Financial Performance - Revenues increased by 8.1% to $1,279.5 million for the three months ended June 30, 2024, compared to $1,183.4 million for the same period in the prior year[86]. - Gross profit percentage remained stable at 44.7% for both the first three months of fiscal 2025 and fiscal 2024[86]. - Income from operations decreased to $185.5 million in the first three months of fiscal 2025 from $197.8 million in the same period of fiscal 2024, primarily due to restructuring expenses[86]. - Cash flows from operations were $303.7 million for the first three months of fiscal 2025, an increase from $281.1 million in the same period of fiscal 2024[86]. - Free cash flow for the first three months of fiscal 2025 was $195.7 million, down from $214.5 million in the same period of fiscal 2024[86]. - Total revenues increased by 8.1% to $1,279.5 million for the three months ended June 30, 2024, compared to $1,183.4 million for the same period in the prior year[90]. - Gross profit for the three months ended June 30, 2024, was $572.4 million, an increase of 8.2% from $529.0 million in the prior year, with a gross profit percentage of 44.7%[91]. - Operating expenses increased by 16.8% to $386.9 million, driven by a 9.5% rise in selling, general, and administrative expenses to $335.6 million[92]. - Total segment operating income increased by 7.4% to $285.4 million for the three months ended June 30, 2024, compared to $265.7 million in 2023[101]. - Net income for the three months ended June 30, 2024, was $107.3 million, reflecting strong operational performance[106]. Debt and Cash Management - The debt-to-total capital ratio improved to 26.7% at June 30, 2024, from 33.7% at March 31, 2024[86]. - The company reported a debt-to-total capital ratio of 26.7% for the three months ended June 30, 2024, down from 32.2% in 2023[102]. - Outstanding borrowings under the Revolving Credit Facility were $231.3 million as of June 30, 2024[103]. - The company intends to use existing cash and cash equivalents for both short-term and long-term capital expenditures, depending on various uncertain factors[103]. Acquisitions and Divestitures - The company completed the acquisition of surgical instrumentation assets from Becton, Dickinson and Company for $539.8 million, which was financed through existing credit facilities[85]. - The company recorded net proceeds of $41.5 million from the sale of its Controlled Environment Certification Services business, with a pre-tax gain of $18.8 million[85]. - The Dental segment was sold for total cash consideration of $787.5 million, with an additional contingent payment of up to $12.5 million based on revenue targets[86]. - The company received proceeds of $809.6 million from the sale of its Dental segment and CECS business during the first three months of fiscal 2025[102]. Segment Performance - Service revenues rose by 9.2% to $623.2 million, while consumable revenues increased by 20.8% to $414.1 million, reflecting growth in the Healthcare and Life Sciences segments[90]. - Healthcare segment revenues increased by 10.1% to $901.2 million for the three months ended June 30, 2024, compared to $818.9 million for the same period in 2023[98]. - AST segment revenues rose by 7.2% to $249.8 million for the three months ended June 30, 2024, compared to $233.1 million in the prior year[98]. - Life Sciences segment revenues decreased by 2.2% to $128.5 million for the three months ended June 30, 2024, down from $131.4 million in the same prior year period[98]. - The Healthcare segment's backlog decreased to $362.0 million as of June 30, 2024, from $491.7 million a year earlier[98]. - The Life Sciences backlog also decreased to $72.2 million as of June 30, 2024, down from $104.9 million in the prior year[98]. Expenses and Taxation - Research and development expenses grew by 3.6% to $25.6 million, focusing on new product development and technological innovations[92]. - The company recorded total pre-tax restructuring expenses of $28.1 million for the three months ended June 30, 2024, related to a targeted restructuring plan[93]. - Interest expense decreased by $2.0 million to $30.4 million, primarily due to a lower principal amount of debt outstanding[94]. - Income tax expense for the three months ended June 30, 2024, was $35.3 million, with an effective income tax rate of 20.1%, down from 21.7% in the prior year[95]. Future Outlook and Risks - The company anticipates improvements in income from operations of approximately $25.0 million per year from the restructuring actions, with benefits expected to materialize in fiscal 2026 and beyond[92]. - STERIS's restructuring plan may not yield expected benefits or be realized on the anticipated timeline, affecting financial results[112]. - The company faces potential risks from public health crises impacting operations, supply chain, and costs[112]. - STERIS's ability to integrate acquired businesses successfully is uncertain, which could lead to increased costs or liabilities[112]. - The company is monitoring the impact of international unrest and economic downturns on demand for its products and services[112]. Legal and Regulatory Matters - The company is involved in various legal proceedings and claims, but does not anticipate a material adverse effect on its financial position or results of operations[110]. - STERIS's quarterly report includes forward-looking statements that may be affected by various factors, including market conditions and regulatory actions[111]. Market Risks - The company is subject to various market risks, including interest rate, currency, and commodity risks, which have not changed materially since March 31, 2024[114]. - STERIS's financial results could be impacted by the availability and price changes of basic raw materials, with long-term supply contracts in place to ensure reliability[114]. - The company has commodity swap contracts to buy 591.8 thousand pounds of nickel, which may help hedge against price fluctuations[114]. - There were no changes in internal control over financial reporting that materially affected the company's reporting during the quarter ended June 30, 2024[115].

