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STERIS Announces Financial Results for Fiscal 2025 Fourth Quarter and Full Year

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STERIS (NYSE: STE) reported strong financial results for fiscal 2025, with full-year revenue from continuing operations increasing 6% to $5.5 billion. The company's fourth quarter revenue grew 4% to $1.5 billion, with constant currency organic revenue growth of 6%. Full-year net income reached $610.1 million, or $6.16 per diluted share, while adjusted EPS increased to $9.22.

Healthcare segment revenue grew 5% to $1.1 billion in Q4, while Applied Sterilization Technologies (AST) revenue increased 9% to $273.9 million. Life Sciences revenue decreased 7% to $149.5 million. The company generated strong free cash flow of $787.2 million for fiscal 2025.

For fiscal 2026, STERIS expects 6-7% revenue growth and adjusted EPS of $9.90-$10.15, despite an estimated $30 million negative impact from tariffs.

STERIS (NYSE: STE) ha riportato risultati finanziari solidi per l'anno fiscale 2025, con un fatturato annuo dalle operazioni continuative in crescita del 6%, raggiungendo 5,5 miliardi di dollari. Il fatturato del quarto trimestre è aumentato del 4%, arrivando a 1,5 miliardi di dollari, con una crescita organica a valuta costante del 6%. L'utile netto annuale ha raggiunto 610,1 milioni di dollari, pari a 6,16 dollari per azione diluita, mentre l'utile per azione rettificato è salito a 9,22 dollari.

Il fatturato del segmento sanitario è cresciuto del 5%, raggiungendo 1,1 miliardi di dollari nel quarto trimestre, mentre il fatturato di Applied Sterilization Technologies (AST) è aumentato del 9%, toccando 273,9 milioni di dollari. Il fatturato delle Life Sciences è diminuito del 7%, attestandosi a 149,5 milioni di dollari. L'azienda ha generato un solido flusso di cassa libero di 787,2 milioni di dollari per l'anno fiscale 2025.

Per l'anno fiscale 2026, STERIS prevede una crescita del fatturato tra il 6% e il 7% e un utile per azione rettificato tra 9,90 e 10,15 dollari, nonostante un impatto negativo stimato di 30 milioni di dollari derivante dai dazi.

STERIS (NYSE: STE) reportó sólidos resultados financieros para el año fiscal 2025, con ingresos anuales provenientes de operaciones continuas que aumentaron un 6% hasta 5.5 mil millones de dólares. Los ingresos del cuarto trimestre crecieron un 4% hasta 1.5 mil millones de dólares, con un crecimiento orgánico de ingresos a moneda constante del 6%. El ingreso neto anual alcanzó 610.1 millones de dólares, o 6.16 dólares por acción diluida, mientras que las ganancias ajustadas por acción aumentaron a 9.22 dólares.

Los ingresos del segmento de salud crecieron un 5% hasta 1.1 mil millones de dólares en el cuarto trimestre, mientras que los ingresos de Applied Sterilization Technologies (AST) aumentaron un 9% hasta 273.9 millones de dólares. Los ingresos de Life Sciences disminuyeron un 7% hasta 149.5 millones de dólares. La compañía generó un fuerte flujo de caja libre de 787.2 millones de dólares para el año fiscal 2025.

Para el año fiscal 2026, STERIS espera un crecimiento de ingresos del 6-7% y ganancias ajustadas por acción de 9.90 a 10.15 dólares, a pesar de un impacto negativo estimado de 30 millones de dólares debido a aranceles.

STERIS (NYSE: STE)는 2025 회계연도에 강력한 재무 실적을 보고했으며, 지속 영업에서의 연간 매출이 6% 증가하여 55억 달러에 달했습니다. 4분기 매출은 4% 증가한 15억 달러를 기록했으며, 환율 변동을 제외한 유기적 매출 성장률은 6%였습니다. 연간 순이익은 6억 1010만 달러, 희석 주당순이익은 6.16달러였고, 조정 주당순이익은 9.22달러로 증가했습니다.

헬스케어 부문 매출은 4분기에 5% 증가하여 11억 달러를 기록했으며, Applied Sterilization Technologies (AST) 매출은 9% 증가한 2억 7390만 달러였습니다. 생명과학 부문 매출은 7% 감소하여 1억 4950만 달러였습니다. 회사는 2025 회계연도에 7억 8720만 달러의 강력한 자유 현금 흐름을 창출했습니다.

2026 회계연도에는 관세로 인한 약 3,000만 달러의 부정적 영향을 감안하더라도, STERIS는 6-7% 매출 성장과 조정 주당순이익 9.90~10.15달러를 예상하고 있습니다.

