HAE

Track your investments for FREE with Simply Wall St, the portfolio command center trusted by over 7 million individual investors worldwide. Haemonetics (HAE) has drawn fresh attention after reporting first quarter fiscal 2027 results, with sales of US$339.38 million and net income of US$33.01 million, alongside a US$391.25 million shelf registration tied to an ESOP related stock offering. See our latest analysis for Haemonetics. Haemonetics’ recent earnings beat, higher revenue guidance and fresh clinical data around VASCADE MVP XL have coincided with a strong 90 day share price return of 61.31%. The 1 year total shareholder return of 68.96% signals building momentum rather than a short term spike. If Haemonetics’ recent move has you looking for other potential medical technology ideas, consider widening your search with the 44 healthcare AI stocks Haemonetics’ surge has come alongside higher guidance, fresh product data and an ESOP related shelf filing. That mix can reflect improving fundamentals or shifting enthusiasm. The next step is to see what the current valuation implies. Haemonetics closed at $90.80, while the most followed narrative places fair value at $96.90 using a discounted cash flow framework with an 8.0% range discount rate. That gap sits at the center of a broader story built around earnings power, margins and capital allocation over the next several years. Read the complete narrative. Read the complete narrative. Want to see what underpins that valuation gap for Haemonetics. The core of this narrative is a step change in profitability, a reset earnings base and a lower future earnings multiple than many peers. Curious which margin assumptions and growth profile support a fair value above the current price. Result: Fair Value of $96.90 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, Haemonetics’ story could change quickly if competition bites into NexSys, TEG or VASCADE, or if U.S.-focused demand slows and exposes that product concentration. Find out about the key risks to this Haemonetics narrative. With mixed sentiment around Haemonetics, it helps to carefully consider both the potential upside and downside for yourself and to move quickly while the data is fresh by reviewing the 2 key rewards and 3 important warning signs If you are serious about sharpening your portfolio after looking at Haemonetics, use focused stock lists to quickly spot fresh ideas before the crowd catches on. Target resilient returns by scanning 83 resilient stocks with low risk scores. This may help steady your portfolio when markets feel choppy. Hunt for quality at a potential discount through the 50 high quality undervalued stocks. It filters for fundamentals many investors overlook. Stack potential income streams by checking out the 10 dividend fortresses. It highlights companies with higher yielding payouts. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include HAE. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

Haemonetics delivered a Q2 performance that surpassed Wall Street’s revenue and adjusted earnings expectations, supported by consistent execution across its business lines. Management attributed the quarter’s results to strong innovation and commercial momentum, particularly in Plasma and Interventional Technologies, where new product rollouts like Persona PLUS and VASCADE MVP XL drove adoption and utilization. CEO Christopher Simon specifically highlighted, "All three of our core platforms contributed to our performance this quarter, demonstrating the breadth of our business and reinforcing the confidence in our ability to deliver sustainable long-term growth." The company’s disciplined approach to portfolio optimization and investments in sales and marketing further supported durable revenue growth. Is now the time to buy HAE? Find out in our full research report (it’s free). Revenue: $339.4 million vs analyst estimates of $330.2 million (5.6% year-on-year growth, 2.8% beat) Adjusted EPS: $1.14 vs analyst estimates of $1.08 (5.8% beat) Operating Margin: 16.9%, in line with the same quarter last year Organic Revenue rose 5.9% year on year (beat) Market Capitalization: $4.16 billion While we enjoy listening to the management’s commentary, our favorite part of earnings calls is the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Anthony Petrone (Mizuho Financial Group) asked about regaining share in Interventional Technologies and the attach rate for VASCADE with pulsed field ablation. CEO Christopher Simon explained that market stabilization, commercial execution, and the MVP XL label expansion drove recent share gains. Allen Gong (JPMorgan) questioned gross margin progression for the remainder of the year. CFO James D’Arecca explained that stable SG&A and favorable mix from Persona PLUS should support sequential margin expansion despite external cost pressures. Marie Thibault (U.S. Bancorp BTIG) inquired about the timing and adoption curve for Persona PLUS. Simon responded that the rollout is ahead of schedule, with the pace depending on customer contracts but the ability to convert centers rapidly if demand holds. David Rescott (Baird) sought clarification on plasma segment restatement and the contributions from Persona PLUS and disposables. Simon detailed how the segment was reclassified and emphasized the combined impact of share gains, strong demand, and Persona PLUS pricing. Joseph Stringer (Needham & Company) asked about capital equipment budgeting trends. Simon confirmed there was no evidence of capital budget tightening affecting TEG placements, emphasizing strong clinical use cases and value-based adoption. In the coming quarters, the StockStory team will monitor (1) the pace and breadth of Persona PLUS adoption across both U.S. and international plasma centers, (2) the progression of VASCADE MVP XL regulatory approvals and launches in key geographies like Japan, and (3) the impact of recurring revenue growth and product mix on operating margins. We will also be watching for updates on new product development and regulatory milestones that could alter Haemonetics’ addressable market. Haemonetics currently trades at $91.68, up from $83.60 just before the earnings. Is there an opportunity in the stock? Find out in our full research report (it’s free for active Edge members). ONE MORE THING: Top 5 Growth Stocks. The biggest stock winners almost always had one thing in common before they ran. Revenue growing like crazy. Meta. CrowdStrike. Broadcom. Our AI flagged all three. They returned 315%, 314%, and 455%, respectively. Find out which 5 stocks it’s flagging this month — FREE. Get Our Top 5 Growth Stocks for Free HERE. Stocks that have made our list include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+214% between June 2020 and June 2025). Find your next big winner with StockStory today.

Haemonetics Corporation HAE posted first-quarter fiscal 2027 adjusted earnings of $1.14 per share, up 3.6% year over year. The figure beat the Zacks Consensus Estimate by 6.5%. On a GAAP basis, earnings per share were 72 cents compared with 70 cents in the prior-year quarter. Revenues increased 5.6% year over year to $339.4 million and beat the Zacks Consensus Estimate by 3.5%. Organic revenues rose 5.9%, with Plasma delivering particularly strong 8.2% organic growth. Following the earnings announcement, HAE’s shares rose 0.4% last Friday. Apheresis revenues totaled $191.3 million, up 5.3% on a reported basis and 6.0% organically. Plasma revenues increased 7.2% to $155.5 million, while organic growth reached 8.2%, supported by share gains, strong collection trends and the Persona PLUS rollout. Management said U.S. customer collections rose in the high-single to low-double digits. Persona PLUS adoption was ahead of schedule, with early adopters achieving yield improvements of more than 5% versus earlier Persona offerings. Other Apheresis revenues declined 2.4% to $35.8 million, reflecting portfolio optimization and order timing. MedSurg revenues rose 6.0% to $148.1 million, with organic growth of 5.9%. Blood Management Technologies revenues advanced 8.6% to $88.1 million and 8.1% organically, benefiting from double-digit growth in Hemostasis and Transfusion Management, partly offset by slower Cell Salvage capital upgrades. Interventional Technologies revenues increased 2.5% to $59.9 million and 2.8% organically. Vascular Closure grew in the low double digits, aided by improving procedure trends, stronger commercial execution and broader use of the VASCADE MVP XL system. Management also cited growing adoption across large-bore venous closure procedures. In the first quarter of fiscal 2027, gross profit increased 5.5% year over year to $202.8 million. Gross margin remained flat at 59.8% as cost of goods sold rose 5.8% to $136.6 million. Selling, general and administrative expenses increased 7.4% to $118.9 million, while research and development expenses declined 0.4% to $16.2 million. Total operating expenses rose 5.0% to $145.3 million. Operating income increased 6.7% to $57.5 million from $53.9 million in the prior-year quarter, while operating margin expanded 10 basis points to 16.9%. Cash flow from operating activities reached $52.3 million, up $34.9 million from the prior-year quarter’s level. Free cash flow climbed to $39.1 million from $2.5 million, aided by favorable working-capital movements and lower non-cash equipment transfers, partly offset by higher capital expenditures. Haemonetics ended the quarter with $223.4 million in cash and cash equivalents and total debt of about $1.17 billion. During the quarter, the company repaid $50 million on its revolving credit facility and repaid another $50 million after quarter-end, reducing the outstanding revolver balance to $200 million. Haemonetics Corporation price-consensus-eps-surprise-chart | Haemonetics Corporation Quote Management raised fiscal 2027 reported revenue growth guidance to 5-8% from 4-7%. Organic revenue growth is now projected to be 4-7%, up from the prior 3-6% guidance, while the expected impact from the 53rd week remains roughly 2%. The Zacks Consensus Estimate for fiscal 2027 revenues is pegged at $1.41 billion. Adjusted earnings per share are expected to grow in line with revenues. The Zacks Consensus Estimate is pegged at $5.28. Haemonetics ended the fiscal first quarter with both earnings and revenues surpassing estimates. Broad-based growth across the company’s core platforms supported the quarterly performance. HAE’s operating margin expansion looks encouraging. With a strengthened competitive position and focus on disciplined execution, it has momentum for fiscal 2027 and beyond. Additionally, the raised full-year guidance bodes well for the company. Haemonetics currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks from the broader medical space are Intuitive Surgical ISRG, Quest Diagnostics DGX and Medpace MEDP. Intuitive Surgical, carrying a Zacks Rank #2 (Buy) at present, reported second-quarter 2026 adjusted EPS of $2.80, which surpassed the Zacks Consensus Estimate by 12.9%. Revenues of $2.89 billion beat the Zacks Consensus Estimate by 3.1%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. ISRG has an earnings yield of 3.1% compared to the industry’s negative 3% yield. The company beat earnings estimates in each of the trailing four quarters, the average surprise being 16.53%. Quest Diagnostics, carrying a Zacks Rank #2 at present, posted second-quarter 2026 adjusted EPS of $3.12, which outpaced the Zacks Consensus Estimate by 11%. Revenues of $3.04 billion topped the Zacks Consensus Estimate by 2.1%. DGX has an earnings yield of 4.7%, almost in line with the industry’s yield. The company’s earnings outpaced estimates in each of the trailing four quarters, the average surprise being 5.77%. Medpace, carrying a Zacks Rank #2 at present, posted second-quarter 2026 adjusted EPS of $4.25, which beat the Zacks Consensus Estimate by 4.17%. Revenues of $707.3 million outperformed the consensus mark by 1.12%. MEDP has a historical five-year earnings growth rate of 30.5% compared with the industry’s 5.6% growth. In the trailing four quarters, the company delivered an average earnings beat of 10.16%. