Revenue Performance - Second quarter fiscal 2026 revenue was $327.3 million, a decrease of 5.3% compared to the same period in fiscal 2025[2] - Organic revenue declined 1.8%, while organic ex-CSL revenue increased by 9.4% year-over-year[4] - Net revenues for the three months ended September 27, 2025, were $327.3 million, a decrease of 5.3% compared to $345.5 million for the same period in 2024[23] - Plasma revenue decreased by 9.5% to $125.4 million for the three months ended September 27, 2025, while organic growth excluding CSL was down 10.1%[25] Earnings and Profitability - Adjusted earnings per diluted share rose to $1.27, up 13.4% compared to the second quarter of fiscal 2025[7] - Adjusted operating income for the second quarter was $87.3 million, reflecting a 4.5% increase compared to the prior year[5] - Net income for the three months ended September 27, 2025, was $38.7 million, reflecting a 14.3% increase from $33.8 million in the prior year[23] - Gross profit increased by 3.9% to $194.7 million for the three months ended September 27, 2025, compared to $187.4 million in the prior year[23] - Adjusted net income for the three months ended September 27, 2025, was $19,769, resulting in an adjusted diluted earnings per share of $1.27[31] Cash Flow and Financial Position - Cash flow from operating activities was $111.3 million, an increase of 128.0% year-over-year, while free cash flow reached $88.7 million, up 139.6%[9] - Cash on hand as of September 27, 2025, was $296.4 million, a decrease of $10.3 million since the end of fiscal 2025[8] - Total current assets decreased to $899.7 million as of September 27, 2025, from $934.9 million as of March 29, 2025[27] - The company’s cash and cash equivalents were $296.4 million as of September 27, 2025, down from $306.8 million[27] - Net cash provided by operating activities increased significantly to $128,716 from $21,402 year-over-year[30] - Free cash flow for the six months ended September 27, 2025, was $91,214, up from $20,110 in the prior year[30] Guidance and Projections - The company updated its fiscal 2026 guidance, projecting total revenue growth of -1% to 4%[11] - The adjusted operating margin guidance remains at 26% to 27%, with adjusted earnings per diluted share guidance raised to $4.80 to $5.00[11] Operating Expenses and Investments - Research and development expenses increased by 5.2% to $14.9 million for the three months ended September 27, 2025, compared to $14.1 million in the prior year[23] - Operating expenses for the three months ended September 27, 2025, were $136,253, compared to $135,740 for the same period in 2024, showing a marginal increase[31] - Operating expenses for the six months ended September 27, 2025, were $274,625,000, slightly down from $270,908,000 in the same period of FY25, showing a decrease of 1.0%[32] - The company incurred $10,409,000 in digital transformation costs during the six months ended September 27, 2025[32] - Integration and transaction costs amounted to $4,202,000 for the six months ended September 27, 2025, compared to $13,205,000 in the same period of FY25, indicating a significant reduction[32] Debt and Assets - Long-term debt remained stable at $920.4 million as of September 27, 2025, compared to $921.2 million in the previous period[27] - The cash and cash equivalents at the end of the period were $296,426, slightly down from $299,283 at the end of the same period in 2024[30] Profit Margins - The gross margin improved to 60.5%, up 380 basis points from the previous year, driven by pricing benefits and Plasma share gains[4] - The company reported a gross profit margin of 59.5% for the three months ended September 27, 2025, compared to 54.2% in the same period last year[23] - The adjusted gross profit margin for the six months ended September 27, 2025, was 60.6%, compared to 56.0% for the same period in FY25, reflecting an improvement of 4.6 percentage points[32]

