OrthoPediatrics (KIDS) Q4 2025 earnings summary

Executive summary

• Achieved 17% revenue growth in Q4 2025 and 15% for the full year, with record full year revenue of $236.3 million and broad-based business strength.

• Supported care for over 151,000 children in 2025 and over 37,500 in Q4, totaling more than 1.3 million kids helped to date.

• Generated $10 million in free cash flow in Q4 2025, marking the first positive FCF quarter in company history.

• Launched a multiyear super cycle of product innovation, including advanced pediatric orthopedic systems.

• Reiterated commitment to expanding into new pediatric subspecialties and leveraging commercial infrastructure.

Financial highlights

• Q4 2025 revenue reached $61.6 million, up 17% year-over-year; full year 2025 revenue was $236.3 million, with U.S. revenue at $186.4 million and international at $49.9 million.

• Gross profit margin improved to 73% in Q4 2025 and 73.1% for the full year.

• Adjusted EBITDA for Q4 2025 was $4.8 million, and for the full year $14.8 million, both up from 2024.

• Full-year cash usage improved to $15 million from $41 million in 2024, a 63% reduction; free cash flow usage reduced by 61%.

• GAAP net loss per share was $0.43 in Q4 and $1.69 for the year; non-GAAP net loss per share was $0.30 in Q4.

Outlook and guidance

• 2026 revenue guidance reiterated at $262–$266 million, representing 11%-13% annual growth.

• Adjusted EBITDA expected to reach $25 million in 2026, with breakeven free cash flow targeted.

• EBITDA and FCF expected to follow similar seasonal patterns as 2025, with softness in Q1 and strength in Q3.

• Annual set deployment for 2026 projected at approximately $10 million.