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Haemonetics Corporation (HAE) : Free Stock Analysis Report Quest Diagnostics Incorporated (DGX) : Free Stock Analysis Report Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report Medpace Holdings, Inc. (MEDP) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Image source: The Motley Fool. Thursday, Aug. 6, 2026 at 8 a.m. ET Vice President, Investor Relations and Treasurer - Olga Guyette Chief Executive Officer - Christopher Simon Chief Financial Officer - James D'Arecca Operator: Good day, and thank you for standing by. Welcome to the Haemonetics Corporation First Quarter 2027 Earnings Conference Call. [Operator Instructions]. Please be advised today's conference is being recorded. I would now like to hand the conference over to your speaker today, Olga Guyette, Vice President, Investor Relations and Treasurer. Please go ahead. Olga Guyette: Good morning, and thank you for joining us for Haemonetics first quarter fiscal year 2027 conference call and webcast. I'm joined today by Chris Simon, our CEO; and James D'Arecca, our CFO. This morning, we reported first quarter fiscal '27 results and raised our fiscal 2027 guidance. Our earnings release, supplemental presentation and related materials are available in the Investor Relations section of our website. First quarter results are reported under the new reportable segment structure announced on June 5, 2026. Additional information, including historical recast financials and the presentation describing the changes is also available on our Investor Relations website. Before we begin, I'd like to remind everyone that we will use both reported and organic revenue growth rates that exclude the impact of FX and the exit of liquid solutions, and our fiscal year 2027 guidance is also adjusted for the impact of the 53rd week. We'll refer to other non-GAAP financial measures to help investors understand Haemonetics' ongoing business performance. Please note that these measures exclude certain charges and income items. A full list of excluded items, reconciliations to our GAAP results and comparisons with the prior year periods are provided in our earnings release. Our remarks today include forward-looking statements, and our actual results may differ materially from the anticipated results. Factors that may cause our results to differ include those referenced in the safe harbor statement in today's earnings release and in other SEC filings. We do not undertake any obligation to update these forward-looking statements. And with that, I'd like to turn the call over to Chris. Christopher Simon: Good morning, everyone. Thank you for joining. We started FY '27 strong with broad-based execution driving another quarter of profitable growth. First quarter revenue was $339 million, increasing 6% reported and organic, while adjusted earnings per diluted share increased 4% to $1.14. Investments we have made to enhance our portfolio, improve our operating model and strengthen commercial execution, are fueling consistent growth and strong cash generation. All three of our core platforms contributed to our performance this quarter, demonstrating the breadth of our business and reinforcing the confidence in our ability to deliver sustainable long-term growth. Before discussing our business results, I'd like to welcome Dr. Martin Madaus to our Board of Directors. Martin has built a distinguished career leading global health care businesses through transformation, strengthening execution and creating long-term value. His strategic perspective and operating experience will be invaluable as we continue executing our strategy, and we're delighted to welcome him to the Board. Now, let's discuss our business results. MedSurg revenue increased 6% year-over-year reported and organic to $148 million, with growth across both franchises. Blood Management Technologies grew 8% organically with double-digit growth in Hemostasis and Transfusion Management, partially offset by slowing Cell Salvage capital upgrades. Hemostasis Management is the definition of durable growth with mid-teens disposable growth in the quarter driven by higher utilization across the installed base and continued share gains. The ongoing success of the HN cartridge underscores our ability to innovate, expand the clinical applications of this elastic testing and further strengthen our leadership position, creating a longer runway for sustainable growth. Transfusion Management also continued to build momentum with another quarter of strong software implementations. Faster customer activations are expanding our recurring revenue base and enhancing the durability of revenue growth for this franchise. Interventional Technologies returned to growth, growing organically 3%. Vascular Closure grew above market, increasing in the low-double-digits year-over-year and low-single-digits sequentially. Performance reflected contributions from all geographies, led by renewed momentum in the U.S. with VASCADE MVP and MVP XL and electrophysiology, more than offsetting softness in peripheral and coronary procedures and esophageal cooling. Three factors are driving our Vascular Closure outperformance: first, the reacceleration of access site growth following the stabilization of PFA and atrial fibrillation procedures; second, stronger commercial execution resulting from the investments we've made in sales and marketing; and third, the momentum created by the VASCADE MVP XL expanded indication up to 17 French in outer diameter. Higher utilization, account wins and the expanded XL use case are driving broader adoption and positioning the franchise for resurgent growth. We continue to strengthen the clinical evidence in large-bore venous closure with the largest real-world study of VASCADE MVP XL to date. The study conducted at Emory University in more than 1,600 patients demonstrated rapid hemostasis, greater than 92% same-day discharge, and an excellent safety profile in large-bore sheath procedures like PFA and LAAC. Together, the expanded indication and growing body of real-world clinical data further strengthen our competitive position and provide the foundation for broader physician adoption. MedSurg is reemerging as a driver of Haemonetics' long-term growth, with two growth-oriented franchises supported by strong innovation, expanding adoption and improving market fundamentals. Solid first quarter performance reinforces our confidence in delivering mid-single-digit MedSurg growth in fiscal 2027. Turning to Apheresis. Revenue grew 5% on a reported basis and 6% organic to $191 million. Plasma revenue grew 8% organic, reflecting double-digit growth in disposables globally, partially offset by a difficult prior year software comparison. Growth was supported by share gains, strong plasma collection trends and the rollout of Persona PLUS. Collections among our U.S. customers increased in the high single to low-double-digits, including favorable ordering patterns, reinforcing continued IG demand and strong market fundamentals. Persona PLUS is delivering meaningful economic benefits to our customers and reinforcing the unique value proposition of our integrated plasma collection platform. Through a simple firmware upgrade, Persona PLUS helps our customers increase plasma yield, improve center productivity and lower cost per liter. The rollout is progressing ahead of schedule and early adopters are achieving yield improvements in excess of 5% compared with our earlier Persona offerings. Other Apheresis revenue declined 3% organic, reflecting portfolio optimization and order timing. Following a strong first quarter, we are raising our fiscal 2027 Apheresis revenue guidance to low to mid-single-digit growth. The increase reflects first quarter outperformance, while our expectations for the rest of the year remain balanced and largely unchanged, supported by share gains, Persona PLUS adoption and modest market growth assumptions. Our first quarter performance reflects the strength of the overall business. Consistent execution across Plasma, Blood Management Technologies and Interventional Technologies demonstrate that our growth is becoming increasingly durable. Accordingly, we are raising our full year reported revenue growth guidance to 5% to 8% and organic growth guidance to 4% to 7%. We remain confident in our outlook while maintaining a disciplined approach to guidance for the rest of the year. James, over to you. James D'Arecca: Thank you, Chris, and good morning, everyone. Chris highlighted the continued strengthening of our business, and our financial results reflect that same story, broader-based growth, improving revenue quality, favorable portfolio mix and an earnings algorithm that continues to strengthen through disciplined execution. As our portfolio continues to shift toward higher-margin recurring revenue and differentiated technologies, we're beginning to realize the operating leverage from the investments we've made over the past several years. First quarter gross margin was 60.4%, down 40 basis points from the prior year. The comparison was impacted by upfront software license revenue recognized in the first quarter of fiscal '26, which benefited prior year gross