Short answer
Edwards Lifesciences (EW) filed its fiscal 2025 10-K annual report with the SEC on Feb 25, 2026. It reported revenue of $6.1B (+11.5% year over year) and net income of $1.1B.
- Top risk flagged: Section 232 investigation by U.S. Dept. of Commerce into medical device imports could impose tariffs, raising manufacturing costs and disrupting Edwards' supply chain
FY2025 key financial metrics · XBRL
- Revenue
- $6.1B
- +11.5% YoY
- Net income
- $1.1B
- −74.3% YoY
- Operating margin
- 20.8%
- −4.5 pp YoY
- Gross margin
- 78.0%
- −1.4 pp YoY
- EPS (diluted)
- $1.83
- −73.7% YoY
- ROE
- 10.4%
- −31.4 pp YoY
- Operating cash flow
- $1.6B
- +194.2% YoY
Source: XBRL data from the Edwards Lifesciences (EW) FY2025 10-K on SEC EDGAR. USD.
Edwards Lifesciences FY2025 10-K analysis
AI summary of each section, grounded in the filing text
Business Overview
- Structural heart pure-play: TAVR, TMTT, and Surgical segments targeting aortic, mitral, tricuspid, and pulmonic valve disease
- TMTT fastest-growing segment: revenue share expanded to 9% in FY2025 vs 7% in FY2024 and 4% in FY2023
- KONECT RESILIA aortic valved conduit launched in Europe in 2025; EARLY TAVR trial 2024 data supporting asymptomatic aortic stenosis indication expansion
- R&D spend ~18% of 2025 sales, up ~2% YoY; ~16,000 employees worldwide as of December 31, 2025
- TAVR share of net sales declined to 74% in FY2025 from 77% in FY2023, reflecting deliberate portfolio diversification toward TMTT
Management Discussion & Analysis
- Revenue $6.07B, up $628.1M (+11.5% YoY); TMTT best-performing segment +56.4% to $550.6M; Surgical weakest at +4.9% to $1.03B
- Gross profit as % of net sales decreased due to higher operational expenses; litigation expenses surged to $325.4M in 2025 vs $40.4M in 2024; effective tax rate 17.0% vs 9.8%
- Operating cash flow $1.60B, up $1.05B YoY; capex $260.2M in 2025, guided ~$280M in 2026
- Share buybacks $884.7M (11.7M shares) in 2025; $2.0B repurchase authority remaining; no dividends mentioned; $600M senior notes due 2028 outstanding
- Key risks: IRS transfer pricing dispute ($269.3M additional tax claimed), Pillar Two added $19.1M tax expense, and ongoing IP litigation
Risk Factors
- Section 232 investigation by U.S. Dept. of Commerce into medical device imports could impose tariffs, raising manufacturing costs and disrupting Edwards' supply chain
- EU MDR compliance risk: unresolved EU-Switzerland Mutual Recognition Agreement may block Edwards from placing devices on EU market via Swiss operations
- Single-source supplier dependency for key materials; regulatory burden of FDA qualification makes replacement difficult and costly
- Competitors introducing new TAVR/TMTT technologies competing for same hospital catheterization labs, directly constraining Edwards' procedure volumes
- GDPR, HIPAA, and CCPA compliance exposure across multiple jurisdictions; GDPR noncompliance penalties and CCPA private right of action create layered financial liability
Generated from the filing text; verify against the original. How to read a 10-K
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