STERIS (NYSE : STE) a annoncé de solides résultats financiers pour l'exercice 2025, avec un chiffre d'affaires annuel provenant des activités continues en hausse de 6 % pour atteindre 5,5 milliards de dollars. Le chiffre d'affaires du quatrième trimestre a progressé de 4 % pour atteindre 1,5 milliard de dollars, avec une croissance organique à taux de change constant de 6 %. Le bénéfice net annuel a atteint 610,1 millions de dollars, soit 6,16 dollars par action diluée, tandis que le BPA ajusté est passé à 9,22 dollars.

Le chiffre d'affaires du segment santé a augmenté de 5 % à 1,1 milliard de dollars au quatrième trimestre, tandis que le chiffre d'affaires d'Applied Sterilization Technologies (AST) a progressé de 9 % pour atteindre 273,9 millions de dollars. Le chiffre d'affaires des sciences de la vie a diminué de 7 % pour s'établir à 149,5 millions de dollars. L'entreprise a généré un solide flux de trésorerie disponible de 787,2 millions de dollars pour l'exercice 2025.

Pour l'exercice 2026, STERIS prévoit une croissance du chiffre d'affaires de 6 à 7 % et un BPA ajusté compris entre 9,90 et 10,15 dollars, malgré un impact négatif estimé à 30 millions de dollars lié aux tarifs douaniers.

STERIS (NYSE: STE) meldete starke Finanzergebnisse für das Geschäftsjahr 2025, wobei der Jahresumsatz aus fortgeführten Geschäftsbereichen um 6 % auf 5,5 Milliarden US-Dollar stieg. Der Umsatz im vierten Quartal wuchs um 4 % auf 1,5 Milliarden US-Dollar, mit einem organischen Umsatzwachstum bei konstanten Wechselkursen von 6 %. Der Jahresnettogewinn erreichte 610,1 Millionen US-Dollar bzw. 6,16 US-Dollar je verwässerter Aktie, während das bereinigte Ergebnis je Aktie auf 9,22 US-Dollar anstieg.

Der Umsatz im Gesundheitssegment stieg im vierten Quartal um 5 % auf 1,1 Milliarden US-Dollar, während der Umsatz von Applied Sterilization Technologies (AST) um 9 % auf 273,9 Millionen US-Dollar zunahm. Der Umsatz im Bereich Life Sciences sank um 7 % auf 149,5 Millionen US-Dollar. Das Unternehmen erzielte einen starken freien Cashflow von 787,2 Millionen US-Dollar für das Geschäftsjahr 2025.

Für das Geschäftsjahr 2026 erwartet STERIS ein Umsatzwachstum von 6-7 % und ein bereinigtes Ergebnis je Aktie von 9,90 bis 10,15 US-Dollar, trotz eines geschätzten negativen Effekts von 30 Millionen US-Dollar durch Zölle.

Positive
  • Full-year revenue increased 6% to $5.5 billion with consistent organic growth
  • Adjusted EPS grew to $9.22, up from $8.20 in fiscal 2024
  • Free cash flow improved significantly to $787.2 million from $620.3 million
  • Healthcare segment operating income increased to $279.7 million from $245.2 million
  • Strong fiscal 2026 guidance with 6-7% revenue growth and 7-10% adjusted EPS growth
Negative
  • Life Sciences segment revenue declined 7% in Q4
  • Healthcare capital equipment revenue decreased 4% in Q4
  • Expected $30 million negative impact from tariffs in fiscal 2026
  • Q4 net income decreased to $146.5 million from $152.9 million year-over-year

Insights

STERIS delivered solid 6% annual growth with improved profitability, strong cash flow, and projects 7-10% EPS growth for 2026.

STERIS has delivered another year of steady growth with 6% revenue increases both for Q4 and the full fiscal year 2025, reaching $5.5 billion in annual revenue. The company's performance demonstrates resilience through its diversified customer base and benefits from growing global procedure volumes in healthcare.

Their profitability metrics show meaningful improvement, with adjusted EPS increasing 12.4% to $9.22 for the full year, compared to $8.20 in fiscal 2024. This earnings growth outpaced revenue growth, indicating improved operational efficiency and margin expansion.

Looking at segment performance, Healthcare remains the company's largest revenue driver with particularly strong service revenue growth of 13% and consumables growth of 6%, though capital equipment declined 4%. This segment mix shift toward recurring revenue streams (services and consumables) is generally positive for stability.

