Integra LifeSciences (IART) Q4 2025 earnings summary

Executive summary

• Q4 2025 revenue was $434.9 million, down 1.7% year-over-year, but above the midpoint of guidance; full-year revenue reached $1.635 billion, up 1.5% reported but down 0.7% organically.

• Adjusted EPS for Q4 2025 was $0.83, down 14.4% year-over-year; full-year adjusted EPS was $2.23, down 12.9%.

• GAAP net loss for 2025 was $516.5 million, primarily due to a $511 million goodwill impairment charge.

• Operational improvements included compliance remediation, supply chain resiliency, and early relaunches of PriMatrix and DuraRepair.

• Transformation initiatives included leadership changes, new operating models, and a focus on innovation and portfolio prioritization.

Financial highlights

• Q4 adjusted EBITDA was $104.2 million (24.0% margin), nearly flat year-over-year; full-year adjusted EBITDA was $317.5 million (19.4% margin), down 60 bps.

• Q4 adjusted gross margin was 61.7% (down 350 bps year-over-year); full-year adjusted gross margin was 61.9% (down 260 bps).

• Q4 operating cash flow was $11.8 million; full-year operating cash flow was $50.4 million.

• Q4 free cash flow was -$5.4 million; full-year free cash flow conversion was -18.1%.

• Net debt at year-end was $1.6 billion; total liquidity was $516 million, including $264 million in cash and short-term investments.

Outlook and guidance

• 2026 full-year revenue guidance: $1.662–$1.702 billion (1.6%–4.1% reported growth, 0.8%–3.3% organic); adjusted EPS guidance: $2.30–$2.40.

• Q1 2026 revenue guidance: $375–$390 million (reported growth -2% to +1.9%, organic -3.4% to +0.5%), adjusted EPS $0.37–$0.45.

• Adjusted gross margins expected to remain flat in 2026, with a 180 bps tariff headwind offset by cost savings.

• Adjusted EBITDA margin expected to improve by 40 bps in 2026 due to operating expense efficiencies.

• Guidance does not include potential impacts from new Section 122 tariffs or recovery of prior tariff payments.