Core Points - Haemonetics Corporation announced the availability of its financial results for the second quarter of fiscal year 2026, which ended on September 27, 2025 [1] - A conference call and webcast will be held on November 6, 2025, at 8:00 a.m. ET to discuss the results [1][2] - The company provides a range of medical technologies aimed at improving healthcare quality and efficiency, including hospital technologies, plasma collection technologies, and blood component collection products [2] Financial Results - The financial results for the second quarter of fiscal year 2026 will be published at 6:00 a.m. ET on November 6, 2025 [5] - Supplemental earnings materials will be available on the Investor Relations website and referenced during the conference call [2][4] Investor Relations - Contact information for investor relations is provided, including names and phone numbers for key personnel [3] - A replay of the conference call will be accessible starting at 11:00 a.m. ET on November 6, 2025, and will remain available for one year [2][4]

Core Points - Haemonetics Corporation plans to release its second quarter fiscal year 2026 financial results on November 6, 2025, at 6:00 am ET [1] - A conference call for investors and analysts will take place on the same day at 8:00 am ET to discuss the results [1] Financial Results Announcement - The financial results will be published on November 6, 2025, at 6:00 am ET [1] - The conference call will provide an opportunity for discussion and Q&A regarding the financial results [1] Access Information - Participants can access the call via teleconference after completing registration, which provides a dial-in number and personalized PIN [2] - A live webcast of the call will be available on Haemonetics' investor relations website [2] - A replay of the conference call and webcast will be accessible for one year starting from November 6, 2025, at 11:00 am ET [2] Company Overview - Haemonetics is a global medical technology company focused on enhancing healthcare quality, effectiveness, and efficiency [3] - The company offers innovative solutions for hospital technologies, plasma collection, and blood component collection [3]

Core Insights - The focus is on producing objective, data-driven research primarily about small- to mid-cap companies, which are often overlooked by many investors [1] Group 1 - The analysis occasionally includes large-cap companies to provide a broader perspective on equity markets [1]

Core Insights - Haemonetics' international operations are crucial for assessing its financial resilience and growth prospects, especially in a tightly interconnected global economy [2][3] - The company's total revenue for the quarter ended June 2025 was $321.39 million, reflecting a year-over-year decline of 4.4% [4] International Revenue Breakdown - Japan generated $13.65 million in revenue, accounting for 4.3% of total revenue, which was a surprise decline of 14.62% compared to the expected $15.99 million [5] - The Rest of Asia contributed $21.65 million, representing 6.7% of total revenue, with a surprise decline of 7.55% from the expected $23.42 million [6] - Europe accounted for $40.88 million, or 12.7% of total revenue, with a surprise decline of 10.32% from the anticipated $45.59 million [7] Revenue Forecasts - Analysts expect Haemonetics to report $321.11 million in total revenue for the current fiscal quarter, indicating a decline of 7.1% from the previous year [8] - For the full year, total revenue is projected to be $1.3 billion, down 4.2% from the previous year, with Japan, Rest of Asia, and Europe expected to contribute 5.4% ($70.72 million), 8.3% ($108 million), and 13.9% ($181.38 million) respectively [9] Market Dynamics - The reliance on foreign markets presents both opportunities and challenges for Haemonetics, necessitating close monitoring of international revenue trends to project future performance [10] - The company's stock has seen a significant decline of 28.5% over the past four weeks, contrasting with a 2.7% increase in the S&P 500 [13]

Group 1 - Haemonetics Corp reported quarterly earnings of $1.10 per share, exceeding the analyst consensus estimate of $1.02 per share [1] - The company reported quarterly sales of $321.394 million, surpassing the analyst consensus estimate of $305.115 million [1] - Haemonetics affirmed FY2026 adjusted EPS guidance of $4.70 to $5.00 [1] - Haemonetics shares closed at $55.63 on the day of the earnings announcement [1] Group 2 - JP Morgan analyst downgraded Haemonetics from Overweight to Neutral and lowered the price target from $85 to $62 [4] - Mizuho analyst maintained an Outperform rating on Haemonetics but lowered the price target from $90 to $70 [4] - Barrington Research analyst also maintained an Outperform rating while lowering the price target from $95 to $86 [4]

