Overview
Medical device company's Q4 revenue rose 0.7% yr/yr, with operating income turning positive
Adjusted EPS for Q4 was $0.29, down from $0.43 last year
Specialty Nutrition Systems segment Q4 sales grew 8.7% yr/yr
Outlook
Avanos expects 2026 net sales between $700 mln and $720 mln
Company forecasts 2026 adjusted EPS between $0.90 and $1.10
Avanos anticipates $15 to $20 mln annual savings by end of 2026
Result Drivers
SNS SEGMENT GROWTH - Specialty Nutrition Systems segment delivered above-market results with an 8.7% increase in net sales for Q4
COST MANAGEMENT - CEO mentioned positive impacts from cost management initiatives and tariff mitigation efforts
PM&R SEGMENT IMPROVEMENT - Pain Management and Recovery segment saw a 1.3% increase in net sales for Q4
Company press release: ID:nPnbPGzH5a
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Sales
Beat
$180.90 mln
$174.70 mln (1 Analyst)
Q4 Net Income
-$1.30 mln
Q4 EBITDA
$12.40 mln
Q4 Gross Profit
$86 mln
Q4 Operating Income
$2.50 mln
Q4 Pretax Profit
$1.20 mln
Analyst Coverage
The one available analyst rating on the shares is "hold"
The average consensus recommendation for the medical equipment, supplies & distribution peer group is "buy."
The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 13 three months ago
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)