CONMED Q3 2026 adjusted EPS falls 3.2% to $1.04
CONMED announced on July 22, 2026, that AirSeal Robotic Solution is indicated for Intuitive’s 8 mm hex cannulas used with the da Vinci 5 platform.
Sentiment and the balance of points
Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.
Form Type
8-K
Rhea-AI Filing Summary
CONMED Corporation reported third-quarter 2026 net sales of $335.6 million, down 0.7% year over year. GAAP diluted EPS was $0.66, up 613.7% from $0.09; adjusted diluted EPS was $1.04, down 3.2% from $1.08. Net income was $19.8 million versus $2.9 million, and operating income was $37.1 million versus $11.9 million.
Sales increased 6.7% on an organic constant currency basis, which excludes gastroenterology product offerings connected to the company’s strategic exits. Domestic sales decreased 11.0% as reported but increased 0.8% on an organic basis; international sales increased 13.1% as reported and 13.8% on an organic constant currency basis.
For full-year 2026, CONMED now expects net sales of $1,360 million to $1,366 million and adjusted diluted EPS of $4.54 to $4.61, versus prior ranges of $1,358 million to $1,373 million and $4.48 to $4.60. Its organic constant currency sales growth outlook is 5.0% to 5.5%, compared with prior guidance of 5.0% to 6.0%.
1 point · 0 major0 major · 0 points
How this balance works
Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.
It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.
Rhea-AI Sentiment measures something else, the tone of the wording.
Positive
- Moderate pointGAAP diluted EPS rose 613.7%, to $0.66 from $0.09.
Negative
- None.
Filing Explained
In its 2026 outlook, CONMED does not quantitatively reconcile adjusted EPS guidance to GAAP, saying it cannot reasonably predict the timing and impact of acquisition, integration and other charges, whose financial effect could be material.
8-K Event Classification
2 items: 2.02, 9.01
2 items
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, or exhibit attachments filed with this report.
Key Figures
Net sales: $335.6 million
GAAP diluted EPS: $0.66
Adjusted diluted EPS: $1.04
+4 more
7 metrics
Net sales
$335.6 million
Third quarter 2026; down 0.7% year over year
GAAP diluted EPS
$0.66
Third quarter 2026; up 613.7% from $0.09
Adjusted diluted EPS
$1.04
Third quarter 2026; down 3.2% from $1.08
Net income
$19.8 million
Third quarter 2026, compared with $2.9 million in 2025
Full-year net sales guidance
$1,360 million to $1,366 million
Updated 2026 guidance
Full-year adjusted diluted EPS guidance
$4.54 to $4.61
Updated 2026 guidance
Organic constant currency sales growth
5.0% to 5.5%
Updated full-year 2026 guidance
Key Terms
organic constant currency, Adjusted diluted EPS, constant currency, EBITDA, +1 more
5 terms
organic constant currency financial
"Organic constant currency revenue excludes the sales of gastroenterology"
A performance measure showing how a company’s sales or revenue changed from one period to another after removing the effects of recent acquisitions or disposals (organic) and filtering out the impact of exchange-rate swings (constant currency). Investors use it like comparing the same store’s sales before and after removing new locations and shifting prices, to judge the business’s true underlying growth without distortions from deals or currency moves.
Adjusted diluted EPS financial
"Adjusted diluted EPS were $1.04"
Adjusted diluted EPS is a company’s profit per share after adding back or removing one-time items (like restructuring costs or gains) and dividing by the number of shares including potential shares from options and convertible securities. Investors use it as a cleaner view of ongoing earnings—like looking at a car’s regular fuel efficiency rather than a trip boosted by downhill coasting—to judge underlying performance and compare companies without temporary distortions.
constant currency financial
"percentage sales growth in constant currency"
Constant currency is a way of measuring financial results that removes the effects of changes in currency exchange rates. It allows for a clearer comparison of a company's performance over time by showing what the numbers would look like if exchange rates had stayed the same. This helps investors understand whether growth comes from actual business improvements or just currency fluctuations.
EBITDA financial
"presentation of EBITDA is a non-GAAP measurement"
EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It measures a company's profitability by focusing on the money it makes from its core operations, ignoring expenses like taxes and accounting adjustments. Investors use EBITDA to compare how well different companies are performing financially, as it provides a clearer picture of operational success without the influence of financial structure or accounting choices.
Medical Device Regulations (MDR) regulatory
"European Union's Medical Device Regulations (MDR)"
Earnings Snapshot
Net sales: $335.6 million · Guidance included
Third quarter ended September 30, 2026
Net sales
$335.6 million
Down 0.7% year over year
GAAP diluted EPS
$0.66
Up 613.7% year over year
Adjusted diluted EPS
$1.04
Down 3.2% year over year
Guidance
For full-year 2026, CONMED expects net sales of $1,360 million to $1,366 million, adjusted diluted EPS of $4.54 to $4.61, and organic constant currency sales growth of 5.0% to 5.5%.
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What were CNMD’s third-quarter 2026 sales and EPS?
CONMED reported third-quarter net sales of $335.6 million, down 0.7% year over year. GAAP diluted EPS was $0.66, compared with $0.09 a year earlier; adjusted diluted EPS was $1.04, down 3.2% from $1.08.
What is CONMED’s 2026 financial guidance?
