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Globus Medical Stock Up on Q2 Earnings & Revenue Beat, Margins Expand
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Key Takeaways
Globus Medical's Q2 adjusted EPS rose 14.1% to $0.86, topping estimates by 13.16%.
GMED's revenues grew 18.4% to $745.3M, with Nevro adding $95M in the quarter.
Globus Medical's gross margin expanded 792 bps to 66.6% as the cost of sales fell 4.3%.
Globus Medical, Inc. (GMED - Free Report) reported second-quarter 2025 adjusted earnings per share (EPS) of 86 cents, which surpassed the Zacks Consensus Estimate by 13.16%. The figure increased 14.1% year over year.
Adjusted EPS excludes certain non-recurring expenses and benefits, such as the amortization of intangibles, merger and acquisition-related costs/licensing and the provision for litigation.
Without adjustments, the company registered a GAAP diluted EPS of $1.49 compared with 23 cents per share in the year-ago period.
GMED’s Q2 Revenues
Worldwide sales increased 18.4% year over year to $745.3 million. The reported figure beat the Zacks Consensus Estimate by 0.49%. The recently acquired Nevro contributed $95 million in revenues during the quarter.
Since the Aug. 7 announcement, shares of GMED have climbed 14.4% to close at $61.87 yesterday.
GMED’s Q2 Geographic Details
Net sales generated in the United States increased 20.3% year over year (same at CER) to $600.8 million.
Globus Medical, Inc. Price, Consensus and EPS Surprise
Across international markets, revenues rose 11% (up 7.5% at CER) to $144.6 million.
GMED’s Product-Wise Q2 Sales
Musculoskeletal Solutions generated revenues of $710.2 million, up 19.8% year over year.
Enabling Technologies generated revenues of $35.2 million, down 4.4% from the prior-year reported figure.
GMED’s Q2 Margin Performance
The gross profit in the reported quarter rose 34.3% year over year to $496.6 million. The gross margin expanded 792 basis points (bps) to 66.6% on a 4.3% decrease in the cost of sales (exclusive of amortization of intangibles).
SG&A expenses totaled $303.6 million, up 26.8% from the year-ago quarter’s level. Research and development expenses climbed 5.9% to $40 million.
The adjusted operating profit was $153 million, which rose 65.4% from the year-ago figure. The adjusted operating margin surged 584 bps to 20.5% due to lower operating expenses.
GMED’s Cash Position
Globus Medical exited the second quarter of 2025 with combined cash and cash equivalents and short-term marketable securities of $229.4 million compared with $461.3 million at the end of the first quarter.
Net cash provided by operating activities at the end of the second quarter was $255.2 million compared with the year-ago figure of $106.6 million.
GMED’s 2025 Guidance
Globus Medical has reaffirmed its full-year 2025 guidance. Net sales are projected in the range of $2.80-$2.90 billion. The Zacks Consensus Estimate is currently pegged at $2.85 billion.
The company expects adjusted EPS in the range of $3.00-$3.30. The Zacks Consensus Estimate is pegged at $3.22.
Our Take on GMED
Globus Medical exited the second quarter of 2025 with better-than-expected earnings and revenues. The metrics also increased on a year-over-year basis, driven by the sustained momentum in the U.S. Spine business, which posted its highest sequential revenue growth since the second quarter of 2022. Internationally, growth in the EMEA region was led by the U.K., Spain, Germany, Ireland and Italy. The expansion of both margins is also highly encouraging.
Globus Medical continues to increase investment and output, delivering more products in the hands of its sales representatives, who are deepening engagement with surgeon partners, to showcase the clinical advantage of its products. These targeted efforts are expected to lay the groundwork for driving a return to above-market growth across the portfolio.
GMED’s Zacks Rank & Key Picks
Globus Medical currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the broader medical space are Medpace Holdings (MEDP - Free Report) , GeneDx Holdings (WGS - Free Report) and Boston Scientific (BSX - Free Report) .
Medpace Holdings, currently sporting a Zacks Rank #1 (Strong Buy), reported a second-quarter 2025 EPS of $3.1, which beat the Zacks Consensus Estimate by 3.33%. Revenues of $603.3 million topped the consensus mark by 11.48%. You can see the complete list of today’s Zacks #1 Rank stocks here.
MEDP has a historical five-year earnings growth rate of 30.9% compared with the S&P 500 composite’s 10.1% growth. The company surpassed earnings estimates in each of the trailing four quarters, with the average surprise being 13.87%.
GeneDx Holdings, carrying a Zacks Rank #2 (Buy) at present, posted a second-quarter 2025 adjusted EPS of 50 cents, exceeding the Zacks Consensus Estimate by a remarkable 400%. Revenues of $102.7 million surpassed the Zacks Consensus Estimate by 21.24%.
WGS has an estimated earnings growth rate of 79.6% for 2026 compared with the industry’s 18.6% growth. The company’s earnings outpaced estimates in each of the trailing four quarters, the average surprise being 231.40%.
Boston Scientific, currently carrying a Zacks Rank #2, reported a second-quarter 2025 adjusted EPS of 75 cents, which topped the Zacks Consensus Estimate by 4.2%.
