Second Quarter and First Half Fiscal 2027
Filed Nov 5, 2026Haemonetics Reports Second Quarter and First Half Fiscal 2027 Results; Updates Fiscal 2027 Guidance
Second-quarter revenue increased 9.3%, organic revenue growth was 10.0%, and GAAP operating income increased 28.4%. Gross margin expanded, cash flow increased, and fiscal 2027 reported and organic revenue growth guidance was raised, although adjusted operating-margin expansion guidance was reduced.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Second quarter fiscal 2027 net revenues (Dollars in Thousands)GAAP | $357.8M | – | 9.3% |
| First half fiscal 2027 net revenues (Dollars in Thousands)GAAP | $697.1M | – | 7.5% |
| Second quarter fiscal 2027 gross profit (Dollars in Thousands)GAAP | $220.9M | – | 13.4% |
| First half fiscal 2027 gross profit (Dollars in Thousands)GAAP | $423.7M | – | 9.5% |
| Second quarter fiscal 2027 gross marginGAAP | 61.7% | – | 2.2% |
| First half fiscal 2027 gross marginGAAP | 60.8% | – | 1.1% |
| Second quarter fiscal 2027 research and development expense (Dollars in Thousands)GAAP | $17.03M | – | 14.5% |
| First half fiscal 2027 research and development expense (Dollars in Thousands)GAAP | $33.23M | – | 6.7% |
| Second quarter fiscal 2027 selling, general and administrative expense (Dollars in Thousands)GAAP | $118.4M | – | 16.5% |
| First half fiscal 2027 selling, general and administrative expense (Dollars in Thousands)GAAP | $237.3M | – | 11.8% |
| Second quarter fiscal 2027 total operating expenses (Dollars in Thousands)GAAP | $145.8M | – | 7.0% |
| First half fiscal 2027 total operating expenses (Dollars in Thousands)GAAP | $291.1M | – | 6.0% |
| Second quarter fiscal 2027 operating income (Dollars in Thousands)GAAP | $75.12M | – | 28.4% |
| First half fiscal 2027 operating income (Dollars in Thousands)GAAP | $132.6M | – | 18.0% |
| Second quarter fiscal 2027 operating marginGAAP | 21.0% | – | 3.1% |
| First half fiscal 2027 operating marginGAAP | 19.0% | – | 1.7% |
| Second quarter fiscal 2027 interest and other expense, net (Dollars in Thousands)GAAP | −$12.26M | – | 70.1% |
| First half fiscal 2027 interest and other expense, net (Dollars in Thousands)GAAP | −$22.14M | – | 39.2% |
| Second quarter fiscal 2027 effective income tax rateGAAP | 26.3% | – | – |
| Second quarter fiscal 2027 net income (Dollars in Thousands)GAAP | $46.30M | – | 19.7% |
| First half fiscal 2027 net income (Dollars in Thousands)GAAP | $79.31M | – | 9.1% |
| Second quarter fiscal 2027 net income marginGAAP | 12.9% | – | 1.1% |
| First half fiscal 2027 net income marginGAAP | 11.4% | – | 0.2% |
| Second quarter fiscal 2027 net income per common share assuming dilutionGAAP | $ 1.00 | – | 23.5% |
| First half fiscal 2027 net income per common share assuming dilutionGAAP | $ 1.72 | – | 13.9% |
| Second quarter fiscal 2027 organic revenue growthnon-GAAP | 10.0% | – | 10.0% |
| First half fiscal 2027 organic revenue growthnon-GAAP | 8.0% | – | 8.0% |
| Second quarter fiscal 2027 adjusted gross marginnon-GAAP | 61.9% | – | up 140 basis points |
| First half fiscal 2027 adjusted gross marginnon-GAAP | 61.2% | – | – |
| Second quarter fiscal 2027 adjusted operating expenses (Dollars in Thousands)non-GAAP | $127.6M | – | 15.2% |
| First half fiscal 2027 adjusted operating expenses (Dollars in Thousands)non-GAAP | $253.2M | – | – |
| Second quarter fiscal 2027 adjusted operating income (Dollars in Thousands)non-GAAP | $94.06M | – | 7.8% |
| First half fiscal 2027 adjusted operating income (Dollars in Thousands)non-GAAP | $173.3M | – | – |
| Second quarter fiscal 2027 adjusted operating marginnon-GAAP | 26.3% | – | down 40 basis points |
| First half fiscal 2027 adjusted operating marginnon-GAAP | 24.9% | – | – |
| Second quarter fiscal 2027 adjusted income tax ratenon-GAAP | 24.7% | – | flat |
| Second quarter fiscal 2027 adjusted net income (Dollars in Thousands)non-GAAP | $62.58M | – | 3.8% |
| First half fiscal 2027 adjusted net income (Dollars in Thousands)non-GAAP | $114.9M | – | – |
| Second quarter fiscal 2027 adjusted earnings per diluted sharenon-GAAP | $ 1.35 | – | 6.3% |
| First half fiscal 2027 adjusted earnings per diluted sharenon-GAAP | $ 2.49 | – | – |
| Second quarter fiscal 2027 cash flow from operating activitiesGAAP | $128.1M | – | up $16.8 million |
| First half fiscal 2027 net cash provided by operating activities (Dollars in Thousands)GAAP | $180.4M | – | – |
