Fisher & Paykel Healthcare Lifts FY2027 Profit Guidance on Strong H1 Momentum and Tariff Refunds
Fisher & Paykel Healthcare has raised its full-year net profit guidance for FY2027, buoyed by robust first-half sales and a $23 million US tariff refund. The medical devices maker forecasts up to 24% profit growth in H1, driven by hospital product demand and operational efficiencies.
- H1 FY2027 revenue guidance at NZD 1.24 billion, 14% growth
- Net profit after tax expected to rise 24% to NZD 280 million in H1
- Full-year net profit guidance raised to NZD 525-565 million
- US tariff refunds of NZD 23 million factored into profit outlook
- Operational improvements contributing to margin gains
Strong First-Half Performance Drives Up Profit Expectations
Fisher & Paykel Healthcare (NZX:FPH) has kicked off its 2027 financial year with a robust performance, prompting an upward revision to its full-year profit outlook. The company expects first-half revenue of approximately NZD 1.24 billion, marking a 14% increase over the same period last year, alongside a 24% jump in net profit after tax to around NZD 280 million. This growth is underpinned by strong demand for its latest hospital hardware devices and a shift in clinical practice boosting consumable sales.
Tariff Refunds and Operational Efficiencies Bolster Margins
Integral to the improved profit guidance is a NZD 23 million refund from US IEEPA tariffs, which the company has incorporated into its forecasts. Beyond this windfall, Fisher & Paykel Healthcare is also benefiting from continuous improvement initiatives that are enhancing gross margins and operational efficiencies. Managing Director Lewis Gradon highlighted the positive impact of these efforts, which are helping to sustain momentum across the business.
Full-Year Outlook Revised Upwards Amid Stable Global Trade Environment
Reflecting the strong start to the year, the company has nudged its full-year operating revenue guidance slightly higher to a range of NZD 2.47 billion to 2.57 billion, with net profit after tax now expected between NZD 525 million and 565 million. This compares to the previous forecast of NZD 500 million to 550 million in net profit. The outlook assumes current global tariff rates and policies remain unchanged, a factor that will be critical to watch given ongoing trade uncertainties.
Innovation and Clinical Adoption Remain Key Growth Drivers
Fisher & Paykel Healthcare continues to invest in innovation and support for clinicians adopting new care delivery methods. This strategic focus is expected to drive sustained growth beyond the near term. The company’s products, spanning respiratory care, surgery, and sleep apnea treatment, are sold in over 120 countries, positioning it well to capitalise on evolving healthcare needs globally.
Upcoming Shareholders Meeting and Exchange Rate Sensitivities
The company’s Annual Shareholders’ Meeting is scheduled for 25 August 2026, providing an opportunity for investors to engage directly with management. Notably, the guidance is based on exchange rates as of 31 July 2026, including NZD:USD at 0.59, which introduces some currency risk should rates fluctuate materially in the coming months.
Bottom Line?
Fisher & Paykel Healthcare’s upgraded profit guidance reflects solid H1 execution and tariff relief, but currency shifts and trade policies remain key variables to monitor.
Questions in the middle?
- How might changes in US tariff policies impact Fisher & Paykel Healthcare’s margins for the remainder of FY2027?
- Will the strong hospital product demand sustain through the second half amid evolving clinical practices?
- To what extent could currency fluctuations affect the company’s revenue and profit outcomes given current exchange rate assumptions?
