HAEMONETICS CORP (HAE): Results of Operations and Financial Condition
HAEMONETICS CORP (HAE) filed an SEC Form 8-K — Results of Operations and Financial Condition. Exhibit 99.1 Investor Contacts Media Contact Olga Guyette, Vice President-Investor Relations & Treasury Josh Gitelson, Sr. Director-Global Communications (781) 356-9763 (781) 356-9776 olga.guyette@haemonetics.com josh.gitelson@haemonetics.com David Trenk, Sr. Manager-Investor Rel
How this was made
The 30-second read
Why it matters
The key tradable items are the raised FY2027 GAAP revenue and organic revenue growth ranges, alongside Q1 operating performance (revenue growth, adjusted EPS, cash flow) and margin/tax dynamics that could influence estimate revisions.
Market read
Traders can update FY2027 revenue, organic growth, and EPS expectations immediately based on the raised guidance ranges and Q1 cash flow performance.
What to watch
Effective tax rate rose due to stock compensation shortfalls and valuation allowance impacts in recently acquired jurisdictions, which may not normalize quickly.
Reports First Quarter Fiscal 2027 Results; Raises Total Company Fiscal 2027 Guidance
Revenue grew 5.6% and the Company raised fiscal 2027 revenue guidance, but adjusted operating income declined 2.2%, adjusted operating margin declined 70 basis points, and adjusted gross margin declined 40 basis points.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| Total net revenueGAAP | $339.4 million | – | 5.6% |
| Gross marginGAAP | 59.8% | – | – |
| Operating expensesGAAP | $145.3 million | – | 5.0% |
| Operating incomeGAAP | $57.5 million | – | – |
| Operating marginGAAP | 16.9% | – | – |
| Effective income tax rateGAAP | 30.6% | – | – |
| Net incomeGAAP | $33.0 million | – | – |
| Earnings per diluted shareGAAP | $0.72 | – | – |
| Organic revenue growthnon-GAAP | 5.9% | – | 5.9% |
| Adjusted gross marginnon-GAAP | 60.4% | – | down 40 basis points |
| Adjusted operating expensesnon-GAAP | $125.6 million | – | 6.7% |
| Adjusted operating incomenon-GAAP | $79.3 million | – | down $1.7 million, or 2.2% |
| Adjusted operating marginnon-GAAP | 23.4% | – | down 70 basis points |
| Adjusted income tax ratenon-GAAP | 25.7% | – | up 180 basis points |
| Adjusted net incomenon-GAAP | $52.3 million | – | up $0.9 million, or 1.8% |
| Adjusted earnings per diluted sharenon-GAAP | $1.14 | – | up 3.6% |
| Cash flow from operating activitiesother | $52.3 million | – | up $34.9 million |
| Free cash flownon-GAAP | $39.1 million | – | up $36.6 million |
| Cash on handother | $223.4 million | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| ApheresisOrganic revenue growth was 6.0% compared with the same period of fiscal 2026. | $191.3 | – | 5.3% |
| MedSurgOrganic revenue growth was 5.9% compared with the same period of fiscal 2026. | $148.1 | – | 6.0% |
fiscal 2027 outlook
- RevenueReported Revenue 5 - 8%; Organic Revenue 4 - 7%
- Note53rd week impact (~2%)
- NoteCurrency impact 0 - 1%
- NoteAdjusted operating margin 50 – 100 bps expansion YoY
- NoteAdjusted earnings per diluted share Comparable to reported revenue growth
- NoteFree cash flow conversion ~80%
- NoteCurrent guidance includes low- to mid-single-digit growth in Apheresis and mid-single digit growth in MedSurg.
What drove it
- The Company cited gaining Plasma share, sustaining Blood Management Technologies momentum, and returning Interventional Technologies to growth.
- The increase in operating expenses was driven by higher personnel-related costs and freight charges.
- Increased operating cash flow was driven by favorable working capital adjustments from the timing of collections on receivables.
- Free cash flow benefitted from lower non-cash transfers from Haemonetics equipment, partially offset by higher capital expenditures.
Concerns
- Adjusted gross margin was down 40 basis points, primarily reflecting upfront revenue recognition upon execution of a long-term software agreement in the prior year.
- Adjusted operating income was down $1.7 million, or 2.2%, and adjusted operating margin was down 70 basis points.
- The GAAP effective income tax rate increased to 30.6%, primarily driven by stock compensation shortfalls and valuation allowance impacts related to losses in certain recently acquired jurisdictions.
- Cash on hand decreased by $22.1 million since the end of fiscal 2026.
What to watch
- Delivery against fiscal 2027 reported revenue guidance of 5 - 8% and organic revenue guidance of 4 - 7%.
- Whether adjusted operating margin achieves 50 – 100 bps expansion YoY after the first-quarter decline of 70 basis points.
- Apheresis growth within low- to mid-single-digit guidance and MedSurg growth within mid-single digit guidance.
- Free cash flow conversion relative to the ~80% fiscal 2027 target.
Balance sheet and cash flow
- Cash on hand as of June 27, 2026 was $223.4 million, a decrease of $22.1 million since the end of fiscal 2026.
