Savaria Corporation

Savaria reported Q1 revenue of $235.5 million, up $15.3 million or 7% year over year, driven by 5.7% organic growth, 0.7% from Baxter and Western Direct store acquisitions, and 0.6% FX. Consolidated gross margin was 38.9% versus 37.8% in 2025; adjusted EBITDA was $48.1 million with a 20.4% margin versus 18.5% last year; net earnings were $22.7 million versus $12.5 million; and EPS was $0.31 versus $0.17. Cash flow from operating activities was $35.8 million, CapEx was $6 million (2.5% of sales), and the company disbursed $2.1 million for acquisitions. Forward, management reiterated its Investor Day plan for about 12% annual top-line growth over the next 5 years, reaching about $1.6 billion of revenue by 2030 while maintaining adjusted EBITDA margins of at least 20%.

Sébastien Bourassa struck a confident tone, saying the company has been consistently beating prior-year results and that Savaria One has created a strong path for the future. He highlighted growth priorities in North America home elevators and stairlifts, Europe cross-selling, Patient Care expansion, and the Greenville manufacturing expansion, which he said should be completed in Q4. He also framed M&A as a priority, noting the company’s low leverage and liquidity position, and reiterated the long-term target of 12% annual growth and margins over 20%.

Stephen Reitknecht emphasized that Q1 is usually Savaria’s weakest quarter, making the 20.4% adjusted EBITDA margin especially notable. He cited revenue of $235.5 million, gross margin of 38.9%, adjusted EBITDA of $48.1 million, finance costs of $3.1 million, net earnings of $22.7 million, and EPS of $0.31. On cash and capital allocation, he said operating cash flow was $35.8 million, CapEx was $6 million and should be slightly above 2.5% of sales for the year because of Greenville, and the company had $324 million of funds available under its credit facility with leverage at 0.92x.

Analysts focused on Accessibility demand in Canada and the U.S., Patient Care growth in the U.K., Europe’s strong rebound, margin sustainability, tariffs, and Greenville. Management attributed Canada strength partly to Western and home elevators, said U.K. Patient Care growth was helped by broader product selling and NHS contract listings, and explained that Europe’s rebound is being driven by dealer wins, better value proposition, and operational improvements. On margins and U.S. trends, management said incremental margins should remain strong though likely slow somewhat over time, U.S. softness was mostly FX noise, and backlog remains strong; on tariffs, they said finished goods are tariff-exempt and only minor spare-part noise remains manageable.