Quarterly ResultAug 5, 2026, 04:38 PM
STERIS Q1 Revenue +7% to $1.5B; EPS $2.04; Announces Restructuring
AI Summary
STERIS plc reported strong fiscal Q1 2027 results, with revenue increasing 7% to $1.5 billion and diluted EPS rising to $2.04. Adjusted diluted EPS reached $2.59. Concurrently, the company announced a strategic consolidation plan to establish a new formulated chemistries Center of Excellence in North Carolina, which will involve closing facilities in St. Louis and Plymouth. This restructuring is projected to incur $55 million to $70 million in pre-tax charges and has led to an increase in fiscal 2027 capital expenditure guidance and a slight reduction in free cash flow guidance.
Key Highlights
- Announced a targeted consolidation plan for formulated chemistries manufacturing to a new Center of Excellence in North Carolina.
- Plan includes anticipated closure of chemistry manufacturing and distribution facilities in St. Louis, Missouri, and Plymouth, Minnesota.
- Expects total pre-tax restructuring charges of approximately $55 million to $70 million, with $40 million to $50 million in cash expenditures.
- Fiscal 2027 first quarter revenue increased 7% to $1.5 billion.
- Fiscal 2027 first quarter diluted EPS was $2.04; adjusted diluted EPS increased to $2.59.
- Healthcare segment revenue grew 8% to $1.05 billion, with 10% service revenue and 9% consumable revenue growth.
- Fiscal 2027 capital expenditures guidance increased to $450 million from prior expectations of $375 million.
- Fiscal 2027 free cash flow guidance revised to $800 million from prior expectations of $850 million.
Price Impact
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