margin by approximately 200 basis points. Excluding the software benefit, adjusted gross margin expanded, driven by favorable product mix, continued Persona PLUS adoption, pricing actions and strong commercial execution. Operating expenses increased 7% to $126 million, primarily reflecting higher personnel costs, including self-insured benefit plans, the Vivasure Medical acquisition and higher freight expense. Adjusted operating margin was 23.4%, down 70 basis points year-over-year, but expanded meaningfully after normalizing for the prior year software benefit. Sequentially, margin declined 100 basis points primarily due to lower MedSurg revenue following a strong fourth quarter and external cost pressures, partially offset by Persona PLUS and disciplined execution. We remain confident in delivering 50 to 100 basis points of our adjusted operating margin expansion in fiscal '27. Our outlook incorporates sustained external cost pressure, which we expect to more than offset through revenue growth, favorable mix, Persona PLUS adoption, productivity and tariff recovery. The adjusted tax rate was 25.7% compared with 24.9% in the prior year period, primarily reflecting lower tax benefits associated with equity compensation. Adjusted earnings per diluted share increased 4% year-over-year to $1.14, reflecting strong underlying operating performance. Earnings growth was achieved despite higher interest expense, unfavorable foreign exchange and a higher tax rate, with those headwinds largely offset by the benefit of a lower diluted share count resulting from last year's share repurchases. Looking ahead, we expect adjusted earnings per diluted share to grow broadly in line with our increased reported revenue growth guidance for fiscal '27. Now turning to the balance sheet and cash flow. Strong earnings once again translated into strong cash generation, reinforcing both the quality of our earnings and the durability of our operating model. Over the last 12 months, our cash earnings exceeded our P&L earnings, with free cash flow conversion reaching 106% of adjusted net income. We believe this level of cash conversion reflects the strength of the business and provides the financial flexibility to invest behind our strategic priorities, while continuing to strengthen the balance sheet. That strength was also evident in the first quarter. Operating cash flow was $52 million, approximately 3x the prior year period, while free cash flow increased nearly 15-fold year-over-year. Free cash flow conversion reached 75% of adjusted net income, an exceptional result for what is typically our seasonally weakest net cash inflow quarter, driven by disciplined working capital execution and fewer device placements, partially offset by higher capital expenditures. Our capital allocation actions reflect that financial strength. During the quarter, we repaid $50 million of our revolving credit facility balance and ended the quarter with $223 million in cash and a net leverage ratio, as defined in our credit agreement, of approximately 2.69x EBITDA. Subsequent to quarter end, we repaid an additional $50 million, reducing the outstanding revolver balance to $200 million as of today's call. We continue to prioritize disciplined deleveraging, while maintaining ample capacity to invest in innovation, long-term growth and opportunistic share buybacks. We are reaffirming our fiscal 2027 free cash flow conversion guidance of approximately 80% of adjusted net income. While the first quarter cash generation exceeded our expectations, maintaining our full year outlook reflects a disciplined approach in an evolving operating environment and preserves flexibility to proactively manage inventory and working capital throughout the year. Before we open the line for questions, I'd like to leave you with three key takeaways from today's call. First, we continue to strengthen our portfolio. Persona PLUS is extending our differentiation in Plasma. Utilization and software share gains are enhancing the quality and durability of Blood Management Technologies. And Interventional Technologies is now positioned to become a more meaningful contributor to long-term growth and profitability. Second, we remain confident in our fiscal '27 outlook. While we have increased both revenue and earnings guidance to reflect first quarter outperformance, our assumptions for the next 3 quarters remain balanced and largely unchanged, relying on continued execution and business momentum to further strengthen performance through the year. And finally, strong earnings and free cash flow provide flexibility to invest in growth, strengthen the balance sheet and pursue disciplined capital allocation, including opportunistic share repurchases. Thank you for joining us this morning. Operator, please open the line for questions. Operator: [Operator Instructions]. Our first question comes from Anthony Petrone with Mizuho Financial Group. Anthony Petrone: Congrats on the strong print here. Maybe, Chris, Jim, one on IVT, and then I'll have one on Plasma. Nice to see IVT coming back to growth here, organic growth 2.5%, gave some details there in your prepared remarks, Chris, but maybe a little bit more color on the dynamics of share shift? Few quarters ago, there was some dynamics from a private competitor plus a larger public competitor that has a consolidated approach. To what extent have you recaptured previously lost accounts? And what is the underlying attach rate to Pulsed Field Ablation for VASCADE as we enter August here? And then I'll have a follow-up on Plasma. Christopher Simon: Anthony, IVT returned to growth in Q1, growing 3% organically, and that was most definitely led by low-double-digit growth in Vascular Closure, which is what we've expected. I think overall, it reflects a better market backdrop. We now see PFA at somewhere between 80% and 85% penetration. That's effectively stabilizing the access site growth rate for us, and we now think that growth rate is probably in the 6% to 7% range. We, of course, grew in excess of that. To your question, it's around driving greater utilization and additional share capture. When I call that out, I think there's really three things going on. A rising tide raises the whole category. That's the access site growth resuming and eventually regressing to whatever the AFib growth rate is, probably in the low to mid-double-digit, mid-teens. I think the second thing is our commercial execution. The investments we've made in sales and marketing, that team is really beginning to hit their stride. And then I think the third thing is the MVP XL label expansion, coupled with a growing body of real-world evidence has enabled us to both contract for and pull through that utilization. So that's helping gain share. It's helping us drive utilization. We're benefiting by both levers. Anthony Petrone: And then on Plasma, Persona PLUS driving gains, you have two dynamics going on, ongoing share gains, but the underlying market, I guess, based on PPTA data, I think, looks okay. So maybe to what extent was the first quarter number here which was well ahead of expectations, driven specifically by Persona PLUS upgrades? To what extent was there incremental share gain? And then just lastly, with CSL, is that completely out of there now? And is this like the first quarter of a clean number? Congratulations on the print. Christopher Simon: Thanks again, Anthony. I'll start with the last piece of this. Yes, this is us finally outrunning any overhang. So both the divestiture and the customer loss, that $153 million is out. And so what you see from us is clean and recurring going forward. In terms of the first quarter, I think it reinforced the strength of Plasma that we've been experiencing. Revenue was up 8% despite what you know to be a really difficult software comparison from last year. North American disposables within that were up in the mid-20% range and our European sales were double-digit as well. So really pleased with what we're seeing. It's a combination, as we've talked before, for sure, share gains, both prior share gains in the U.S. and new share gains globally, coupled with really robust collection volume. And yes, Persona PLUS, the early stage of that rollout. When I think about Persona PLUS, I guess what I would just highlight is that we're really pleased. And perhaps more importantly, customers are really pleased with what that's bringing to the market. Adoption has accelerated. So it's importantly contributing, but that will become more meaningful as we go forward. And we've just tried to be really conservative about what we're forecasting simply because we don't have a signed contract and a committed time line, we're going to hold off on putting that in. That's just discipline in our go-forward guidance. Operator: [Operator Instructions] Our next question comes from Allen Gong with JPMorgan. K. Gong: I suppose I just had one on the margin performance in the quarter. So I think we saw gross margins excluding the comp expanding nicely over last year. When we think about the outlook for the rest of the year, how should we think about the progression of gross margins? James D'Arecca: Yes, sure. Thanks, Allen. I'll address that. So Q1 operating margin came in right where we expected it to. And as you mentioned, we were lapping about a 200 basis point gross margin headwind from the $14 million software benefit that we had in the prior year. And we were able to offset that essentially -- essentially all of it through favorable mix and strong execution on the manufacturing side. Now, sequentially, margin was down from Q4. That's really a MedSurg story. Q4 was an unusually strong quarter for BMT. So what you're seeing in Q1 is more of a leverage issue on lower revenue rather than anything really structural in the cost base. So as we move forward and we look at the rest of the year, the earnings algorithm that I mentioned in my opening remarks is pretty straightforward. SG&A should stay relatively stable in dollar terms. So as revenue builds, we should see better leverage flow through the P&L. You layer in the continued pricing from Persona PLUS, that Chris mentioned, and other benefits and mix, and that should support sequential margin expansion as we move throughout the year. One thing I would like to flag on tariffs. So we will record about $7 million tariff refund in Q2. But I wouldn't read too much into that on a net basis. We expect that to be largely offset from headwinds, from higher oil prices and transportation costs and some material inflation later on in the year. So when you put it all together, as we stand today, we feel good about reaffirming our full year margin guidance, and we look