Companies /Healthcare
Varex Imaging Corp
NASDAQ: VREX Medical Devices
$18.42
▲ $0.01 (+0.05%) today
Markets closed · 7:01pm ET

Varex Imaging (VREX) Q1 2026 Earnings

Reported Feb 10, 2026, 4:06pm ET · SEC source
$0.19
Beat +50.79%
EPS · est. $0.13
$209.6M
Beat +0.87%
Revenue · est. $207.8M
−14.8%
Trailing market
VREX vs S&P since report
5 quarters
Consecutive EPS beats

How Did VREX Stock React to Q1 2026 Earnings?

% change · around the report
−8%−4%0Feb 10Feb 11report 4:06pm ETearnings−0.1%−3.3%
−8%−4%0Feb 10Feb 11earnings−0.1%−3.3%
VREX −3.3%S&P 500 −0.1%
−8%−4%0Feb 10Feb 11report 4:06pm ETearnings+0.2%−3.3%
−8%−4%0Feb 10Feb 11earnings+0.2%−3.3%
VREX −3.3%NASDAQ +0.2%
−6%−3%0Feb 9Feb 18report 4:06pm ETearnings−1.0%−2.1%
−6%−3%0Feb 9Feb 18earnings−1.0%−2.1%
VREX −2.1%S&P 500 −1.0%
−6%−3%0Feb 9Feb 18report 4:06pm ETearnings−1.2%−2.1%
−6%−3%0Feb 9Feb 18earnings−1.2%−2.1%
VREX −2.1%NASDAQ −1.2%
−3.82%
Day of report
−1.69%
Next session
+1.03%
One week
−18.15%
30 days

S&P 500 over the same 30 days: −3.31%.

Did VREX Beat Earnings? Q1 2026 Results

Yes. Varex Imaging reported Q1 2026 earnings of $0.19 a share on Feb 10, 2026, beating the $0.13 consensus estimate by 50.8%. Revenue was $209.6M against a $207.8M estimate.

Varex Imaging delivered a stronger-than-expected fiscal first quarter, with non-GAAP earnings per share of $0.19 beating the $0.13 consensus estimate by 50.79% and revenue of $209.60 million edging past the $207.80 million forecast by 0.87%, representing 4.9% year-over-year growth. The standout driver was the Industrial segment, which surged 17% year-over-year to $64.80 million, fueled by robust demand in the cargo security systems business, while the Medical segment held essentially flat at $144.80 million. Profitability improved meaningfully despite slight gross margin compression, with non-GAAP operating income reaching $18.90 million at a 9.0% margin, up from 7.2% a year ago, and adjusted EBITDA climbing to $28.50 million from $25.50 million. The company also swung to GAAP net income of $2.30 million, compared to a loss in the prior-year period. Looking ahead, management guided Q2 FY2026 revenue of $210 million to $225 million and non-GAAP EPS of $0.15 to $0.25, citing continued strength in CT product demand and sustained cargo security momentum.

Key Takeaways
  • Strength in cargo systems business drove 17% YoY increase in Industrial segment revenue
  • Revenue grew 5% year-over-year to $210 million
  • Non-GAAP EPS nearly doubled YoY from $0.10 to $0.19
  • Lower operating expenses contributed to improved operating margins
  • Non-GAAP operating margin expanded to 9.0% from 7.2% YoY

“We are pleased to report a solid start to fiscal 2026, with results toward the high-end of guidance. First quarter revenue of $210 million, increased 5% year-over-year. Growth in the quarter was driven by strength in our cargo systems business, which contributed to a 17% year-over-year increase in Industrial segment revenue”

Varex Imaging CEO, on the earnings call

What Was Varex Imaging's Outlook in Q1 2026?

For Q2 FY2026, Varex guided revenues of $210 million to $225 million and non-GAAP net earnings per diluted share of $0.15 to $0.25. Management expects demand for CT products to remain strong and is encouraged by sustained momentum in cargo security systems.

VREX YoY Financials

Q1 2026 vs Q1 2025 · SEC filings Q1 2025 Q1 2026
$0$60.0M$120.0M$180.0M$199.8M$209.6MRevenue$68.5M$69.8MGross Profit$11.2M$15.4MOperating Income$237,930$2.3MNet Income
$0$60.0M$120.0M$180.0MRevenueGross ProfitOperating IncomeNet Income
VREX income statement, Q1 2026 versus Q1 2025
Metric Q1 2026 Q1 2025 Year over year
Revenue $209.6M $199.8M +4.9%
Gross Profit $69.8M $68.5M +1.9%
Operating Income $15.4M $11.2M +37.5%
Net Income $2.3M $237,930 +866.7%

VREX Revenue by Segment

Medical$144.8M
Industrial$64.8M+17.0%

Figures from SEC filings and company reports. Not investment advice.