Varex Imaging | 10-K: FY2025 Revenue Beats Estimate at USD 844.6 M

Revenue: As of FY2025, the actual value is USD 844.6 M, beating the estimate of USD 834.96 M.

EPS: As of FY2025, the actual value is USD -1.7, beating the estimate of USD -1.9925.

EBIT: As of FY2025, the actual value is USD -800 K.

Medical Segment

• Revenue: $592.6 million, a 2% increase from $581.7 million in 2024.
• Gross Profit: $200.1 million, a 13% increase from $176.7 million in 2024.
• Gross Margin: 33.8%, up from 30.4% in 2024.
• Operating Expenses: $318.3 million, a 42% increase from $224.8 million in 2024, primarily due to a $93.9 million goodwill impairment charge.
• Operating Income: - $27.8 million, down from $32.1 million in 2024.

Industrial Segment

• Revenue: $252.0 million, a 10% increase from $229.3 million in 2024.
• Gross Profit: $90.4 million, a 13% increase from $80.2 million in 2024.
• Gross Margin: 35.9%, up from 35.0% in 2024.

Cash Flow

• Operating Cash Flow: $41.7 million, down from $47.3 million in 2024.
• Free Cash Flow: - $22.9 million, compared to - $26.9 million in 2024.

Unique Metrics

• Inventory Write-downs: $3.8 million, down from $4.9 million in 2024.
• Depreciation Expense: $23.2 million, up from $21.2 million in 2024.

Outlook / Guidance

• The company anticipates some contraction in demand for Linatron® X-ray accelerators for border protection applications but expects demand to remain solid in fiscal year 2026.
• The company continues to monitor potential changes in customer procurement decisions resulting from the current trade climate and other tariff-related actions.