LivaNova (NASDAQ:LIVN) reported first-quarter results on Wednesday that came in ahead of Wall Street expectations, although shares fell more than 2% in premarket trading as investors weighed the company’s updated guidance against analyst forecasts.
The medical technology group posted adjusted earnings per share of $0.98, surpassing analyst estimates of $0.90 by $0.08.
Revenue reached $362.3 million, above consensus forecasts of $346.06 million and up 14.3% from $316.9 million in the same quarter last year.
On a constant-currency basis, revenue increased 11.1% year over year.
Company raises full-year outlook
LivaNova increased its full-year 2026 revenue growth guidance to a range of 7.0% to 8.0% on a constant-currency basis, compared with its previous forecast of 6.0% to 7.0%.
The company also raised adjusted diluted earnings-per-share guidance to between $4.20 and $4.30, up from prior guidance of $4.15 to $4.25.
However, the midpoint of the updated EPS forecast — $4.25 — came in only slightly above analyst consensus estimates of $4.21, limiting investor enthusiasm despite the stronger outlook.
Cardiopulmonary and Neuromodulation businesses drive growth
Revenue from the company’s Cardiopulmonary division rose 18.3% year over year on a reported basis to $208.7 million.
The increase was supported by strong sales of the Essenz Perfusion System and continued demand for consumable products.
Meanwhile, revenue in the Neuromodulation segment climbed 9.3% to $151.8 million, helped by growth in implant procedures and favorable pricing trends.
“In the first quarter, LivaNova delivered double-digit revenue growth with strength across all regions, driven by sustained performance in our Cardiopulmonary and Epilepsy businesses,” said Vladimir Makatsaria, chief executive officer of the company.
“We also made meaningful progress in Obstructive Sleep Apnea, accomplishing key regulatory and clinical milestones.”
FDA approval marks milestone for sleep apnea device
During the quarter, LivaNova received premarket approval from the U.S. Food and Drug Administration for its aura6000 System designed to treat moderate to severe obstructive sleep apnea.
The company said the device became the first hypoglossal nerve stimulation system approved without contraindications tied to complete concentric collapse.
Free cash flow guidance maintained
LivaNova maintained its full-year adjusted free cash flow guidance in a range of $160 million to $180 million.