Revenue growth accelerated to 27% in Q1 2026 but slowed to 5.9% in Q2 2026, while gross margin expanded to 69.4% and operating margin reached 23.1%, reflecting strong operational leverage.
Globus Medical, Inc. (GMED) annual income statement — 16-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 |
|---|
| Sales/Revenue | 3.14B | 2.94B | 2.52B | 1.57B | 1.02B | 958.1M | 789.04M | 785.37M | 712.97M | 635.98M | 563.99M | 544.75M | 474.37M | 434.46M | 385.99M | 331.48M | 288.19M |
| Revenue Growth % | 13.35% | 16.65% | 60.62% | 53.34% | 6.76% | 21.43% | 0.47% | 10.15% | 12.11% | 12.76% | 3.53% | 14.84% | 9.19% | 12.56% | 16.45% | 15.02% | - |
| Cost of Goods Sold | 939.68M | 957.8M | 1.04B | 548.17M | 263.73M | 239.22M | 217.46M | 179.97M | 159.41M | 150.45M | 134.71M | 132.33M | 110.77M | 100.34M | 75.2M | 68.8M | 53.83M |
| COGS % of Revenue | - | 32.59% | 41.1% | 34.95% | 25.78% | 24.97% | 27.56% | 22.92% | 22.36% | 23.66% | 23.88% | 24.29% | 23.35% | 23.1% | 19.48% | 20.75% | 18.68% |
| Gross Profit | 2.2B | 1.98B | 1.48B | 1.02B | 759.12M | 718.88M | 571.58M | 605.39M | 553.56M | 485.52M | 429.29M | 412.42M | 363.6M | 334.12M | 310.8M | 262.68M | 234.37M |
| Gross Margin % | 70.07% | 67.41% | 58.9% | 65.05% | 74.22% | 75.03% | 72.44% | 77.08% | 77.64% | 76.34% | 76.12% | 75.71% | 76.65% | 76.9% | 80.52% | 79.25% | 81.32% |
| Gross Profit Growth % | - | 33.51% | 45.43% | 34.41% | 5.6% | 25.77% | -5.59% | 9.36% | 14.01% | 13.1% | 4.09% | 13.43% | 8.83% | 7.5% | 18.32% | 12.08% | - |
| Operating Expenses | 1.51B | 1.5B | 1.32B | 887.16M | 531.17M | 546.93M | 460.15M | 433.4M | 384.23M | 323.68M | 275.15M | 240.2M | 225.24M | 232.44M | 196M | 165.32M | 146.69M |
| OpEx % of Revenue | - | 51.08% | 52.31% | 56.56% | 51.93% | 57.08% | 58.32% | 55.18% | 53.89% | 50.9% | 48.79% | 44.09% | 47.48% | 53.5% | 50.78% | 49.87% | 50.9% |
| Selling, General & Admin | 1.33B | 1.32B | 981.05M | 643.41M | 432.12M | 408.15M | 354.76M | 354.76M | 311.59M | 267.82M | 222.16M | 214.01M | 187.8M | 182.52M | 168.86M | 140.39M | 122.59M |
| SG&A % of Revenue | - | 44.79% | 38.94% | 41.02% | 42.25% | 42.6% | 44.96% | 45.17% | 43.7% | 42.11% | 39.39% | 39.29% | 39.59% | 42.01% | 43.75% | 42.35% | 42.54% |
| Research & Development | 181.28M | 185M | 163.75M | 124.01M | 73.02M | 97.35M | 84.52M | 60.07M | 55.5M | 43.68M | 44.53M | 36.31M | 31.17M | 26.87M | 27.93M | 23.46M | 21.31M |
| R&D % of Revenue | - | 6.29% | 6.5% | 7.91% | 7.14% | 10.16% | 10.71% | 7.65% | 7.78% | 6.87% | 7.9% | 6.67% | 6.57% | 6.18% | 7.23% | 7.08% | 7.39% |
| Other Operating Expenses | 2M | 0 | 173.08M | 119.74M | 26.04M | 41.43M | 20.87M | 18.57M | 17.15M | 12.19M | 8.46M | -6.36M | 5.44M | 23.05M | -786K | 1.47M | 2.79M |
