Fri, May 2, 12:05 PM (21 days ago)
**Hologic, Inc. (HOLX) - Q2 2025 Financial Summary** **Financial Health and Performance:** - **Revenue:** $1,005.3 million (Q2 2025) vs. $1,017.8 million (Q2 2024) - **Profit Margins:** Gross margin was 37.7% (Q2 2025) vs. 54.2% (Q2 2024) - **Cash Flow:** Operating cash flow was $358.7 million (H1 2025) vs. $512.4 million (H1 2024) - **Earnings Changes:** Net income was -$17.4 million (Q2 2025) vs. $169.9 million (Q2 2024) **Quarterly Performance Discussion:** - **Revenue Trends:** Decrease in product revenues due to lower Breast Health sales, partially offset by increases in Skeletal Health and GYN Surgical revenues. - **Profit Margins:** Decrease in gross margin due to impairment charges and lower sales volumes of higher-margin products. - **Cash Flow:** Decrease in operating cash flow due to higher cash outflows from changes in operating assets and liabilities. - **Earnings Changes:** Decrease in net income due to impairment charges and lower gross profit. **Uncertainties and Future Operations Impact:** - **Market Uncertainties:** Global challenges such as inflation, rising interest rates, and geopolitical tensions. - **Operational Impact:** Cost reduction initiatives, restructuring, and strategic acquisitions (Gynesonics, Endomag). - **Financial Impact:** Potential tariff costs, foreign currency exchange risks, and legal contingencies. **Segment Performance:** - **Diagnostics:** Revenue increased slightly, but operating income decreased due to lower gross profit. - **Breast Health:** Revenue decreased due to lower sales of digital mammography systems, but operating income increased due to higher service contract revenue. - **GYN Surgical:** Revenue increased due to the Gynesonics acquisition, but operating income decreased due to impairment charges. - **Skeletal Health:** Revenue increased due to higher sales volume, but operating income decreased due to higher costs. **Future Outlook:** - Hologic expects to continue reviewing and evaluating potential strategic transactions. - The company believes its cash and cash equivalents, short and long-term investments, cash flows from operations, and the cash available under its 2021 Revolver will provide sufficient funds to meet existing commitments and expected normal operations and debt payments over the next twelve months.