Reported revenue of $393.9 million, up 11%
Constant currency revenue* and constant currency revenue, organic* up 10% and up 7%, respectively
GAAP operating margin of 13.8%, compared to 10.3% in prior year period
Non-GAAP operating margin* of 21.0%, compared to 19.6% in prior year period
GAAP EPS $0.63, up 37%
Non-GAAP EPS* $1.04, up 12%
Free cash flow* generation of $74.0 million, up 13%
Fiscal Year 2025 Highlights†
Reported revenue of $1.516 billion, up 12%
Constant currency revenue* and constant currency revenue, organic* up 11% and up 7%, respectively
GAAP operating margin of 12.2%, compared to 11.5% in prior year
Non-GAAP operating margin* of 20.3%, compared to 19.0% in prior year
GAAP EPS $2.13, up 5%
Non-GAAP EPS* $3.83, up 11%
Free cash flow* generation of $215.7 million, up 16%
Fiscal Year 2026 Guidance
Total revenue of $1.610 billion to $1.630 billion, up 6% - 8% year-over-year on a reported basis and up 5% - 7% year-over-year on a constant currency* basis.
Non-GAAP EPS of $4.01 to $4.15, up 5%, 8% year-over-year.
† Comparisons above are calculated for the current quarter compared with the fourth quarter of 2024 or for the current year compared with fiscal year 2024, as applicable, unless otherwise specified. Amounts stated in this release are rounded, while percentages are calculated from the underlying amounts.
* Constant currency revenue; constant currency revenue, organic; non-GAAP gross profit and margin; non-GAAP operating income and margin; non-GAAP net income; non-GAAP EPS; and free cash flow figures (used here and below) are non-GAAP financial measures. A reconciliation of these financial measures to their most directly comparable GAAP financial measures is included under the heading "Non-GAAP Financial Measures" below.
SOUTH JORDAN, Utah, Feb. 24, 2026 (GLOBE NEWSWIRE) -- Merit Medical Systems, Inc. (NASDAQ:MMSI), a leading global manufacturer and marketer of healthcare technology, today announced financial results for the three and twelve-month periods ended December 31, 2025.
"Merit delivered better-than-expected revenue and financial results in the fourth quarter," said Martha G. Aronson, Merit's President and CEO. "Our fourth quarter capped off an impressive year of operating and financial performance in 2025; we delivered 6.8% organic, constant currency revenue growth, a 130 basis-point improvement year-over-year in our non-GAAP operating margin and generated strong free cash flow of more than $215 million, a 16% increase year-over-year. We are introducing 2026 revenue and non-GAAP earnings per share guidance which reflects confidence in our team's ability to deliver continued strong execution, stable constant currency growth, improving profitability and solid free cash flow generation again this year. Importantly, the team remains laser focused on delivering the final year of our Continued Growth Initiatives Program and the related financial targets for the three-year period ending December 31, 2026."
