CONMED Corporation (CNMD) told investors at the Wells Fargo 21st Annual Healthcare Conference on Wednesday that its growth story is gathering pace, with full-year revenue growth guided at 5% to 6% and second-half figures expected to accelerate to 6% to 8%.
President and CEO Pat Beyer and CFO John Gallagher outlined progress across three key growth pillars — AirSeal insufflation technology, BioBrace orthopedic augmentation, and the Buffalo Filter caregiver-protection line — while highlighting a large addressable market in the United States for laparoscopic procedures.
CONMED estimated that U.S. laparoscopic penetration sits at just 6% to 7% of approximately 3 million annual procedures, leaving substantial room for expansion. The company also noted its presence on roughly 80% of robotic systems globally, capturing 35% to 40% of robotic-assisted procedures. More than 10% of Intuitive Surgical procedures use CONMED's insufflator, though Beyer stressed the company's relationship with Intuitive is non-exclusive and it retains the right to supply other robotic manufacturers worldwide.
Financially, CONMED reported 2025 top-line revenue grew 5.1%, while EPS expanded at a double-digit rate. Second-quarter organic constant-currency revenue growth came in at 6%. Gross margin is expected to expand 50 to 100 basis points year-over-year even after adjusting for tariff refunds, building on a trailing twelve-month gross profit margin of 55.58%. Free cash flow yield stands at 10%.
Beyer pointed to clinical data supporting AirSeal's adoption, including a published prospective U.K. study of 40 patients that found statistically significant benefits — less blood loss, shorter hospital stays, and reduced pain — versus a competing insufflator. BioBrace recently received regulatory approval in Brazil, and EU MDR approvals are enabling the company to launch products developed three to four years ago in the U.S. in European markets.
International markets account for 45% of total sales. CONMED also acquired its local distributor in Brazil a decade ago, ending roughly 30 years of indirect operations there. AirSeal was launched in Brazil through Strattner, which also distributes Intuitive Surgical products in the country.
On acquisitions, Beyer said CONMED targets "tuck-in" deals ranging from roughly $10 million to more than $200 million. The board held a meeting in Canada in September 2026.
The American Academy of Orthopaedic Surgeons issued a strong recommendation in 2025 for augmenting biologics in rotator cuff repair procedures, a market segment CONMED views as attractive given a cited failure rate of 20% to 30%.
