LeMaitre Vascular (LMAT) Q2 2025 earnings summary

Executive summary

• Q2 2025 sales rose 15% year-over-year to $64.2M, with 70% gross margin and 16% EPS growth, driven by higher prices, volumes, and expanded sales force.

• Catheters (+27%) and grafts (+19%) led product growth, with international Autograft sales exceeding expectations and strong EMEA expansion.

• Biologics accounted for 51% of worldwide sales, and direct-to-hospital sales comprised 95% of Q2 net sales.

• RestoreFlow and XenoSure regulatory progress in Europe and China, with new distribution and inventory strategies to support launches.

• Cash position increased $16.9M sequentially to $319.5M, with robust cash flow and capital return initiatives.

Financial highlights

• Q2 organic and reported revenue grew 15% year-over-year, with $1M FX benefit; gross profit was $45.0M, up 17%.

• Gross margin reached 70.0%, up 110 bps year-over-year, driven by higher prices, efficiencies, and favorable mix.

• Operating income was $16.1M (up 12%), operating margin 25%; net income rose 17% to $13.8M; EPS $0.60, up 16%.

• Cash and securities ended at $319.5M, up $17M in Q2; record $20.3M cash from operations; $4.5M in dividends paid.

• Quarterly dividend increased to $0.20 per share, with $9.0M paid in H1 2025.

Outlook and guidance

• Full-year 2025 sales guidance raised to $248M–$254M (midpoint $251M, +15% organic growth).

• Anticipated full-year gross margin of 69.7%, operating income of $60.9M (up 17%), and EPS of $2.30 (up 19%).

• Q3 2025 sales guidance: $61.2M–$63.2M; EPS: $0.54–$0.59.

• Operating expenses expected to be lower in H2 2025, with a 24% operating margin for the year.

• Management expects continued growth through direct sales expansion, new product launches, and acquisitions.