Embla Medical hf (OSSFF) Q3 2026 Earnings Report
OSSFF Q3 2026 EPS Results
- Actual EPS
- $0.06
- Consensus EPS
- $0.07
- Beat/Miss
- Missed by -$0.01
- One Year Ago EPS
- $0.06
OSSFF Q3 2026 Revenue Results
- Actual Revenue
- $242.12M
- Expected Revenue
- $254.53M
- Beat/Miss
- Missed by -$12.40M
- YoY Revenue Growth
- +7.23%
Earnings Announcement Details
- Quarter
- Q3 2026
- Date
- 10/20/2026
- Time
- Before Open
- Conference Call
- Tuesday, October 20, 2026
Embla Medical hf's next earnings date is estimated for February 2, 2027, based on past reporting schedules.
Q3 2026 Earnings Call Audio
Q3 2026 Earnings Slide Deck
Q3 2026 Earnings Call Summary
The call was generally positive, supported by 10% reported nine-month sales growth, 5% organic growth, strong Prosthetics & Neuro Orthotics performance, stable EBITDA margins, improved profitability in Patient Care, 19% nine-month net profit growth, and a 30% increase in nine-month free cash flow. However, Patient Care sales remained below expectations, U.S. integration efforts constrained growth, competition affected China, gross margin declined year over year in the quarter, and full-year organic growth guidance was narrowed to around 5%. Highlights significantly outweighed the stated challenges.
Embla Medical narrowed full-year organic sales growth guidance to around 5% compared with the previous range of 5% to 7%, and EBITDA margin guidance to around 21% compared with the previous range of 20% to 22%; it now expects full-year CapEx to be between 2% and 3% of sales compared with previous expectations of 3% to 4%. For the fourth quarter, it expects solid performance to continue in Prosthetics & Neuro Orthotics, supported by strong momentum in EMEA, continued growth in bionics and recently launched innovations, while the U.S. O&P market is expected to deliver mid-single-digit organic growth rates. The new Swedish tender will start from approximately 1st of January and is expected to have a positive 2 percentage point impact in '27, following a negative 2 percentage point impact on growth for full year '26; K2 remains on track for launch towards the end of next year in a more limited fashion, with full launch in '28.
- Positive Swedish Tender Win for 2027Embla Medical secured a new Swedish regional tender that is expected to start approximately January 1, 2027. Management said it is similar in size to the tender lost earlier in 2026, should provide a positive 2 percentage point impact on Patient Care growth in 2027, and should have a marginally positive profitability impact because fixed-cost infrastructure was retained.
- Healthy U.S. Market and Product OpportunitiesManagement characterized the U.S. orthotics and prosthetics market as healthy, with mid-single-digit organic growth rates. The company reported continued progress in bionics and College Park, expressed optimism about the reception of the Pro-Flex Terra FOOT, and expects its mechanical range to pick up going forward.
- Neuro Orthotics Expansion PotentialManagement said the Neuro business is progressing in line with expectations, with the German business continuing to perform well and sales growth gradually emerging in other regions. Medicare's approval last year of the company's high-end Bionic knee brace for reimbursement in the United States provides a platform to build the U.S. Neuro business. Management expects Neuro Orthotics to become a larger part of the growth story and may report it as a separate segment in the future.
- Manufacturing Footprint OptimizationThe company is consolidating a small manufacturing location into its broader platform. Management said the initiative should create a more scalable operating platform and support continued cost efficiencies over time.
- K2 Launch Remains on TrackThe K2 MPK launch remains on track for toward the end of 2027, with a more limited launch initially and a full launch expected in 2028.
- Solid Nine-Month Revenue GrowthSales for the first 9 months reached $741 million, representing reported growth of 10% and organic growth of 5%.
- Strong Prosthetics & Neuro Orthotics PerformanceProsthetics & Neuro Orthotics delivered 7% organic sales growth in the third quarter and remained Embla Medical's main growth driver. EMEA benefited from broad-based prosthetics volume growth, bionics, sales growth in Ukraine, and strong growth from the Streifeneder business. Neuro Orthotics performed well in EMEA and contributed positively in the Americas as the U.S. commercial rollout continued.
- Bracing & Supports GrowthBracing & Supports delivered 2% organic sales growth in the third quarter. The Americas benefited from new business and broad-based demand, APAC delivered strong growth, and EMEA was flat as new products and selected European markets offset changing market dynamics elsewhere.
- Stable EBITDA Margin and Disciplined Cost ControlThird-quarter EBITDA margin was 22%, in line with the third quarter of last year. Organic OpEx increased 2% compared with 4% organic sales growth, reflecting disciplined cost control, particularly within SG&A, and improved profitability in Patient Care. The nine-month EBITDA margin was 21%, also in line with the same period last year.
- Patient Care Profitability and Operational ProgressDespite flat Patient Care sales, profitability improved. Management reported progress in productivity, capacity utilization, patient intake, and cost performance across the clinic network, with more clinics moving above the company's financial performance benchmark.
- Innovation Pipeline ProgressDuring the quarter, Embla Medical launched a new NEURO SWING joint in Neuro Orthotics and two new adaptive kits in its prosthetic segment.
- Improved Net ProfitThird-quarter net profit was $26 million, up 1% from the third quarter of 2025. Net profit for the first 9 months increased 19%.
- Strong Nine-Month Free Cash Flow GrowthFree cash flow was $31 million, or 12% of sales, in the third quarter. Although quarterly free cash flow was lower than $38 million in the prior-year quarter due mainly to timing effects, free cash flow for the first 9 months increased 30%.
- Moderate Capital Expenditure and LeverageCapital expenditure was approximately $7 million, or 3% of sales, in the third quarter and approximately 2% of sales for the first 9 months. Full-year CapEx guidance was changed to between 2% and 3% of sales from the previous expectation of 3% to 4%. Net interest-bearing debt to EBITDA was 2.1x at quarter-end.
OSSFF Earnings History
| Report Date | Fiscal Quarter | Forecast / EPS | Last Year's EPS | EPS YoY Change | Press Release |
|---|---|---|---|---|---|
| Feb 02, 2027 | 2026 (Q4) | 0.07- | 0.06 | ― | ― |
| Oct 20, 2026 | 2026 (Q3) | 0.070.06 | 0.06 | 1.67% (+0.00) | |
| Jul 21, 2026 | 2026 (Q2) | 0.060.07 | 0.05 | 36.00% (+0.02) | |
| Apr 28, 2026 | 2026 (Q1) | 0.040.03 | 0.03 | 13.33% (+0.00) | |
| Feb 03, 2026 | 2025 (Q4) | 0.050.06 | 0.04 | 38.10% (+0.02) | |
| Oct 21, 2025 | 2025 (Q3) | 0.060.06 | 0.05 | 17.65% (+0.01) | |
| Jul 22, 2025 | 2025 (Q2) | 0.050.05 | 0.05 | 6.38% (+0.00) | |
| Apr 29, 2025 | 2025 (Q1) | 0.040.03 | 0.02 | 50.00% (+0.01) | |
| Feb 05, 2025 | 2024 (Q4) | 0.050.04 | 0.05 | -8.70% (-0.00) | |
| Oct 22, 2024 | 2024 (Q3) | 0.040.05 | 0.03 | 54.55% (+0.02) |
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.