The Applied Sterilization Technologies segment showed impressive 9% growth (10% organic), demonstrating strong demand for sterilization services despite facing headwinds from increased labor and energy costs.

Perhaps most impressive is STERIS's cash flow generation, with free cash flow jumping to $787.2 million from $620.3 million, representing a 27% year-over-year increase. This substantial improvement was driven by working capital efficiencies and gives the company significant financial flexibility.

For fiscal 2026, management projects 6-7% revenue growth and adjusted EPS of $9.90-$10.15, representing 7-10% growth despite an anticipated $30 million negative impact from tariffs. This outlook suggests management's confidence in continued growth across their business segments and further operational improvements.

The steady growth, improving profitability metrics, and strong cash flow generation all point to a company executing well in its core markets while maintaining pricing power and operational discipline.

  • Full year fiscal 2025 revenue from continuing operations increased 6%; constant currency organic revenue growth was 6%
  • Full year fiscal 2025 as reported diluted EPS from continuing operations increased to $6.16; adjusted EPS per diluted share increased to $9.22
  • Fiscal 2026 outlook provided

DUBLIN, IRELAND, May 14, 2025 (GLOBE NEWSWIRE) -- STERIS plc (NYSE: STE) (“STERIS” or the “Company”) today announced financial results for its fiscal 2025 fourth quarter and full year ended March 31, 2025. Total revenue from continuing operations for the fourth quarter of fiscal 2025 increased 4% to $1.5 billion compared with $1.4 billion in the fourth quarter of fiscal 2024. Constant currency organic revenue growth from continuing operations for the fourth quarter was 6%.

Revenue from continuing operations for fiscal 2025 increased 6% to $5.5 billion compared with $5.1 billion in fiscal 2024. Constant currency organic revenue growth from continuing operations for fiscal 2025 was 6%.

“Fiscal 2025 was another record year,” said Dan Carestio, President and CEO of STERIS. “We continue to benefit from our diversified Customer base and growth in global procedure volumes. We appreciate the efforts of our global Associates who continue to put Customers first. We look forward to another successful year in fiscal 2026.”

Total Company Fourth Quarter and Full Year Results from Continuing Operations
As reported, net income from continuing operations for the fourth quarter was $146.5 million or $1.48 per diluted share, compared with net income of $152.9 million or $1.54 per diluted share in the fourth quarter of fiscal 2024. Adjusted net income for the fourth quarter of fiscal 2025 was $270.3 million or $2.74 per diluted share, compared with the previous year’s fourth quarter of $240.1 million or $2.41 per diluted share.  

As reported, net income from continuing operations for the full year fiscal 2025 was $610.1 million or $6.16 per diluted share, compared with net income of $551.4 million or $5.55 per diluted share in fiscal 2024. Adjusted net income for the full year fiscal 2025 was $913.2 million or $9.22 per diluted share, compared with $814.9 million or $8.20 per diluted share in fiscal 2024.

Fourth Quarter Segment Results from Continuing Operations
Healthcare revenue as reported grew 5% in the fourth quarter to $1.1 billion compared with $1.0 billion in the fourth quarter of fiscal 2024. This performance reflected 13% improvement in service revenue, 6% growth in consumable revenue, and a 4% decline in capital equipment revenue. Constant currency organic revenue growth was 6%. Healthcare operating income was $279.7 million compared with $245.2 million in last year’s fourth quarter. The increase in operating income was primarily due to improved volume, price, productivity and the benefit of restructuring.

Fiscal 2025 fourth quarter revenue for Applied Sterilization Technologies (AST) increased 9% as reported to $273.9 million compared with $250.9 million in the same period last year. This performance reflected 6% growth in service revenue and an increase in capital equipment revenue. Constant currency organic revenue growth was 10%. Segment operating income was $122.2 million in the fourth quarter of fiscal 2025, compared with operating income of $114.2 million in the same period last year. The operating income increase compared with the prior year primarily reflects improved volume and price, which was partially offset by continued increases in labor and energy costs.

Life Sciences fourth quarter revenue as reported decreased 7% to $149.5 million compared with $160.6 million in the fourth quarter of fiscal 2024, primarily due to the divestiture of the CECS business on April 1, 2024 and a decline in capital equipment revenue. This performance reflected 8% growth in consumable revenue offset by a 16% decline in capital equipment revenue and a 21% decline in service revenue. Constant currency organic revenue was flat. Reflecting improvement in mix and price, operating income increased to $65.0 million in the fourth quarter of fiscal 2025 compared with $64.5 million in the prior year’s fourth quarter.

