,000.
Integer
Integer
Integer Revenue by Segment
Forward Guidance
Integer reaffirmed 2025 sales and adjusted operating income guidance and raised adjusted EPS outlook, expecting continued momentum.
Positive Outlook
- Raised adjusted EPS guidance to $6.15–$6.51.
- Expected sales growth of 8% to 10% for full-year 2025.
- Forecasted adjusted operating income growth of 11% to 16%.
- Anticipated adjusted EBITDA range of $401M to $422M.
- Expected $13M reduction in interest expense due to 2030 convertible notes.
Challenges Ahead
- GAAP income from continuing operations projected to decline YoY.
- Diluted GAAP EPS expected to decline by 4% to 14%.
- Leverage ratio increased to 3.3x adjusted EBITDA due to acquisitions.
- Total debt rose by $245M to finance M&A activity.
- Convertible debt transactions may lead to potential equity dilution.
Revenue & Expenses
Visualization of income flow from segment revenue to net income