forward to delivering on that. K. Gong: And then just a follow-up on IVT. So Vascular Closure sounds like had a really strong quarter, double-digit growth, really good to see that returning to growth. But on the flip side, that implies Sensor-Guided Technologies had a bit of a more challenging quarter. Can you walk through what drove that and how we should think about, I guess, for both Vascular Closure and Sensor-Guided Technologies, how should we think about the growth outlook for the balance of the year in light of that and the reiterated mid-single-digit growth more broadly? Christopher Simon: Yes. I'll work backwards against that, Allen. We reiterated our mid-single growth for MedSurg. Growth in the quarter was at the high end of that range, obviously, at 6%. We're really confident. And candidly, first quarter was the most difficult comp across MedSurg. So we like the momentum. We like where we're going from here. But it's one quarter, and it's our first quarter. And so we want to be appropriately prudent about that in terms of how we think about it. But we fully expect both BMT and IVT to contribute nicely to upside potential there. Within IVT, it is really a Vascular Closure story. That's the absolute top priority. Within guidewires, we like that business. We're leaning into that business. We'll have more to say about that as the year progresses. We did see a 5% effect on the overall IVT, but we did see a bit of a back sliding on the OEM business. I think it's pretty clear what's going on there. So we'll work to address that as best we can. But I think the real opportunity is to drive that guidewire business into structural heart as a additional contributor. But first, second and third, we'll succeed on Vascular Closure. Operator: [Operator Instructions] Our next question comes from Marie Thibault with U.S. Bancorp BTIG. Marie Thibault: Great quarter. I wanted to ask one quick one here on Plasma, and then I'll have a follow-up in IVT. In Plasma, you gave us some details of some of the drivers, great to hear. I wanted to understand a little bit more how you're thinking about the timing of the Persona PLUS rollout? I know you're in the midst of negotiations. Is this a potential tailwind for, say, the next 12 months, the next 18 months? What's kind of the timing of some of those conversations? And on the Apheresis guidance increase, I think you described underlying plasma market as -- market growth as modest. I think the prior assumption was 0% to 2% volume growth. Can you just give us an update on the assumed underlying volume there in that guidance? Christopher Simon: Great. Thanks, Marie. Yes. In terms of Persona PLUS, I'll put it in context. The Persona offering, PLUS is the second installment of that off the base gain, and it's roughly an additional 5% yield. We're seeing more than that in the market right now, the customers that are part of the early adoption, which is great. There's reasons for that. But this is an ongoing innovation cycle. There will be additional variance on Persona as we go forward. We'll have more to say about that when they're ready for market. But we think this is kind of a classic ongoing stage of rollouts. And we like where we are. We've tried to be prudent in what we put into the forecast, so only what's been contracted, and we have a clear line of sight to the performance. The powerful thing to keep in mind about Persona PLUS is this is a relatively straightforward software upgrade firmware in our offering. So we could change the centers rapidly. We'll go just as fast as our customers are prepared to go, but we are changing 30 or 40 centers a week without any kind of reluctance there. So we think that's great. In terms of how that factors in, the outlook for FY '27 is really tied to factors that we can directly control. And that does imply upside to your question, and there's the -- any kind of accelerated adoption on Persona PLUS, new contracts or faster rollout within the existing additional share gains, which can come in the form of us converting competitive centers or our customers taking share from their competitors, both of which have a direct benefit to us. And then thirdly, on collection volume, we began the year with this 0% to 2% growth. We don't control it. We don't want to be dependent upon something we don't control. What you see in the raised guidance is essentially our first quarter outperformance added to essentially what we put forth for the rest of the year. So we have not changed the collection volume guidance at this point. We're still saying 0% to 2%. It's obviously a lot more robust than that. We don't have any reason to believe that's not going to continue, but we don't want to be beholden to it. Marie Thibault: Yes. Very good. Great detail. A quick one on IVT then. You talked about VASCADE MVP XL being a driver there. What are you seeing on the ground from the IDNs, ASCs on that? And secondly, has there been any impact to the business from some of the reported slowdown that we've seen in the left atrial appendage closure market? Christopher Simon: Thank you, Yes, let me correct one thing from my prior answer or just further expand on it. Within IVT, we feel quite good about the sensor-guided technology. That market is performing -- with the exception of the OEM piece, that's performing quite where we need it to be. The challenge, as you guys know, is ensoETM, and we can talk about that. But that's the main drag outside and it's the entire drag outside of closure. In terms of what we're seeing on the contracting front, I think the label expansion that we received from FDA earlier this fiscal year has really opened the door for us. And that, in combination with the growing body of evidence we called out earlier this week, the 1,600-patient trial that was conducted at Emory using XL and large-bore closure procedures, both left atrial appendage and PFA. And that's really resonating, and it's helped us both in terms of contracting with IDNs where we didn't really have a presence before, as well as this ongoing shift that we think will gain momentum to the ASCs. If you think about what MVP XL means in that operation area, it's a workflow enhancement that -- with the same-day discharge and the rapid ambulation and the absolute minimal complications and the ability, if need be, to return to an access area that's unblemished from the initial procedure a month later. All those things play very well to the efficiencies and the speed with which ASCs expect to operate. So we're seeing the benefit from that. In terms of left atrial appendage, it's a really small market for us. We only have 1 to 1.5 access sites per LAAC procedure. So we haven't felt any headwind from the changes there. Probably concomitant therapy where it's being done jointly with PFA is a bigger factor, but that's captured in that 6% to 7% market growth that we're experiencing now. Operator: [Operator Instructions] Our next question comes from David Rescott with Baird. David Rescott: Congrats on the results here. I wanted to unpack a little bit more on this Plasma result, an impressive Plasma result you put up. I think some of the restated Plasma numbers are different than the prior Plasma numbers that you reported. So curious on what the difference is there? And if we back out this software benefit you had last year, I think it's going to be putting the underlying Plasma growth in that high teens number, which I think is better than what you did in 2026 on an ex-CSL ex-software benefit basis for all of 2026. So curious on what the moving pieces are there? Again, it sounds like North American disposables were above 20%. So maybe there isn't necessarily a kind of 1-ish time benefit from Persona PLUS rollout. But trying to get a sense for, again, what this Persona contribution on a quarterly and go-forward basis is versus that underlying collection or disposable growth would be? Christopher Simon: Thanks, David. Let me go back a step. If you go back to our June 5 reclassification, essentially, what we've done is take what was plasma, mainly source plasma and combined it with that portion of the previous blood center segment that is being done on the NexSys device, whether it's being done for a source plasma customer or for one of the blood centers that are increasingly affiliated with fractionation and partnering up with one of our global customers. So that effectively is 80% of the combined two prior segments, leaving the non-plasma Apheresis being that remaining 20%. That guide initially for that portion, the 20% portion, was low-single-digits. The guide for the 80% plasma piece was mid-single-digits. We're raising that -- and we combine those in a way basically -- excuse me, low -- the plasma piece was mid-single-digit positive. The blood center piece was mid-single-digit negative. When we combine them, we end up with a low-single-digit positive. Today, we raised that guidance to low to mid-single-digits to reflect the collective strength. We did outperform our initial expectations on the non-plasma piece, it's down 3%. So that's favorable and a good trend line for us. A lot of that's order timing and just some things that jump around a bit in the market given it's a smaller piece. The big focus, that 80% that is the overall plasma Apheresis, 80% of that is the North American disposables. And that's the piece where we really saw this outperformance. We were up mid-20% in the U.S. and then EMEA followed by being up double-digits as well. So across the board, again, we've used the term trifecta, we're seeing share gains. We're seeing strong demand for source plasma, and we're benefiting by price associated with Persona PLUS. That's what combined to get us that overall 80% that we feel really good about. David Rescott: Okay. That's helpful. Maybe higher level, longer term, I guess, sticking with Plasma. I think we've seen in the past couple of quarters a lot of the collectors still pointing to this mid to high single-digit worldwide growth on the plasma collection front. And some of them are pointing toward expansion of plasma collections in markets or geographies that are outside the U.S. So I wanted to get your thoughts both on, I guess, that longer term U.S.