Integer Holdings Corporation

What they do

Integer operates one reportable segment and manufactures components, subassemblies, and finished devices for large multinational original equipment manufacturers under the Greatbatch Medical and Lake Region Medical brands. It serves interventional cardiology, structural heart, heart failure, peripheral vascular, neurovascular, electrophysiology, vascular access, and related procedure markets, plus cardiac rhythm management and neuromodulation. Its portfolio is focused on three product lines: Cardio & Vascular, Cardiac Rhythm Management & Neuromodulation, and Other Markets.

Revenue drivers

• Cardio & Vascular — Largest product line, generating $280.3 million in Q2 2026, or roughly 60% of quarterly sales; supplies catheters, guidewires, stents, sheaths, and coatings for interventional and structural heart procedures.
• Cardiac Rhythm Management & Neuromodulation — Second-largest product line at $173.7 million in Q2 2026, about 37% of quarterly sales; grew 1% year over year partly offset by a new Neuromodulation product.
• Other Markets — Smallest product line at $10.1 million in Q2 2026 versus $17.6 million a year earlier, reflecting the Portable Medical exit.
• Top customer concentration — The top three customers collectively accounted for approximately 49% of 2025 revenues, so volume from a handful of OEMs drives the majority of sales.

Recent performance

Second quarter 2026 sales decreased 2.6% to $464 million, with organic sales down 1.5%; Cardio & Vascular fell 2% to $280 million and Other Markets fell to $10 million on the Portable Medical exit, while Cardiac Rhythm Management & Neuromodulation rose 1% to $174 million. GAAP operating income fell 42% to $35 million and GAAP diluted EPS from continuing operations fell 34% to $0.69, while non-GAAP adjusted EPS rose 3% to $1.60. Adjusted EBITDA declined 4% to $95 million. Total debt rose $53 million from year-end 2025 to $1.238 billion, a 3.2x leverage ratio. Full-year 2025 revenue was $1.85 billion with net income of $102.8 million and diluted EPS of $2.89.

Strategy

Integer describes itself as a pure-play medtech company pursuing a tuck-in acquisition strategy to add coating and process technologies and expand in targeted growth markets. Since early 2025 it acquired Precision Coating (January 2025), VSi Parylene (February 2025), and Biocoat assets (December 2025), all specialists in surface coating platforms. On March 18, 2025 it issued $1.0 billion of 1.875% convertible notes due 2030 and used proceeds to exchange $383.7 million of its 2028 convertible notes and pay down its revolver and term A loan. On August 3, 2026, Integer and KKR announced a definitive agreement for a KKR affiliate to acquire all outstanding shares in an all-cash transaction valued at $5.7 billion enterprise value, or $127 per share.

Risks

• Customer concentration — The top three customers accounted for approximately 49% of 2025 revenues, and many supply agreements lack minimum purchase requirements.
• New product market adoption — Management said 2026 sales growth would be affected by lower-than-anticipated market adoption of three new products, which it called highly unusual.
• Merger completion uncertainty — The pending KKR acquisition is subject to stockholder approval, regulatory approvals, and other conditions that may not be satisfied or waived.
• Macro and trade exposure — Supply chain disruption, inflation, interest rates, tariffs or trade barriers, and geopolitical tensions are cited as factors that could raise costs or reduce customer orders.

Outlook

Integer withdrew its previously issued financial outlook because of the pending KKR transaction and canceled its scheduled August 6, 2026 earnings call and webcast. Before the withdrawal, management said 2026 sales growth would be held back by lower-than-anticipated market adoption of three new products. No updated standalone guidance has been provided.