Merit's revenue by operating segment and product category for the three and twelve-month periods ended December 31, 2025 and 2024 was as follows (unaudited; in thousands, except for percentages):
Three Months Ended
Reported
Constant Currency*
December 31,
Impact of foreign
December 31,
2025
2024(1)
% Change
exchange
2025
% Change
Cardiovascular
Peripheral Intervention
$
154,933
$
135,235
15
%
$
(1,635
)
$
153,298
13
%
Cardiac Intervention
117,240
95,228
23
%
(1,883
)
115,357
21
%
Custom Procedural Solutions
53,621
50,923
5
%
(562
)
53,059
4
%
OEM
48,085
56,314
(15
)
%
(300
)
47,785
(15
)
%
Total
373,879
337,700
11
%
(4,380
)
369,499
9
%
Endoscopy
Endoscopy Devices
20,057
17,458
15
%
(15
)
20,042
15
%
Total
$
393,936
$
355,158
11
%
$
(4,395
)
$
389,541
10
%
Year Ended
Reported
Constant Currency *
December 31,
Impact of foreign
December 31,
2025
2024(1)
% Change
exchange
2025
% Change
Cardiovascular
Peripheral Intervention
$
579,840
$
532,770
9
%
$
(1,191
)
$
578,649
9
%
Cardiac Intervention
448,914
368,951
22
%
(2,213
)
446,701
21
%
Custom Procedural Solutions
209,333
200,033
5
%
(1,228
)
208,105
4
%
OEM
204,955
199,990
2
%
(521
)
204,434
2
%
Total
1,443,042
1,301,744
11
%
(5,153
)
1,437,889
10
%
Endoscopy
Endoscopy Devices
72,864
54,770
33
%
(20
)
72,844
33
%
Total
$
1,515,906
$
1,356,514
12
%
$
(5,173
)
$
1,510,733
11
%
(1) Commencing January 1, 2025, Merit reorganized its sales teams and product categories to include revenues from the sale of its spine devices under its OEM product category. Revenue figures for 2024 have been recast to reflect this realignment of its portfolio of spine products, representing approximately $5.9 million and $22.6 million in revenue for the three and twelve-month periods ended December 31, 2024, respectively, within the OEM product category to provide comparability between the reporting periods.
Fourth Quarter 2025 Financial Summary:
GAAP gross margin was 49.6%, compared to 48.7% for the fourth quarter of 2024. Non-GAAP gross margin* was 54.5%, compared to 53.5% for the fourth quarter of 2024.
GAAP operating margin was 13.8%, compared to 10.3% for the fourth quarter of 2024. Non-GAAP operating margin* was 21.0%, compared to 19.6% for the fourth quarter of 2024.
GAAP net income was $38.0 million, or $0.63 per share, compared to $27.9 million, or $0.46 per share, for the fourth quarter of 2024. Non-GAAP net income* was $62.5 million, or $1.04 per share, compared to $56.3 million, or $0.93 per share, for the fourth quarter of 2024.
Fiscal Year 2025 Financial Summary:
GAAP gross margin was 48.7%, compared to 47.4% for fiscal year 2024. Non-GAAP gross margin* was 53.7%, compared to 51.7% for fiscal year 2024.
GAAP operating margin was 12.2%, compared to 11.5% for fiscal year 2024. Non-GAAP operating margin* was 20.3%, compared to 19.0% for fiscal year 2024.
GAAP net income was $128.5 million, or $2.13 per share, compared to $120.4 million, or $2.03 per share, for fiscal year 2024. Non-GAAP net income* was $231.4 million, or $3.83 per share, compared to $205.4 million, or $3.46 per share, for fiscal year 2024.
As of December 31, 2025, Merit had cash and cash equivalents of $446.4 million and total debt obligations of $747.5 million, compared to cash and cash equivalents of $376.7 million and total debt obligations of $747.5 million as of December 31, 2024. Merit had available borrowing capacity of approximately $697 million as of December 31, 2025.
Fiscal Year 2026 Financial Guidance
Based upon the information currently available to Merit's management, for the twelve-months ending December 31, 2026, absent the potential impact of trade policies and related actions implemented by the U.S. and other countries subsequent to today's date, material acquisitions, non-recurring transactions or other factors beyond Merit's current expectations, Merit anticipates the following financial results:
Revenue and Earnings Guidance*
Year Ended
Year Ending
% Change
Financial Measure
December 31, 2025
December 31, 2026
Y/Y
Total Revenue
$1.516 billion
$1.610 - $1.630 billion
6% - 8%
Non-GAAP Earnings Per Share(1)
$3.83
$4.01 - $4.15
5% - 8%
*Percentage figures approximated; dollar figures may not foot due to rounding.(1) Merit's non-GAAP earnings per share reflect the dilutive impact of its 3.00% Convertible Senior Notes due 2029 (the "Convertible Notes") calculated using the if-converted method of approximately $0.07 per share for the year ending December 31, 2026. Any offsetting impacts of the capped call associated with the Convertible Notes are not considered.