| Operating Income | 695.23M | 479.8M | 165.99M | 133.14M | 227.95M | 171.95M | 111.43M | 171.99M | 169.32M | 161.84M | 154.14M | 172.22M | 138.36M | 101.67M | 114.79M | 97.36M | 87.69M |
| Operating Margin % | 22.14% | 16.33% | 6.59% | 8.49% | 22.29% | 17.95% | 14.12% | 21.9% | 23.75% | 25.45% | 27.33% | 31.61% | 29.17% | 23.4% | 29.74% | 29.37% | 30.43% |
| Operating Income Growth % | - | 189.05% | 24.67% | -41.59% | 32.57% | 54.31% | -35.21% | 1.57% | 4.62% | 4.99% | -10.5% | 24.47% | 36.09% | -11.43% | 17.9% | 11.04% | - |
| EBITDA | 975.29M | 756.64M | 420.01M | 277.88M | 296.2M | 241.82M | 174.31M | 224.72M | 210.96M | 203.91M | 192.91M | 196.31M | 160.12M | 121.07M | 132.9M | 114.31M | 102.88M |
| EBITDA Margin % | 31.06% | 25.75% | 16.67% | 17.72% | 28.96% | 25.24% | 22.09% | 28.61% | 29.59% | 32.06% | 34.2% | 36.04% | 33.75% | 27.87% | 34.43% | 34.49% | 35.7% |
| EBITDA Growth % | 51.34% | 80.15% | 51.15% | -6.19% | 22.49% | 38.73% | -22.43% | 6.53% | 3.46% | 5.7% | -1.73% | 22.6% | 32.25% | -8.9% | 16.26% | 11.11% | - |
| D&A (Non-Cash Add-back) | 280.06M | 276.84M | 254.02M | 144.73M | 68.25M | 69.87M | 62.87M | 52.73M | 41.63M | 42.07M | 38.77M | 24.08M | 21.75M | 19.4M | 18.11M | 16.95M | 15.2M |
| EBIT | 704.22M | 609.9M | 219.7M | 201.85M | 236.25M | 194.86M | 115.47M | 176.75M | 176.88M | 163.32M | 154.22M | 171.5M | 137.84M | 101.53M | 114.57M | 98.83M | 90.47M |
| Net Interest Income | 17.16M | 7.14M | -4.19M | 20.13M | 14.23M | 9.3M | 13.95M | 17.41M | 13.28M | 6.61M | 3.06M | 1.3M | 805K | 467K | 80K | 0 | 0 |
| Interest Income | 17.16M | 7.14M | 0 | 20.13M | 14.23M | 9.3M | 13.95M | 17.41M | 13.28M | 6.61M | 3.06M | 1.3M | 805K | 467K | 80K | 0 | 0 |
| Interest Expense | 0 | 0 | 4.19M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | 8.99M | 130.1M | -45.27M | 32.25M | 15.07M | 8.45M | 14.47M | 17.96M | 19.28M | 8.09M | 3.14M | 583K | 280K | 328K | -140K | -1.88M | -2.73M |
| Pretax Income | 704.22M | 609.9M | 120.72M | 165.39M | 243.02M | 180.41M | 125.9M | 189.95M | 188.6M | 169.93M | 157.28M | 172.81M | 138.64M | 102M | 114.65M | 96.95M | 87.74M |
| Pretax Margin % | 22.43% | 20.75% | 4.79% | 10.54% | 23.76% | 18.83% | 15.96% | 24.19% | 26.45% | 26.72% | 27.89% | 31.72% | 29.23% | 23.48% | 29.7% | 29.25% | 30.44% |
| Income Tax | 146.56M | 72M | 17.74M | 42.52M | 52.85M | 31.22M | 23.61M | 34.74M | 32.13M | 62.58M | 52.94M | 60.02M | 46.16M | 33.39M | 40.82M | 36.16M | 33.28M |
| Effective Tax Rate % | 20.81% | 11.81% | 14.69% | 25.71% | 21.75% | 17.3% | 18.76% | 18.29% | 17.04% | 36.83% | 33.66% | 34.73% | 33.29% | 32.73% | 35.6% | 37.3% | 37.93% |
