Henry Schein (HSIC) Q4 2025 earnings summary

Executive summary

• Achieved highest sales growth in 15 quarters, with strong performance across global equipment, specialty products, and technology businesses, exceeding increased 2025 financial guidance.

• Leadership transition underway, with Fred Lowery set to become CEO, bringing extensive experience in scaling businesses and value-added services.

• BOLD+1 strategic plan initiatives advanced, with high-growth, high-margin businesses nearing 50% of total operating income.

• E-commerce and digital solutions rollout progressing, including AI integration and exclusive product launches.

• Fourth-quarter earnings exceeded increased 2025 financial guidance.

Financial highlights

• Q4 2025 total sales reached $3.4 billion, up 7.7% year-over-year; constant currency growth was 5.8%.

• Q4 2025 GAAP operating margin was 4.76%, down 10 basis points; non-GAAP operating margin was 7.42%, flat year-over-year.

• Q4 2025 GAAP net income was $101 million ($0.85 per diluted share); non-GAAP net income was $160 million ($1.34 per diluted share).

• Adjusted EBITDA for Q4 2025 was $291 million, up 8.4% year-over-year.

• Operating cash flow for Q4 2025 was $381 million, up from $204 million in Q4 2024.

Outlook and guidance

• 2026 total sales growth projected at 3%–5% over 2025.

• 2026 non-GAAP diluted EPS expected between $5.23 and $5.37, up 5%–8% year-over-year.

• Adjusted EBITDA for 2026 expected to grow mid-single digits.

• Earnings growth anticipated to be more weighted to the second half of 2026 due to timing of value creation initiatives.

• Guidance assumes stable dental and medical end markets, consistent foreign exchange rates, and mitigated tariff effects.