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- **Top Line Growth**: 9.5% organic sales beat driven by Ortho (11.4%), Neuro (12.9%), and MedSurg (7.9%).
- **Margin Expansion**: 25.6% adjusted operating margin, up 90bps YoY, with 200+ bps+ long-term target.
- **Acquisition Momentum**: 2 tuck-in deals to strengthen surgical instruments, with Inari integration on track for 10%+ 2025 growth.
- **Tariff Risk**: $200M full year impact, mostly in Q4, but no material impact to Q3 results.
- **Q4 Guidance**: 9.8-10.2% organic growth, $13.50-13.60 EPS (vs. $13.35-13.55 prior).

**【CEO Summary Section】**
- **Revenue Growth**: Organic sales growth of 9.5% year-over-year, driven by double-digit growth in Orthopedics (11.4%) and Neurotechnology (12.9%).
- **Strategic Acquisitions**: Completed 2 small tuck-in acquisitions (Guard Medical and Advanced Medical Balloons) to enhance surgical instrument portfolios.
- **Margin Expansion**: Committed to achieving 200+ basis points of operating margin expansion over the long term, with Q3 adjusted operating margin at 25.6%.
- **Inari Integration**: Pro forma organic sales growth of 10% in Q3, with plans for full year 2025 guidance of 10%+ growth.

**【CFO Financial Commentary】**
- **Financial Performance**: Q3 GAAP net income $420M, Non-GAAP EPS $1.08 (vs. $0.95 consensus). Adjusted EBITDA margin 22.3%.
- **Cash Flow**: Year-to-date cash from operations $2.9B, up 12% YoY.
- **Tariff Impact**: Full year 2025 tariff impact estimated at $200M, primarily affecting Q4.
- **Guidance Update**: Full year 2025 organic sales growth 9.8-10.2%, adjusted EPS $13.50-13.60 (vs. prior $13.35-13.55).

**【Q&A Highlights】**
- **Procedure Volumes**: Strong procedural growth across Ortho (Mako installations up 38.5%), MedSurg (7.9% growth), and Neuro (12.9% growth).
- **Pricing Strategy**: Positive pricing trends in all segments, with MedSurg seeing 0.4% favorable impact in Q3.
- **Supply Chain**: Ongoing medical device supply chain disruptions, but no material impact on Q3 results.
- **Investor Day**: November 13 event to detail long-term strategy and 2026+ outlook.

Stryker Corporation (SYK) Q3 2025 Earnings Call Transcript

Revenue

Sales and Services Revenue

Financing Services Revenue

Other Revenue

Cost of Revenue

Cost of Goods and Services

Cost of Financing Services

Other Cost

Gross Profit

Other Operating Income

Operating Expenses

Selling, General and Administrative Expenses

Selling and Marketing Expenses

General and Administrative Expenses

Research and Development Expenses

Loss on Bad Debts

Loss on Impairment of Other Assets

Loss on Disposal of Assets

Other Operating Expenses

Operating Income

Non-Operating Income (Loss)

Income (Loss) from Affiliates

Income (Loss) from Associates

Income (Loss) from Joint ventures

Gain (Loss) on Other Investment

Gain (Loss) on Change in Fair Value

Gain (Loss) on Foreign Currency Exchange

Other Non-Operating Income (Loss)

Net Interest Expense

Interest Expense

Interest Income

Pretax Income From Continuing Operations

Income Tax Expense

Current Income Tax

Deferred Income Tax

Income Tax Adjustments

Net Income from Continuing Operations

Income from Discontinued Operations

Other Items Before Net Income

Net Income

Net Income Attributable to Minority Interests

Net Income Attributable to Owners of the Company

Preferred Stock Dividends

Other Adjustments

Net Income Attributable to Common Stockholders

Other Comprehensive Income

Total Comprehensive Income

Total Comprehensive Income Attributable to Minority Interests

Total Comprehensive Income Attributable to Owners of the Company

Basic EPS

Basic EPS from Continuing Operations

Basic EPS from Discontinued Operations

Diluted EPS

Diluted EPS from Continuing Operations

Diluted EPS from Discontinued Operations

SYK

SYK fundamentals

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