Sotera Health Co
NASDAQ:SHC

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Sotera Health Co
NASDAQ:SHC
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Price: 16.89 USD 1.08% Market Closed
Market Cap: 4.8B USD

Sotera Health Co
Investor Relations

Nestled in the heart of the life sciences industry, Sotera Health Co. emerges as a pivotal player, ensuring safety where health meets innovation. The company's journey is one of dedication to safeguarding global health, primarily through its trio of core businesses: Sterigenics, Nordion, and Nelson Labs. With a focus on sterilization, gamma technology, and laboratory testing, these subsidiaries collectively empower Sotera Health to command a critical niche in the health sector. Sterigenics steps into the spotlight by providing sterilization solutions that employ cutting-edge methodologies, such as ethylene oxide and gamma irradiation, essential for decontaminating medical equipment and consumables. Nordion complements this by leading the charge in gamma technologies, offering isotopes that are vital not just for sterilization but also in cancer treatment. Meanwhile, Nelson Labs rounds off the triad by delivering extensive microbiological and analytical testing services, catering to the rigorous standards of medical device manufacturers and pharmaceutical companies globally.

The company doesn't operate in isolation; instead, it forms an integral part of the healthcare supply chain. By ensuring that surgical instruments are free of pathogens and that various health products meet stringent safety standards, Sotera Health becomes indispensable to hospitals, clinics, and research facilities around the world. Financially, the revenue streams flow predominantly from multi-year contracts and long-term client relationships, which are testament to the critical value the company provides. As the medical landscape evolves, with increasing complexity and regulatory demands, Sotera Health's blend of technology, reliability, and compliance positions it not just as a vendor, but as a protector of public health. This role orchestrates a business model that not only thrives on the present-day needs but is poised for growth as global health and safety requirements expand.

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Last Earnings Call
Fiscal Period
Q3 2025
Call Date
Nov 4, 2025
AI Summary
Q3 2025

Revenue Growth: Sotera Health reported third quarter revenue of $311 million, up 9.1% over last year, exceeding internal expectations due to accelerated customer deliveries in Nordion.

Margin Expansion: Adjusted EBITDA grew 12.2% with margins up 147 basis points to 52.7%, driven by improved performance in Sterigenics and Nelson Labs.

Guidance Update: Full-year revenue outlook reaffirmed; adjusted EBITDA growth guidance raised slightly; adjusted EPS guidance increased to $0.81–$0.86.

Strong Cash Flow: Year-to-date operating cash flow reached $184 million, with net leverage ratio improving to 3.3x from 3.7x at year-end 2024.

Litigation Progress: Favorable developments in ethylene oxide litigation, especially in Georgia and Illinois, with several cases dismissed or resolved.

Segment Highlights: Sterigenics and Nordion posted strong growth, though Nelson Labs faced top-line pressure from weaker Expert Advisory Services.

Capital Expenditures: 2025 capex guidance lowered to $125–$135 million from $170–$180 million on project timing and cost savings.

Key Financials
Revenue
$311 million
Adjusted EBITDA
$164 million
Adjusted EBITDA Margin
52.7%
Net Income
$48 million
EPS
$0.17
Adjusted EPS
$0.26
Operating Cash Flow (YTD)
$184 million
Capital Expenditures
$87 million (YTD)
Net Leverage Ratio
3.3x
Interest Expense
$39 million (Q3)
Sterigenics Revenue
$193 million
Sterigenics Segment Income
$107 million
Sterigenics Margin
55.6%
Nordion Revenue
$63 million
Nordion Segment Income
$38 million (approx.)
Nordion Segment Income Margin
60.6%
Nelson Labs Revenue
$56 million
Nelson Labs Segment Income
$19 million
Nelson Labs Margin
34.1%
Available Liquidity
$890 million+
Unrestricted Cash
$300 million
Revolving Credit Capacity
$600 million
Earnings Call Recording
Other Earnings Calls

Management

Mr. Jonathan M. Lyons
Senior VP & CFO
No Bio Available
Mr. Alexander Dimitrief J.D.
Senior VP, General Counsel & Secretary
No Bio Available
Mr. Michael P. Rutz
President of Sterigenics
No Bio Available
Mr. Robert G. Hauzie
Chief Information Officer
No Bio Available
Ms. Kristin A. Gibbs
Chief Marketing Officer
No Bio Available
Mr. William O. Lehmann Jr., J.D., M.B.A.
Senior Vice President of Strategy & Corporate Development
No Bio Available
Ms. Sally R. Turner
Chief Human Resources Officer
No Bio Available
Ms. Danielle J. Menture
Senior Vice President of Global Environmental, Health & Safety and Sustainability
No Bio Available
Mr. Joseph A. Shrawder
President of Nelson Labs
No Bio Available
Mr. Riaz Amirali Bandali M.B.A.
President of Nordion
No Bio Available

Contacts

Address
OHIO
Broadview Heights
9100 South Hills Blvd, Suite 300, Suite 300
Contacts
+14402621410.0
soterahealth.com