Photo: Enovis / company press archive (San Daniele, Italy, 2024)
Enovis raised its profit forecast Thursday and doubled its share-buyback authorization to $200 million, as growth in its joint-replacement business helped lift quarterly sales.
The medical-device maker’s results show two different speeds: reconstructive products grew 6%, while reported sales in Prevention & Recovery fell 2%. For hospitals and clinics buying orthopedic equipment, the figures offer a look at demand across the businesses that support surgery and recovery, rather than a direct measure of patient costs.
In its third-quarter results, Enovis reported sales of $558.7 million, up about 2% from $548.9 million a year earlier. Organic growth, which strips out acquisitions, divestitures and currency changes, was 5%.
Reconstructive sales rose 6% on both a reported and organic basis. Prevention & Recovery grew 3% organically despite its reported decline.
Enovis reported net income of $3.4 million. Adjusted earnings were 88 cents a diluted share, and adjusted earnings before interest, taxes, depreciation and amortization were about $104 million. Those adjusted measures exclude costs and are not the same as reported profit.
The company raised its full-year adjusted earnings forecast to $3.58-$3.79 a share, from $3.52-$3.73. It also lifted its adjusted EBITDA range to $428 million-$438 million, from $425 million-$435 million.
Revenue guidance narrowed to $2.32 billion-$2.35 billion, compared with $2.31 billion-$2.37 billion previously. Enovis now expects 5% organic sales growth for the year.
The new $200 million buyback authorization replaces the previous $100 million program. It is permission to buy shares, not a commitment to spend the full amount: management will decide the timing and size based on market conditions and other priorities.
Chief executive Damien McDonald said cost inflation and volatility remain challenges as Enovis invests in new technology.
JBizNews Desk | Dallas
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