For full-year 2026, CONMED expects net sales of $1,360 million to $1,366 million and adjusted diluted EPS of $4.54 to $4.61. Its organic constant currency sales growth outlook is 5.0% to 5.5%.
What AirSeal product update did CONMED announce?
CONMED announced on July 22, 2026, that AirSeal Robotic Solution is indicated for use with Intuitive’s 8 mm hex cannulas used as part of the da Vinci 5 platform.
AI-generated analysis. How Rhea-AI works. Not financial advice.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15 (d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported): October 28, 2026
(Exact name of registrant as specified in its charter)
| (State or other jurisdiction of incorporation or organization) | (Commission File Number) | (I.R.S. Employer Identification No.) | ||||||
| (Address of principal executive offices) | (Zip code) | ||||
(Registrant's telephone number, including area code)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligations of the registrant under any of the following provisions (See General Instruction A.2 below):
Securities registered pursuant to Rule 12(b) of the Act
| Title of each class | Trading Symbol | Name of each exchange on which registered | ||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.☐
Item 2.02 Results of Operations and Financial Condition
On October 28, 2026, CONMED Corporation issued a press release announcing financial results for the third quarter ended September 30, 2026. A copy of this press release is attached hereto as Exhibit 99.1.
The information in this Current Report on Form 8-K that is furnished under “Item 2.02. Results of Operations and Financial Condition” and Exhibit 99.1 attached hereto shall not be deemed “filed” for purposes of Section 18 of the Securities Act of 1934, nor shall they be deemed incorporated by reference in any filing under the Securities Act of 1933, except as shall be expressly set forth by specific reference in such filing.
Item 9.01 Financial Statements and Exhibits
(d) Exhibits
The following exhibits are included herewith:
| Exhibit No. | Description of Exhibit | ||||
| 99.1 | Press release dated October 28, 2026, issued by CONMED Corporation. | ||||
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL Document). | ||||
Signature
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
Date: October 28, 2026 | CONMED CORPORATION | ||||
| (Registrant) | |||||
| By: | /s/ John E. Gallagher | ||||
| Name: | John E. Gallagher | ||||
| Title: | Executive Vice President, Finance & Chief Financial Officer | ||||
NEWS RELEASE
CONTACT: | ||
CONMED Corporation | ||
| Investor Relations | ||
ir@conmed.com | ||
CONMED Corporation Reports Third Quarter 2026 Financial Results; Updates Full Year 2026 Guidance
Largo, Florida, October 28, 2026 – CONMED Corporation (NYSE: CNMD) today reported financial results for the third quarter ended September 30, 2026 and updated its financial guidance for the full year ending 2026.
Third Quarter 2026 Highlights(1)
•Sales of $335.6 million decreased 0.7% year-over-year as reported and decreased 0.8% on a constant currency(2) basis.
•Excluding the impact of the Company’s previously announced strategic exits of GI product offerings, net sales increased 6.7% on an organic constant currency(2) (3) basis.
•Domestic sales decreased 11.0% as reported and increased 0.8% on an organic(2)(3) basis.
•International sales increased 13.1% as reported, increased 12.8% on a constant currency(2) basis, and increased 13.8% on an organic constant currency(2)(3) basis.
•Diluted earnings per share (GAAP) were $0.66, up 613.7%.
•Adjusted diluted earnings per share(2) were $1.04, down 3.2%.
Third Quarter 2026 Operational Announcements
•On July 22, 2026, the Company announced the AirSeal® Robotic Solution is now indicated for use with Intuitive’s 8 mm hex cannulas used as part of the Intuitive da Vinci 5 platform.
"Our third quarter organic, constant currency net sales growth was consistent with our expectations and our adjusted diluted EPS exceeded them, reflecting our team’s strong execution," said Patrick J. Beyer, CONMED’s President and Chief Executive Officer. "Importantly, our net sales growth on an organic, constant currency basis included balanced contributions from both our Orthopedic and General Surgery product lines, which were in turn powered by commercial traction across our key product growth platforms: AirSeal, Buffalo Filter, and BioBrace. Our updated full year guidance reflects this strong performance in the third quarter and our latest outlook as we close out the year."
Mr. Beyer continued: "Looking ahead, our global team remains focused on executing our growth strategy to expand awareness and adoption of our key product platforms across the minimally invasive surgery, smoke evacuation, and orthopedic soft tissue repair markets. With a sharpened strategic focus on these key markets following our recent portfolio optimization activities, CONMED is better positioned to support our customers, expand our market share, and drive both long-term growth and value creation going forward."
2026 Financial Guidance
The Company is updating its full year 2026 financial guidance to reflect its third quarter performance and updated outlook for the full year. For the twelve months ended December 31, 2026, the Company now expects:
| Dollars in millions, except per share figures Percentages on a year-over-year basis, may not foot due to rounding | Twelve Months Ending December 31, 2026 | |||||||||||||
| Updated Financial Guidance | Prior Financial Guidance(5) | |||||||||||||
| Low | High | Low | High | |||||||||||
| Net Sales (GAAP) | $ | 1,360 | $ | 1,366 | $ | 1,358 | $ | 1,373 | ||||||
| Net Sales Growth, as reported | (1.1) | % | (0.6) | % | (1.2) | % | (0.1) | % | ||||||
| Estimated impact of foreign currency exchange rate fluctuations | (0.7) | % | (0.7) | % | (0.5) | % | (0.5) | % | ||||||
| Net Sales Growth, Constant Currency | (1.7) | % | (1.3) | % | (1.7) | % | (0.7) | % | ||||||
Estimated impact of strategic product offering exits(3) | 6.7 | % | 6.8 | % | 6.7 | % | 6.7 | % | ||||||
| Net Sales Growth, Organic Constant Currency | 5.0 | % | 5.5 | % | 5.0 | % | 6.0 | % | ||||||
Adjusted Diluted EPS(4) | $ | 4.54 | $ | 4.61 | $ | 4.48 | $ | 4.60 | ||||||
| Percentage Change | (1.2) | % | 0.4 | % | (2.4) | % | 0.2 | % | ||||||
Notes to Financial Information Above
(1) All growth rates are presented on a year-over-year basis, unless noted otherwise.
