Guess which ASX 200 healthcare stock just rocketed 16% on surging FY25 earnings

Investors are piling into the ASX 200 healthcare share today. Here's why.

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S&P/ASX 200 Index (ASX: XJO) healthcare stock Ansell Ltd (ASX: ANN) is off to the races today.

Shares in the health and safety products company closed on Friday trading for $31.30. In earlier trade on Monday, shares surged to $36.37, up 16.2%. After some likely profit-taking, shares are changing hands for $34.26 each at the time of writing in later morning trade, up 9.5%.

For some context, the ASX 200 is up 0.4% at this same time.

This strong outperformance follows the release of Ansell's financial results for the year ending 30 June (FY 2025).

Here's what's grabbing ASX investor interest.

(*Note: All figures below in US dollars unless otherwise stated.)

ASX 200 healthcare share soars on sales growth

Investors are piling into Ansell shares after the ASX 200 healthcare stock reported sales for the 12 months of $2.00 billion. That's up 7.7% from FY 2024 on an organic constant currency-basis and up 23.7% on a reported basis.

Atop currency adjustments, Ansell noted that its organic basis also adjusts for the effects of acquisitions, divestments, and business exits over the year. Those include the $635 million KBU acquisition completed on 1 July 2024 and retail household gloves exited in FY 2024.

And the Ansell share price is likely getting a boost today, with FY 2025 earnings before interest and tax (EBIT), before significant items, of $282 million up 10.4% on an organic constant currency-basis and up 44.3% on a reported basis.

Also likely drawing investor interest in the ASX 200 healthcare stock today, Ansell achieved a 19.5% year-on-year increase in adjusted earnings per share (EPS) to US$1.26 a share. That's in the upper half of guidance range, which management credited to strong sales and margin growth in both Ansell's Industrial and Healthcare segments.

KBU's performance since its acquisition also came in ahead of expectations, with management saying the business integration is now complete, and their synergies target upgraded.

Ansell also said its pricing will be able to offset pending US tariffs in full, with initial price increases successfully implemented in June, and subsequent increases being implemented based on changes to tariff rates announced in July.

On the passive income front, Ansell declared a final unfranked dividend of 28 US cents per share, up 27.9% from last year's final dividend.

Ansell shares will also be getting a lift today, with the ASX 200 healthcare stock reporting it will resume its on-market share buyback program in FY 2026, with plans to make up to $200 million of repurchases.

What did management say?

Commenting on the results boosting the ASX 200 healthcare stock today, Ansell CEO Neil Salmon said, "We delivered strong top and bottom-line growth in FY25 in challenging trading conditions, particularly in industrial end markets."

Salmon added:

Investments in innovation and manufacturing capacity supported new product success that drove accelerated sales growth in Industrial, results from the KBU business acquired at the beginning of the financial year were ahead of expectations, and savings from our Accelerated Productivity Investment Program exceeded target.

Addressing the potential impact of US President Donald Trump's tariff campaigns, Salmon said:

While the economic effects of higher tariffs remain unclear, we believe we are well positioned to adapt to this new environment due to the essential nature of our products, the significant value they provide to our customers, and our diversified and flexible manufacturing and sourcing network.

What's ahead for the ASX 200 healthcare stock?

Looking to what could impact the Ansell share price in the year ahead, the ASX 200 healthcare stock provided FY 2026 guidance for adjusted EPS in the range of US$1.33 to US$1.45, compared to US$1.26 achieved in FY 2025.

Management said they anticipate constant currency sales growth from both higher volumes and tariff-related pricing.

Net interest cost are expected to be around $45 million, while FY 2026 capex is guided to be in the range of $60 million to $70 million.

With today's big intraday boost factored in, shares in the ASX 200 healthcare stock are up 17% since this time last year, not including dividends.

Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Ansell. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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