Avanos Medical and Siemens Healthineers Announce Strategic Co-Marketing Agreement
Avanos Medical (AVNS) and Siemens (SIEGY) Healthineers announced a strategic co-marketing agreement to advance outpatient and interventional pain care through an integrated ecosystem of imaging and radiofrequency ablation, or RFA, technologies. Avanos and Siemens Healthineers will equip ambulatory surgery centers, hospitals, and interventional pain practices with complementary technologies that aim to enhance accuracy, efficiency, and consistency in patient care. Siemens Healthineers mobile C-arm systems, including the Cios Select and Cios Flow, deliver advanced imaging, maneuverability, and reliability. Paired with Avanos' technologies, they aim to create a seamless workflow that supports smoother operations and better patient outcomes. The co-marketing agreement will initially focus on the U.S. market, with both companies collaborating on education, sales training, and joint marketing of the combined solution.
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- Executive Participation: Avanos Medical's CEO Dave Pacitti and CFO Scott Galovan will participate in a fireside chat at the 2026 Citizens Life Sciences Conference on March 11 at approximately 1:05 p.m. ET, showcasing the company's leadership in the medical technology sector.
- Webcast Availability: The conference presentation will be available via a webcast on the Investors section of Avanos Medical's website and archived for later access, ensuring that investors and the public can stay informed and enhancing the company's transparency.
- Company Mission: Avanos Medical focuses on delivering clinically superior medical device solutions aimed at addressing critical healthcare needs, including providing essential nutrition support to patients and reducing opioid use, thereby facilitating faster recovery for patients.
- Global Market Position: Headquartered in Alpharetta, Georgia, Avanos Medical holds leading market positions across multiple product categories, demonstrating its strong competitive edge in the global medical device market.
- Executive Participation: Avanos Medical's CEO Dave Pacitti and CFO Scott Galovan will participate in a fireside chat at the 2026 Citizens Life Sciences Conference on March 11 at approximately 1:05 p.m. Eastern Time, showcasing the company's leadership in the medical technology sector.
- Webcast Availability: The conference presentation will be available via a webcast on the Investors section of Avanos Medical's website and will be archived for later access, ensuring that investors and the public can easily access relevant information and enhancing transparency.
- Mission Statement: Avanos Medical focuses on delivering clinically superior medical device solutions aimed at addressing significant healthcare needs, including providing vital nutrition support for patients and reducing opioid usage to facilitate recovery post-surgery.
- Global Market Position: Headquartered in Alpharetta, Georgia, Avanos Medical holds leading market positions across multiple product categories, continuously developing, manufacturing, and marketing its recognized brands to improve patient quality of life.
- Board Nominations: Avanos Medical has announced the nomination of Jim Cunniff, CEO of Electromed, Inc., and Bill Burke, former CFO of Haemonetics, as independent directors for election at the 2026 Annual Meeting, aiming to enhance the board's leadership and financial expertise.
- Strategic Cooperation Agreement: This nomination is coupled with a cooperation agreement with Bradley L. Radoff and his affiliates, indicating Avanos's commitment to achieving long-term strategic goals through the introduction of new directors to improve governance.
- Rich Industry Experience: Cunniff brings over 30 years of leadership experience in medical technology, having successfully driven revenue and profit growth in multiple companies, while Burke's extensive finance background in global medical technology is expected to have an immediate positive impact on Avanos.
- Future Outlook: The Avanos board will formally recommend these nominees at the 2026 Annual Meeting, which is anticipated to further drive sustainable growth and enhance market competitiveness through the introduction of new perspectives and expertise.
- Strong Annual Performance: Avanos Medical reported full-year net sales of $701 million and adjusted EPS of $0.94 for 2025, despite tariff impacts; management is optimistic about future performance, projecting 2026 sales between $700 million and $720 million.
- Portfolio Growth: The Specialty Nutrition Systems (SNS) segment achieved over 8% organic growth, with double-digit growth in short-term enteral feeding products driven by the expansion of CORTRAK and CORGRIP 2 systems, highlighting the company's competitive position in the market.
- Cost Control Measures: Management anticipates $30 million in tariff costs for 2026, primarily affecting products sourced from China; however, plans are in place to mitigate long-term tariff risks, including exiting syringe manufacturing in China by June 2026.
- Successful Acquisition Integration: Avanos's acquisition of Nexus Medical is progressing well, with management expressing confidence in future growth opportunities, expecting to enhance shareholder value through portfolio optimization and cost control.
- Financial Overview: Avanos Medical reported fourth-quarter net sales of $180.9 million, a slight increase of 0.7% year-over-year, while full-year net sales reached $701.2 million, up 1.9% from $687.8 million in 2024, indicating stability in the market.
- Decline in Free Cash Flow: The company generated free cash flow of $21.3 million in Q4 2025, significantly down from $53.1 million a year earlier, with total free cash flow for 2025 at $43.1 million, compared to $82.9 million in the previous year, reflecting challenges in cost management and capital expenditures.
- Goodwill Impairment Impact: Avanos recorded a $77 million goodwill impairment charge in Q2 2025 due to market capitalization pressures, negatively affecting the overall financial health of the company and resulting in a net loss of $72.9 million for the year.
- Future Outlook: The company expects net sales for 2026 to be between $700 million and $720 million, with adjusted earnings per share projected between $0.90 and $1.10, indicating management's optimism for future growth despite ongoing market challenges.
- Earnings Performance: Avanos Medical reported a Q4 non-GAAP EPS of $0.29 with revenue of $180.9 million, reflecting a modest 0.7% year-over-year increase, indicating the company's ability to maintain stability in a challenging economic environment.
- Adjusted EBITDA: The adjusted EBITDA for the quarter was $28 million, slightly down from $28.6 million in the prior year, highlighting some pressure on cost control and operational efficiency that could impact future profitability.
- Free Cash Flow Decline: The fourth quarter free cash flow was $21.3 million, significantly lower than $53.1 million in the same quarter last year, suggesting a need for improved cash flow management to support future investments and operational needs.
- 2026 Outlook: The company expects net sales for 2026 to range between $700 million and $720 million, with adjusted diluted EPS projected between $0.90 and $1.10, aligning with broader market revenue consensus, which reflects the company's confidence in future growth prospects.