Core Insights - Haemonetics reported revenue of $321.39 million for the quarter ended June 2025, reflecting a year-over-year decline of 4.4% [1] - The earnings per share (EPS) for the same period was $1.10, compared to $1.02 a year ago, indicating an increase [1] - The reported revenue exceeded the Zacks Consensus Estimate of $303.28 million by 5.97%, while the EPS surpassed the consensus estimate of $1.01 by 8.91% [1] Revenue Breakdown - Plasma segment net revenues were $129.9 million, exceeding the average estimate of $113.65 million by three analysts, but showing a year-over-year decline of 4.4% [4] - Hospital segment net revenues reached $139.66 million, slightly below the average estimate of $144.4 million, with a year-over-year increase of 4.2% [4] - Blood Center segment net revenues were $51.84 million, surpassing the average estimate of $46.38 million, but reflecting a significant year-over-year decline of 21.8% [4] Stock Performance - Haemonetics shares have returned -2.3% over the past month, contrasting with the Zacks S&P 500 composite's increase of 1.2% [3] - The stock currently holds a Zacks Rank 3 (Hold), suggesting it may perform in line with the broader market in the near term [3]

Financial Data and Key Metrics Changes - The company reported revenue of $321 million, down 4% due to a $52 million impact from portfolio transitions, but up 13% organically excluding CSL [8][16] - Adjusted EPS grew 8% to $1.10, driven by strong growth in the base business and share buybacks [8][19] - Adjusted gross margin reached 60.8%, up 550 basis points year over year, supported by technology benefits and a favorable product mix [18][19] Business Line Data and Key Metrics Changes - The hospital business generated $140 million in revenue, up 4% reported and organically, with Blood Management Technologies growing 14% [10][12] - Plasma revenue was $130 million, down 4% reported but up 29% organically, driven by technology upgrades and a one-time revenue benefit from a software agreement [12][14] - Interventional technologies declined 7% due to tough comparisons from prior year OEM destocking [11][12] Market Data and Key Metrics Changes - The U.S. plasma collection volume grew in the low single digits, with expectations for modest recovery in the back half of the fiscal year [13][82] - The company maintains an 80% market share in plasma DMS software, reinforcing its competitive position [13][30] Company Strategy and Development Direction - The company is focused on strengthening its core products: plasma, hemostasis management, and vascular closure, which are expected to drive revenue growth and margin expansion [23][24] - Strategic initiatives include leadership additions, organizational realignment, and targeted commercial initiatives to enhance execution in interventional technologies [9][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving full-year guidance, with expectations for low double-digit compounded annual growth in revenue and mid-20s adjusted EPS CAGR [22][23] - The company anticipates stronger cash generation and reaffirmed full-year free cash flow guidance of $160 million to $200 million [21][22] Other Important Information - The company completed $225 million in share buybacks last year and has authorized a new $500 million program for the next three years [75] - The adjusted income tax rate was 24.9% in the quarter, up from 19.9% the previous year, reflecting lower benefits from performance share vestings [19] Q&A Session Summary Question: Can you provide details on the drivers of strong plasma performance? - Management highlighted innovation in pricing and share gains, with half of the 29% growth attributed to a software agreement [28][30] Question: What is the growth rate for MVP and MVP XL in vascular closure? - MVP and MVP XL saw roughly 6% growth, with challenges noted in the legacy Vascade product [34][36] Question: What is the outlook for U.S. plasma collections? - Management indicated a possibility of low single-digit growth in the back half of the year, with ongoing share gains expected [82][84] Question: How is the company addressing increased competition in interventional technologies? - The company is enhancing its sales and marketing efforts, reorganizing teams, and focusing on execution to regain competitiveness [71][72] Question: What is the company's appetite for further M&A? - Management stated that M&A is off the table in the near term, focusing instead on improving existing business performance [76]