Core Viewpoint - STERIS plc reported better-than-expected first-quarter fiscal 2025 results, with adjusted earnings and revenues surpassing consensus estimates, driven by strong performance in the Healthcare segment and improvements in the AST segment [10][11]. Financial Performance - Adjusted EPS for the first quarter was $2.03, a 10.3% increase year-over-year, exceeding the Zacks Consensus Estimate by 2 cents [1] - GAAP EPS was $1.41, up 7.6% from $1.31 in the prior year [1] - Revenues from continuing operations reached $1.28 billion, an 8.5% year-over-year increase, surpassing the Zacks Consensus Estimate by 1.5% [2] Revenue Breakdown - Healthcare segment revenues rose 10% year-over-year to $901.2 million, with consumable revenues up 23% and service revenues up 14%, although capital equipment revenues declined by 10% [3] - AST segment revenues improved 7% to $249.8 million, driven by a 24% increase in capital equipment revenues and 7% growth in service revenues [4] - Life Sciences segment revenues decreased 2% to $128.5 million, impacted by the divestiture of the CECS business, despite a 13% growth in consumable revenues [5] Margins and Expenses - Gross profit was $572.4 million, an 8.2% increase year-over-year, with a gross margin of 44.7%, reflecting a slight expansion of 4 basis points [6] - Selling, general and administrative expenses rose 9.5% to $335.6 million, while research and development expenses increased 3.6% to $25.6 million [7] Cash Flow and Guidance - Cash and cash equivalents at the end of the first quarter were $198.3 million, down from $207 million at the end of fiscal 2024 [8] - Cumulative net cash flow from operating activities was $303.7 million, compared to $123.8 million in the prior year [8] - The company expects revenues to grow by 6.5-7.5% and adjusted EPS to be in the range of $9.05-$9.25 for fiscal 2025 [9]

Steris (STE) reported $1.28 billion in revenue for the quarter ended June 2024, representing a year-over-year decline of 0.4%. EPS of $2.03 for the same period compares to $2.00 a year ago. The reported revenue represents a surprise of +1.47% over the Zacks Consensus Estimate of $1.26 billion. With the consensus EPS estimate being $2.01, the EPS surprise was +1.00%. While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expecta ...

Steris (STE) came out with quarterly earnings of $2.03 per share, beating the Zacks Consensus Estimate of $2.01 per share. This compares to earnings of $2 per share a year ago. These figures are adjusted for nonrecurring items. This quarterly report represents an earnings surprise of 1%. A quarter ago, it was expected that this medical products maker would post earnings of $2.41 per share when it actually produced earnings of $2.41, delivering no surprise. Over the last four quarters, the company has surpas ...

Total revenue from continuing operations increased 8%; constant currency organic revenue grew 6% As reported EPS from continuing operations increased to $1.41; adjusted EPS increased to $2.03 Fiscal 2025 outlook reiterated DUBLIN, IRELAND , Aug. 06, 2024 (GLOBE NEWSWIRE) -- STERIS plc (NYSE: STE) ("STERIS" or the "Company") today announced financial results for its fiscal 2025 first quarter ended June 30, 2024. Total revenue from continuing operations for the first quarter of fiscal 2025 increased 8% to $1. ...

Total revenue from continuing operations increased 8%; constant currency organic revenue grew 6% As reported EPS from continuing operations increased to $1.41; adjusted EPS increased to $2.03 Fiscal 2025 outlook reiterated DUBLIN, IRELAND , Aug. 06, 2024 (GLOBE NEWSWIRE) -- STERIS plc (NYSE: STE) ("STERIS" or the "Company") today announced financial results for its fiscal 2025 first quarter ended June 30, 2024. Total revenue from continuing operations for the first quarter of fiscal 2025 increased 8% to $1. ...

In its upcoming report, Steris (STE) is predicted by Wall Street analysts to post quarterly earnings of $2.03 per share, reflecting an increase of 1.5% compared to the same period last year. Revenues are forecasted to be $1.26 billion, representing a year-over-year decrease of 1.7%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates during this timeframe. Ahead of a c ...

DUBLIN, IRELAND, July 31, 2024 (GLOBE NEWSWIRE) -- STERIS plc (NYSE: STE) ("STERIS" or the "Company") announced today that the Company will distribute a quarterly interim dividend of $0.57 per share. This represents a $0.05 increase in the dividend and the Company's 19th consecutive year of dividend growth. The dividend is payable on September 20, 2024, to shareholders of record at the close of business on September 5, 2024. Additional information about the U.S. tax treatment of dividends, including require ...

DUBLIN, IRELAND, July 31, 2024 (GLOBE NEWSWIRE) -- STERIS plc (NYSE: STE) ("STERIS" or the "Company") announced today that the Company will distribute a quarterly interim dividend of $0.57 per share. This represents a $0.05 increase in the dividend and the Company's 19th consecutive year of dividend growth. The dividend is payable on September 20, 2024, to shareholders of record at the close of business on September 5, 2024. Additional information about the U.S. tax treatment of dividends, including require ...

A press release detailing financial results will be issued after the U.S. market closes on August 6, 2024. DUBLIN, IRELAND, July 23, 2024 (GLOBE NEWSWIRE) -- STERIS plc (NYSE: STE) ("STERIS" or the "Company") announced today that it will host a conference call to discuss its fiscal 2025 first quarter financial results at 9:00 a.m. ET on August 7, 2024. The conference call can be heard live at www.steris-ir.com or via phone by dialing 1-833-535-2199 in the United States or 1-412-902-6776 internationally, the ...