The company's financial stability is under pressure as the equity base contracted to $474.2 million in 2026Q2, accompanied by a declining cash position of $85.3 million.
| Total Current Assets | 625.6M | 641.8M | 649.9M | 658.3M | 609.9M | 554.2M | 522M | 440.3M | 458.1M | 495.3M | 359.9M | 316.1M | 270.6M |
| Cash & Short-Term Investments | 88.3M | 155.1M | 200.5M | 193.9M | 89.4M | 144.6M | 100.6M | 29.9M | 51.9M | 83.3M | 36.5M | 20.6M | 500K |
| Cash Only | 85.3M | 145M | 168.7M | 152.6M | 89.4M | 144.6M | 100.6M | 29.9M | 51.9M | 83.3M | 36.5M | 20.6M | 500K |
| Short-Term Investments | 3M | 10.1M | 31.8M | 41.3M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Accounts Receivable | 148.9M | 157.4M | 157.7M | 164.3M | 173.3M | 155.3M | 123.8M | 141M | 154M | 163.6M | 122.2M | 117.8M | 128.7M |
| Days Sales Outstanding | 62.85 | 68.02 | 70.97 | 67.13 | 73.6 | 69.29 | 61.2 | 65.93 | 72.68 | 85.54 | 71.93 | 68 | 68.56 |
| Inventory | 346.7M | 299.4M | 264.8M | 277.5M | 303.2M | 224.8M | 271.9M | 250.3M | 235.1M | 234.5M | 197.4M | 174.9M | 139.6M |
| Days Inventory Outstanding | 203.83 | 197.22 | 174.43 | 167.94 | 192.17 | 150.11 | 181.07 | 174.38 | 165.18 | 192.52 | 193.84 | 167.25 | 125.32 |
| Other Current Assets | 41.7M | 29.9M | 26.9M | 22.6M | 2.1M | 0 | 0 | -200K | 17.1M | 0 | 0 | 0 | 0 |
| Total Non-Current Assets | 463.8M | 465.6M | 567.1M | 591.3M | 574.5M | 593.3M | 617.5M | 600.5M | 530.4M | 544.8M | 262.5M | 267.5M | 162.5M |
| Property, Plant & Equipment | 192.4M | 187.2M | 181.7M | 172.6M | 164.5M | 164.5M | 172.9M | 142.3M | 144.9M | 148.3M | 108.9M | 96.2M | 63M |
| Fixed Asset Turnover | 4.60x | 4.51x | 4.46x | 5.18x | 5.22x | 4.97x | 4.27x | 5.49x | 5.34x | 4.71x | 5.69x | 6.57x | 10.88x |
| Goodwill | 197.8M | 198.4M | 291M | 288.5M | 284.5M | 292.2M | 293.1M | 290.8M | 243.6M | 241.9M | 74.7M | 74.7M | 36M |
| Intangible Assets | 13.2M | 14M | 16.1M | 22.4M | 33.6M | 50.7M | 67.5M | 86.3M | 73.8M | 91.3M | 20.7M | 24M | 4.7M |
| Long-Term Investments | 97M | 26.6M | 26.8M | 30.4M | 46.4M | 49.3M | 51.3M | 53.6M | 51M | 52.3M | 49.3M | 58.7M | 49.7M |
| Other Non-Current Assets | 35.1M | 36.5M | 46.8M | 36.1M | 43.2M | 32.6M | 32.2M | 27.5M | -6.1M | -18.5M | 3.4M | 3.4M | 0 |
| Total Assets | 1.09B | 1.11B | 1.22B | 1.25B | 1.18B | 1.15B | 1.14B | 1.04B | 988.5M | 1.04B | 622.4M | 583.6M | 433.1M |
| Asset Turnover | 0.79x | 0.76x | 0.67x | 0.71x | 0.73x | 0.71x | 0.65x | 0.75x | 0.78x | 0.67x | 1.00x | 1.08x | 1.58x |
| Asset Growth % | -60.65% | -9.01% | -2.61% | 5.5% | 3.22% | 0.7% | 9.48% | 5.29% | -4.96% | 67.11% | 6.65% | 34.75% | - |
| Total Current Liabilities | 195.3M | 187.2M | 195.9M | 162.8M | 173.1M | 166.6M | 160.6M | 175.1M | 152.6M | 151.8M | 77.8M | 78.6M | 68.8M |
| Accounts Payable | 96.4M | 69.9M | 59.1M | 64.7M | 78.2M | 58.8M | 72.9M | 58.2M | 66.3M | 58.9M | 41.9M | 49.7M | 41.8M |
| Days Payables Outstanding | 50.59 | 46.04 | 38.93 | 39.16 | 49.56 | 39.26 | 48.55 | 40.55 | 46.58 | 48.35 | 41.14 | 47.53 | 37.52 |
| Short-Term Debt | 23.7M | 6.3M | 46.3M | 5.4M | 2.1M | 2.8M | 2.5M | 30.7M | 25M | 20M | 0 | 0 | 0 |
| Deferred Revenue (Current) | 54.5M | 13M | 7.9M | 17.4M | 14.2M | 9.1M | 8.6M | 10.5M | 13.2M | 10.5M | 12M | 9.3M | 3.9M |
