By the numbers
2025 sales: $8.23 billion
7.2% increase year over year
Net income: $705.1 million
22% decrease year over year
Zimmer Biomet has begun an effort to reorganize its U.S. salesforce as the company looks to capitalize on new products.
CEO Ivan Tornos told investors on Tuesday that he wants all of the orthopedics firm’s 2,500-person U.S. salesforce to be fully dedicated, rather than hiring independent contractors. The CEO also wants to specialize the company’s salesforce to compete in higher growth segments.
Tornos told investors the reorganization followed a comparison that found Zimmer’s competitors with a fully dedicated, specialized salesforce are more productive.
“Given the strength of the new product portfolio, the time to do it is now,” Tornos said on an earnings call.
The U.S. makes up more than 60% of Zimmer’s revenue.
Tornos said about one-third of sales employees have already shifted to the new model, and he expects to finish the reorganization by the end of 2027.
Zimmer expects to focus on high growth areas including sports medicine, extremities, trauma, craniomaxillofacial and thoracic, and robotics, RBC Capital Markets analyst Shagun Singh wrote in a research note. Ambulatory surgery centers will also be a focus. Tornos estimated that roughly 20% to 22% of all of Zimmer’s hip and knee procedures in the U.S. were done in ASCs last year.
Looking to 2026, Zimmer expects revenue growth of 2.5% to 4.5% for the year. Tornos said in a statement that while the restructuring tempers Zimmer’s sales forecast, he is confident the changes will lead to long-term growth.
