Embla Medical (EMBLA) Q3 2025 earnings summary

Executive summary

• Q3 2025 sales reached $237 million, up 11% year-over-year with 7% organic growth, driven by double-digit gains in Prosthetics & Neuro Orthotics and strong regional momentum, especially in APAC.

• Net profit for Q3 was $26 million, a 17% increase, representing 11% of sales, supported by strong operating results.

• Strategic initiatives included a majority investment in Streifeneder Ortho.Production and the launch of new bionic foot products such as Artis eIQ and Odyssey iQ.

• EMEA and Americas showed solid growth, while APAC led with 18% sales growth in Q3.

• Share issuance and buyback activity supported strategic investments and capital allocation.

Financial highlights

• Gross profit margin was 63% in Q3 and for the first nine months, up from 62% year-over-year.

• EBITDA margin was 22% in Q3, 21% for the first nine months, up from 19% year-over-year.

• Free cash flow was $38 million (16% of sales), up from $33 million in Q3 2024.

• Net interest-bearing debt to EBITDA was 2.5x, within the 2x-3x target range.

• CapEx was $8 million (3% of sales) in Q3, within the guided range.

Outlook and guidance

• Full-year 2025 guidance reiterated: 5%-6% organic growth and 20%-21% EBITDA margin.

• CapEx expected at 3-4% of sales; effective tax rate guided at 23-24%.

• Management expects stronger growth in the second half of the year, led by new product launches.