| Second quarter fiscal 2027 free cash flownon-GAAP | $103.8M | – | up $15.1 million |
| First half fiscal 2027 free cash flow (Dollars in Thousands)non-GAAP | $142.9M | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Second quarter fiscal 2027 PlasmaOrganic growth was 17.7%; currency impact was (0.6)% and strategic exits impact was (0.6)%. | $162.6M | – | 16.5% |
| Second quarter fiscal 2027 OtherOrganic growth was 0.2%; currency impact was (0.2)%. | $42.22M | – | — % |
| Second quarter fiscal 2027 ApheresisOrganic growth was 13.6%; currency impact was (0.6)% and strategic exits impact was (0.4)%. | $204.8M | – | 12.6% |
| Second quarter fiscal 2027 Interventional TechnologiesOrganic growth was 3.2%; currency impact was (0.8)%. | $60.51M | – | 2.4% |
| Second quarter fiscal 2027 Blood Management TechnologiesOrganic growth was 7.0%. | $92.45M | – | 7.0% |
| Second quarter fiscal 2027 MedSurgOrganic growth was 5.5%; currency impact was (0.4)%. | $153.0M | – | 5.1% |
| First half fiscal 2027 PlasmaOrganic growth was 12.9%; currency impact was (0.3)% and strategic exits impact was (0.9)%. | $318.1M | – | 11.7% |
| First half fiscal 2027 OtherOrganic growth was (1.2)%; currency impact was 0.1%. | $78.02M | – | (1.1)% |
| First half fiscal 2027 ApheresisOrganic growth was 9.8%; currency impact was (0.1)% and strategic exits impact was (0.7)%. | $396.1M | – | 9.0% |
| First half fiscal 2027 Interventional TechnologiesOrganic growth was 3.0%; currency impact was (0.5)%. | $120.5M | – | 2.5% |
| First half fiscal 2027 Blood Management TechnologiesOrganic growth was 7.5%; currency impact was 0.2%. | $180.6M | – | 7.7% |
| First half fiscal 2027 MedSurgOrganic growth was 5.7%; currency impact was (0.1)%. | $301.0M | – | 5.6% |
Amounts quoted below without a unit are in thousands, as in the filing’s tables. Per-share figures are as printed.
Fiscal 2027 outlook
- RevenueReported Revenue 8 - 11%; Organic Revenue 6 - 9%
- Note53rd week impact (~2%)
- NoteStrategic exits ~1%
- NoteCurrency impact 0 - 1%
- NoteAdjusted operating margin 0 – 50 bps expansion YoY
- NoteAdjusted earnings per diluted share Comparable to reported revenue growth
- NoteFree cash flow conversion >80%
- NoteCurrent guidance includes high-single-digit growth in Apheresis and mid-single digit growth in MedSurg.
Capital returns
- Share repurchases were — for the six months ended September 26, 2026, compared with $ 75,000 for the six months ended September 27, 2025 (Dollars in Thousands).
- Cash used to net share settle employee equity awards was $ (3,888) for the six months ended September 26, 2026, compared with $ (4,795) for the six months ended September 27, 2025 (Dollars in Thousands).
What drove it
- Second-quarter gross-margin expansion reflected tariffs refunded, continued transformation of the product portfolio to higher-margin offerings, and the absence of amortization of fair value inventory step-up.
- Adjusted gross-margin expansion reflected tariffs refunded and higher-margin portfolio mix, partially offset by foreign currency fluctuations.
- Operating-expense growth was driven by higher personnel-related costs and freight charges.
- Second-quarter operating cash flow increased due to favorable working-capital adjustments driven by timing of payments made and cash collections.
- Management cited expansion of the CSL relationship and recent innovation milestones in Apheresis and MedSurg.
Concerns
- Adjusted operating margin was 26.3%, down 40 basis points from the prior-year period, as adjusted operating expenses increased 15.2%.
- Interest and other expense, net was $ (12,261) in the second quarter of fiscal 2027, compared with $ (7,206) in the prior-year period.
- The effective income tax rate increased to 26.3% from 24.6%, primarily due to valuation allowances recorded against deferred tax assets in jurisdictions with losses from recent acquisitions.
- Fiscal 2027 adjusted operating-margin guidance was updated to 0 – 50 bps expansion YoY from 50 – 100 bps expansion YoY.
- Free cash flow was impacted by higher capital expenditures, partially offset by lower non-cash transfers from Haemonetics equipment.
What to watch
- Delivery of fiscal 2027 reported revenue growth guidance of 8 - 11% and organic revenue growth guidance of 6 - 9%.
- High-single-digit growth in Apheresis and mid-single digit growth in MedSurg included in current fiscal 2027 guidance.
- Adjusted operating-margin performance against guidance for 0 – 50 bps expansion YoY.
