Stryker reported modest revenue growth in Q1 2026, driven by a recovery from a cyber incident and underlying business momentum. While revenue saw a slight increase, adjusted EPS declined, and operating margins contracted, reflecting the impact of various charges and a shift in business mix. The company maintained its full-year guidance, signaling confidence in its strategic initiatives and market position.
Reported net sales increased 2.6% to $6.0 billion, with organic net sales up 2.4%.
positiveReported EPS increased 14.2% to $1.93.
positiveMaintained full year 2026 guidance for organic net sales growth (8.0% to 9.5%) and adjusted EPS ($14.90 to $15.10).
positiveMedSurg and Neurotechnology segment sales increased 5.0% (3.6% in constant currency).
positiveAdjusted operating income margin contracted 180 bps to 21.1% from 22.9% in Q1 2025.
attentionAdjusted EPS decreased 8.5% to $2.60 compared to $2.84 in Q1 2025.
negativeOrthopaedics segment sales decreased 1.8% in constant currency, despite a 4.1% organic net sales increase driven by unit volume.
attentionSignificant charges for acquisition and integration-related costs, structural optimization, medical device regulations, and recall-related matters impacted reported results.
attentionSpinal Implants segment sales decreased 98.9% (99.0% in constant currency) due to a shift in organizational structure.
attentionInventory levels increased to $5,419 million from $5,310 million at the end of the prior year.
attentionMargin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.
| Segment | Current | Prior Yr | YoY | % Total | CC |
|---|---|---|---|---|---|
MedSurg and Neurotechnology | N/A | — | — | — | +3.6% |
Orthopaedics | N/A | — | — | — | -1.8% |
| Total Revenue | $0.00M | — | — | 100.0% | — |
Segment performance shows business unit health and growth drivers. Constant currency (CC) removes FX impact for like-for-like comparison.
Forward-looking guidance is subject to change and does not constitute a guarantee. Actual results may differ materially from these estimates.
Special items are non-recurring events that may distort period-over-period comparisons. Analysts typically adjust for these when calculating normalized earnings.
Pleased with our team’s ability to recover quickly from the cyber incident and continue delivering for our customers and their patients.
We remain committed to meeting our full year guidance for organic sales growth and adjusted earnings per share as our underlying business momentum remains strong.
Announced a change in our organizational structure to create a new Ortho Tech business, simplifying the customer experience and striving to increase speed to market through focused innovation.
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Operational metrics provide insight into business drivers and customer engagement beyond traditional financial measures.