(2) Constant currency growth, organic growth, organic constant currency growth, and adjusted EPS are non-GAAP financial measures. Reconciliations of GAAP to non-GAAP financial measures appear below.
(3) Organic constant currency revenue excludes the sales of gastroenterology ("GI") product offerings for the three and nine months ended September 30, 2026 and 2025, and twelve months ending December 31, 2026 and 2025, related to the Company’s previously announced strategic exits as part of its portfolio optimization strategy.
(4) Information reconciling forward-looking adjusted diluted net earnings per share to the comparable GAAP financial measures is unavailable to the company without unreasonable effort, as discussed below.
(5) "Prior financial guidance" reflects the Company’s full year 2026 financial guidance, previously updated on July 29, 2026.
Conference Call
The Company’s management will host a conference call today at 4:30 p.m. ET to discuss its third quarter 2026 results.
To participate in the conference call via live webcast, please click here. To participate via telephone, please click here to pre-register and obtain the dial-in number and passcode.
This conference call webcast can also be accessed from the “Investors” section of CONMED's website: https://www.conmed.com/en/investor-relations. The webcast replay of the call will be available at the same site approximately one hour after the end of the call.
| Consolidated Condensed Statements of Income | ||||||||||||||||||||||||||
| (in thousands except per share amounts, unaudited) | ||||||||||||||||||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||
| September 30, | September 30, | |||||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||||||||||||||
| Net sales | $ | 335,557 | $ | 337,926 | $ | 996,090 | $ | 1,001,526 | ||||||||||||||||||
| Cost of sales | 146,409 | 171,807 | 426,038 | 469,336 | ||||||||||||||||||||||
| Gross profit | 189,148 | 166,119 | 570,052 | 532,190 | ||||||||||||||||||||||
| % of sales | 56.4 | % | 49.2 | % | 57.2 | % | 53.1 | % | ||||||||||||||||||
| Selling & administrative expense | 136,416 | 140,339 | 423,667 | 425,207 | ||||||||||||||||||||||
| Research & development expense | 15,588 | 13,901 | 47,421 | 40,985 | ||||||||||||||||||||||
| Income from operations | 37,144 | 11,879 | 98,964 | 65,998 | ||||||||||||||||||||||
| % of sales | 11.1 | % | 3.5 | % | 9.9 | % | 6.6 | % | ||||||||||||||||||
| Interest expense | 11,135 | 7,606 | 26,078 | 23,716 | ||||||||||||||||||||||
| Other (income) / expense | - | - | (2,825) | 418 | ||||||||||||||||||||||
| Income before income taxes | 26,009 | 4,273 | 75,711 | 41,864 | ||||||||||||||||||||||
| Provision for income taxes | 6,213 | 1,414 | 19,016 | 11,548 | ||||||||||||||||||||||
| Net income | $ | 19,796 | $ | 2,859 | $ | 56,695 | $ | 30,316 | ||||||||||||||||||
| Basic EPS | $ | 0.66 | $ | 0.09 | $ | 1.88 | $ | 0.98 | ||||||||||||||||||
| Diluted EPS | 0.66 | 0.09 | 1.87 | 0.97 | ||||||||||||||||||||||
| Basic shares | 29,926 | 30,955 | 30,178 | 31,027 | ||||||||||||||||||||||
| Diluted shares | 30,125 | 31,050 | 30,253 | 31,145 | ||||||||||||||||||||||
Sales Summary(1) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| (in millions, unaudited) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Three Months Ended September 30, | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| % Change | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Domestic | International | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 2026 | 2025 | As Reported | Impact of Foreign Currency | Constant Currency | Impact of GI(2) | Organic(2) Constant Currency | As Reported | Impact of GI(2) | Organic(2) | As Reported | Impact of Foreign Currency | Constant Currency | Impact of GI(2) | Organic(2) Constant Currency | ||||||||||||||||||||||||||||||||||||||||||
| Orthopedic Surgery | $ | 148.8 | $ | 138.2 | 7.7 | % | -0.5 | % | 7.2 | % | 0.0 | % | 7.2 | % | -1.7 | % | 0.0 | % | -1.7 | % | 13.5 | % | -0.8 | % | 12.7 | % | 0.0 | % | 12.7 | % | ||||||||||||||||||||||||||
| General Surgery | 186.7 | 199.7 | -6.5 | % | 0.1 | % | -6.4 | % | 12.8 | % | 6.4 | % | -14.4 | % | 16.3 | % | 1.9 | % | 12.6 | % | 0.3 | % | 12.9 | % | 2.6 | % | 15.5 | % | ||||||||||||||||||||||||||||
| $ | 335.6 | $ | 337.9 | -0.7 | % | -0.1 | % | -0.8 | % | 7.5 | % | 6.7 | % | -11.0 | % | 11.8 | % | 0.8 | % | 13.1 | % | -0.3 | % | 12.8 | % | 1.0 | % | 13.8 | % | |||||||||||||||||||||||||||