- Free cash flow conversion against guidance of >80%.
- The impacts of the 53rd week, strategic exits, and currency on fiscal 2027 growth.
Balance sheet and cash flow
- Cash and cash equivalents were $ 260,712 at September 26, 2026, compared with $ 245,440 at March 28, 2026 (Dollars in Thousands).
- Short-term debt & current maturities were $ 9,643 at September 26, 2026, compared with $ 5,015 at March 28, 2026 (Dollars in Thousands).
- Long-term debt was $ 1,114,118 at September 26, 2026, compared with $ 1,219,565 at March 28, 2026 (Dollars in Thousands).
- Net cash provided by operating activities was $ 180,423 for the six months ended September 26, 2026, compared with $ 128,716 for the six months ended September 27, 2025 (Dollars in Thousands).
- Capital expenditures were $ (22,677) for the six months ended September 26, 2026, compared with $ (8,770) for the six months ended September 27, 2025 (Dollars in Thousands).
- Net repayments, net of borrowings were $ (103,125) for the six months ended September 26, 2026, compared with $ (3,125) for the six months ended September 27, 2025 (Dollars in Thousands).
- Contingent consideration payments were $ (17,597) for the six months ended September 26, 2026, compared with — for the six months ended September 27, 2025 (Dollars in Thousands).
- Free cash flow was $ 142,902 for the six months ended September 26, 2026, compared with $ 91,214 for the six months ended September 27, 2025 (Dollars in Thousands).
Analysis
Haemonetics reported second-quarter fiscal 2027 GAAP net revenues of $ 357,759 (Dollars in Thousands), up 9.3%, with organic revenue growth of 10.0%. First-half net revenues were $ 697,139 (Dollars in Thousands), up 7.5%, and organic revenue growth was 8.0%. Apheresis led the quarter with revenue of $ 204,805 (Dollars in Thousands), up 12.6%, including 17.7% growth in Plasma. MedSurg revenue was $ 152,954 (Dollars in Thousands), up 5.1%, as Blood Management Technologies grew 7.0% and Interventional Technologies grew 2.4%.
Profitability improved materially on a GAAP basis. Second-quarter gross margin increased to 61.7% from 59.5%, and operating income increased 28.4% to $ 75,120 (Dollars in Thousands). Management attributed gross-margin improvement to tariff refunds, a shift toward higher-margin offerings, and the absence of fair value inventory step-up amortization. GAAP net income increased 19.7% to $ 46,305 (Dollars in Thousands), while diluted EPS rose 23.5% to $ 1.00.
The adjusted earnings picture was more restrained. Adjusted gross margin rose 140 basis points to 61.9%, but adjusted operating margin declined 40 basis points to 26.3% as adjusted operating expenses increased 15.2% to $ 127,573 (Dollars in Thousands). Adjusted operating income increased 7.8% to $ 94,056 (Dollars in Thousands), adjusted net income increased 3.8% to $ 62,577 (Dollars in Thousands), and adjusted diluted EPS increased 6.3% to $ 1.35. Higher personnel-related costs and freight charges were the stated drivers of operating-expense growth.
Cash generation strengthened. Second-quarter cash flow from operating activities was $128.1 million, up $16.8 million, and free cash flow was $103.8 million, up $15.1 million. For the first half, net cash provided by operating activities was $ 180,423 (Dollars in Thousands), and free cash flow was $ 142,902 (Dollars in Thousands). Cash and cash equivalents increased to $ 260,712 (Dollars in Thousands) at September 26, 2026, while long-term debt declined to $ 1,114,118 (Dollars in Thousands) from $ 1,219,565 (Dollars in Thousands) at March 28, 2026.
The company raised fiscal 2027 reported revenue growth guidance to 8 - 11% from 5 - 8% and organic revenue growth guidance to 6 - 9% from 4 - 7%. The outlook calls for high-single-digit Apheresis growth and mid-single digit MedSurg growth. At the same time, adjusted operating-margin guidance was reduced to 0 – 50 bps expansion YoY from 50 – 100 bps expansion YoY. Free cash flow conversion guidance was increased to >80% from ~80%.
Management, verbatim
Our second-quarter and first-half results reflect significant momentum across our businesses. Expansion of our CSL relationship and recent innovation milestones in both Apheresis and MedSurg strengthen our competitive position and create powerful new opportunities. With multiple catalysts for growth, we are focused on executing for our customers and translating our momentum into sustained success and shareholder value.
Chris Simon, CEO
Not in the filing
stated, not guessed- Previous-release outlook section was not separately provided; therefore, no actual-versus-prior-guidance comparisons are presented.
- Dividend amount and dividend declaration details were not reported.
- Second-quarter and first-half free-cash-flow conversion actual results were not reported.
- Fiscal 2027 gross margin, operating expenses, and tax-rate guidance were not reported.
- Prior-quarter comparisons were not reported for the listed operating metrics.
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure is checked against the filing text, and a metric the filing does not print, or whose value, prior period and change do not add up, is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.