Avanos Medical 2025 Q3 Earnings Revenue Beats Estimates Despite Net Loss Flip

Avanos Medical (AVNS) reported Q3 2025 results with revenue of $177.8M, , . , reflecting strategic cost cuts and portfolio optimization.

Revenue

Specialty Nutrition Systems led with $114 million in revenue, . , . Corporate and Other added $4.80 million, .

Earnings/Net Income

, . , underscoring margin pressures and strategic divestitures.

Post-Earnings Price Action Review

The strategy of buying AVNS when revenues beat estimates and holding for 30 days has shown favorable performance. , . , . However, risks like tariffs and HA business divestiture remain. This strategy’s viability hinges on the company’s ability to execute cost cuts and navigate supply chain challenges.

CEO Commentary

CEO highlighted strong SNS growth, driven by the Nexus Medical acquisition, and progress in PM&R despite a challenging tariff environment. He emphasized confidence in mitigating tariffs through pricing actions, lobbying, and supply chain shifts, while prioritizing operational efficiency.

Guidance

, reflecting improved sales momentum and cost savings. The company anticipates mid-single-digit growth in strategic segments, though fourth-quarter SNS growth may moderate due to prior-year tailwinds.

Additional News

1. M&A Activity: Avanos acquired Nexus Medical, expanding its neonatal and pediatric offerings, and divested its HA business to Channel-Markers Medical, aligning with its SNS and PM&R focus.

2. Cost-Saving Initiatives.

3. Tariff Mitigation, .