| Domestic | $ | 172.7 | $ | 194.0 | -11.0 | % | 0.0 | % | -11.0 | % | 11.8 | % | 0.8 | % | ||||||||||||||||||||||||||||||||||||||||||
| International | 162.9 | 143.9 | 13.1 | % | -0.3 | % | 12.8 | % | 1.0 | % | 13.8 | % | ||||||||||||||||||||||||||||||||||||||||||||
| $ | 335.6 | $ | 337.9 | -0.7 | % | -0.1 | % | -0.8 | % | 7.5 | % | 6.7 | % | |||||||||||||||||||||||||||||||||||||||||||
| Three Months Ended September 30, | ||||||||||||||||||||||||||||||||||||||
| % Change | ||||||||||||||||||||||||||||||||||||||
| Domestic | International | |||||||||||||||||||||||||||||||||||||
| 2026 | 2025 | As Reported | Impact of Foreign Currency | Constant Currency | As Reported | As Reported | Impact of Foreign Currency | Constant Currency | ||||||||||||||||||||||||||||||
| Single-use Products | $ | 285.7 | $ | 289.2 | -1.2 | % | -0.1 | % | -1.3 | % | -11.5 | % | 13.4 | % | -0.4 | % | 13.0 | % | ||||||||||||||||||||
| Capital Products | 49.8 | 48.7 | 2.2 | % | -0.1 | % | 2.1 | % | -7.3 | % | 11.9 | % | -0.2 | % | 11.7 | % | ||||||||||||||||||||||
| $ | 335.6 | $ | 337.9 | -0.7 | % | -0.1 | % | -0.8 | % | -11.0 | % | 13.1 | % | -0.3 | % | 12.8 | % | |||||||||||||||||||||
(1) Amounts reported in millions within the Sales Summary are computed based on the amounts in thousands. As a result, the sum of the components may not equal the total amount reported in millions due to rounding. Certain columns and rows within tables may not add due to the use of rounded numbers. Percentages presented are calculated from the underlying unrounded amounts.
(2) Organic constant currency revenue excludes the sales of gastroenterology ("GI") product offerings for the three months ended September 30, 2026 and 2025.
Sales Summary(1) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| (in millions, unaudited) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Nine Months Ended September 30, | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| % Change | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Domestic | International | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 2026 | 2025 | As Reported | Impact of Foreign Currency | Constant Currency | Impact of GI(2) | Organic(2) Constant Currency | As Reported | Impact of GI(2) | Organic(2) | As Reported | Impact of Foreign Currency | Constant Currency | Impact of GI(2) | Organic(2) Constant Currency | ||||||||||||||||||||||||||||||||||||||||||
| Orthopedic Surgery | $ | 448.8 | $ | 417.2 | 7.6 | % | -1.4 | % | 6.2 | % | 0.0 | % | 6.2 | % | 1.3 | % | 0.0 | % | 1.3 | % | 11.4 | % | -2.2 | % | 9.2 | % | 0.0 | % | 9.2 | % | ||||||||||||||||||||||||||
| General Surgery | 547.3 | 584.3 | -6.3 | % | -0.5 | % | -6.8 | % | 10.8 | % | 4.0 | % | -12.0 | % | 14.4 | % | 2.4 | % | 7.0 | % | -1.5 | % | 5.5 | % | 1.9 | % | 7.4 | % | ||||||||||||||||||||||||||||
| $ | 996.1 | $ | 1,001.5 | -0.5 | % | -0.9 | % | -1.4 | % | 6.4 | % | 5.0 | % | -8.3 | % | 10.3 | % | 2.0 | % | 9.6 | % | -1.9 | % | 7.7 | % | 0.8 | % | 8.5 | % | |||||||||||||||||||||||||||
| Domestic | $ | 521.2 | $ | 568.3 | -8.3 | % | 0.0 | % | -8.3 | % | 10.3 | % | 2.0 | % | ||||||||||||||||||||||||||||||||||||||||||
| International | 474.9 | 433.2 | 9.6 | % | -1.9 | % | 7.7 | % | 0.8 | % | 8.5 | % | ||||||||||||||||||||||||||||||||||||||||||||
| $ | 996.1 | $ | 1,001.5 | -0.5 | % | -0.9 | % | -1.4 | % | 6.4 | % | 5.0 | % | |||||||||||||||||||||||||||||||||||||||||||
| Nine Months Ended September 30, | ||||||||||||||||||||||||||||||||||||||
| % Change | ||||||||||||||||||||||||||||||||||||||
| Domestic | International | |||||||||||||||||||||||||||||||||||||
| 2026 | 2025 | As Reported | Impact of Foreign Currency | Constant Currency | As Reported | As Reported | Impact of Foreign Currency | Constant Currency | ||||||||||||||||||||||||||||||
| Single-use Products | $ | 850.8 | $ | 863.2 | -1.4 | % | -0.9 | % | -2.3 | % | -9.6 | % | 9.9 | % | -2.0 | % | 7.9 | % | ||||||||||||||||||||
| Capital Products | 145.2 | 138.3 | 5.0 | % | -0.8 | % | 4.2 | % | 1.6 | % | 8.2 | % | -1.5 | % | 6.7 | % | ||||||||||||||||||||||
| $ | 996.1 | $ | 1,001.5 | -0.5 | % | -0.9 | % | -1.4 | % | -8.3 | % | 9.6 | % | -1.9 | % | 7.7 | % | |||||||||||||||||||||
(1) Amounts reported in millions within the Sales Summary are computed based on the amounts in thousands. As a result, the sum of the components may not equal the total amount reported in millions due to rounding. Certain columns and rows within tables may not add due to the use of rounded numbers. Percentages presented are calculated from the underlying unrounded amounts.
