Lemaitre Vascular 2025 Q3 Earnings Record Net Income Surpasses Expectations

Lemaitre Vascular (LMAT) reported robust fiscal 2025 Q3 earnings on Nov 8, 2025, with revenue rising 11.4% to $61.05 million and EPS surging 54% to $0.77. While revenue slightly missed estimates, the company’s net income hit a 20-year high of $17.36 million (55.8% YoY growth). Q4 2025 guidance, however, fell below consensus, signaling potential short-term volatility.

Revenue

The company’s revenue growth was driven by strong performance in grafts (23% increase) and shunts (18% increase). International sales also contributed, with the Artegraft launch boosting revenue by 33% in select markets. Despite a catheter recall impacting Q3, organic sales growth reached 12%.

Earnings/Net Income

Lemaitre’s GAAP EPS of $0.75 exceeded analyst estimates by 31.5%, while net income surged 55.8% YoY. This marked a record for Q3 net income and underscored the company’s profitability. The earnings beat reflects effective cost management and pricing strategies, though currency fluctuations and international challenges remain risks.

Post-Earnings Price Action Review

The strategy of buying LMAT when revenue beats and holding for 30 days appears promising, given the 11.4% YoY revenue growth and 31.5% EPS outperformance. While the stock dipped post-earnings, analysts maintain a positive outlook with a $100.60 price target. A 30-day holding period could capitalize on post-earnings volatility, balancing short-term risks like Q4 revenue guidance below consensus and international challenges with long-term gains from strong earnings momentum.

CEO Commentary

CEO George LeMaitre highlighted the company’s organic growth, noting that grafts and shunts drove performance. He emphasized ongoing investments in sales force expansion, international offices, and regulatory approvals. Challenges like the catheter recall and APAC market turbulence were acknowledged, but confidence in 2025’s “healthy sales and profit growth” was reiterated.

Guidance

Lemaitre guided Q4 2025 revenue to $61.8–$63.8 million (below the $64.3M consensus) and FY2025 EPS to $2.48–$2.53. Adjusted gross margin is projected at 70.3%, with operating margin expected to reach 29% in Q4.

Additional News

1. M&A Activity: LeMaitre exited the Z-Medica distribution business, impacting Q3 revenue by $1.3 million.

2. Leadership Changes: New regional sales managers were appointed in Korea and Japan to address APAC challenges.

3. Dividend Update: A quarterly dividend of $0.20 per share was declared, reflecting confidence in cash flow stability.