Surgical Science Revises Financial Targets and Strategy Following Key Agreement Termination

Surgical Science announced a significant revision of its financial targets in December 2025 after its largest customer terminated a crucial letter of intent, rendering its previous revenue and profitability goals for 2026 unattainable. The company now foresees a more stable business model and strategy focused on growth and profitability across five distinct segments, including Educational Products and Medical Device Simulation.

The outgoing agreement, involving Intuitive, forced Surgical Science to scrap its earlier targets of reaching 1.5 billion kronor in revenue and an adjusted EBIT margin of 40 percent by 2026. This announcement led to the company's stock price plummeting by 60 percent in a single day. CEO Tom Englund emphasized that the company is not starting from scratch despite setbacks, stating, "It’s not like we are starting from zero."

Surgical Science plans to move its stock listing from the First North Growth Market to Nasdaq Main Market to better align with its growth ambitions and visibility. Englund outlined a strategic blueprint aiming to double the company's size and enhance profitability in a healthcare market where its technology still has low penetration. The revamped strategy leverages both organic growth and sustained acquisition efforts, supported by a strong cash position and absence of financial debt.

This directional shift reflects a cautious but optimistic outlook, prioritizing a more stable and sustainable business foundation after losing a key contractual relationship. Surgical Science remains committed to expanding its product offerings in educational and simulation devices, essential components of its revised portfolio designed to drive profitability and sales growth.

As the company prepares for its capital markets day, the focus will be on showcasing this new strategy and the path to achieving its refined goals despite recent challenges. Surgical Science's approach highlights resilience and adaptability in the face of abrupt market changes, signaling a clear intent to rebound and grow steadily in the evolving medical technology sector.