Sotera Health(US:SHC) Globenewswire·2025-11-04 12:00Core Insights - Sotera Health Company reported strong financial results for the third quarter and first nine months of 2025, with significant revenue and income growth compared to the previous year [2][3][4]. Financial Performance - Third-quarter 2025 net revenues increased by 9.1% to $311 million, up from $285 million in the third quarter of 2024. On a constant currency basis, the increase was 8.0% [2][8]. - Net income for the third quarter of 2025 was $48 million, or $0.17 per diluted share, compared to $17 million, or $0.06 per diluted share in the same quarter of 2024 [2][8]. - Adjusted EBITDA for the third quarter of 2025 rose by 12.2% to $164 million, with an 11.2% increase on a constant currency basis [2][8]. - For the first nine months of 2025, net revenues grew by 6.2% to $860 million, with net income of $43 million, or $0.15 per diluted share, compared to $32 million, or $0.11 per diluted share in the same period of 2024 [3][8]. Business Segment Performance - Sterigenics segment reported net revenues of $193 million for the third quarter of 2025, a 9.8% increase, with segment income rising by 11.6% to $107 million [5][6]. - Nordion's net revenues increased by 22.4% to $63 million in the third quarter of 2025, with segment income up by 19.9% to $38 million [9][10]. - Nelson Labs experienced a decrease in net revenues by 5.0% to $56 million in the third quarter of 2025, but segment income increased by 1.9% to $19 million [11][12]. Outlook and Guidance - The company reaffirmed its 2025 revenue outlook, projecting growth in the range of 4.5% to 6.0% on a constant currency basis, and raised its Adjusted EBITDA growth outlook to 6.75% to 7.75% [4][16]. - The interest expense range was improved to $154 million to $158 million, and the tax rate applicable to Adjusted Net Income was adjusted to 29.00% to 31.00% [16][17]. Balance Sheet and Liquidity - As of September 30, 2025, Sotera Health had total debt of $2.2 billion and unrestricted cash of $299 million, with a Net Leverage Ratio improved to 3.3x [13][14]. - The company achieved a contractual net leverage target, resulting in a 25 basis point reduction in the interest rate on its First Lien Term Loan facility [14].