-specific plasma collection view or trajectory as well as if or as there is this shift toward more collections coming from international markets, what at all would be the opportunity in the company's mind to be a part of that broadening collection market? Christopher Simon: Thank you, David. The outlook for plasma is and remains very attractive. It's underpinned by exactly what you just highlighted, the durable global demand for Ig, which is driven by growing utilization across multiple indications, including primary and secondary immunodeficiencies, where patients don't have viable alternative therapy. And on the autoimmune side, the larger opportunities in CIDP and ITP, where Ig remains first-line therapy. And while other therapies will have a role to play, they're not displacing Ig. They're not taking over new patient starts in those large categories. So we feel really good, as do our customers, about the durability that you highlight. We enabling their collections are focused on extending the leadership that we've built through innovation, through customer globalization and standardization and continued share gains. This is the first time at this point, I think, ever, but certainly over the last decade, where the OUS collections in Europe, in particular, now represent 20% of the total collection volume. That's a new dynamic. Historically, it was a 90-10 split, but the cost of collections come down. Our customers are globalizing. That's enabled us to globalize and essentially all of our contracts now are global in scope. And I think we've really benefited by this growth in Europe and the Middle East as well. And so, as that continues, I think we're exceptionally well positioned to play in that space. So I think our best days are yet to come. Operator: [Operator Instructions] Our next question comes from Andrew Cooper with Raymond James. Andrew Cooper: Maybe just to tag on to that. I mean, like we talked about, we used to talk about a higher level of growth that felt durable in terms of collections. You just had high single or low double-digit in the U.S., but you're sticking with the 0% to 2%. So what do you have to see to get comfortable to thinking about guiding in the way that you used to, which would be with that kind of more durable, more predictable mid-single plus collection growth as the baseline as opposed to something more conservative? Christopher Simon: Thanks, Andrew. We're very bullish on the durability and the sustainability. We want our guidance to be appropriately derisked -- and as we've said in the prepared remarks and elsewhere, we see solid demand. We see strong execution, but we're focused on the execution piece of it. And yes, there's a lot of upside if collection volumes continue to be robust in our forecast, but we're going to take a more prudent path, which is to focus on that which we can control, share gains, Persona PLUS rollout, some additional standardization and growth on -- in the global markets. And we feel really good that's our baseline. We're in a great position to be able to support whatever upside comes from collection volumes, but we want to get out of the business of trying to predict things that we don't control. So if you are so inclined, use your own number on collection volumes, the number that we've put into the guidance is 0% to 2%. Andrew Cooper: Okay. No, helpful. And then just a couple of updates maybe on some of the regulatory side and new launches. Where are we in terms of the XL label in Japan, especially given you have some of that great data in hand? And then just an update on PerQseal and some of the process there would be great as well. Christopher Simon: I appreciate that there. We're excited. I mean we think about this year in many ways as the year of launch. If I go back a step, heparinase neutralization which is now a global opportunity for us within BMT. XL, to your point, driving the U.S. meaningfully. We have done the paperwork and kind of had the ongoing dialogue very favorably with Japan. We have anticipated that for later this fiscal year. We don't have direct line of sight to the timing. So we've been pretty conservative in terms of what we put into our forecast, but we do anticipate this year. And we're also looking at PerQseal Elite. To your point, we're in dialogue with FDA. We've included all the costs associated with that U.S. launch. We haven't included any of the benefit. The anticipation is that we would get that this fiscal year, and that will be upside to our plans going forward. Operator: [Operator Instructions] Our next question comes from Michael Petusky with Barrington Research. Michael Petusky: I was wondering the operating margin expansion in MedSurg, is there any way to break that out between BMT and IT just in terms of what was majority driving that expansion? James D'Arecca: Yes, Mike, it's predominantly BMT. As I mentioned earlier, so Q4 was an unusually strong quarter for BMT. And as the revenue came down for that sequentially, we lost some leverage there. And that drives the lion's share of the sequential margin decline in that business. Michael Petusky: Okay. And then just, I guess, in terms of IT and Chris, what you guys -- the response you guys have made over the last 3, 4 quarters in terms of sort of fighting back in Vascular Closure. One of the levers you talked about 2, 3 quarters ago is you were giving your guys a little bit more flexibility on price. I'm just wondering how much that has helped in driving a recovery and if there's been any change in sort of that direction that you guys gave a few quarters ago in terms of flexibility on pricing? Christopher Simon: Yes. Thanks, Mike. I -- All three factors that we called out earlier are having a role. We've got a market that is increasingly stabilizing, which means the access site opportunity is accelerating, probably twice what it was last year from 3.5% or so percent to 6% or 7% or better as it further matures. So that's there, and that's clearly helping us. The investments in sales and marketing, these guys are going in -- you remember last -- first quarter of last year, we took a big hit, and we lost a large number of important accounts. Our team is more than holding their own in terms of winning those back and gaining new share across the board. And I do think giving them some latitude has helped, although this is a team that was purpose-built to do this. There's a lot of intelligence being applied to make sure that when we are pulling the price lever, we're pulling it intelligently for where the opportunity makes sense for us. It helps behind the scenes that our global manufacturing and supply teams have figured out increasingly how to make the product more cost effectively. So that's definitely weighing in our favor. And it's -- I don't want to discount the value of the clinical work that we've done, the label expansion for sure, but just also a body of evidence that is unique to VASCADE in all its forms in terms of the role it can play in closure. And I think that differentiation is helping us clearly against both of our existing competitors. So again, we'll have more to say about that as the year progresses, but this is a step-wise progression. We expect the momentum to build from here. Operator: [Operator Instructions] Our next question comes from Joanne Wuensch with Citi. Unknown Analyst: This is Anthony on for Joanne. I just want to switch gears to Hemostasis Management that's been quite durable for the past several quarters. I'm curious, I guess, where we sort of are in the rollout of that hepar neutralized cartridge as well as the ongoing upgrade to TEG success? And then if you could maybe provide any pipeline plans for future assays on that capital? Christopher Simon: Yes. Thanks for the question, Anthony. Yes, within the -- for BMT, that probably doesn't get the mind share it deserves in terms of its contribution. If you go back over the last 5 years, TEG itself has grown on average compound annual growth rate of 15%, 1-5, and we have every expectation that, that favorable runway is going to continue and build momentum throughout this fiscal year. And a bunch of that now is increasingly around utilization. The split on revenue for the product is 85-15 disposables versus capital. That may even increase over the course of this year because of the success globally of the heparinase neutralization cartridge. The upgrade cycle from TEG 5000, we're in the final stages of that at this point. The teams really leaned in and accelerated that. That's great. But I think I called this out on last quarter's call, the revenue return per device with the 6s are 2x what they were previously or with the TEG 5000. That's a utilization story. That said, we're looking at a $400 million TAM, plus or minus globally. That's roughly 60% penetrated. We have 80% share of the market, and we feel great about that. But the opportunity from where we sit is to drive additional utilization. And that means we've got to do some additional work on subsequent indications, some of the global footprint, et cetera. So there's meaningful upside. We have to do the work to get there. But this is a team that's managed to exceed expectations at every time. I have no doubt they'll do so from where we sit. Unknown Analyst: Okay. That's helpful. And then free cash flow expanded really nicely year-over-year. It seems like a lot of that's driven by working capital improvement. But maybe just love to hear more of the work you're doing there? And then I know PerQseal has just tucked in, but any updated views on M&A and other adjacent markets that you could be interested in? James D'Arecca: Yes, I'll start on free cash flow, glad you asked. It's a great story. Our operating cash flow was $52 million in Q1. That's 3x last year, and our conversion for the quarter was 75%, which is strong given Q1 is typically our weakest cash quarter seasonally. And when you look at the trailing 12 months, which is really the right way to do this, the quarterly fluctuations could come and go, but that's 106% on a trailing 12-month basis. And you're right. So if you're just looking at Q1 and you look at our cash flow statement, you'll see that there's a fairly large source of cash year-over-year in -- it's mostly related to accrued liabilities and payables, and we had some favorable timing there. Now we're reaffirming our 80% free cash flow conversion for the year. And I believe that, that should give us plenty of room to keep funding growth and paying down debt and so forth as we move throughout the year. Christopher Simon: And Anthony, it's Chris. Just regarding capital allocation and how we think about that. To James's point, we've really leaned in, the three metrics we run to, haven't changed, revenue growth, margin expansion and free cash flow. So that won't change. The outperformance we're having on cash flow is definitely strengthening the balance sheet and creating some optionality for us. Within that, our capital allocation goals haven't changed. We're looking to create the greatest long-term shareholder value we can. And at this point, the focus is organic. I mentioned the launches, hepa neutralization, MVP XL, Persona PLUS. There will