Merit does not provide guidance for GAAP reported financial measures (other than revenue) or a reconciliation of forward-looking non-GAAP financial measures to the most directly comparable GAAP reported financial measures (other than revenue) because Merit is unable to predict with reasonable certainty the financial impact of various items which could impact Merit's future financial results, such as expenses attributable to acquisitions or other extraordinary transactions, non-cash expenses related to amortization or write-off of previously acquired tangible and intangible assets, certain employee termination benefits, performance-based stock compensation expenses, expenses resulting from non-ordinary course litigation or administrative proceedings and resulting settlements, governmental proceedings, and changes in governmental or industry regulations. These items are uncertain, depend on various factors, and could have a material impact on GAAP reported results for the guidance period. For the same reasons, Merit is unable to address the significance of the unavailable information, which could be material to future results. Specifically, Merit is not, without unreasonable effort, able to reliably predict the impact of these items and Merit believes inclusion of a reconciliation of these forward-looking non-GAAP measures to their GAAP counterparts could be confusing to investors or cause undue reliance.
Merit's financial guidance for the year ending December 31, 2026 is subject to risks and uncertainties identified in this release and Merit's filings with the U.S. Securities and Exchange Commission (the "SEC"). This guidance is based on information and estimates available to Merit as of February 24, 2026. Should known or unknown risks or uncertainties materialize or should underlying assumptions prove inaccurate, actual results will likely vary, and could vary materially, from past results and those anticipated, estimated or projected.
CONFERENCE CALL
As previously announced, Merit will hold its investor conference call today, Tuesday, February 24, 2026, at 4:30 p.m., Eastern Time, to discuss its results for the fourth quarter and year ended December 31, 2025 and provide an operational update. To access the conference call, please pre-register using the following link. Registrants will receive confirmation with dial-in details. A live webcast and slide deck will also be available at merit.com.
CONSOLIDATED BALANCE SHEETS(in thousands)
December 31,
2025
December 31,
(Unaudited)
2024
ASSETS
Current Assets
Cash and cash equivalents
$
446,404
$
376,715
Trade receivables, net
203,710
190,243
Other receivables
17,773
16,588
Inventories
333,705
306,063
Prepaid expenses and other assets
31,493
28,544
Prepaid income taxes
4,941
3,286
Income tax refund receivables
2,128
2,335
Total current assets
1,040,154
923,774
Property and equipment, net
428,401
386,165
Intangible assets, net
537,654
498,265
Goodwill
506,837
463,511
Deferred income tax assets
7,049
16,044
Operating lease right-of-use assets
87,600
65,508
Other assets
78,227
65,336
Total Assets
$
2,685,922
$
2,418,603
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities
Trade payables
$
60,551
$
68,502
Accrued expenses
159,486
134,077
Current operating lease liabilities
10,876
10,331
Income taxes payable
8,851
3,492
Total current liabilities
239,764
216,402
Long-term debt
734,038
729,551
Deferred income tax liabilities
19,665
240
Liabilities related to unrecognized tax benefits
2,248
2,118
Deferred compensation payable
17,542
19,197
Deferred credits
1,398
1,502
Long-term operating lease liabilities
76,658
54,783
Other long-term obligations
10,306
15,451
Total liabilities
1,101,619
1,039,244
Stockholders' Equity
Common stock
763,909
703,219
Retained earnings
824,030
695,541
Accumulated other comprehensive loss
(3,636
)
(19,401
)
Total stockholders' equity
1,584,303
1,379,359
Total Liabilities and Stockholders' Equity
$
2,685,922
$
2,418,603
CONSOLIDATED STATEMENTS OF INCOME(Unaudited, in thousands except per share amounts)
Three Months Ended
Year Ended
December 31,
December 31,
2025
2024
2025
2024
Net sales
$
393,936
$
355,158
$
1,515,906
$
1,356,514
Cost of sales
198,584
182,175
777,636
713,181
Gross profit
195,352
172,983
738,270
643,333
Operating expenses:
Selling, general and administrative
114,830
111,074
455,214
399,731
Research and development
26,541
25,194
97,352
87,466
