-- Delivered double-digit reported revenue growth of 10.8%, with constant-currency revenue growth of 9.8%
-- Raised full-year 2026 revenue and adjusted diluted earnings per share guidance(1)
-- Entered into a long-term agreement with Thermo Fisher Scientific to strengthen oxygenator component supply to expand manufacturing output and satisfy unmet demand
GLOUCESTER, England--(BUSINESS WIRE)--August 05, 2026--
LivaNova PLC (Nasdaq: LIVN), a market-leading medical technology company, today reported results for the second quarter ended June 30, 2026 and raised full-year 2026 guidance.
Financial Summary and Highlights(1)
-- Second-quarter revenue of $390.6 million increased 10.8% on a reported
basis and 9.8% on a constant-currency basis as compared to the prior-year
period
-- Second-quarter U.S. GAAP diluted earnings per share of $1.93 and
adjusted diluted earnings per share of $1.26
-- Second-quarter net cash provided by operating activities of $66.6
million and adjusted free cash flow of $45.5 million
-- Raised full-year 2026 revenue growth range by 100 basis points to 8% to
9% on a constant-currency basis. Raised full-year 2026 adjusted diluted
earnings per share range by $0.10 at midpoint to $4.30 to $4.40. Lowered
full-year 2026 adjusted free cash flow range to $140 million to $160
million
-- Entered into a long-term agreement with Thermo Fisher Scientific that
is anticipated to increase availability of a critical oxygenator
component. The agreement is expected to support increased oxygenator
output over time, strengthening LivaNova's ability to satisfy unmet
customer demand
-- Announced data showing that use of PolySync$(TM)$ programming algorithm
increased the cumulative apnea-hypopnea index response rate to 84.5% in
patients with moderate to severe Obstructive Sleep Apnea, improving
response rate and expanding the impact of proximal hypoglossal nerve
stimulation therapy over time
-- Received a favorable ruling from the Italian tax authority, Agenzia
delle Entrate, resulting in the recognition of a discrete tax benefit of
EUR81.8 million ($95.4 million) on the deductibility of the previously
recorded SNIA environmental liability
-- Appointed Jette Nygaard-Anderson to the Board of Directors and the
Nominating and Corporate Governance Committee, effective June 10
-- Appointed Stefano Folli as President, Cardiopulmonary, effective August
1, after joining the Company on June 1
-- Appointed Anne Liddy as Chief Legal Officer, effective August 31
_________________________________
(1) Constant-currency percent change, adjusted diluted earnings per share,
and adjusted free cash flow are non-GAAP measures. Constant-currency
percent change excludes the impact from fluctuations in the various
currencies in which the Company operates as compared to reported
percent change. For an explanation of these and other non-GAAP measures
used in this news release, see the section entitled "Use of Non-GAAP
Financial Measures." For reconciliations of certain non-GAAP measures,
see the tables that accompany this news release. As discussed in the
section entitled "Use of Non-GAAP Financial Measures" below, the
Company is unable to predict with a reasonable degree of certainty the
type and extent of certain items that would be expected to impact GAAP
measures but would not impact the non-GAAP measures. Accordingly, the
Company is unable to reconcile forward-looking non-GAAP financial
measures to their most directly comparable forward-looking GAAP
financial measures without unreasonable efforts.
"In the second quarter, LivaNova delivered strong revenue growth driven by sustained performance in our Cardiopulmonary and Epilepsy businesses, " said Vladimir Makatsaria, Chief Executive Officer of LivaNova. "We are also pleased to announce an agreement with Thermo Fisher Scientific, an important step in securing a critical component for our oxygenators, supporting the Cardiopulmonary supply chain long-term. Our updated 2026 guidance reflects strong execution in the core businesses as we advance our strategic plan and drive long-term value creation."
Second-Quarter 2026 Results
The following table summarizes net revenue by segment (in millions):
Three Months Ended
June 30,
-------------------- -------- -----------------
Constant-Currency
2026 2025 % Change % Change
--------- --------- -------- -----------------
Cardiopulmonary $221.6 $199.3 11.2 % 9.9 %
Neuromodulation 166.9 151.7 10.1 % 9.5 %
Other Revenue (1) 2.1 1.6 30.6 % 27.7 %
------------------- --------- ---------
Total Company $390.6 $352.5 10.8 % 9.8 %
=================== ========= =========
(1) "Other Revenue" includes rental and site services income not allocated
to segments.
