STERIS Reports Strong Q3 Results with Revenue Growth

Written by Emily J. Thompson, Senior Investment Analyst

Source: Newsfilter

Updated: Feb 04 2026

0mins

STE+1.69%

Should l Buy STE?

Source: Newsfilter

Significant Revenue Growth: STERIS reported a 9% year-over-year increase in continuing operations revenue for Q3, reaching $1.5 billion, indicating strong performance in healthcare and life sciences, which is expected to enhance market competitiveness.
Earnings Per Share Improvement: Reported EPS was $1.96, with adjusted EPS rising to $2.53, a notable increase from $2.32 in the prior year, reflecting successful strategies in cost control and revenue growth.
Strong Segment Performance: The healthcare segment saw a 9% revenue increase to $1.1 billion, with service and consumable revenue growing by 11% and 8% respectively, indicating sustained demand and market share growth in the medical equipment sector.
Robust Cash Flow: For the first nine months of fiscal 2026, net cash provided by operations reached $1 billion, with free cash flow at $737.6 million, significantly up from the previous year, demonstrating the company's strong financial health and capacity for future investments.

Trade with 70% Backtested Accuracy

Stop guessing "Should I Buy STE?" and start using high-conviction signals backed by rigorous historical data.

Analyst Views on STE

About STE

STERIS Plc is a provider of products and services that support patient care with an emphasis on infection prevention. Its segments include Healthcare, Applied Sterilization Technologies (AST), and Life Sciences. Its Healthcare segment provides a comprehensive offering for healthcare providers worldwide, focused on sterile processing departments and procedural centers, such as operating rooms and endoscopy suites. AST segment supports medical device and pharmaceutical manufacturers through a global network of contract sterilization and laboratory testing facilities, and integrated sterilization equipment and control systems. Its Life Sciences segment provides a comprehensive offering of products and services designed to support biopharmaceutical and medical device research and manufacturing facilities, in particular those focused on aseptic manufacturing. Its portfolio includes a full suite of consumable products, equipment maintenance, specialty services, and capital equipment.

About the author

Emily J. Thompson

Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.

STERIS plc Q3 Earnings Beat Expectations, Analysts Remain Bullish

11 hours agoYahoo Finance

Strong Earnings Performance: STERIS plc reported Q3 FY2026 revenue of $1.50 billion, exceeding market expectations of $1.48 billion, with a year-over-year growth of 9%, indicating robust demand across multiple business lines.
Stable Profitability: The company posted adjusted earnings per share of $2.53, matching Wall Street expectations, while maintaining a gross margin of 44.5%, demonstrating effective cost control and stable profitability.
Optimistic Future Outlook: Despite anticipated tariff costs of $55 million in FY2026, STERIS maintains a free cash flow outlook of $850 million, showcasing its strong financial position in the medical technology sector.
Analyst Confidence Reaffirmed: Citizens reiterated its Market Outperform rating on STERIS and kept a $280 price target, reflecting confidence in the company's future growth potential.

Significant Stock Movements in Midday Trading

Feb 05 2026CNBC

McKesson Earnings Beat: McKesson's fiscal third-quarter earnings per share exceeded Wall Street's highest estimates, and the adjusted full-year EPS guidance was raised above analyst consensus, leading to a 16% stock price increase, indicating strong performance in the medical supply sector.
Bob's Discount Furniture IPO: Bob's Discount Furniture debuted on the New York Stock Exchange with shares priced at $17, recently rising 10%, marking a successful entry into the public market and laying the groundwork for future growth.
Fluence Energy Earnings Miss: Fluence Energy reported first-quarter revenue of $475.2 million, falling short of the $481.2 million consensus, with a per-share loss of 34 cents missing the 21-cent loss estimate, resulting in a 31% stock price drop, reflecting market concerns over its profitability.
Cardinal Health Guidance Raised: Cardinal Health reported quarterly adjusted earnings of $2.63 per share, exceeding the $2.36 consensus, with revenue of $65.63 billion surpassing the $64.14 billion estimate, leading to an 8% stock price increase, showcasing strong growth potential in the healthcare services sector.

STERIS plc Reports Q3 2026 Earnings Growth Amid Tariff Pressures

Feb 05 2026seekingalpha

Revenue Growth: STERIS plc reported a 9% year-over-year increase in total revenue for Q3, with constant currency organic revenue growing 8%, primarily driven by volume increases and a 200 basis point price rise, indicating strong market performance.
Margin Pressure: Despite revenue growth, gross margin declined by 70 basis points to 43.9%, primarily due to increased tariffs and inflation, although productivity and volume improvements partially offset this pressure, reflecting challenges in cost control.
Profitability Maintained: Adjusted net income reached $249.4 million, with earnings per diluted share at $2.53, a 9% increase from the prior year, indicating the company's ability to maintain profitability amid external pressures, even as EBIT margin decreased to 22.9%.
Outlook Reaffirmed: The company reaffirmed its fiscal 2026 revenue growth outlook of 7% to 8% and earnings per share guidance of $10.15 to $10.30, although the likelihood of achieving the higher end of this range is reduced due to an additional $10 million in tariffs, demonstrating management's cautious stance on future performance.

Steris Reports Q3 2026 Earnings with In-Line EPS

Feb 04 2026seekingalpha

Earnings Performance: Steris reported a non-GAAP EPS of $2.53 for Q3 2026, aligning with market expectations, which indicates the company's consistent ability to maintain profitability amidst industry challenges.
Revenue Figures: The company achieved revenues of $1.1 billion in the third quarter, showcasing robust sales growth that reflects its strong market position in the medical device sector despite external pressures.
Market Short Trends: In October, short bets on the S&P 500 healthcare sector rose to 2.00%, indicating a cautious sentiment among investors that could lead to increased volatility in Steris's stock price.
Ratings and Historical Data: Seeking Alpha's Quant Rating on Steris, along with its historical earnings data, provides valuable insights for investors to assess the company's financial health and future growth potential.