(2) Organic constant currency revenue excludes the sales of gastroenterology ("GI") product offerings for the nine months ended September 30, 2026 and 2025.
| Reconciliation of Reported Net Income to Adjusted Net Income | |||||||||||||||||||||||||||||||||||
| (in thousands, except per share amounts, unaudited) | |||||||||||||||||||||||||||||||||||
| Three Months Ended September 30, 2026 | |||||||||||||||||||||||||||||||||||
| Gross Profit | Selling & Administrative Expense | Research & Development Expense | Operating Income | Interest Expense | Other (Income) / Expense | Tax Expense | Effective Tax Rate | Net Income | Diluted EPS | ||||||||||||||||||||||||||
| As reported | $ | 189,148 | $ | 136,416 | $ | 15,588 | $ | 37,144 | $ | 11,135 | $ | - | $ | 6,213 | 23.9 | % | $ | 19,796 | $ | 0.66 | |||||||||||||||
| % of sales | 56.4 | % | 40.7 | % | 4.6 | % | 11.1 | % | |||||||||||||||||||||||||||
Operational optimization costs(1) | 97 | (3,132) | - | 3,229 | - | - | 659 | 2,570 | |||||||||||||||||||||||||||
EU medical device regulations(2) | - | - | (1,857) | 1,857 | - | - | 379 | 1,478 | |||||||||||||||||||||||||||
Contingent consideration fair value adjustments(3) | - | (605) | - | 605 | - | - | 124 | 481 | |||||||||||||||||||||||||||
Termination of distribution agreement(4) | 162 | - | - | 162 | - | - | 33 | 129 | |||||||||||||||||||||||||||
Gain on sale of product offering(5) | - | 213 | - | (213) | - | - | (43) | (170) | |||||||||||||||||||||||||||
| $ | 189,407 | $ | 132,892 | $ | 13,731 | $ | 42,784 | $ | 11,135 | $ | - | $ | 7,365 | $ | 24,284 | ||||||||||||||||||||
| Adjusted gross profit % | 56.4 | % | |||||||||||||||||||||||||||||||||
Amortization(6) | $ | 1,500 | (7,247) | - | 8,747 | (611) | - | 2,270 | 7,088 | ||||||||||||||||||||||||||
| As adjusted | $ | 125,645 | $ | 13,731 | $ | 51,531 | $ | 10,524 | $ | - | $ | 9,635 | 23.5 | % | $ | 31,372 | $ | 1.04 | |||||||||||||||||
| % of sales | 37.4 | % | 4.1 | % | 15.4 | % | |||||||||||||||||||||||||||||
| Three Months Ended September 30, 2025 | |||||||||||||||||||||||||||||||||||
| Gross Profit | Selling & Administrative Expense | Research & Development Expense | Operating Income | Interest Expense | Other (Income) / Expense | Tax Expense | Effective Tax Rate | Net Income | Diluted EPS | ||||||||||||||||||||||||||
| As reported | $ | 166,119 | $ | 140,339 | $ | 13,901 | $ | 11,879 | $ | 7,606 | $ | - | $ | 1,414 | 33.1 | % | $ | 2,859 | $ | 0.09 | |||||||||||||||
| % of sales | 49.2 | % | 41.5 | % | 4.1 | % | 3.5 | % | |||||||||||||||||||||||||||
Operational optimization costs(1) | 3,729 | (5,516) | - | 9,245 | - | - | 2,291 | 6,954 | |||||||||||||||||||||||||||
Contingent consideration fair value adjustments(3) | - | (1,341) | - | 1,341 | - | - | 332 | 1,009 | |||||||||||||||||||||||||||
Product rationalization costs(7) | 19,653 | - | - | 19,653 | - | - | 4,870 | 14,783 | |||||||||||||||||||||||||||
Legal matters(8) | - | (319) | - | 319 | - | - | 79 | 240 | |||||||||||||||||||||||||||
| $ | 189,501 | $ | 133,163 | $ | 13,901 | $ | 42,437 | $ | 7,606 | $ | - | $ | 8,986 | $ | 25,845 | ||||||||||||||||||||
| 56.1 | % | ||||||||||||||||||||||||||||||||||
Amortization(6) | $ | 1,500 | (7,233) | - | 8,733 | (1,276) | - | 2,438 | 7,571 | ||||||||||||||||||||||||||
| As adjusted | $ | 125,930 | $ | 13,901 | $ | 51,170 | $ | 6,330 | $ | - | $ | 11,424 | 25.5 | % | $ | 33,416 | $ | 1.08 | |||||||||||||||||
| % of sales | 37.3 | % | 4.1 | % | 15.1 | % | |||||||||||||||||||||||||||||
| (1) In 2026 and 2025, the Company incurred costs related to the engagement of a consulting firm to evaluate and propose improvements to our manufacturing operations and other operational optimization charges which are included in cost of sales. In addition, we incurred consulting fees, legal fees and other charges related to operational optimization which are included in selling & administrative expense. | |||||||||||||||||||||||||||||||||||
| (2) In 2026, the Company incurred costs to comply with the European Union's Medical Device Regulations (MDR). | |||||||||||||||||||||||||||||||||||
| (3) In 2026 and 2025, the Company recorded expense related to the fair value adjustments of contingent consideration. | |||||||||||||||||||||||||||||||||||
| (4) In 2026, the Company recognized an expense related to the early termination of an agreement granting the Company exclusive distribution rights. | |||||||||||||||||||||||||||||||||||
| (5) In 2026, the Company recognized a gain on the sale of certain assets related to gastroenterology products. | |||||||||||||||||||||||||||||||||||
| (6) Includes amortization of intangible assets and deferred financing fees. | |||||||||||||||||||||||||||||||||||
| (7) In 2025, the Company wrote off inventory, equipment, tooling and patents related to the cancellation of planned new product lines and discontinuation of certain catalog numbers as a result of our operational optimization consultation and internal review. | |||||||||||||||||||||||||||||||||||