be several more with any luck here in the second part of the year. So stay tuned for that. That's a focus. We have done the share buybacks, $100 million last year. We still have an authorization for the remaining $325 million. And as James called out, we paid down some debt in the quarter and again, subsequent to the quarter, $100 million in total. So I think you're going to see us more in terms of organic growth at the absolute top priority and then cleaning up the balance sheet and addressing where we can opportunistically a chance to return value to shareholders vis-a-vis the buybacks. And in the absence of that, we'll take care of some of the debt structure. But I'm not saying never, but M&A is off the table for now. Our focus is solid execution against the existing demand we have in our core products today. Operator: [Operator Instructions] Our next question comes from Travis Steed with BofA. Travis Steed: Congrats on a good quarter. I wanted to ask on the new Board member, Martin, that you added, and how you're thinking about just like bigger picture, creating strategic value for shareholders and value for shareholders? And is Martin coming on the Board part of that value shareholder creation that you're thinking about over the next kind of 12 months or so? Christopher Simon: Yes. we think any time we add a Board member, we're looking at the total skill set, how that fits with the existing capabilities and competency of the Board. Martin brings a lot in that regard, and it's not just this year. It's what I hope will be over the next decade of his contributions. He's a really talented guy. He's got a track record of creating shareholder value pretty much everywhere he has been. Some of that's just real thoughtfulness around strategy, corporate strategy, understanding markets and how they move and how to compete within them. A lot of it is about execution and stabilizing and consistent delivery, which, of course, is a criticality. When we set out in the market, we were looking for real experience based -- prior CEO, prior CFO, type of skill sets to really muscle build what is a very high-performing Board. And I think Martin is going to be a great fit in that regard. Operator: [Operator Instructions] Our next question comes from Mike Matson with Needham & Company. Joseph Stringer: This is Joseph on for Mike. I'm just wondering if you guys have any commentary or color on hospital capital equipment budgets? I think going into the quarter, there was maybe some worry or some hesitancy and maybe haven't been seeing that from medtech peers. So curious what you guys are seeing there, I guess, specifically with TEG placements, but maybe even broader, if you have any more color on that? Christopher Simon: Yes, Joseph, thanks for the question. We have not seen any pressures there. I know there's a lot of concern about it. It doesn't affect the IVT business. There's no underlying capital requirements there. There's some monitors and whatnot for the guidewire piece, but that's part of the broader sale. So it's not a factor. With regards to TEG, as I said, it's an 85-15 split between disposables and capital. There's probably more capital placed outside the U.S. this year, but that's just part of our share capture and utilization. We do see folks adding the additional analyzer or 2 or 3. The good news about -- and this is true across all of our products, but there's a very strong use case for TEG and viscoelastic testing that for any tight-fisted hospital procurement team who's willing to look at the value add, there's tremendous value add. One of that -- a system adopts TEG, they get better clinical outcomes, which is the first priority, but they also tend to lower their consumption of blood products because they use the right product in the right way and not otherwise. So the aggregate -- blood is a top 3 expenditure for every hospital in the world, by helping conserve and do practice better blood management techniques, wind up lowering the aggregate cost. That's a big part of it. I think the other big part of it is we're still below $50,000 on an analyzer. It just doesn't hit anybody's thresholds. We've seen no headwinds there. Joseph Stringer: Okay. Super clear. And then maybe just two follow-ups on some previous questions. Just, I guess, maybe on cash flow, the strength in the quarter and just given that it's usually the seasonally weakest, I'm just wondering if it maybe changes the pace or the size of share buybacks under the current authorization? And then just on Persona PLUS, I'm not sure if you said it, but I was wondering if you could maybe just chart out where you guys are in the adoption curve with the current Plasma customer base? And then that's it from us. Really appreciate it, and congrats on a strong quarter. James D'Arecca: Yes. Thanks for the question. Let me address the cash flow piece. So just as a reminder, we already purchased 3 million shares over the prior 18 months or so. So having executed well on that, it felt like the right moment to turn some attention to the balance sheet, especially with money market yields normalizing and our borrowing costs staying elevated. So what you see in the quarter was that, and as I mentioned, we paid down $50 million on the revolver during Q1. And then right after Q1, we paid down another $50 million on the revolver. So we prioritized debt paydown right now. We still have $200 million left on the revolver, and we'll balance that with the -- with share buybacks. But as I mentioned earlier, the good news is that because we have such strong cash flow, we have plenty of room really to do as we choose, whether it's funding growth, paying down debt or returning capital to shareholders. And we intend to do all of that in a balanced way. Christopher Simon: And then just in terms of your question regarding Persona PLUS, as I said, we're excited. We're ahead of schedule and expect that to continue. The response has been outstanding. Customers are getting higher-than-expected, plus 5% off of the base Persona yields they already attained, and we'll continue to lean into that. As I said, we can move fast. There's -- it's a firmware upgrade. Everything else is already -- we laid the foundation for this when we did the original Persona upgrades. So conceptually and without much to do, we can convert the entire U.S. market this year. So that's not what's in our guidance. What's in our guidance is where we have existing contracts and a committed time line to roll out. But I think this one has the potential to snowball and build momentum as it goes. It's a really good innovation for the market. So stay tuned. Operator: And I'm not showing any further questions at this time. And as such, this does conclude today's presentation. We thank you for your participation. You may now disconnect, and have a wonderful day. 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This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Haemonetics (HAE) Q1 2027 Earnings Call Transcript was originally published by The Motley Fool

Interested in Haemonetics Corporation? Here are five stocks we like better. Haemonetics raised its fiscal 2027 outlook, now expecting reported revenue growth of 5%–8% and organic growth of 4%–7%, after first-quarter revenue increased 6% to $339 million and adjusted EPS rose 4% to $1.14. Growth was broad-based: MedSurg revenue rose 6%, led by blood management and vascular closure, while apheresis revenue increased 6% organically as plasma disposables and the Persona PLUS rollout gained momentum. Cash generation and deleveraging improved significantly, with operating cash flow reaching $52 million, free-cash-flow conversion at 75% of adjusted net income, and $100 million in debt repayment during and after the quarter; management continues to prioritize organic investment and debt reduction. Haemonetics (NYSE:HAE) reported a stronger start to fiscal 2027, with first-quarter revenue rising 6% year over year to $339 million and adjusted diluted earnings per share increasing 4% to $1.14. The company raised its full-year revenue outlook, citing broad-based growth across its MedSurg and apheresis businesses, while maintaining a disciplined stance on assumptions for the remainder of the year. Chief Executive Officer Chris Simon said the quarter reflected investments in the company’s portfolio, operating model and commercial execution. “All three of our core platforms contributed to our performance this quarter,” Simon said, pointing to plasma, blood management technologies and interventional technologies. → Sandisk Just Delivered a Blowout Quarter—Here's Why the Stock Is Falling MedSurg revenue increased 6% on both a reported and organic basis to $148 million. Blood management technologies grew 8% organically, driven by double-digit growth in hemostasis and transfusion management, partly offset by slower cell salvage capital upgrades. Hemostasis management posted mid-teens disposable growth as utilization increased across the installed base and the company gained share, according to Simon. He said demand for the HN cartridge supported the expansion of viscoelastic testing applications. The TEG business has grown at an average annual rate of 15% over the past five years, he said, with disposable products accounting for roughly 85% of TEG revenue. → 4 Oil and Gas ETF Plays as Prices Stay Sky-High Transfusion management also benefited from software implementations and faster customer activations, which the company said are expanding its recurring revenue base. Interventional technologies returned to organic growth of 3%, led by low-double-digit growth in vascular closure. Simon said VASCADE MVP and VASCADE MVP XL gained momentum in the U.S., while electrophysiology helped offset softness in peripheral and coronary procedures and esophageal cooling. → No Hangover: Revisiting Microsoft One Week After Earnings The company attributed vascular closure performance to a stabilizing pulse field ablation, or PFA, market; investments in sales and marketing; and the expanded indication for VASCADE MVP XL for use with outer diameters up to 17 French. Simon said PFA penetration in atrial fibrillation procedures is now estimated at 80% to 85%, supporting an access-site market growth rate of approximately 6% to 7%. Haemonetics also highlighted a real-world Emory University study involving more than 1,600 patients using VASCADE MVP XL in large-bore sheath procedures. The study showed rapid hemostasis, more than 92% same-day discharge and what the company described as an excellent safety profile. Apheresis revenue rose 5% on a reported basis and 6% organically to $191 million. Plasma revenue grew 8% organically, supported by double-digit