Integer Holdings Corporation Reports Third Quarter 2026 Results
Integer Holdings Corp (ITGR) filed an SEC Form 8-K — Results of Operations and Financial Condition. EXHIBIT 99.1 Integer Holdings Corporation Reports Third Quarter 2026 Results PLANO, Texas, Oct. 29, 2026 (GLOBE NEWSWIRE) -- Integer Holdings Corporation (NYSE:ITGR) today announced results for the three months ended October 2, 2026. Third Quarter 2026 Highlights (compared to Thi
How this was made
The 30-second read
Why it matters
The earnings miss highlights operational challenges ahead of the pending transaction.
Market read
Earnings decline may trigger short-term sell pressure in ITGR and related medtech stocks.
What to watch
Debt increase may be offset by upcoming merger premium.
Integer Holdings Corporation Reports Third Quarter 2026 Results
Third-quarter sales decreased 3.9%, while GAAP operating income, income from continuing operations, diluted EPS from continuing operations, adjusted operating income, adjusted net income, adjusted EPS and adjusted EBITDA all declined year over year. Cardiac Rhythm Management & Neuromodulation growth was outweighed by declines in Cardio & Vascular and Other Markets.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Sales, three months ended October 2, 2026GAAP | $449.7M | – | (3.9)% |
| Organic sales change, three months ended October 2, 2026non-GAAP | (2.2)% | – | (2.2)% |
| Cost of sales, three months ended October 2, 2026GAAP | $348.1M | – | – |
| Gross profit, three months ended October 2, 2026GAAP | $101.6M | – | – |
| Selling, general and administrative expense, three months ended October 2, 2026GAAP | $54.15M | – | – |
| Research, development and engineering expense, three months ended October 2, 2026GAAP | $13.53M | – | – |
| Restructuring and other charges, three months ended October 2, 2026GAAP | $5.68M | – | – |
| Total operating expenses, three months ended October 2, 2026GAAP | $73.35M | – | – |
| Operating income, three months ended October 2, 2026GAAP | $28.21M | – | (50.0)% |
| Adjusted operating income, three months ended October 2, 2026non-GAAP | $66.29M | – | (22.8)% |
| Interest expense, three months ended October 2, 2026GAAP | $9.70M | – | – |
| Income from continuing operations before taxes, three months ended October 2, 2026GAAP | $17.51M | – | – |
| Provision for income taxes, three months ended October 2, 2026GAAP | $2.53M | – | – |
| Income from continuing operations, three months ended October 2, 2026GAAP | $14.98M | – | (62.3)% |
| Net income, three months ended October 2, 2026GAAP | $14.98M | – | – |
| Diluted EPS from continuing operations, three months ended October 2, 2026GAAP | $0.43 | – | (61.3)% |
| Diluted earnings per share, three months ended October 2, 2026GAAP | $0.43 | – | – |
| Adjusted net income, three months ended October 2, 2026non-GAAP | $46.14M | – | (26.9)% |
| Adjusted EPS, three months ended October 2, 2026non-GAAP | $1.34 | – | (25.1)% |
| EBITDA, three months ended October 2, 2026non-GAAP | $61.56M | – | (30.4)% |
| Adjusted EBITDA, three months ended October 2, 2026non-GAAP | $87.92M | – | (17.0)% |
| Sales, nine months ended October 2, 2026GAAP | $1.35B | – | (2.0)% |
| Organic sales change, nine months ended October 2, 2026non-GAAP | (0.8)% | – | (0.8)% |
| Cost of sales, nine months ended October 2, 2026GAAP | $1.03B | – | – |
| Gross profit, nine months ended October 2, 2026GAAP | $324.1M | – | – |
| Total operating expenses, nine months ended October 2, 2026GAAP | $229.5M | – | – |
| Operating income, nine months ended October 2, 2026GAAP | $94.61M | – | (42.8)% |
| Adjusted operating income, nine months ended October 2, 2026non-GAAP | $200.3M | – | (15.9)% |
| Income from continuing operations, nine months ended October 2, 2026GAAP | $55.09M | – | 1.6% |
| Net income, nine months ended October 2, 2026GAAP | $55.09M | – | – |
| Diluted EPS from continuing operations, nine months ended October 2, 2026GAAP | $1.60 | – | 5.3% |
| Adjusted net income, nine months ended October 2, 2026non-GAAP | $142.1M | – | (13.3)% |
| Adjusted EPS, nine months ended October 2, 2026non-GAAP | $4.14 | – | (10.8)% |
