Integer (ITGR) Q4 2025 earnings summary

Executive summary

• Achieved 8% reported and 6% organic sales growth for 2025, with adjusted operating income up 13% and adjusted EPS up 21% year-over-year, reaching the high end of guidance ranges.

• 2026 outlook anticipates reported sales between down 1% and up 1%, with organic sales flat to up 3%, impacted by lower adoption of three new products; underlying business, excluding these products, expected to grow 4%-6%.

• Disciplined growth strategy, robust new product pipeline, and focus on strategic initiatives expected to drive above-market performance and a return to 200bps above-market organic growth in 2027.

• Initiated a $50 million accelerated share repurchase program, reflecting confidence in strategy and financial position.

Financial highlights

• Q4 2025 sales reached $472 million, up 5% year-over-year; full-year 2025 sales totaled $1.85 billion, up 8%.

• Adjusted operating income rose 10% in Q4 and 13% for 2025; adjusted net income was $226 million, up 23%, and adjusted EPS was $6.40, up 21%.

• Adjusted EBITDA for 2025 was $402 million, up 12%; free cash flow for 2025 was $105 million; capital expenditures were $91 million.

• Repurchased approximately 0.7 million shares for $50 million in 2025.

• Net total debt at year-end 2025 was $1.19 billion, with a leverage ratio of 3x trailing four-quarter adjusted EBITDA.

Outlook and guidance

• 2026 reported sales expected between $1.826 billion and $1.88 billion, down 1% to up 1%; organic sales flat to up 3%.

• Excluding select new product headwinds, organic sales growth expected at 4% to 6%.

• Adjusted EBITDA guidance: $391 million-$415 million (down 3% to up 3%); adjusted operating income: $304 million-$324 million (down 5% to up 1%).

• Adjusted net income expected between $216 million and $232 million; adjusted EPS $6.29-$6.78 (down 2% to up 6%).

• Free cash flow for 2026 projected at $100 million-$120 million; capital expenditures $95 million-$105 million (5%-6% of sales).