global disposable growth, customer share gains, collection activity and the rollout of Persona PLUS. Simon said U.S. customer collections increased in the high-single-digit to low-double-digit range, including favorable ordering patterns. North American disposables rose in the mid-20% range during the quarter, while European sales increased by double digits. Persona PLUS is a firmware upgrade designed to improve plasma yield, center productivity and cost per liter. The rollout is ahead of schedule, Simon said, and early adopters have achieved yield gains exceeding 5% compared with earlier Persona offerings. The company said it is converting 30 to 40 collection centers per week, while its guidance only includes contracted deployments with committed implementation timelines. Other apheresis revenue declined 3% organically, which management attributed to portfolio optimization and order timing. Haemonetics raised its fiscal 2027 apheresis revenue outlook to low- to mid-single-digit growth, though it retained its assumption that underlying collection volume will grow 0% to 2% for the year. First-quarter gross margin was 60.4%, down 40 basis points from the prior-year period. Chief Financial Officer James D’Arecca said the comparison was affected by approximately $14 million of upfront software license revenue recognized in the first quarter of fiscal 2026, which added about 200 basis points to the prior-year gross-margin result. Excluding that benefit, the company said adjusted gross margin expanded through product mix, pricing, Persona PLUS adoption and manufacturing execution. Operating expenses rose 7% to $126 million, reflecting higher personnel costs, self-insured benefit plans, the Vivasure Medical acquisition and freight expense. Adjusted operating margin was 23.4%, down 70 basis points year over year, though management said it expanded after accounting for the prior-year software benefit. D’Arecca reaffirmed the company’s expectation for 50 to 100 basis points of adjusted operating-margin expansion in fiscal 2027. He said the company expects to offset external cost pressures through revenue growth, product mix, Persona PLUS, productivity initiatives and tariff recovery. Operating cash flow reached $52 million, about three times the prior-year level. Free-cash-flow conversion was 75% of adjusted net income in the first quarter and 106% over the trailing 12 months. Haemonetics repaid $50 million on its revolving credit facility during the quarter and another $50 million after quarter-end. Cash totaled $223 million at quarter-end, while net leverage was about 2.69 times EBITDA under its credit agreement. The company reaffirmed its fiscal 2027 free-cash-flow conversion target of approximately 80% of adjusted net income. Management said it currently prioritizes organic growth investments and debt reduction, while retaining flexibility for opportunistic share repurchases. Haemonetics has $325 million remaining under its share repurchase authorization after buying back $100 million of stock last year, according to Simon. Haemonetics raised fiscal 2027 reported revenue growth guidance to 5% to 8% and organic revenue growth guidance to 4% to 7%. D’Arecca said adjusted earnings per share is expected to grow broadly in line with the increased reported revenue outlook. Management said the higher outlook incorporates first-quarter outperformance, while assumptions for the remaining three quarters are largely unchanged. The company’s guidance is adjusted for the impact of a 53rd week and excludes foreign exchange effects and the exit of its Liquid Solutions business when measuring organic growth. Simon also said Haemonetics expects a potential Japanese approval for the VASCADE MVP XL label expansion later in the fiscal year, although it has not included related benefits in its forecast. The company is also in discussions with the U.S. Food and Drug Administration regarding PerQseal Elite and has included launch costs, but not potential revenue, in its plans. Haemonetics Corporation is a global provider of blood management solutions that support the collection, processing and transfusion of blood and blood products. The company's offerings are designed to enhance patient safety and operational efficiency for blood centers, hospitals and plasma collection facilities. Haemonetics serves healthcare providers worldwide by delivering integrated systems, software and consumables that address critical needs throughout the continuum of blood management. The company's product portfolio includes automated apheresis and plasma collection systems, surgical blood salvage and coagulation monitoring devices, and pathogen reduction technologies. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Haemonetics Q1 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Haemonetics (HAE) came out with quarterly earnings of $1.14 per share, beating the Zacks Consensus Estimate of $1.07 per share. This compares to earnings of $1.1 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +6.54%. A quarter ago, it was expected that this provider blood management systems for health care providers and blood collectors would post earnings of $1.28 per share when it actually produced earnings of $1.29, delivering a surprise of +0.78%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. Haemonetics, which belongs to the Zacks Medical - Products industry, posted revenues of $339.38 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 3.49%. This compares to year-ago revenues of $321.39 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Haemonetics shares have added about 4.3% since the beginning of the year versus the S&P 500's gain of 12.8%. While Haemonetics has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Haemonetics was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.30 on $343.02 million in revenues for the coming quarter and $5.21 on $1.4 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Medical - Products is currently in the bottom 37% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the same industry, Phibro Animal Health (PAHC), is yet to report results for the quarter ended June 2026. This maker of animal health products and nutritional supplements is expected to post quarterly earnings of $0.72 per share in its upcoming report, which represents a year-over-year change of +26.3%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Phibro Animal Health's revenues are expected to be $366.14 million, down 3.3% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Haemonetics Corporation (HAE) : Free Stock Analysis Report Phibro Animal Health Corporation (PAHC) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Financial release and supplemental presentation accessible online BOSTON, Aug. 6, 2026 /PRNewswire/ -- Haemonetics Corporation (NYSE: HAE) announced that financial results for its first quarter fiscal year 2027, which ended June 27, 2026, are available on the Company's Investor Relations website at www.haemonetics.com. The Company will host a conference call and webcast with investors and analysts to discuss and answer questions about the results at 8:00 a.m. ET on August 6, 2026. Conference Call and Webcast Information: Registration: Click here to register. Upon registration, participants will receive dial-in details and a personalized PIN. While not required, joining 10 minutes prior to the event start time is recommended. Live webcast: Access here or through the Investor Relations section of the Haemonetics website. A replay of the conference call and webcast will be available beginning at 11:00 a.m. ET on August 6, 2026 and will remain accessible for one year via the webcast link above. Earnings Materials:Haemonetics has also posted the following materials on its Investor Relations website, which will be referenced during the conference call and webcast: First Quarter Fiscal 2027 Earnings Release First Quarter Fiscal 2027 Supplemental Earnings Presentation ABOUT HAEMONETICSHaemonetics is a global medical technology company dedicated to improving the quality, effectiveness and efficiency of health care. Our Apheresis business features proprietary technologies designed to enhance safety, yield, donor satisfaction and operational efficiency for plasma and blood collectors around the world. Our MedSurg business offers Blood Management Technologies to help inform treatment decisions and optimize the management of blood products, and Interventional Technologies, including advanced vascular closure systems and sensor-guided technologies, designed to drive procedural effectiveness and elevate the patient experience. To learn more about Haemonetics, visit www.haemonetics.com. Investor Contacts:Olga Guyette, Vice President-Investor Relations & Treasury (781) 356-9763 [email protected] David Trenk, Sr. Manager-Investor Relations(203) [email protected] Media Contact:Josh Gitelson, Sr. Director-Global Communications(781) [email protected] View original content to download multimedia:https://www.prnewswire.com/news-releases/haemonetics-corporation-announces-first-quarter-fiscal-2027-financial-results-available-on-investor-relations-website-302844070.html

