Shares of Sotera Health Company (SHC) surged 7.48% in Thursday's trading session following the release of better-than-expected first-quarter 2025 results. The healthcare services provider reported revenue of $254.5 million, up 2.6% year-over-year and beating analyst estimates of $245.8 million. On a constant currency basis, revenue growth was even stronger at 4.4%.
The company's adjusted earnings per share came in at $0.14, surpassing the consensus estimate of $0.12. Adjusted EBITDA showed impressive growth, increasing 8.8% to $122 million, or 11.2% on a constant currency basis. Sotera Health's Chairman and CEO, Michael B. Petras, Jr., expressed satisfaction with the company's "solid start to the year" and highlighted the strong double-digit Adjusted EBITDA growth.
Adding to investor optimism, Sotera Health reaffirmed its full-year 2025 outlook, projecting net revenue growth of 4.0% to 6.0% and Adjusted EBITDA growth of 4.5% to 6.5% on a constant currency basis. The company's ability to maintain its guidance despite economic uncertainties likely contributed to the positive market reaction, driving the stock's significant intraday gain.