-- Numbers may not add precisely due to rounding.
Second-quarter 2026 Cardiopulmonary revenue increased 11.2% on a reported basis and 9.9% on a constant-currency basis versus the second quarter of 2025 driven by growth in Europe, primarily reflecting Essenz(TM) Perfusion System sales, strong consumables demand, and favorable realized price.
Second-quarter 2026 Neuromodulation revenue increased 10.1% on a reported basis and 9.5% on a constant-currency basis versus the second quarter of 2025 with growth across all regions, driven by volume growth and favorable realized price.
Earnings Analysis
On a U.S. GAAP basis, second-quarter 2026 operating income was $49.5 million, as compared to operating income of $54.2 million for the second quarter of 2025. Adjusted operating income for the second quarter of 2026 was $90.8 million, as compared to adjusted operating income of $77.4 million for the second quarter of 2025.
On a U.S. GAAP basis, second-quarter 2026 diluted earnings per share was $1.93 as compared to diluted earnings per share of $0.50 in the second quarter of 2025. Second-quarter 2026 adjusted diluted earnings per share was $1.26, as compared to adjusted diluted earnings per share of $1.05 in the second quarter of 2025.
Full-Year 2026 Guidance
LivaNova now expects full-year 2026 revenue to grow between 8% and 9% (versus 7% and 8% prior) on a constant-currency basis. Foreign currency is expected to be a tailwind of approximately 1% based on current exchange rates, consistent with prior guidance.
Adjusted diluted earnings per share for 2026 is now expected to be in the range of $4.30 to $4.40 (versus $4.20 to $4.30 prior), assuming a share count of approximately 56 million for full-year 2026. In 2026, the Company now estimates adjusted free cash flow in the range of $140 million to $160 million (versus $160 million to $180 million prior) to reflect incremental strategic investments in Cardiopulmonary capacity expansion, innovation, and IT infrastructure to support the Company's growth strategy.
As discussed in the section entitled "Use of Non-GAAP Financial Measures" below, the Company is unable to predict with a reasonable degree of certainty the type and extent of certain items that would be expected to impact GAAP measures but would not impact the non-GAAP measures. Accordingly, the Company is unable to reconcile the forward-looking non-GAAP financial measures included in this section to their most directly comparable forward-looking GAAP financial measures without unreasonable efforts.
Webcast and Conference Call Instructions
The Company will host a live audiocast at 1 p.m. London time (8 a.m. Eastern Daylight Time) on Wed., August 5, 2026 that will be accessible at www.livanova.com/events. Listeners should register in advance and log on approximately 10 minutes early to ensure proper setup. To listen to the conference call by telephone, dial +1 833 461 5787 (if dialing from within the U.S.) or +1 585 542 9983 (if dialing from outside the U.S.). The conference call meeting ID is 719351329. Within 24 hours of the audiocast, a replay will be available at www.livanova.com/events, where it will be archived and accessible for approximately 90 days.
About LivaNova
LivaNova PLC is a global medical technology company built on nearly five decades of experience with a vision to change the trajectory of lives for a new day. Through ingenious medical solutions in select neurological and cardiac conditions, LivaNova strives to ignite patient turnarounds. With its registered office in the United Kingdom, approximately 3,300 employees, and a presence in more than 100 countries, LivaNova serves patients, healthcare professionals, and healthcare systems worldwide. For more information, please visit www.livanova.com.
Use of Non-GAAP Financial Measures
To supplement financial measures presented in accordance with generally accepted accounting principles in the United States (U.S. GAAP or GAAP), management has disclosed certain additional measures not presented in accordance with GAAP known as "non-GAAP financial measures" or "adjusted financial measures." Company management uses these non-GAAP measures to monitor the Company's operational performance and for benchmarking against other medical technology companies. Non-GAAP financial measures used by the Company may be calculated differently from, and therefore may not be comparable to, similarly titled measures used by other companies. These non-GAAP financial measures should be considered along with, but not as alternatives to, operational performance measures as prescribed by GAAP.
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