| (8) In 2025, the Company incurred costs for third party services pertaining to potential issues with certain royalty payments to surgeons involved in design teams. | |||||||||||||||||||||||||||||||||||
| Reconciliation of Reported Net Income to Adjusted Net Income | |||||||||||||||||||||||||||||||||||
| (in thousands, except per share amounts, unaudited) | |||||||||||||||||||||||||||||||||||
| Nine Months Ended September 30, 2026 | |||||||||||||||||||||||||||||||||||
| Gross Profit | Selling & Administrative Expense | Research & Development Expense | Operating Income | Interest Expense | Other (Income) / Expense | Tax Expense | Effective Tax Rate | Net Income | Diluted EPS | ||||||||||||||||||||||||||
| As reported | $ | 570,052 | $ | 423,667 | $ | 47,421 | $ | 98,964 | $ | 26,078 | $ | (2,825) | $ | 19,016 | 25.1 | % | $ | 56,695 | $ | 1.87 | |||||||||||||||
| % of sales | 57.2 | % | 42.5 | % | 4.8 | % | 9.9 | % | |||||||||||||||||||||||||||
Operational optimization costs(1) | 476 | (17,731) | - | 18,207 | - | - | 4,112 | 14,095 | |||||||||||||||||||||||||||
Product rationalization costs(2) | 6,911 | - | - | 6,911 | - | - | 1,614 | 5,297 | |||||||||||||||||||||||||||
Loss on sale of product offering(3) | - | (4,425) | - | 4,425 | - | - | 1,033 | 3,392 | |||||||||||||||||||||||||||
EU medical device regulations(4) | - | - | (4,107) | 4,107 | - | - | 898 | 3,209 | |||||||||||||||||||||||||||
Executive transition costs(5) | - | (3,342) | - | 3,342 | - | - | 761 | 2,581 | |||||||||||||||||||||||||||
Contingent consideration fair value adjustments(6) | - | (1,215) | - | 1,215 | - | - | 262 | 953 | |||||||||||||||||||||||||||
Gain on early extinguishment of debt, net(7) | - | - | - | - | - | 2,825 | (660) | (2,165) | |||||||||||||||||||||||||||
Termination of distribution agreement(8) | (1,702) | - | - | (1,702) | - | - | (391) | (1,311) | |||||||||||||||||||||||||||
Gain on sale of product offering(9) | - | 6,066 | - | (6,066) | - | - | (1,388) | (4,678) | |||||||||||||||||||||||||||
| $ | 575,737 | $ | 403,020 | $ | 43,314 | $ | 129,403 | $ | 26,078 | $ | - | $ | 25,257 | $ | 78,068 | ||||||||||||||||||||
| Adjusted gross profit % | 57.8 | % | |||||||||||||||||||||||||||||||||
Amortization(10) | $ | 4,500 | (21,745) | - | 26,245 | (2,940) | - | 7,076 | 22,109 | ||||||||||||||||||||||||||
| As adjusted | $ | 381,275 | $ | 43,314 | $ | 155,648 | $ | 23,138 | $ | - | $ | 32,333 | 24.4 | % | $ | 100,177 | $ | 3.31 | |||||||||||||||||
| % of sales | 38.3 | % | 4.3 | % | 15.6 | % | |||||||||||||||||||||||||||||
| Nine Months Ended September 30, 2025 | |||||||||||||||||||||||||||||||||||
| Gross Profit | Selling & Administrative Expense | Research & Development Expense | Operating Income | Interest Expense | Other (Income) / Expense | Tax Expense | Effective Tax Rate | Net Income | Diluted EPS | ||||||||||||||||||||||||||
| As reported | $ | 532,190 | $ | 425,207 | $ | 40,985 | $ | 65,998 | $ | 23,716 | $ | 418 | $ | 11,548 | 27.6 | % | $ | 30,316 | $ | 0.97 | |||||||||||||||
| % of sales | 53.1 | % | 42.5 | % | 4.1 | % | 6.6 | % | |||||||||||||||||||||||||||
Operational optimization costs(1) | 12,262 | (8,456) | - | 20,718 | - | - | 4,045 | 16,673 | |||||||||||||||||||||||||||
Product rationalization costs(2) | 19,653 | - | - | 19,653 | - | - | 4,870 | 14,783 | |||||||||||||||||||||||||||
Executive transition costs(5) | - | (12,165) | - | 12,165 | - | - | 2,812 | 9,353 | |||||||||||||||||||||||||||
Contingent consideration fair value adjustments(6) | - | (3,504) | - | 3,504 | - | - | 1,046 | 2,458 | |||||||||||||||||||||||||||
Legal matters(11) | - | (2,548) | - | 2,548 | - | - | 453 | 2,095 | |||||||||||||||||||||||||||
Loss on early extinguishment of debt, net(7) | - | - | - | - | - | (418) | 47 | 371 | |||||||||||||||||||||||||||
Gain on sale of product offering(9) | - | 354 | - | (354) | - | - | (82) | (272) | |||||||||||||||||||||||||||
| $ | 564,105 | $ | 398,888 | $ | 40,985 | $ | 124,232 | $ | 23,716 | $ | - | $ | 24,739 | $ | 75,777 | ||||||||||||||||||||
| Adjusted gross profit % | 56.3 | % | |||||||||||||||||||||||||||||||||
Amortization(10) | $ | 4,500 | (21,597) | - | 26,097 | (4,107) | - | 7,335 | 22,869 | ||||||||||||||||||||||||||
| As adjusted | $ | 377,291 | $ | 40,985 | $ | 150,329 | $ | 19,609 | $ | - | $ | 32,074 | 24.5 | % | $ | 98,646 | $ | 3.17 | |||||||||||||||||
| % of sales | 37.7 | % | 4.1 | % | 15.0 | % | |||||||||||||||||||||||||||||
| (1) In 2026 and 2025, the Company incurred costs related to the engagement of a consulting firm to evaluate and propose improvements to our manufacturing operations and other operational optimization charges which are included in cost of sales. In addition, we incurred consulting fees, legal fees and other charges related to operational optimization which are included in selling & administrative expense. | |||||||||||||||||||||||||||||||||||
