Teleflex Vascular Growth Faces Pressure From Higher Costs

Teleflex’s Vascular business grew in the second quarter of 2026, while tariffs and acquisition-related costs weighed on margins. As of 3:51 p.m. UTC Tuesday, shares traded at $125.99, up 0.6% from the previous close.

Vascular revenue rose 9% on a reported basis and 8% on a pro forma adjusted constant-currency basis. In late July, the FDA approved EZPLAZ Freeze Dried Plasma, which the company said was the first freeze-dried plasma licensed by the agency. Management described the underlying Vascular market as a mid-single-digit growth market.

Asia net revenue increased 59.5% to $76 million, mainly reflecting $27.7 million in acquired revenue. Operating profit in the region rose 235.3% to $15 million, despite higher operating and amortization expenses tied to the acquisition.

Margins declined: adjusted gross margin fell 280 basis points year over year, while adjusted operating margin dropped 520 basis points to 19.6%. Teleflex cited tariffs, the acquired business’s lower gross margin profile, higher operating expenses and increased research and development investment.

The company ended the quarter with $300.2 million in cash and cash equivalents. After its OEM divestiture, pro forma net leverage fell to about 1.9 times from 2.8 times at quarter-end. Teleflex continues to target about $800 million in debt reduction from strategic divestiture proceeds.

Zacks Consensus Estimates for 2026 earnings per share rose 1.8% in the past 30 days to $7.22. Its revenue estimate is $2.28 billion, which implies a 23.1% decline from the prior year’s reported figure.