Avanos Medical Posts Double-Digit Q3 Growth and Acquires Nexus Medical to Expand Specialty Nutrition Systems Amid Tariff Challenges

5 November 2025

Avanos Medical, Inc., a leading provider of healthcare solutions with a focus on specialty nutrition and opioid-sparing pain management, today announced its financial results for the third quarter of 2025, highlighting significant strategic developments of B2B relevance for pharmaceutical manufacturing and medical device sectors in the Americas region. The company reported robust double-digit growth in its Specialty Nutrition Systems (SNS) segment, achieving net sales of $114.0 million for the quarter, an increase of $15.8 million compared to the previous year. This performance reflects sustained demand for enteral feeding devices and solutions catering to neonatal and pediatric intensive care units. Volume growth of 9.1% over the last nine months underscores Avanos’ operational excellence, continued investment in manufacturing capacity, and optimized supply chain management.

The headline update from Avanos centers on its recent acquisition of Nexus Medical, formally completed in Q3 2025. The deal strategically complements Avanos’ existing SNS portfolio by integrating Nexus Medical’s proprietary neonatal and pediatric technology platforms, which are designed to meet the stringent regulatory, safety, and clinical performance standards required for life-sustaining nutrition therapies. Management expects the acquisition to deliver immediate value, expanding Avanos’ leadership position in the sector and enhancing the company’s ability to serve hospital-based and acute care providers. This move comes at a time when innovation and reliability in nutrition systems are critically important to health systems focused on clinical outcomes, cost-efficiency, and compliance.

The financial announcement also addresses challenges posed by the volatile tariff environment affecting U.S. importers of medical devices and pharmaceutical materials. Avanos detailed its ongoing mitigation tactics, which include supply chain adjustments, cost containment initiatives, and pricing actions to offset uncertainty caused by fluctuating tariffs—particularly those impacting components sourced from China and Mexico. The company is leveraging international trade agreements to secure reduced or duty-free imports of key raw materials, while monitoring any changes in tariff structure that could materially impact its cost base or manufacturing operations. With the final level and scope of tariffs yet to be determined, management is prepared to pursue additional cost optimization to maintain profitability and operating margin targets.

In terms of segment performance, the opioid-sparing Pain Management and Recovery (PM&R) business line achieved stable volume growth, driven by increased sales of its radiofrequency ablation (RFA) products and complementary technologies for procedural pain management. The company has strategically divested its HA product line to Channel-Markers Medical, LLC, aiming to focus operational resources on the core growth engines of SNS and PM&R. Avanos is raising and narrowing its 2025 guidance for total revenue to between $690 million and $700 million, and adjusted earnings per share to a range of $0.85 to $0.95, reflecting strong commercial momentum and operational resilience.

For executive teams, R&D managers, and procurement professionals across the American pharmaceutical manufacturing ecosystem, Avanos Medical’s Q3 report conveys several important themes: strategic acquisition for portfolio enhancement in critical care nutrition, ongoing management of tariff risk, supply chain agility, and targeted investment in segment-leading technologies. The outlook for the remainder of 2025 anticipates continued above-market growth in neonatal and pediatric nutrition, supported by expanded commercial offerings and proactive tariff mitigation. This case exemplifies how pharma and medical device manufacturers can capitalize on acquisitions and agile operations to maintain competitiveness and deliver advanced therapeutic solutions in an evolving regulatory and macroeconomic landscape.

In summary, Avanos Medical’s latest results and strategic actions provide a valuable reference point for American region pharmaceutical and healthcare technology stakeholders focused on B2B innovation, supply chain resilience, and market expansion in specialized care domains. The integration of Nexus Medical, combined with robust SNS segment growth and adaptive tariff strategies, situates Avanos as a dynamic industry leader well positioned to respond to ongoing changes in the global pharmaceutical manufacturing environment.