Medacta Reports Strong Profitability, Raises Medium-Term Growth Guidance

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Investing.com – Medacta (SIX:MOVE) released its full-year results for fiscal year 2025 on Thursday. Despite foreign exchange headwinds, adjusted EBITDA for the second half exceeded expectations by approximately 3%.

The Swiss-based medical device company reported an annual adjusted EBITDA margin of 27.9%, or 29% at constant exchange rates.

Adjusted EBITDA was €191 million, 1% higher than the market forecast of 27.5%, mainly due to cost savings in sales and marketing.

Gross margin was negatively impacted by currency fluctuations, similar to the situation in fiscal year 2024. The report showed EBITDA of €201.5 million, including the impact of the acquisition of Parcus.

The company demonstrated strong cash flow performance, with operating cash flow jumping 42.5% to €152.7 million. Free cash flow improved from €8.3 million last year to €15.7 million but remains constrained by €137 million in capital expenditures.

About 80% of capital expenditures were allocated to growth initiatives, including €78.2 million for surgical instruments and production facility expansions.

For fiscal year 2026, Medacta issued guidance expecting growth of 10% to 14% at constant exchange rates.

The company also raised its medium-term guidance from the previous 10%–14% to 12%–15%. The FY2026 guidance includes an expansion of the adjusted EBITDA margin by 50 basis points from approximately 27.9%.

The dividend announced by the company exceeded analyst expectations by 12%.

Medacta previously pre-announced its revenue in February, with Thursday’s full results focusing on profitability and cash flow. The company plans to hold a conference call at 15:00 Central European Time.

The company develops, manufactures, and distributes orthopedic and neurosurgical medical devices, including products for hips, knees, shoulders, and the spine. The Siccardi family owns 70% of the company.

This article was translated with the assistance of artificial intelligence. For more information, please see our Terms of Use.

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