| (2) In 2026, the Company wrote off inventory, equipment and tooling to cost of goods sold related to the discontinuation of certain products. In 2025, the Company wrote off inventory, equipment, tooling and patents related to the cancellation of planned new product lines and discontinuation of certain catalog numbers as a result of our operational optimization consultation and internal review. | |||||||||||||||||||||||||||||||||||
| (3) In 2026, the Company recognized a loss on the sale of certain assets related to gastroenterology products that was recorded as a sale of a business. | |||||||||||||||||||||||||||||||||||
| (4) In 2026, the Company incurred costs to comply with the European Union's Medical Device Regulations (MDR). | |||||||||||||||||||||||||||||||||||
| (5) The Company incurred cash and stock-based compensation costs related to advisory services provided by our former Chief Financial Officer and Chief Executive Officer in 2026 and 2025, respectively. | |||||||||||||||||||||||||||||||||||
| (6) In 2026 and 2025, the Company recorded expense related to the fair value adjustments of contingent consideration. | |||||||||||||||||||||||||||||||||||
| (7) In 2026, the Company recorded income for the difference between the principal value and purchase price of extinguished debt, and recorded expense for the write-off of deferred financing fees and related professional fees. In 2025, the Company incurred costs related to a loss on early extinguishment and third-party fees associated with the eighth amended and restated senior credit agreement. | |||||||||||||||||||||||||||||||||||
| (8) In 2026, the Company recognized income related to the early termination of an agreement granting the Company exclusive distribution rights. | |||||||||||||||||||||||||||||||||||
| (9) In 2026, the Company recognized a gain on the sale of certain assets related to gastroenterology products. In 2025, the Company recognized a gain on the sale of a product offering. | |||||||||||||||||||||||||||||||||||
| (10) Includes amortization of intangible assets and deferred financing fees. | |||||||||||||||||||||||||||||||||||
| (11) In 2025, the Company incurred costs for third party services pertaining to potential issues with certain royalty payments to surgeons involved in design teams. | |||||||||||||||||||||||||||||||||||
| Reconciliation of Reported Net Income to EBITDA & Adjusted EBITDA | |||||||||||||||||||||||
| (in thousands, unaudited) | |||||||||||||||||||||||
| Three Months Ended | Nine Months Ended | ||||||||||||||||||||||
| September 30, | September 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| Net income | $ | 19,796 | $ | 2,859 | $ | 56,695 | $ | 30,316 | |||||||||||||||
| Provision for income taxes | 6,213 | 1,414 | 19,016 | 11,548 | |||||||||||||||||||
| Interest expense | 11,135 | 7,606 | 26,078 | 23,716 | |||||||||||||||||||
| Depreciation | 3,981 | 4,376 | 12,234 | 13,077 | |||||||||||||||||||
| Amortization | 15,202 | 14,231 | 44,832 | 42,354 | |||||||||||||||||||
| EBITDA | $ | 56,327 | $ | 30,486 | $ | 158,855 | $ | 121,011 | |||||||||||||||
| Stock based compensation | 5,911 | 4,585 | 15,925 | 15,869 | |||||||||||||||||||
| Operational optimization costs | 3,229 | 9,245 | 18,207 | 20,718 | |||||||||||||||||||
| EU medical device regulations | 1,857 | - | 4,107 | - | |||||||||||||||||||
| Contingent consideration fair value adjustments | 605 | 1,341 | 1,215 | 3,504 | |||||||||||||||||||
| Termination of distribution agreement | 162 | - | (1,702) | - | |||||||||||||||||||
| Gain on sale of product offering | (213) | - | (6,066) | (354) | |||||||||||||||||||
| Product rationalization costs | - | 19,653 | 6,911 | 19,653 | |||||||||||||||||||
| Loss on sale of product offering | - | - | 4,425 | - | |||||||||||||||||||
| Executive transition costs | - | - | 3,342 | 12,165 | |||||||||||||||||||
| (Gain) / loss on early extinguishment of debt, net | - | - | (2,825) | 418 | |||||||||||||||||||
| Legal matters | - | 319 | - | 2,548 | |||||||||||||||||||
| Adjusted EBITDA | $ | 67,878 | $ | 65,629 | $ | 202,394 | $ | 195,532 | |||||||||||||||
| EBITDA Margin | |||||||||||||||||||||||
| EBITDA | 16.8 | % | 9.0 | % | 15.9 | % | 12.1 | % | |||||||||||||||
| Adjusted EBITDA | 20.2 | % | 19.4 | % | 20.3 | % | 19.5 | % | |||||||||||||||
About CONMED Corporation
CONMED is a medical technology company that provides devices and equipment for surgical procedures. The Company’s products are used by surgeons and other healthcare professionals in a variety of specialties including orthopedics, general surgery, gynecology, and thoracic surgery. For more information, visit www.conmed.com.
Forward-Looking Statements