| Other Current Liabilities | 29.3M | 49.3M | 40.5M | 28.6M | 7.9M | 37.3M | 31.7M | 32.9M | 19.1M | 23.2M | 10.3M | 9M | 13.2M |
| Current Ratio | 3.20x | 3.43x | 3.32x | 4.04x | 3.52x | 3.33x | 3.25x | 2.51x | 3.00x | 3.26x | 4.63x | 4.02x | 3.93x |
| Quick Ratio | 1.43x | 1.83x | 1.97x | 2.34x | 1.77x | 1.98x | 1.56x | 1.09x | 1.46x | 1.72x | 2.09x | 1.80x | 1.90x |
| Cash Conversion Cycle | 216.09 | 219.2 | 206.47 | 195.91 | 216.21 | 180.14 | 193.73 | 199.77 | 191.28 | 229.7 | 224.63 | 187.72 | 156.35 |
| Total Non-Current Liabilities | 406M | 433.6M | 471.9M | 505.8M | 464.6M | 484.4M | 513.1M | 405.9M | 396.5M | 498.1M | 8.3M | 9.4M | 5M |
| Long-Term Debt | 329M | 366M | 397.1M | 441.1M | 412.3M | 431.7M | 452.8M | 364.4M | 364.8M | 463.9M | 0 | 0 | 0 |
| Capital Lease Obligations | 106.3M | 29.6M | 23M | 23.3M | 18.1M | 18.7M | 23.1M | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Tax Liabilities | 19.4M | 5.5M | 1.4M | 0 | 500K | 2.2M | 2.3M | 9M | 23.2M | 29.5M | 3M | 3.8M | 0 |
| Other Non-Current Liabilities | 42.9M | 32.5M | 50.4M | 19.7M | 12.3M | 31.8M | 34.9M | 32.5M | 8.5M | 4.7M | 5.3M | 5.6M | 5M |
| Total Liabilities | 601.3M | 620.8M | 667.8M | 668.6M | 637.7M | 651M | 673.7M | 581M | 549.1M | 649.9M | 86.1M | 88M | 73.8M |
| Total Debt | 381M | 401.9M | 470.4M | 469.8M | 436.4M | 459.4M | 484.5M | 395.1M | 389.8M | 483.9M | 0 | 0 | 0 |
| Net Debt | 295.7M | 256.9M | 301.7M | 317.2M | 347M | 314.8M | 383.9M | 365.2M | 337.9M | 400.6M | -36.5M | -20.6M | -500K |
| Debt / Equity | 0.78x | 0.83x | 0.86x | 0.81x | 0.80x | 0.93x | 1.04x | 0.86x | 0.89x | 1.24x | - | - | - |
| Debt / EBITDA | -90.71x | - | 7.44x | 4.26x | 3.58x | 4.12x | 83.53x | 8.34x | 4.50x | 4.36x | - | - | - |
| Net Debt / EBITDA | -70.40x | - | 4.77x | 2.88x | 2.85x | 2.83x | 66.19x | 7.70x | 3.90x | 3.61x | -0.29x | -0.15x | -0.00x |
| Interest Coverage | -0.62x | -0.67x | 1.02x | 2.10x | 1.97x | 1.55x | -1.54x | 2.02x | 2.18x | 7.08x | 57.42x | 106.25x | 195.56x |
| Total Equity | 488.1M | 486.6M | 549.2M | 581M | 546.7M | 496.5M | 465.8M | 459.8M | 439.4M | 390.2M | 536.3M | 495.6M | 359.3M |
| Equity Growth % | -57.41% | -11.4% | -5.47% | 6.27% | 10.11% | 6.59% | 1.3% | 4.64% | 12.61% | -27.24% | 8.21% | 37.93% | - |
| Book Value per Share | 11.65 | 11.75 | 13.46 | 11.55 | 13.14 | 12.32 | 12.01 | 11.91 | 11.44 | 10.27 | 13.97 | 12.91 | 9.36 |
| Total Shareholders' Equity | 474.2M | 472.6M | 535.1M | 567.7M | 533.4M | 483.3M | 451.7M | 446M | 426.2M | 379M | 526M | 484.6M | 359.3M |
| Common Stock | 400K | 400K | 400K | 400K | 400K | 400K | 400K | 400K | 400K | 400K | 526M | 484.7M | 359.3M |
| Retained Earnings | -11.7M | -5.9M | 70.4M | 118.1M | 63.8M | 33.5M | 16.9M | 75.5M | 62.4M | 35.1M | 526M | 0 | 0 |
| Treasury Stock | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Accumulated OCI | -5.6M | -5.2M | -2.9M | -1.2M | 100K | 0 | 800K | -1.7M | 5.8M | 800K | 0 | -100K | 0 |
| Minority Interest | 13.9M | 14M | 14.1M | 13.3M | 13.3M | 13.2M | 14.1M | 13.8M | 13.2M | 11.2M | 10.3M | 11M | 0 |
Geopolitical and competitive margin pressure
According to recent financial filings, Varex's equity base has contracted from $581.2 million in 2024Q3 to $474.2 million by 2026Q2, reflecting a weakening balance sheet trajectory as the company struggles to maintain profitability while navigating a volatile and increasingly competitive global medical imaging component market.