BSX has a historical five-year earnings growth rate of 13.3% compared with the industry’s 2.7% growth. The company’s earnings beat estimates in each of the trailing four quarters, with the average surprise being 8.11%.
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Globus Medical Stock Up on Q2 Earnings & Revenue Beat, Margins Expand
Key Takeaways
Globus Medical, Inc. (GMED - Free Report) reported second-quarter 2025 adjusted earnings per share (EPS) of 86 cents, which surpassed the Zacks Consensus Estimate by 13.16%. The figure increased 14.1% year over year.
Adjusted EPS excludes certain non-recurring expenses and benefits, such as the amortization of intangibles, merger and acquisition-related costs/licensing and the provision for litigation.
Without adjustments, the company registered a GAAP diluted EPS of $1.49 compared with 23 cents per share in the year-ago period.
GMED’s Q2 Revenues
Worldwide sales increased 18.4% year over year to $745.3 million. The reported figure beat the Zacks Consensus Estimate by 0.49%. The recently acquired Nevro contributed $95 million in revenues during the quarter.
Since the Aug. 7 announcement, shares of GMED have climbed 14.4% to close at $61.87 yesterday.
GMED’s Q2 Geographic Details
Net sales generated in the United States increased 20.3% year over year (same at CER) to $600.8 million.
Globus Medical, Inc. Price, Consensus and EPS Surprise
Globus Medical, Inc. price-consensus-eps-surprise-chart | Globus Medical, Inc. Quote
Across international markets, revenues rose 11% (up 7.5% at CER) to $144.6 million.
GMED’s Product-Wise Q2 Sales
Musculoskeletal Solutions generated revenues of $710.2 million, up 19.8% year over year.
Enabling Technologies generated revenues of $35.2 million, down 4.4% from the prior-year reported figure.
GMED’s Q2 Margin Performance
The gross profit in the reported quarter rose 34.3% year over year to $496.6 million. The gross margin expanded 792 basis points (bps) to 66.6% on a 4.3% decrease in the cost of sales (exclusive of amortization of intangibles).
SG&A expenses totaled $303.6 million, up 26.8% from the year-ago quarter’s level. Research and development expenses climbed 5.9% to $40 million.
The adjusted operating profit was $153 million, which rose 65.4% from the year-ago figure. The adjusted operating margin surged 584 bps to 20.5% due to lower operating expenses.
GMED’s Cash Position
Globus Medical exited the second quarter of 2025 with combined cash and cash equivalents and short-term marketable securities of $229.4 million compared with $461.3 million at the end of the first quarter.
Net cash provided by operating activities at the end of the second quarter was $255.2 million compared with the year-ago figure of $106.6 million.
GMED’s 2025 Guidance
Globus Medical has reaffirmed its full-year 2025 guidance. Net sales are projected in the range of $2.80-$2.90 billion. The Zacks Consensus Estimate is currently pegged at $2.85 billion.
The company expects adjusted EPS in the range of $3.00-$3.30. The Zacks Consensus Estimate is pegged at $3.22.
Our Take on GMED
Globus Medical exited the second quarter of 2025 with better-than-expected earnings and revenues. The metrics also increased on a year-over-year basis, driven by the sustained momentum in the U.S. Spine business, which posted its highest sequential revenue growth since the second quarter of 2022. Internationally, growth in the EMEA region was led by the U.K., Spain, Germany, Ireland and Italy. The expansion of both margins is also highly encouraging.
Globus Medical continues to increase investment and output, delivering more products in the hands of its sales representatives, who are deepening engagement with surgeon partners, to showcase the clinical advantage of its products. These targeted efforts are expected to lay the groundwork for driving a return to above-market growth across the portfolio.
GMED’s Zacks Rank & Key Picks
Globus Medical currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the broader medical space are Medpace Holdings (MEDP - Free Report) , GeneDx Holdings (WGS - Free Report) and Boston Scientific (BSX - Free Report) .
Medpace Holdings, currently sporting a Zacks Rank #1 (Strong Buy), reported a second-quarter 2025 EPS of $3.1, which beat the Zacks Consensus Estimate by 3.33%. Revenues of $603.3 million topped the consensus mark by 11.48%. You can see the complete list of today’s Zacks #1 Rank stocks here.
MEDP has a historical five-year earnings growth rate of 30.9% compared with the S&P 500 composite’s 10.1% growth. The company surpassed earnings estimates in each of the trailing four quarters, with the average surprise being 13.87%.
GeneDx Holdings, carrying a Zacks Rank #2 (Buy) at present, posted a second-quarter 2025 adjusted EPS of 50 cents, exceeding the Zacks Consensus Estimate by a remarkable 400%. Revenues of $102.7 million surpassed the Zacks Consensus Estimate by 21.24%.
WGS has an estimated earnings growth rate of 79.6% for 2026 compared with the industry’s 18.6% growth. The company’s earnings outpaced estimates in each of the trailing four quarters, the average surprise being 231.40%.
Boston Scientific, currently carrying a Zacks Rank #2, reported a second-quarter 2025 adjusted EPS of 75 cents, which topped the Zacks Consensus Estimate by 4.2%.
BSX has a historical five-year earnings growth rate of 13.3% compared with the industry’s 2.7% growth. The company’s earnings beat estimates in each of the trailing four quarters, with the average surprise being 8.11%.