Zimmer Biomet Holdings Inc.
ZBHFinancial Snapshot
ticker: ZBH step: 04 generated: 2026-05-13 source: quick-research
Zimmer Biomet Holdings, Inc. (ZBH) — Financial Snapshot
Income Statement Summary
| Metric | FY2022 | FY2023 | FY2024 | YoY |
|---|---|---|---|---|
| Revenue | $6.94B | $7.39B | $7.68B | +3.8% |
| Gross Margin | ~68% | ~69% | ~69% | |
| Operating Margin | ~10% | ~12% | ~11% | |
| Net Income | ~$200M | ~$700M | ~$630M | |
| EPS (diluted, GAAP) | ~$1.39 | ~$4.91 | ~$4.43 | -10% |
FY2022 GAAP earnings depressed by ZimVie spin-off charges and restructuring costs. FY2023–FY2024 reflect the cleaner post-spin business. Adjusted (non-GAAP) EPS substantially higher — adjusted EPS FY2024 ~$8.00+ range, excluding amortization of acquired intangibles (large balance from the 2015 Biomet merger).
Cash Flow & Balance Sheet (FY2024)
| Metric | Value |
|---|---|
| Operating Cash Flow | ~$1.2B |
| Free Cash Flow | ~$900M |
| Capital Expenditures | ~$300M |
| Cash & Equivalents | ~$400M |
| Total Debt | ~$7.5B |
High debt load reflects legacy financing from the 2015 Zimmer-Biomet merger ($13.35B deal). Leverage has declined but remains elevated. The 2024 Paragon 28 acquisition (foot/ankle orthopedics) added incremental debt and near-term margin dilution.
Key Ratios (approximate)
- P/E: ~15x (adjusted) | EV/EBITDA: ~9x | FCF Yield: ~9%
- Revenue Growth (FY2024): +3.8% (+4.8% constant currency)
- Revenue Growth (FY2023): +6.5% (+7.5% constant currency)
- Adjusted EPS growth has been inconsistent due to acquisition activity and restructuring
Growth Profile
Zimmer Biomet's revenue growth has been in the low-to-mid single digit range, below orthopedic market growth rates (5–6%/year), reflecting market share losses — particularly in robotics where Stryker's Mako system has dominated. The ZimVie spin-off (2022) removed ~$1B in revenue and clarified the ZBH equity story. FY2024 growth of ~4.8% constant currency is modestly below market, reflecting continued robotics competitive pressure and international market challenges. The Paragon 28 acquisition (foot/ankle, closed 2024) adds ~$250–300M in annual revenue at a segment still investing for growth.
Forward Estimates
- Q3 FY2025 Net Sales: $2.001B (reported — continuing ~3% growth pace)
- FY2026 Operating Margin Guidance: ~50bp decrease vs. FY2025 (lower gross margins, Paragon 28 dilution, increased R&D)
- FY2026 Pricing Headwind: ~100bp erosion expected
- Analyst consensus: Mixed — William Blair Market Perform; price target range roughly $95–$172 reflecting execution uncertainty
Deeper Financial Analysis
The fundamental tier adds 9 additional research dimensions for $ZBH.