| EBITDA, nine months ended October 2, 2026non-GAAP | $194.6M | – | (6.3)% |
| Adjusted EBITDA, nine months ended October 2, 2026non-GAAP | $267.9M | – | (9.6)% |
| Net cash provided by operating activities, nine months ended October 2, 2026GAAP | $121.1M | – | – |
| Acquisition of property, plant and equipment, nine months ended October 2, 2026GAAP | −$67.18M | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Cardio & Vascular, three months ended October 2, 2026Reflecting the previously communicated impact from the two new Electrophysiology products. | $263.1M | – | (5.1)% |
| Cardiac Rhythm Management & Neuromodulation, three months ended October 2, 2026Growth was partially offset by the previously communicated impact from the one new Neuromodulation product. | $175.8M | – | 3.9% |
| Other Markets, three months ended October 2, 2026Primarily due to the Portable Medical exit. | $10.75M | – | (49.7)% |
| Cardio & Vascular, nine months ended October 2, 2026Organic change was (2.7)%. | $805.1M | – | (2.2)% |
| Cardiac Rhythm Management & Neuromodulation, nine months ended October 2, 2026Organic change was 3.3%. | $517.8M | – | 3.3% |
| Other Markets, nine months ended October 2, 2026Organic change was (15.9)%. | $30.42M | – | (46.8)% |
Amounts quoted below without a unit are in thousands, as in the filing’s tables. Per-share figures are as printed.
Capital returns
- Repurchases of common stock were $(50,000) (in thousands) for the nine months ended October 2, 2026.
- Tax withholdings related to net share settlements of restricted stock unit awards were $(10,419) (in thousands) for the nine months ended October 2, 2026.
What drove it
- Cardio & Vascular sales decreased 5% to $263 million, reflecting the previously communicated impact from the two new Electrophysiology products.
- Cardiac Rhythm Management & Neuromodulation sales increased 4% to $176 million; growth was partially offset by the previously communicated impact from the one new Neuromodulation product.
- Other Markets sales totaled $11 million, compared to $21 million, primarily due to the Portable Medical exit.
- Third-quarter adjustments included $6.9 million of strategic review and Transaction costs, $2.9 million related to termination benefits from actions to align labor with manufacturing volumes, and $1.2 million of fixed asset impairment charges.
- Third-quarter ERP implementation costs were $3,947 (in thousands), primarily included in SG&A.
Concerns
- Sales declined 3.9% and organic sales declined 2.2% in the third quarter.
- GAAP operating income declined 50.0%, and adjusted operating income declined 22.8%, in the third quarter.
- Gross profit was $101,561 (in thousands), compared with $126,160 (in thousands), while total operating expenses were $73,352 (in thousands), compared with $69,721 (in thousands).
- Other Markets sales declined 49.7%, with the Portable Medical exit accounting for an impact of (28.3)% on reported growth.
- Total debt increased $34 million from the end of 2025 to $1.219 billion.
What to watch
- Completion of the Transaction by the end of 2026, subject to the satisfaction or waiver of remaining customary closing conditions, including receipt of required regulatory approvals.
- The remaining effects of the two new Electrophysiology products and the one new Neuromodulation product on product-line sales.
- Cardio & Vascular sales trends and the continuing effect of the Portable Medical exit on Other Markets.
- Progress in the global manufacturing alignment restructuring initiative and organizational realignment.
- The Company is not providing a financial outlook and will not host a conference call to discuss its third quarter 2026 financial results.
Balance sheet and cash flow
- Cash and cash equivalents were $14,135 (in thousands) as of October 2, 2026, compared with $17,161 (in thousands) as of December 31, 2025.
- Total assets were $3,393,937 (in thousands) as of October 2, 2026, compared with $3,410,577 (in thousands) as of December 31, 2025.
- Long-term debt was $1,219,247 (in thousands) as of October 2, 2026, compared with $1,185,179 (in thousands) as of December 31, 2025.