| Net Income | 557.67M | 537.9M | 102.98M | 122.87M | 190.17M | 149.19M | 102.28M | 155.21M | 156.47M | 107.35M | 104.34M | 112.78M | 92.48M | 68.61M | 73.83M | 60.78M | 54.46M |
| Net Margin % | 17.76% | 18.3% | 4.09% | 7.83% | 18.59% | 15.57% | 12.96% | 19.76% | 21.95% | 16.88% | 18.5% | 20.7% | 19.5% | 15.79% | 19.13% | 18.34% | 18.9% |
| Net Income Growth % | 31.59% | 422.31% | -16.19% | -35.39% | 27.47% | 45.86% | -34.1% | -0.81% | 45.76% | 2.88% | -7.49% | 21.95% | 34.79% | -7.07% | 21.46% | 11.62% | - |
| Net Income (Continuing) | 557.67M | 537.9M | 102.98M | 122.87M | 190.17M | 149.19M | 102.28M | 155.21M | 156.47M | 107.35M | 104.34M | 112.78M | 92.48M | 68.61M | 73.83M | 60.78M | 54.46M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 4.10 | 3.92 | 0.75 | 1.07 | 1.85 | 1.44 | 1.01 | 1.52 | 1.54 | 1.10 | 1.08 | 1.17 | 0.97 | 0.73 | 0.80 | 0.81 | 0.72 |
| EPS Growth % | 30.65% | 422.67% | -29.91% | -42.16% | 28.47% | 42.57% | -33.55% | -1.3% | 40% | 1.85% | -7.69% | 20.62% | 32.88% | -8.75% | -1.23% | 12.5% | - |
| EPS (Basic) | - | 3.98 | 0.76 | 1.09 | 1.89 | 1.48 | 1.04 | 1.57 | 1.60 | 1.12 | 1.09 | 1.19 | 0.98 | 0.74 | 0.82 | 0.84 | 0.75 |
| Diluted Shares Outstanding | 136.02M | 137.22M | 137.86M | 114.63M | 102.64M | 103.62M | 100.97M | 102M | 101.32M | 97.89M | 96.43M | 96.07M | 95.46M | 94.19M | 92.21M | 75.46M | 75.46M |
| Basic Shares Outstanding | 134.15M | 135.15M | 135.73M | 113.09M | 100.47M | 100.73M | 98.58M | 99.15M | 97.88M | 96.24M | 95.65M | 95.05M | 94.23M | 92.65M | 89.61M | 72.69M | 72.69M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Quick answers to the most common questions about buying GMED stock.
For fiscal year 2025, Globus Medical, Inc. (GMED) reported total revenue of $2.94B. This represents a 919.8% increase compared to $288.2M in 2010.
Globus Medical, Inc. (GMED) is profitable, generating $537.9M in net income for the fiscal year ending 2025 with a net profit margin of 18.3%.
Globus Medical, Inc. (GMED) reported an operating income of $479.8M, resulting in an operating profit margin of 16.3%. This margin reflects the operational efficiency of the business before interest and taxes.
Globus Medical, Inc. (GMED) generated $1.98B in gross profit for the year, representing a gross profit margin of 67.4%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Integration execution risk
Metrics are mathematically derived from official filings.
Accelerating Growth Amid Integration
Revenue growth accelerated to 27% in Q1 2026 and 5.9% in Q2 2026, with US Spine up 7% and International up 14%, according to recent earnings commentary.
