STERIS plc reported a 9% increase in total revenue for Q3 2026, driven by strong organic growth in healthcare and life sciences, despite challenges from tariffs and inflation impacting margins.
- Adjusted earnings per diluted share rose 9% year-over-year to $2.53.
- Constant currency organic revenue growth was 8%, with healthcare services achieving an impressive 11% growth.
- Gross margin declined to 43.9%, primarily due to increased tariffs and inflation, resulting in a decrease in EBIT margin to 22.9%.
- Free cash flow for the first nine months reached $7.368 billion, reflecting increased earnings and lower capital spending.
- The fiscal 2026 guidance remains unchanged, targeting 8% to 9% revenue growth, with total earnings expected between $10.00 and $10.30 per diluted share.
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