Financial Data and Key Metrics Changes - The company reported revenue of $321 million, down 4% due to a $52 million impact from portfolio transitions, but up 13% organically excluding CSL [6][14] - Adjusted EPS grew 8% to $1.01, driven by strong growth in the base business and share buybacks [6][18] - Adjusted gross margin reached 60.8%, up 550 basis points year over year, benefiting from technology and price initiatives [16][18] Business Line Data and Key Metrics Changes - The hospital business generated $140 million in revenue, up 4% reported and organically, with Blood Management Technologies growing 14% [8][11] - Plasma revenue was $130 million, down 4% reported but up 29% organically, driven by technology upgrades and a one-time software agreement [11][12] - Blood center revenue declined 22% to $52 million due to the divestiture of the whole blood business, but organic revenue grew 4% [13][14] Market Data and Key Metrics Changes - The U.S. plasma collection volume growth was in the low single digits, with expectations for a modest recovery in the second half of the fiscal year [12][81] - The vascular closure market is projected to grow in the high single digits, with the company experiencing temporary softness in interventional technologies [46][48] Company Strategy and Development Direction - The company aims for low double-digit compounded annual growth in revenue and mid-20s adjusted EPS CAGR, focusing on three key products: plasma, hemostasis management, and vascular closure [21][22] - A strategic emphasis on cash flow and operational efficiency is in place, with plans to strengthen the interventional technologies franchise through leadership changes and targeted initiatives [23][72] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in meeting financial objectives, citing strong demand for immunoglobulins and ongoing share gains in the plasma market [22][82] - The company anticipates stronger cash generation and reaffirmed full-year free cash flow guidance of $160 million to $200 million [20][21] Other Important Information - The company is navigating $153 million in planned portfolio transitions while maintaining a focus on core products to drive organic growth [14][21] - The adjusted income tax rate was 24.9% for the quarter, reflecting lower benefits from performance share vestings [18] Q&A Session Summary Question: Can you provide details on the drivers of strong plasma performance? - Management highlighted ongoing price benefits from technology and significant share gains, with half of the 29% growth attributed to a software agreement [25][27][28] Question: What was the growth rate for MVP and MVP XL in vascular closure? - MVP and MVP XL saw roughly 6% growth, with challenges noted in the legacy Vascade product [31][32] Question: What is the outlook for U.S. plasma collections? - Management indicated a possibility of low single-digit growth in the back half of the year, with ongoing productivity gains expected to support this [78][81] Question: How does the company plan to address competition in interventional technologies? - The company is enhancing its sales and marketing efforts, reorganizing teams, and focusing on execution to regain competitiveness [70][72] Question: What is the company's appetite for further M&A? - Management stated that M&A is off the table in the near term, focusing instead on executing current strategies and improving performance [73][75]

Core Viewpoint - Haemonetics reported quarterly earnings of $1.1 per share, exceeding the Zacks Consensus Estimate of $1.01 per share, and showing a slight increase from $1.02 per share a year ago [1][2]. Financial Performance - The earnings surprise for the quarter was +8.91%, with the company also surpassing earnings expectations in the previous quarter by +1.64% [2]. - Revenues for the quarter ended June 2025 were $321.39 million, which was 5.97% above the Zacks Consensus Estimate, although it represented a decline from $336.17 million in the same quarter last year [3]. Stock Performance - Haemonetics shares have declined approximately 3% since the beginning of the year, contrasting with a 7.9% gain in the S&P 500 [4]. - The stock currently holds a Zacks Rank 3 (Hold), indicating it is expected to perform in line with the market in the near future [7]. Future Outlook - The current consensus EPS estimate for the upcoming quarter is $1.16, with projected revenues of $321.11 million, and for the current fiscal year, the EPS estimate is $4.89 on revenues of $1.3 billion [8]. - The outlook for the Medical - Products industry, where Haemonetics operates, is currently in the bottom 37% of Zacks industries, which may impact stock performance [9].