LeMaitre Vascular, Inc.

What they do

LeMaitre develops, manufactures, and markets disposable and implantable vascular devices used in open vascular and cardiac surgery, plus human tissue cryopreservation services, for peripheral vascular disease, end-stage renal disease, and cardiovascular disease. It sells primarily through a direct sales force of 160 representatives and export managers across North America, Europe, and Asia Pacific, with about 95% of 2025 net sales in direct-sales territories. Manufacturing is concentrated at its Burlington, Massachusetts headquarters, and it estimates over 95% of 2025 net sales came from devices used in open surgical procedures. About 80% of 2025 sales were devices and cryopreserved tissue used by vascular surgeons, its core call point.

Revenue drivers

• Artegraft — The company's largest and fastest-growing product, now approved in 56 countries and accounting for 21% of Q2 2026 sales; Artegraft sales rose 34% year over year in the quarter.
• Grafts, carotid shunts, and patches — Record quarterly sales in Q2 2026, up 23%, 18%, and 4% respectively, spanning open vascular and cardiac procedures.
• Catheters — Down 11% in Q2 2026 against recall-driven overstocking in Q2 2025; excluding catheters, Q2 organic growth was 12% versus the reported 10%.
• Geographic regions — EMEA and APAC each grew 18% and the Americas 5% in Q2 2026, all posting records; about 95% of 2025 net sales came from direct-sales territories.

Recent performance

Q2 2026 sales were $70.4M, up 10% reported and 10% organic versus Q2 2025, with gross margin of 72.1% (up 210 bps) and operating income of $20.4M (up 26%, 29% margin). EPS was $0.74, up 23%, and cash rose $9.0M sequentially to $376.2M. Artegraft, grafts, carotid shunts, and patches all set quarterly records, while catheters fell 11% on the prior-year recall overstocking comparison. Headcount was roughly flat at 660 versus 658 a year earlier. Full-year 2025 revenue was $249.6M and net income $57.7M, with operating cash flow of $81.3M.

Strategy

LeMaitre follows a three-pronged strategy: a focused call point on the vascular surgeon, competing in low-rivalry niche products, and expanding its worldwide direct sales force while acquiring complementary devices. It is funding the international Artegraft launch with sales force expansion, going direct in new countries, and six international warehouse expansions, while paving the way for RFA. Acquisitions remain a stated primary means of penetrating the peripheral vascular market. The board authorized a $100.0M share repurchase program in February 2026 and a $0.25/share quarterly dividend.

Risks

• Concentrated call point — About 80% of 2025 sales came from devices used by vascular surgeons, so reduced procedure volumes or hospital capital constraints in that specialty would hit a large share of revenue.
• Open-surgery exposure — Over 95% of 2025 net sales were from devices used in open surgical procedures, leaving the company exposed to a shift toward endovascular or other minimally invasive approaches.
• Product-line volatility — Catheters fell 11% in Q2 2026 due to recall-driven overstocking in the prior-year quarter, showing single products can move overall growth.
• International launch execution — Growth depends on the Artegraft international rollout across 56 approvals, new direct markets, and six warehouse expansions, which carry regulatory and distribution execution risk.

Outlook

Management guided Q3 2026 sales to $66.3M-$68.3M (mid $67.3M, +10% reported, +11% organic) and Q4 2026 to $71.1M-$73.1M (mid $72.1M, +12%). Full-year 2026 guidance is $274.3M-$278.3M (mid $276.3M, +11% reported and organic) with gross margin of 72.4% and EPS of $2.84-$2.94 (mid $2.89). Q3 guidance reflects a tough comparison to a Q3 2025 non-recurring Employee Retention Tax Credit benefit; adjusted, Q3 operating income is guided to +7% and EPS to +11%.