- Cash outflows for the repayment of revolving credit facility borrowings and strategic investments were partially offset by cash flow provided from operating activities.
- First quarter fiscal 2027 cash flow from operating activities was $52.3 million, up $34.9 million.
- Free cash flow was $39.1 million, up $36.6 million.
Analysis
Haemonetics reported first-quarter fiscal 2027 GAAP revenue of $339.4 million, up 5.6% compared with the first quarter of fiscal 2026. Organic revenue growth was 5.9%. Apheresis revenue was $191.3, up 5.3%, while MedSurg revenue was $148.1, up 6.0%. Management characterized the quarter as gaining Plasma share, sustaining Blood Management Technologies momentum, and returning Interventional Technologies to growth.
GAAP gross margin was unchanged at 59.8%. GAAP operating income increased to $57.5 million from $53.9 million, and operating margin increased to 16.9% from 16.8%. However, operating expenses increased $7.0 million, or 5.0%, to $145.3 million, driven by higher personnel-related costs and freight charges. The GAAP effective income tax rate rose to 30.6% from 24.7%, and GAAP net income declined to $33.0 million from $34.0 million despite diluted EPS increasing to $0.72 from $0.70.
Adjusted profitability was weaker than the GAAP operating-income comparison. Adjusted gross margin was 60.4%, down 40 basis points, principally due to upfront revenue recognition on a long-term software agreement in the prior-year period. Adjusted operating income was $79.3 million, down $1.7 million, or 2.2%, and adjusted operating margin was 23.4%, down 70 basis points. Adjusted operating expenses rose $7.9 million, or 6.7%, to $125.6 million. Adjusted net income increased $0.9 million, or 1.8%, to $52.3 million, while adjusted diluted EPS was $1.14, up 3.6%.
Cash generation improved materially. Cash flow from operating activities was $52.3 million, up $34.9 million, driven by favorable working-capital adjustments from the timing of receivables collections. Free cash flow was $39.1 million, up $36.6 million, benefiting from lower non-cash transfers from Haemonetics equipment, partly offset by higher capital expenditures. Cash on hand was $223.4 million, down $22.1 million since the end of fiscal 2026, primarily due to repayment of revolving credit facility borrowings and strategic investments.
The Company raised fiscal 2027 reported revenue guidance to 5 - 8% from 4 - 7% and organic revenue guidance to 4 - 7% from 3 - 6%. It retained guidance for 50 – 100 bps of adjusted operating-margin expansion YoY, adjusted EPS comparable to reported revenue growth, and free-cash-flow conversion of ~80%. The central execution issue is reconciling the raised revenue outlook with first-quarter adjusted margin contraction and higher personnel-related costs, freight charges, and tax rates.
Management, verbatim
We had a strong start to fiscal 2027, gaining Plasma share, sustaining Blood Management Technologies momentum, and returning Interventional Technologies to growth. With our evolved portfolio, transformed operating model and disciplined execution, we are strengthening our competitive position and demonstrating the durable growth of our diversified businesses. We raised full-year guidance, and Haemonetics is well-positioned to deliver sustainable long-term growth and shareholder value.
Chris Simon, Haemonetics’ CEO
Not in the filing
stated, not guessed- Prior-quarter comparisons for all reported metrics
- Prior-year reported revenue dollar amount
- Prior-year operating expenses
- Prior-year adjusted gross margin
- Prior-year adjusted operating expenses
- Prior-year adjusted operating income
- Prior-year adjusted operating margin
- Prior-year adjusted net income
- Prior-year adjusted earnings per diluted share
- Prior-year operating cash flow
- Prior-year free cash flow
- Debt balance
- Amount of revolving credit facility borrowings repaid
- Capital expenditures
- Share repurchases
- Dividends
- Guidance for gross margin, operating expenses, and tax rate
- Previous release outlook needed for reported-results comparison against prior guidance
AlphaAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
This is Haemonetics’ SEC 8-K with Exhibit 99.1 covering first-quarter fiscal 2027 results (ended June 27, 2026) and updated FY2027 guidance.
Ticker impact
Haemonetics reported first-quarter fiscal 2027 results and raised full-year GAAP revenue and organic growth guidance.
Likely positive bias for HAE as traders reprice FY growth and margin trajectory; watch for follow-through versus any tax-margin noise.
The filing includes specific Q1 datapoints (revenue, adjusted EPS, cash flow) and explicit upward guidance ranges for FY2027, which are direct inputs to valuation and estimates.
Market effects
Medical technology and blood management peers may see modest read-across on demand durability and margin execution.
Primarily US-listed sentiment; limited direct regional spillover beyond healthcare medtech.
Global medtech investors may adjust expectations for plasma and med-surg growth, but impact is company-specific.
Counterpoint
Tax rate volatility and adjusted margin compression drivers could offset the headline guidance raise if they persist.
Key entities
- issuerHaemonetics Corporation
NYSE-listed medical technology company reporting Q1 fiscal 2027 results and raising FY2027 guidance.
- executiveChris Simon
CEO quoted on portfolio momentum and disciplined execution supporting the guidance raise.
