Integer Holdings Corporation Reports Second Quarter 2025 Results

Core Insights - Integer Holdings Corporation reported strong financial performance in Q2 2025, with sales increasing by 11%, adjusted operating income rising by 15%, and adjusted EPS growing by 19% compared to Q2 2024. The company has raised its full-year 2025 profit outlook midpoint, expecting adjusted operating income growth of 12% to 16% and adjusted EPS growth of 18% to 23% [1][4]. Financial Performance - Q2 2025 sales reached $476 million, reflecting an 11% increase, with organic growth also at 11% [4][12]. - GAAP operating income increased by $5 million to $59 million, a 9% rise, while non-GAAP adjusted operating income rose by $10 million to $81 million, marking a 15% increase [4][31]. - GAAP income from continuing operations grew by $6 million to $37 million, a 19% increase, and non-GAAP adjusted net income increased by $10 million to $55 million, a 23% rise [4][31]. - Adjusted EBITDA increased by $9 million to $99 million, a 10% increase [4][31]. Product Line Performance - Cardio & Vascular sales surged by 24% in Q2 2025 compared to Q2 2024, driven by new product launches and strong customer demand [5]. - Cardiac Rhythm Management & Neuromodulation sales saw a modest increase of 2%, attributed to growth in emerging neuromodulation customers and normalized cardiac rhythm management growth [5]. - Sales in Other Markets decreased by 38%, primarily due to the planned exit from the portable medical market [5]. 2025 Outlook - The company anticipates full-year sales between $1.850 billion and $1.876 billion, representing an 8% to 9% increase from the prior year [3]. - Adjusted operating income is projected to be between $319 million and $331 million, reflecting a growth of 12% to 16% [3]. - Adjusted EPS is expected to range from $6.25 to $6.51, indicating an increase of 18% to 23% [3]. Debt and Cash Flow - Total debt increased by $212 million to $1.202 billion, with a leverage ratio of 3.2 times adjusted EBITDA as of June 27, 2025 [4][28]. - Cash flow from operating activities is projected to be between $235 million and $255 million, a 15% to 24% increase [3].