Adjusted earnings per share (EPS) increased 3% year-over-year to $2.07 despite dilution from Paragon 28 and commercial investments.
Adjusted gross margin improved to 72.3% driven by favorable mix and lower excess and obsolescence costs, offsetting higher manufacturing costs.
Adjusted operating margin was 27.8%, down year-over-year due to increased commercial investments and Paragon 28 integration but in line with expectations.
Days of inventory on hand were reduced by nearly 20 days compared to Q2 2024.
GAAP diluted EPS was $0.77 compared to $1.18 in the prior year, impacted by acquisition-related charges and interest expense.
Operating cash flow was $378 million and free cash flow was $248 million, consistent with 2024 levels despite Paragon 28 acquisition.
Zimmer Biomet reported net sales of $2.77 billion in Q2 2025, a 7% increase on a reported basis and 2.8% organic constant currency growth excluding foreign currency and Paragon 28 acquisition.
Adjusted EBITDA increased by approximately 33% to $24.8 million, with an adjusted EBITDA margin of 21.9%, a 300 basis point improvement from the prior year.
Artivion reported total constant currency revenue growth of over 14% year-over-year in Q2 2025, reaching $113 million.
Free cash flow was $11.7 million in Q2 2025, with a net leverage ratio reduced to 2.2 from 4.1 in the prior year due to retiring convertible notes.
Gross margins improved slightly to 64.7% (non-GAAP gross margin of 65.1%), driven by favorable mix from AMDS HDE revenues and strong On-X growth.
On-X revenues grew 24%, stent graft revenues grew 22%, BioGlue grew 4%, and tissue processing revenues grew 3% year-over-year on a constant currency basis.
Regional revenue growth was 18% in North America, 15% in Asia Pacific, 10% in EMEA, and 7% in Latin America.
Dafinchi