Cash Flow
Net cash provided by operations for fiscal 2025 was $1.15 billion, compared with $973.3 million in fiscal 2024. Free cash flow for fiscal 2025 was $787.2 million compared with $620.3 million in the prior year period. The increase in free cash flow during the period was driven primarily by working capital improvements.

Fiscal 2026 Outlook
For fiscal 2026, the Company expects as reported revenue from continuing operations to increase 6-7%. Based on forward rates through March 31, 2026, currency is expected to be neutral to revenue in fiscal 2026. As a result, constant currency organic revenue growth from continuing operations is also anticipated to be 6-7%. Adjusted earnings per diluted share from continuing operations is anticipated to be in the range of $9.90 to $10.15, an increase of 7-10% compared with $9.22 in adjusted earnings per diluted share from continuing operations in fiscal 2025. Included in this outlook is the negative impact of tariffs, estimated to reduce pre-tax profit by approximately $30 million.

Capital expenditures are anticipated to be approximately $375 million and free cash flow is expected to be approximately $770 million.

Conference Call
As previously announced, STERIS management will host a conference call tomorrow, May 15, 2025, at 9:00 a.m. ET. The conference call can be heard at www.steris-ir.com or via phone by dialing 1-833-535-2199 in the United States or 1-412-902-6776 internationally, then asking to join the conference call for STERIS plc.

For those unable to listen to the conference call live, a replay will be available beginning at 12:00 p.m. ET tomorrow either at www.steris-ir.com or via phone. To access the replay of the call, please use the access code 5194825 and dial 1-877-344-7529 in the United States or 1-412-317-0088 internationally.

About STERIS
STERIS is a leading global provider of products and services that support patient care with an emphasis on infection prevention. WE HELP OUR CUSTOMERS CREATE A HEALTHIER AND SAFER WORLD by providing innovative healthcare and life science products and services. For more information, visit www.steris.com.

Company Contact:
Julie Winter, Vice President, Investor Relations and Corporate Communications
Julie_Winter@steris.com

Non-GAAP Financial Measures
Adjusted net income, adjusted income from operations, free cash flow, adjusted EPS and constant currency organic revenue are non-GAAP measures that may be used from time to time and should not be considered replacements for U.S. GAAP results. Non-GAAP financial measures are presented in this release with the intent of providing greater transparency to supplemental financial information used by management and the Board of Directors in their financial analysis and operational decision making. These amounts are disclosed so that the reader has the same financial data that management uses with the belief that it will assist investors and other readers in making comparisons to our historical operating results and analyzing the underlying performance of our operations for the periods presented. The Company believes that the presentation of these non-GAAP financial measures, when considered along with our U.S. GAAP financial measures, provides a more complete understanding of the factors and trends affecting our business than could be obtained absent this disclosure.

Adjusted net income, adjusted EPS and adjusted income from operations exclude the amortization of intangible assets acquired in business combinations, acquisition and divestiture related transaction costs and gains or losses, integration costs related to acquisitions, tax restructuring costs, and certain other unusual or non-recurring items. STERIS believes this measure is useful because it excludes items that may not be indicative of or are unrelated to our core operating results and provides a baseline for analyzing trends in our underlying businesses.

The Company defines free cash flow as cash flows from operating activities less purchases of property, plant, equipment and intangibles, plus proceeds from the sale of property, plant, equipment, and intangibles. STERIS believes that free cash flow is a useful measure of the Company’s ability to fund future principal debt repayments and growth outside of core operations, pay cash dividends, and repurchase ordinary shares.

To measure the percentage organic revenue growth, the Company removes the impact of significant acquisitions and divestitures that affect the comparability and trends in revenue. To measure the percentage constant currency organic revenue growth, the impact of changes in currency exchange rates and acquisitions and divestitures that affect the comparability and trends in revenue are removed. The impact of changes in currency exchange rates is calculated by translating current year results at prior year average currency exchange rates.

Because non-GAAP financial measures are not standardized, it may not be possible to compare these financial measures with other companies’ non-GAAP financial measures having the same or similar names. These adjusted financial measures should not be considered in isolation or as a substitute for reported sales, gross profit, operating income, net earnings and net earnings per diluted share, the most directly comparable U.S. GAAP financial measures. These non-GAAP financial measures are an additional way of viewing aspects of the Company’s operations that, when viewed with U.S. GAAP results and the reconciliations to corresponding U.S. GAAP financial measures below, provide a more complete understanding of the business. The Company strongly encourages investors and shareholders to review its financial statements and publicly-filed reports in their entirety and not to rely on any single financial measure.