- Net Total Debt was $1,223,149 (in thousands) as of October 2, 2026, compared with $1,190,123 (in thousands) as of December 31, 2025.
- The leverage ratio was 3.3 times adjusted EBITDA as of October 2, 2026.
- Net cash provided by operating activities was $121,061 (in thousands) for the nine months ended October 2, 2026, compared with $140,733 (in thousands) for the nine months ended September 26, 2025.
- Net cash used in investing activities was $(81,098) (in thousands) for the nine months ended October 2, 2026, compared with $(235,262) (in thousands) for the nine months ended September 26, 2025.
- Net cash used in financing activities was $(42,178) (in thousands) for the nine months ended October 2, 2026, compared with $105,278 (in thousands) for the nine months ended September 26, 2025.
- Cash and cash equivalents, end of period, were $14,135 (in thousands) for the nine months ended October 2, 2026, compared with $58,944 (in thousands) for the nine months ended September 26, 2025.
Analysis
Integer reported weaker third-quarter operating results. Sales were $449,661 (in thousands), down 3.9%, and organic sales decreased 2.2%. The sales decline was concentrated in Cardio & Vascular, which decreased 5.1%, and Other Markets, which decreased 49.7%. Cardiac Rhythm Management & Neuromodulation grew 3.9%, but that growth did not offset declines in the other product lines.
Profitability declined more sharply than sales. Gross profit was $101,561 (in thousands), compared with $126,160 (in thousands), while total operating expenses increased to $73,352 (in thousands) from $69,721 (in thousands). GAAP operating income declined 50.0% to $28,209 (in thousands), and adjusted operating income declined 22.8% to $66,290 (in thousands). GAAP income from continuing operations was $14,978 (in thousands), down 62.3%, and adjusted net income was $46,140 (in thousands), down 26.9%.
The release identifies both demand and portfolio factors. Cardio & Vascular reflected the previously communicated impact from two new Electrophysiology products, while Cardiac Rhythm Management & Neuromodulation growth was partially offset by the impact from one new Neuromodulation product. Other Markets was affected by the Portable Medical exit. Reported results also included ERP implementation costs, fixed asset impairment charges, termination benefits and strategic review and Transaction costs.
For the nine months ended October 2, 2026, sales decreased 2.0% and organic sales decreased 0.8%. GAAP operating income decreased 42.8%, adjusted operating income decreased 15.9%, adjusted EBITDA decreased 9.6%, and adjusted EPS decreased 10.8%. Net cash provided by operating activities was $121,061 (in thousands), compared with $140,733 (in thousands), and acquisition of property, plant and equipment was $(67,181) (in thousands).
Capital allocation included $(50,000) (in thousands) of common-stock repurchases during the nine months ended October 2, 2026. Cash and cash equivalents were $14,135 (in thousands), while Net Total Debt was $1,223,149 (in thousands) and leverage was 3.3 times adjusted EBITDA. The Company is not providing a financial outlook because of its pending acquisition by an affiliate of investment funds managed by KKR. The Transaction is anticipated to close by the end of 2026, subject to remaining customary closing conditions and required regulatory approvals.
Not in the filing
stated, not guessed- Financial outlook was not provided.
- Prior-period financial guidance was not provided.
- Gross margin was not reported.
- Free cash flow was not reported.
- Quarterly operating cash flow was not reported.
- A reported income-tax rate was not provided.
- Dividend information was not reported.
- Named executive quotes were not provided.
- Sequential comparisons for the reported metrics were not provided.
AlphAI 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
Integer Holdings is a leading medical device contract manufacturer awaiting a merger with KKR affiliates.
Ticker impact
Integer Holdings reported Q3 2026 results with sales down 3.9% and GAAP EPS down 61% to $0.43.
likely pressure as the market prices in the earnings decline
Significant drops in revenue and earnings, plus increased debt, suggest near-term downside risk.
Market effects
Medical device CDMO sector may see broader scrutiny on margins.
U.S. healthcare stocks could face short-term pressure.
Limited to investors tracking US-listed medtech firms.
Counterpoint
Potential upside if the merger with KKR proceeds and synergies materialize.
Key entities
- companyInteger Holdings Corporation
US-listed medical device CDMO reporting Q3 results.
- investment_firmKKR
Affiliated investor group slated to acquire Integer.
