CONMED's 2025 Q2 Earnings Call: Unpacking Contradictions in Market Share, Supply Chains, and Innovation

Orthopedic market share and supply chain challenges, supply chain improvements and timing, Buffalo Filter market growth and competition, operational improvements and supply chain challenges, orthopedic market share and innovation are the key contradictions discussed in CONMED Corporation's latest 2025Q2 earnings call.



Revenue Growth and Market Segment Performance:
- CONMED Corporation reported total sales of $342.3 million for Q2 2025, slightly above the high end of their guidance range, with year-over-year growth of 3.1% as reported and 2.9% in constant currency.
- Growth was driven by worldwide general surgery sales of 4.4%, while worldwide orthopedic sales grew 0.8% year-over-year. The company is confident that their supply chain initiatives can accelerate growth in orthopedics moving into 2026.

Adjusted Earnings and Profitability:
- Excluding special items, CONMED's adjusted net income increased to $35.6 million, up 16.4% year-over-year, and adjusted diluted net earnings per share rose to $1.15, up 17.3% year-over-year.
- The improvement in earnings was attributed to the strong performance in general surgery sales and ongoing supply chain recovery efforts.

Key Growth Drivers and Product Performance:
- CONMED's four key growth drivers—AirSeal, Buffalo Filter, BioBrace, and Foot & Ankle—contributed significantly to revenue growth.
- AirSeal's use in non-robotic procedures is projected to grow between 10% to 15% annually for the next five years, with potential for high single-digit to low double-digit growth in procedures. Buffalo Filter continues to benefit from legislative adoption and new product introductions in the smoke evacuation market.

Supply Chain and Operational Initiatives:
- CONMED is focusing on stabilizing and scaling operations, driving efficiencies, and building a high-performance supply chain to support long-term growth and improve product availability.
- The company is engaged with a top-tier consulting firm to generate at least $20 million in annual savings, while enhancing precision and agility in operations.