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION
This release may contain statements concerning certain trends, expectations, forecasts, estimates, or other forward-looking information affecting or relating to STERIS or its industry, products or activities that are intended to qualify for the protections afforded “forward-looking statements” under the Private Securities Litigation Reform Act of 1995 and other laws and regulations. Forward-looking statements speak only as to the date the statement is made and may be identified by the use of forward-looking terms such as “may,” “will,” “expects,” “believes,” “anticipates,” “plans,” “estimates,” “projects,” “targets,” “forecasts,” “outlook,” “impact,” “potential,” “confidence,” “improve,” “optimistic,” “deliver,” “orders,” “backlog,” “comfortable,” “trend,” and “seeks,” or the negative of such terms or other variations on such terms or comparable terminology.

Many factors could cause actual results to differ materially from those in the forward-looking statements including, without limitation, those identified in STERIS’s recent Annual Report on Form 10-K and other filings with the Securities and Exchange Commission. Other potential risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements include, without limitation: (a) operating costs, pressure on pricing (including, without limitation, as a result of inflation), Customer loss and business disruption (including, without limitation, difficulties in maintaining relationships with employees, Customers, clients or suppliers) being greater than expected and leading to erosion of profit margins; (b) STERIS’s ability to successfully integrate acquired businesses into its existing businesses, including unknown or inestimable liabilities, impairments, or increases in expected integration costs or difficulties in connection with the integration of such businesses; (c) changes in tax laws or interpretations or the adoption of certain income tax treaties in jurisdictions where we operate that could increase our consolidated tax liabilities, including changes in tax laws that would result in STERIS being treated as a domestic corporation for United States federal tax purposes, or tariffs and/or other trade barriers; (d) the possibility that compliance with laws, court rulings, certifications, regulations, or other regulatory actions, or the outcome of any pending or threatened litigation, including the Isomedix litigation, may delay, limit or prevent new product or service introductions, impact production, supply and/or marketing of existing products or services, result in uncovered costs, or otherwise affect STERIS’s performance, results, prospects or value; (e) the potential of international unrest, including military conflicts, trade wars, economic downturn and effects of currency fluctuations; (f) the possibility of delays in receipt of orders, order cancellations, or the manufacture or shipment of ordered products; (g) the possibility that anticipated growth, performance or other results may not be achieved, or that timing, execution, impairments, or other issues associated with STERIS’s businesses, industry or initiatives may adversely impact STERIS’s performance, results, prospects or value; (h) the impact on STERIS and its operations of any legislation, regulations or orders, including but not limited to any new trade, regulations or orders, that may be implemented by the U.S. administration or Congress, or of any responses thereto by non-U.S. governments; (i) the possibility that anticipated financial results, anticipated revenue, productivity improvements, cost savings, growth synergies, and other anticipated benefits of acquisitions, restructuring efforts, and divestitures will not be realized or will be less than anticipated; (j) the level of STERIS’s indebtedness limiting financial flexibility or increasing future borrowing costs; (k) the effects of changes in credit availability and pricing, as well as the ability of STERIS and STERIS’s Customers and suppliers to adequately access the credit markets, on favorable terms or at all, when needed; (l) the impacts of increasing competition within our industry, which may exert pressure on our pricing strategy or lead to decreasing demand for our products and services; (m) the effects on our operations resulting from labor-related issues, such as strikes, unsuccessful union negotiations and other workforce disruptions; (n) the possibility of economic downturns and recessions, which could negatively impact our business by reducing consumer and Customer spending. Unless legally required, STERIS does not undertake to update or revise any forward-looking statements even if events make clear that any projected results, express or implied, will not be realized.

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FAQ

What were STERIS (STE) earnings per share for fiscal 2025?

STERIS reported as-reported EPS of $6.16 and adjusted EPS of $9.22 for fiscal 2025.

How much revenue did STERIS (STE) generate in fiscal 2025?

STERIS generated total revenue of $5.5 billion in fiscal 2025, representing a 6% increase from fiscal 2024.

What is STERIS's (STE) earnings guidance for fiscal 2026?

STERIS expects adjusted earnings per diluted share of $9.90 to $10.15 for fiscal 2026, representing 7-10% growth.

How did STERIS's (STE) Healthcare segment perform in Q4 2025?

Healthcare segment revenue grew 5% to $1.1 billion, with operating income increasing to $279.7 million from $245.2 million.

What was STERIS's (STE) free cash flow for fiscal 2025?

STERIS generated free cash flow of $787.2 million in fiscal 2025, up from $620.3 million in fiscal 2024.
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