The sequential acceleration from 2025's mid-20s growth to 27% in Q1 2026 suggests the NuVasive and Nevro integrations are beginning to contribute positively. However, the 5.9% reported growth in Q2 2026 is below the 9% ex-Nevro figure, indicating that Nevro is currently a drag. The durability of this growth depends on the pace of Nevro's recovery and the ability to sustain share gains in a competitive spine market.
Gross Margin Recovery and Mix Shifts
Gross margin expanded from 59.9% in Q4 2024 to 69.4% in Q2 2026, as reported in financial statements, reflecting improved product mix and integration synergies.
The 950 basis point improvement in gross margin over six quarters indicates that the NuVasive integration is yielding cost synergies and a favorable shift toward higher-margin implants. However, the 63.3% gross margin in Q3 2025 shows volatility, possibly due to one-time charges or product mix changes. Investors should monitor whether the 69% level is sustainable or if competitive pricing pressures from GPOs and trauma segment expansion could erode it.
Operating Leverage Materializing
Operating margin rose from 9.2% in Q4 2024 to 23.1% in Q2 2026, with SG&A as a percentage of revenue declining from 38.6% to 36.3%, per SEC filings.
The operating margin expansion of nearly 14 percentage points indicates that revenue growth is outpacing fixed cost growth, a sign of operating leverage from the integration. The decline in SG&A intensity suggests improved sales force productivity and cost discipline. However, the spike in SG&A in Q4 2025 (55.2% of revenue) highlights potential integration-related costs that could recur, warranting monitoring of expense control.
Earnings Quality and One-Time Items
Net margin swung from -1.2% in Q1 2024 to 19.2% in Q2 2026, but Q2 2025 net income included a $202.8M boost, likely from a one-time tax benefit, per reported figures.
The reported net income in Q2 2025 was disproportionately high relative to operating income, suggesting a non-operating gain or tax benefit that inflates EPS. Excluding that quarter, net margins have been more consistent in the 12-19% range. Stock-based compensation of $13-17M per quarter is modest relative to net income, but investors should adjust for one-time integration charges to assess true cash earnings.
Cost Structure and Integration Efficiency
COGS as a percentage of revenue fell from 41.3% in Q4 2024 to 30.6% in Q2 2026, while R&D spending remained stable at ~5% of revenue, based on income statement data.
The significant reduction in COGS ratio indicates improved manufacturing efficiency and product mix, likely driven by NuVasive synergies. R&D investment has been maintained at around 5% of revenue, supporting the innovation pipeline. However, the elevated SG&A in Q4 2025 (55.2% of revenue) suggests integration-related expenses that may not be recurring, and investors should watch for any upward creep in SG&A as the company scales.
2024 Turnaround and Merger Impact
The inflection occurred in Q1 2024 when revenue jumped 119% year-over-year, following the NuVasive acquisition, but operating margin was only 1.3%, per income statement data.
The acquisition of NuVasive in early 2024 transformed GMED's scale, but initially depressed margins due to integration costs and amortization. Over the subsequent quarters, margins recovered dramatically, with operating margin reaching 23.1% by Q2 2026. This inflection highlights the successful execution of the merger, but the lasting impact depends on sustaining these margins while integrating Nevro and managing competitive pressures.
What Could Invalidate the Base Case
Despite strong margin expansion, the 5.9% reported growth in Q2 2026 lags the 9% ex-Nevro figure, suggesting Nevro remains a drag, per earnings commentary.
Short-sellers might argue that the impressive margin recovery is partly a function of one-time integration benefits and that the underlying organic growth is decelerating. The elevated SG&A in Q4 2025 and the volatility in gross margins (e.g., 63.3% in Q3 2025) could indicate that the cost structure is not yet stable. Additionally, the reliance on the NuVasive and Nevro integrations for growth raises the risk of sales force attrition and competitive share loss, which could pressure both revenue and margins if not managed effectively.