The consistent decline in retained earnings, which shifted from a positive $120.4 million in 2024Q3 to a negative $11.7 million in 2026Q2, suggests that the firm is currently consuming capital rather than generating it. This trend warrants close monitoring, as it indicates that the business model may be facing structural headwinds that are eroding shareholder value over time.
Based on reported figures, Varex maintains a debt-to-equity ratio of 0.78 as of 2026Q2, which, while appearing manageable, must be viewed in the context of the company's recent inability to sustain positive net income, potentially limiting its future financial flexibility and capacity for strategic investment.
While the debt load has been reduced from its 2025 peak of $601.6 million, the persistence of negative net margins suggests that the company's leverage is not currently supported by robust cash flow generation. Investors should consider whether this debt level remains appropriate if the current operating environment continues to pressure the firm's bottom line.
As reported in quarterly statements, Varex's cash position has declined from $205.1 million in 2025Q2 to $85.3 million in 2026Q2, signaling a tightening liquidity buffer that may leave the company with less room to maneuver during periods of unexpected operational volatility or supply chain disruption.
Although the current ratio remains healthy at 3.20, the rapid depletion of cash reserves suggests that the company is burning through its liquid assets to fund operations or debt service. This trend may indicate that the firm's internal cash generation is insufficient to cover its current capital requirements.
Based on SEC filings, the reduction in goodwill from $290.4 million in 2024Q1 to $197.8 million in 2026Q2 suggests that the company has been actively adjusting its asset valuations, which may reflect management's acknowledgment of changing market realities and the potential obsolescence of previously acquired business units.
The significant write-down of intangible assets warrants further investigation, as it may signal that the competitive moat surrounding certain product lines is not as durable as previously assumed. Analysts should monitor whether further impairments are necessary if the company fails to regain its competitive footing in the high-end imaging market.
Quick answers to the most common questions about buying VREX stock.
As of 2025, Varex Imaging Corporation (VREX) had total assets of $1.11B including $641.8M in current assets.
Varex Imaging Corporation (VREX) carries total debt of $401.9M, offset by $155.1M in cash and short-term investments. Comparing total debt to cash helps evaluate the company's debt burden and net leverage.
Varex Imaging Corporation (VREX) has total shareholders' equity (book value) of $472.6M ($11.75 book value per share). Book value represents the net worth of the company belonging to common stock holders.
Varex Imaging Corporation (VREX) reported a current ratio of 3.43x. A current ratio above 1.0x indicates that the company has more current assets than current liabilities, suggesting sufficient short-term liquidity.