Masimo Corporation Reports 7.9% Revenue Growth to $370.9 Million for Quarter Ended June 28, 2025

Masimo Corporation reported its financial results for the quarter ended June 28, 2025, revealing a total revenue of $370.9 million, a 7.9% increase from $343.9 million in the same period last year. The growth was primarily driven by increased sales of consumable products, although capital sales experienced a decline. The company’s gross profit for the quarter rose to $233.3 million, representing 62.9% of total revenue, compared to 60.3% in the prior year, attributed to operational efficiencies and product cost reductions, despite facing $1.9 million in incremental tariffs.

In terms of profitability, Masimo reported an operating income of $64.5 million for the quarter, up from $41.9 million a year earlier. The company’s net income from continuing operations was $44.9 million, or $0.83 per share, compared to $24.8 million, or $0.47 per share, in the previous year. However, the company recorded a net loss of $119.4 million for the six months ended June 28, 2025, largely due to impairment charges related to its discontinued non-healthcare business, which is in the process of being sold to Harman International for $350 million.

Masimo's operational metrics showed a shipment of approximately 63,100 noninvasive technology boards and instruments during the quarter, an increase from 58,600 units shipped in the same quarter of the previous year. The company also reported a significant increase in its cash and cash equivalents, which rose to $149.6 million from $123.6 million at the end of the previous fiscal year. The total assets decreased to $2.4 billion from $2.6 billion, while total liabilities also saw a reduction to $1.36 billion from $1.57 billion.

Strategically, Masimo is focusing on its healthcare segment following the decision to divest its non-healthcare consumer audio business, which has been classified as held-for-sale. The sale is expected to close by the end of 2025, pending regulatory approvals. The company has also been addressing operational challenges stemming from a cybersecurity incident that temporarily affected its manufacturing capabilities, incurring approximately $4.5 million in related expenses during the quarter.

Looking ahead, Masimo remains optimistic about its long-term growth prospects despite facing economic headwinds such as inflation and supply chain volatility. The company plans to leverage its existing technologies and expand its market presence while managing costs effectively. The ongoing divestiture of its non-healthcare business is expected to streamline operations and enhance focus on its core healthcare offerings, which are critical to its growth strategy.