This press release and associated conference call may contain forward-looking statements based on certain assumptions and contingencies that involve risks and uncertainties, which could cause actual results, performance, or trends to differ materially from those expressed in the forward-looking statements herein or in previous disclosures. For example, in addition to general industry and economic conditions, factors that could cause actual results to differ materially from those in the forward-looking statements may include, but are not limited to the risk factors discussed in the Company's Annual Report on Form 10-K for the full year ended December 31, 2025, listed under the heading Forward-Looking Statements in the Company’s most recently filed Form 10-Q and other risks and uncertainties, which may be detailed from time to time in reports filed by CONMED with the SEC. Any and all forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and relate to the Company’s performance on a going-forward basis. The Company believes that all forward-looking statements made by it have a reasonable basis, but there can be no assurance that management’s expectations, beliefs or projections as expressed in the forward-looking statements will actually occur or prove to be correct.
Supplemental Information - Reconciliation of GAAP to Non-GAAP Financial Measures
The Company supplements the reporting of its financial information determined under generally accepted accounting principles in the United States (GAAP) with certain non-GAAP financial measures, including percentage sales growth in constant currency; organic sales growth; organic constant currency sales growth; adjusted gross profit; cost of sales excluding specified items; adjusted selling and administrative expenses; adjusted research and development expense; adjusted operating income; adjusted interest expense; adjusted other (income)/expense; adjusted income tax expense; adjusted effective income tax rate; adjusted net income and adjusted diluted net earnings per share (EPS). The Company believes that these non-GAAP measures provide meaningful information to assist investors and shareholders in understanding its financial results and assessing its prospects for future performance. Management believes percentage sales growth in constant currency and the other adjusted measures described above are important indicators of its operations because they exclude items that may not be indicative of, or are unrelated to, its core operating results and provide a baseline for analyzing trends in the Company’s underlying business. Further, the presentation of EBITDA is a non-GAAP measurement that management considers useful for measuring aspects of the Company’s cash flow. Management uses these non-GAAP financial measures for reviewing the operating results and analyzing potential future business trends in connection with its budget process and bases certain management incentive compensation on these non-GAAP financial measures.
Net sales on a constant currency basis, organic basis, and organic constant currency basis are non-GAAP measures. The Company analyzes net sales on a constant currency basis, organic basis, and organic constant currency basis to better measure the comparability of results between periods. Organic revenue excludes the sales of GI product offerings and organic constant currency revenue presents sales in constant currency and excludes the sales of GI product offerings. To measure percentage sales growth in constant currency, the Company removes the impact of changes in foreign currency exchange rates that affect the comparability and trend of net sales. To measure earnings performance on a consistent and comparable basis, the Company excludes certain items that affect the comparability of operating results and the trend of earnings. These adjustments are irregular in timing, may not be
indicative of past and future performance and are therefore excluded to allow investors to better understand underlying operating trends.
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 growth, gross profit, cost of sales, selling and administrative expenses, research and development expense, operating income, interest expense, other (income)/expense, income tax expense, effective income tax rate, net income and diluted net earnings per share, the most directly comparable GAAP financial measures. These non-GAAP financial measures are an additional way of viewing aspects of the Company’s operations that, when viewed with GAAP results and the reconciliations to corresponding GAAP financial measures above, 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.
We are unable to present a quantitative reconciliation of our expected diluted net earnings per share to expected adjusted diluted net earnings per share as we are unable to predict with reasonable certainty and without unreasonable effort the impact and timing of acquisition, integration and other charges. The financial impact of these items is uncertain and is dependent on various factors, including timing, and could be material to our consolidated condensed statements of income.