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EMBC

Embecta Corp.

EMBC

Embecta Corp. • NASDAQ
$12.76 ▲ 1.47% (+0.18)
Market Cap $746.30 M
52w High $21.48
52w Low $9.20
Dividend Yield 0.60%
P/E 7.87
Volume 385.54K
Outstanding Shares 58.51M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q4-2025 $264M ▼ $102M ▼ $26.4M ▼ 10% ▼ $0.45 ▼ $70.8M ▼
Q3-2025 $295.5M ▲ $103.1M ▲ $45.5M ▲ 15.398% ▲ $0.78 ▲ $110.6M ▲
Q2-2025 $259M ▼ $101.2M ▼ $23.5M ▲ 9.073% ▲ $0.4 ▲ $74.2M ▲
Q1-2025 $261.9M ▼ $128.4M ▼ $-700K ▼ -0.267% ▼ $-0.012 ▼ $39.1M ▲
Q4-2024 $286.1M $147.6M $14.6M 5.103% $0.25 $34M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q4-2025 $225.5M ▼ $1.091B ▼ $1.742B ▼ $-650.6M ▲
Q3-2025 $230.6M ▲ $1.157B ▲ $1.827B ▼ $-669.6M ▲
Q2-2025 $209.3M ▼ $1.12B ▼ $1.856B ▼ $-736.2M ▲
Q1-2025 $210M ▼ $1.149B ▼ $1.918B ▼ $-768.8M ▼
Q4-2024 $267.5M $1.285B $2.024B $-738.3M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q4-2025 $26.4M ▼ $84M ▲ $-7.3M ▼ $-81.6M ▼ $-5M ▼ $76.7M ▼
Q3-2025 $45.5M ▲ $81.2M ▲ $-400K ▼ $-62.6M ▼ $21.3M ▲ $80.8M ▲
Q2-2025 $23.5M ▲ $31.8M ▲ $-100K ▲ $-37.3M ▲ $-4.4M ▲ $31.7M ▲
Q1-2025 $0 ▼ $-5.3M ▼ $-1.5M ▼ $-45.2M ▼ $-57.5M ▼ $-6.8M ▼
Q4-2024 $14.6M $26.6M $0 $-36.6M $-7.6M $26.6M

Revenue by Products

Product Q2-2025Q3-2025Q4-2025
Manufacturing Facility
Manufacturing Facility
 $0 ▲$10.00M ▲$10.00M ▲
Product and Service Other
Product and Service Other
 $0 ▲$0 ▲$10.00M ▲
Safety
Safety
 $30.00M ▲$30.00M ▲$70.00M ▲

Five-Year Company Overview

Income Statement

Income Statement Embecta’s revenue has been very steady since the spin-off, but profit quality has slipped. Gross profitability remains solid for a device maker, yet operating and cash profits have trended down from earlier levels. Net income today is far below what the business earned before it was separated from its former parent, which likely reflects higher interest costs and standalone expenses. Overall, this looks like a mature, slow‑changing top line with pressure on margins and earnings, rather than a strong growth story in the recent period.

Balance Sheet

Balance Sheet The balance sheet is the clearest weak spot. The company carries a large debt load relative to its size, and accounting equity is now negative, which is typical of heavily leveraged spin‑offs but still a risk factor. Cash on hand is meaningful but not large compared with total debt, so Embecta depends on continued cash generation and refinancing access. Assets have grown modestly, but the capital structure is tilted toward creditors rather than shareholders, making balance‑sheet strength and debt management a central issue.

Cash Flow

Cash Flow Cash generation has dropped sharply from the early spin‑off period. Operating cash flow is still positive but quite thin compared with the size of the business, leaving only a modest cushion after capital spending. On the plus side, investment needs are relatively light, so free cash flow remains positive. On the downside, the room to pay down debt quickly, absorb shocks, or fund big new initiatives from internal cash alone appears limited. Stability of cash flow from the core franchise is therefore crucial.

Competitive Edge

Competitive Edge Competitively, Embecta starts from a position of strength. It is a global leader in insulin delivery devices with deep manufacturing know‑how, very large production scale, and a long‑trusted brand inherited from BD. Its broad product range in pen needles, syringes, and safety devices, plus an extensive distribution network and long relationships with payors and pharmacies, all reinforce its moat. However, the diabetes care market is evolving quickly, with increasing use of newer drug classes and advanced delivery technologies, so the company must keep adapting to protect this advantage.

Innovation and R&D

Innovation and R&D Innovation is focused on improving the user experience and safety of injections rather than betting heavily on entirely new platforms. Embecta has a sizable patent and trademark portfolio and continues to refine needle design, comfort, and safety features. Management has deliberately walked away from the insulin patch pump project, choosing not to chase capital‑intensive, highly competitive closed‑loop systems. Instead, they are redirecting resources toward the growing GLP‑1 injection market, digital tools, and incremental enhancements to core products, and using cost savings to strengthen finances and fund targeted R&D. This is a more focused, lower‑risk innovation strategy, but it also limits upside from breakthrough technologies.

Summary

Embecta is a mature, specialized diabetes‑device business with a durable franchise but a stretched financial structure. The core injection business still throws off solid gross profits, yet earnings and cash flow have weakened since the spin‑off, while debt remains high and equity negative. Strategically, the company is leaning into its strengths—scale manufacturing, brand trust, and device know‑how—while exiting a costly pump initiative and pivoting toward opportunities in GLP‑1 therapies and adjacent uses of its manufacturing base. Future performance will hinge on three things: maintaining the resilience of its core needle and syringe franchise, successfully capturing GLP‑1–related growth, and steadily reducing the balance‑sheet risk posed by its leverage.

NEWS

November 25, 2025 · 6:30 AM UTC

Embecta Corp. Reports Fiscal 2025 Fourth Quarter and Full Year Financial Results; Provides Initial Fiscal Year 2026 Financial Guidance

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November 25, 2025 · 6:00 AM UTC

embecta Announces Quarterly Cash Dividend

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November 17, 2025 · 5:00 PM UTC

embecta announces changes to Board of Directors

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November 14, 2025 · 6:30 AM UTC

embecta Announces Major New Commitment to Direct Relief on World Diabetes Day

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November 11, 2025 · 5:00 PM UTC

embecta to Report Fiscal Fourth Quarter and Full Year 2025 Financial Results

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