This article first appeared on GuruFocus. Release Date: August 06, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Haemonetics Corp (NYSE:HAE) delivered a strong first quarter with revenue of $339 million, up 6% reported and organic, and raised its full-year fiscal 2027 revenue and earnings guidance. The company's MedSurg segment returned to growth, with vascular closure growing in the low double-digits, driven by the VASCADE MVP XL expanded indication and strong commercial execution. Plasma revenue grew 8% organically, supported by double-digit disposable growth, share gains, and the successful rollout of Persona Plus, which is delivering yield improvements exceeding 5% for early adopters. The company generated exceptional cash flow, with operating cash flow of $52 million (three times the prior year) and free cash flow conversion of 75% in Q1, a seasonally weak quarter, and 106% on a trailing twelve-month basis. Haemonetics Corp (NYSE:HAE) is seeing strong momentum in hemostasis management, with mid-teens disposable growth and a durable growth runway, supported by the global rollout of the heparinase neutralization cartridge. The company successfully outran the overhang from the CSL divestiture and customer loss, with current results now reflecting clean, recurring growth going forward. Adjusted operating margin declined 70 basis points year-over-year to 23.4%, impacted by a difficult prior-year software comparison and external cost pressures, including higher personnel and freight expenses. The Interventional Technologies segment only grew 3% organically, with softness in peripheral and coronary procedures, esophageal cooling, and a decline in the OEM business partially offsetting strong vascular closure growth. Cell-salvage capital upgrades slowed, contributing to a deceleration in the Blood Management Technologies growth within MedSurg. The company faces sustained external cost pressures, including higher oil prices, transportation costs, and material inflation, which are expected to offset a $7 million tariff refund in Q2. Other apheresis revenue declined 3% organically due to portfolio optimization and order timing, and the company remains conservative in its guidance, not including potential upside from higher collection volumes or accelerated Persona Plus adoption. Adjusted earnings per diluted share growth of 4% was tempered by higher interest expense, unfavorable foreign exchange, and a higher tax rate, despite strong underlying operating performance. Warning! GuruFocus has detected 6 Warning Signs with NSE:TCIEXP. Is HAE fairly valued? Test your thesis with our free DCF calculator. Q: Can you provide more color on the dynamics of share shift in Interventional Technologies (IVT) and the attach rate to pulse field ablation (PFA) for VASCADE?A: Chris Simon (CEO): IVT returned to growth in Q1, growing 3% organically, led by low double-digit growth in vascular closure. PFA penetration is now between 80% and 85%, stabilizing the access site growth rate at roughly 6% to 7%. We grew in excess of that through three factors: a rising tide from resumed access site growth, stronger commercial execution from sales and marketing investments, and the MVP XL label expansion coupled with growing real-world evidence. We are benefiting from both share gains and increased utilization. Q: To what extent was the strong first quarter plasma number driven by Persona Plus upgrades versus incremental share gains, and is the CSL overhang completely out?A: Chris Simon (CEO): Yes, this is the first quarter we are completely outrunning any overhang from the divestiture and customer loss ($153 million), so results are clean and recurring. Plasma revenue was up 8% despite a difficult software comparison. North American disposables were up in the mid-20% range, and European sales were double-digit. The performance is a combination of share gains, robust collection volumes, and early-stage Persona Plus contributions. We remain conservative in guidance, only including contracted and committed timelines for Persona Plus. Q: How should we think about the progression of gross margins for the rest of the year?A: James Derecka (CFO): Q1 operating margin came in as expected, lapping a 200 basis point gross margin headwind from a $14 million software benefit in the prior year, which we offset through favorable mix and execution. Sequentially, margins were down due to lower MedSurg revenue following an unusually strong Q4 for BMT. Going forward, SG&A should remain stable in dollar terms, so as revenue builds, we should see better leverage. We will record a $7 million tariff refund in Q2, but expect it to be offset by higher oil prices, transportation costs, and material inflation. We reaffirm full-year margin guidance of 50 to 100 basis points expansion. Q: Can you provide an update on the timing of the Persona Plus rollout and the underlying plasma market growth assumptions?A: Chris Simon (CEO): Persona Plus is the second installment of the Persona offering, providing roughly an additional 5% yield, with early adopters seeing more than that. It's a simple firmware upgrade, so we can change centers rapidlycurrently converting 30 to 40 centers per week. We've been prudent in guidance, only including contracted performance. We began the year with a 0% to 2% collection volume growth assumption and have not changed that; the raised guidance reflects Q1 outperformance added to unchanged expectations for the rest of the year. Q: What are you seeing on the ground from IDNs and ASCs regarding VASCADE MVP XL, and has the slowdown in the left atrial appendage closure market impacted the business?A: Chris Simon (CEO): The FDA label expansion has opened doors for contracting with IDNs where we previously had no presence, and is driving momentum in the shift to ASCs. MVP XL offers workflow enhancements with same-day discharge, rapid ambulation, and minimal complications, which are highly valued in ASC settings. The left atrial appendage market is very small for us (only 1 to 1.5 access sites per procedure), so we haven't felt any headwind. Concomitant therapy with PFA is a bigger factor, captured in the 6% to 7% market growth. Q: Can you unpack the restated plasma numbers and the moving pieces behind the strong performance?A: Chris Simon (CEO): Following the June 5th reclassification, we combined source plasma with the blood center segment done on Nexus devices, representing 80% of the combined prior segments. The non-plasma apheresis piece (20%) was down 3%, which was favorable. The big focus is the 80% plasma apheresis piece, where North American disposables were up mid-20% and EMEA was up double-digits. The "trifecta" of share gains, strong source plasma demand, and Persona Plus pricing combined for the overall 8% growth. Q: What do you have to see to get comfortable guiding to more durable mid-single-digit collection growth as a baseline?A: Chris Simon (CEO): We are very bullish on durability and sustainability, but want guidance to be appropriately de-risked. We focus on what we can control: share gains, Persona Plus rollout, standardization, and growth in global markets. We've gotten out of the business of predicting things we don't control. The collection volume assumption in guidance remains 0% to 2%, and we are in a great position to support upside if volumes continue to be robust. Q: Where are we in terms of the XL label in Japan and the Percusil Elite regulatory process?A: Chris Simon (CEO): We view this year as the "year of launch." For XL in Japan, we've had favorable dialogue and anticipate approval later this fiscal year, though we don't have direct line of sight to timing and have been conservative in forecasts. For Percusil Elite, we are in dialogue with FDA, have included all costs for the US launch but no benefits. We anticipate approval this fiscal year, which would be upside to plans. Q: Can you break out the operating margin expansion in MedSurg between BMT and IVT?A: James Derecka (CFO): The sequential margin decline in MedSurg is predominantly driven by BMT. Q4 was an unusually strong quarter for BMT, and as revenue came down sequentially, we lost leverage, which drives the lion's share of the sequential margin decline in that business. Q: How much has pricing flexibility helped drive the recovery in vascular closure, and has that direction changed?A: Chris Simon (CEO): All three factorsmarket stabilization, sales and marketing investments, and pricing latitudeare having a role. The access site opportunity is accelerating from 3.5% to 6% or 7%. Our team is winning back accounts lost last year and gaining new share. Giving the team pricing latitude has helped, but they apply it intelligently. Our global manufacturing teams have also made the product more cost-effectively, and For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Performance was characterized by broad-based execution across all three core platforms, with MedSurg reemerging as a long-term growth driver alongside durable Apheresis performance. Plasma revenue growth of 8% was fueled by share gains and robust collection trends, successfully outrunning the prior-year divestiture and customer loss overhang. Vascular Closure returned to double-digit growth, outperforming the market due to the stabilization of Pulsed Field Ablation (PFA) procedures and expanded label indications for VASCADE MVP XL. The rollout of Persona PLUS is progressing ahead of schedule, delivering yield improvements exceeding 5% for early adopters and reinforcing the value of the integrated collection platform. Hemostasis Management continues to show durable mid-teens disposable growth, driven by higher utilization and the successful global launch of the heparinase neutralization cartridge. Operating leverage is beginning to materialize from multi-year investments in the operating model, evidenced by gross margin expansion when normalizing for prior-year software benefits. Full-year organic revenue guidance was raised to 4% to 7%, reflecting Q1 outperformance while maintaining a balanced outlook for the remainder of the year. Plasma guidance assumes conservative collection volume growth of 0% to 2%, despite current market trends showing high single to low-double-digit increases. Management expects 50 to 100 basis points of adjusted operating margin expansion, supported by favorable product mix and Persona PLUS adoption despite sustained external cost pressures. The company anticipates a $7 million tariff refund in Q2, though this is expected to be offset by headwinds from higher oil prices and material inflation later in the year. Strategic focus for the fiscal year remains on organic growth and product launches, including the anticipated U.S. launch of PerQseal Elite and label expansion in Japan. The first quarter of fiscal 2027 is the first period reflecting the new reportable segment structure announced in June 2026. Free cash flow conversion reached 75% of adjusted net income in a seasonally weak quarter, driven by disciplined working capital execution and fewer device placements. Management has prioritized debt repayment, reducing the revolving credit facility balance by $100 million subsequent to the start of the fiscal year. The addition of Dr. Martin Madaus to the Board of Directors is intended to strengthen strategic perspective and operating experience for long-term value creation. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management noted that PFA penetration has stabilized at 80% to 85%, which has normalized access site growth to approximately 6% to 7%. Growth in the segment is being driven by commercial execution and the VASCADE MVP XL label expansion, which allows for broader adoption in large-bore procedures. The rollout is a simple firmware upgrade, allowing for rapid conversion of 30 to 40 centers per week. While the entire U.S. market could technically be converted this year, guidance only includes contracted volumes with clear implementation timelines. Organic growth remains the top priority, followed by debt reduction and opportunistic share repurchases under the remaining $325 million authorization. Management explicitly stated that M&A is 'off the table for now' as the focus remains on executing against existing core product demand.