MIR — Mirion Technologies, Inc.

Summary of Mirion Technologies Q1 2026 Earnings Call

1. Key Financial Results and Metrics

• Total Revenue: $258 million, up 28% year-over-year.
• Organic Revenue Growth: 3%, consistent with expectations.
• Adjusted EBITDA: $54 million, a 16% increase from the previous year.
• Adjusted EPS: $0.10 per share, reflecting a change in calculation methodology.
• Orders: Total orders increased 42% to $288 million, with core orders (excluding M&A) growing nearly 20%.
• Backlog: Expanded to $1.1 billion, a 19% increase excluding M&A, or 38% including M&A.

2. Strategic Updates and Business Highlights

• Nuclear & Safety Segment: Strong growth driven by the Nuclear Power market, with significant orders from existing reactors and small modular reactors (SMRs).
• Acquisitions: Paragon and Certrec are integrating well, with Paragon reporting a 45% revenue growth in Q1. The acquisitions are expected to enhance Mirion's competitive position and create synergies.
• Medical Segment: The RTQA end market showed promising activity, with a notable order from Varian, contributing to a positive outlook for the segment.
• Market Dynamics: Increased demand for nuclear power driven by geopolitical events and U.S. government initiatives to boost capacity. The focus is shifting from plant shutdowns to modernization and long-term operation.

3. Forward Guidance and Outlook

• Q2 Expectations: Anticipating 15% to 20% sequential order growth. Organic revenue growth is expected to remain in the low single digits.
• Full-Year Guidance: No changes to previous guidance; maintaining expectations for double-digit growth in Nuclear Power and continued growth in Medical.
• Long-Term Goals: The company remains committed to achieving a 30% adjusted EBITDA margin by 2028.

4. Bad News, Challenges, or Points of Concern

• Margin Pressure: Adjusted EBITDA margins contracted due to M&A dilution and mix shifts within the Nuclear & Safety segment.
• Cash Flow: Q1 is typically a lighter cash generation quarter, with adjusted free cash flow at $11 million, impacted by timing in project inflows.
• Market Risks: Continued geopolitical uncertainties and reliance on energy availability could impact growth projections, particularly in the context of AI-driven demand.

5. Notable Q&A Insights

• Nuclear Market Dynamics: CEO Tom Logan emphasized a shift in operator psychology from defensive to proactive investment in nuclear infrastructure, driven by high capacity factors and a need for modernization.
• Medical Segment Confidence: CFO Brian Schopfer expressed increased optimism about the Medical segment's growth potential, particularly in RTQA, while maintaining guidance.
• Integration of Paragon: The cultural alignment between Mirion and Paragon is strong, facilitating smoother integration and realization of synergies.
• Future Visibility: There is confidence in the backlog's ability to support revenue growth in 2027, with ongoing discussions with key customers indicating a healthy pipeline.

Overall, Mirion Technologies reported a strong start to 2026, driven by significant order growth and strategic acquisitions, while navigating challenges related to margin pressures and cash flow. The outlook remains positive, with expectations for continued growth in both the Nuclear and Medical segments.