Integra Lifesciences Holdings Corporation · NASDAQ:IART
Integra Lifesciences — Q4 2024 Earnings Presentation
21 slides from Integra Lifesciences's earnings presentation, Feb 25, 2025
Slide 1: Q4 & Full Year 2024 Earnings Presentation
Q4 & Full Year 2024 Earnings Presentation February 25, 2025
Slide 2: Safe Harbor Statement
Safe Harbor Statement This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties and reflect the Company's judgment as of the date of this presentation. All statements, other than statements of
Slide 3: Non-GAAP Financial Measures
Non-GAAP Financial Measures In addition to our GAAP results, we provide certain non-GAAP measures, including organic revenues, adjusted earnings before interest, taxes, depreciation and amortization ("EBITDA"), adjusted EBITDA margin, adjusted net income, adjusted gross profit, adjusted gross margin
Slide 4: Strategic Highlights
Strategic Highlights Advancing Our Portfolio Investing in Operational Excellence • Appointed Mojdeh Poul as President & CEO • Committing significant resources to the enterprise-wide Compliance Master Plan, a comprehensive approach to • Experienced strong demand for our differentiated portfolio of en
Slide 5: 2024 Full Year Financial Results
2024 Full Year Financial Results Revenue & Growth Adj. EPS FY Revenue (in $M) $2.56 (17.4%) vs. 2023 Reported Adj. Gross Margin $1,611 4.5% vs. 2023 $1,6 50.0 64.5% (160bps) vs. 2023 $1,6 00.0 $1,542 $1,5 50.0 $1,5 00.0 Organic Adj. EBITDA Margin (1.3%) vs. 2023 $1,4 50.0 $1,4 00.0 20.0% (400bps) vs
Slide 6: 2024 Q4 Financial Results
2024 Q4 Financial Results Revenue & Growth Adj. EPS Q4 Revenue (in $M) $0.97 +9.0% vs. 2023 $443 Reported Adj. Gross Margin $397 11.5% vs. 2023 65.2% +50bps vs. 2023 Organic Adj. EBITDA Margin 3.5% vs. 2023 23.7% (160bps) vs. 2023 Q4'24 Q4'23 Operating Cash Flow $50.7M and 28.8% FCF Conversion Q4 Re
Slide 7: Codman Specialty Surgical Q4 Revenue
Codman Specialty Surgical Q4 Revenue Revenues Q4’24 Q4 Growth FY Growth Reported $314.7M 15.8% 8.0% Q4 2024 Organic1 $282.7M 4.1% (0.4%) Revenue Composition Q4 2024 Growth and Performance Drivers2 ENT 14% Neurosurgery Instruments ENT3 (excl Acclarent) International Low single-digit 5.1% (0.1%) 4.5%
Slide 8: Tissue Technologies Q4 Revenue
Tissue Technologies Q4 Revenue Revenues Q4’24 Q4 Growth FY Growth Reported $128.0M 2.1% (3.3%) Q4 2024 Organic1 $128.0M 2.1% (3.2%) Revenue Composition Q4 2024 Growth and Performance Drivers1 Private Wound Reconstruction Private Label International Label 21% 8.2% (16.0%) Low double-digit decline • W
Slide 9: Balance Sheet and Cash Flow Performance
Balance Sheet and Cash Flow Performance Operating Cash Flow, Free Cash Flow ($M) & Adj. FCF Conversion (%) Summary Balance Sheet ($M) 9/30/24 12/31/24 FCF Capex 160 .0 Cash and Cash Equivalents $215 $246 $137.4 140 .0 $129.4 Short-Term Investments $62 $27 120 .0 100 .0 Total Debt $1,813 $1,809 90.0
Slide 10: Q1 and FY 2025 Outlook
Q1 and FY 2025 Outlook Q1 2025 Reported Revenue Guidance Bridge ($M) Q1 2025 Organic Growth (at mid-point) • Revenue: $375M-$385M ~8.4% ~(0.6%) $375 - $385 • Reported Growth +1.6% to +4.4% $369 ~(4.8%) • Organic Growth -6.2% to -3.5% • Adj. EPS $0.40 - $0.45 Q1 2024 Organic Growth Acq (Acclarent) FX
Slide 11: Key Guidance Assumptions and Considerations
Key Guidance Assumptions and Considerations Item Full Year Guidance considerations Acclarent • Included in reported revenue for the • FY Revenue Drivers full year • Continued demand for differentiated portfolio • Included in organic growth beginning • Full year of Acclarent in Q2 • Assumes intermitt
Slide 12: Summary
Summary Q4 Financial results and 2025 guidance • Demand for our differentiated portfolio remains strong • Commercial and operational success on the integration of Acclarent • Supply recovery, including reduction in CSS shipping holds and increased Integra skin production, drove Q4 results • Q4 rev
Slide 13: Appendix: Non-GAAP Reconciliations
Appendix Non-GAAP Reconciliations
Slide 14: Fourth Quarter and FY 2024 Financial Results
Fourth Quarter and FY 2024 Financial Results Note: Numbers may not add due to rounding % of Revenues Q4 2024 Q4 2023 Change Q4 YTD 2024 Q4 YTD 2023 Change Total Revenues $442.6 $397.0 11.5% $1,610.5 $1,541.6 4.5% Gross Margin 56.3% 57.0% -80BPS 54.8% 57.4% -260BPS Adj. Gross Margin(1) 65.2% 64.7% +5
Slide 15: Fourth Quarter and FY 2024 Organic Growth Reconciliation
Fourth Quarter and FY 2024 Organic Growth Reconciliation Note: Numbers may not add due to rounding (In millions) Q4 2024 Q4 2023 Q4 YTD 2024 Q4 YTD 2023 Neurosurgery $220.1 $210.2 $803.8 $818.1 Instruments $51.0 $51.1 $204.2 $203.6 ENT $43.5 $10.3 $135.6 $37.3 Total Codman Specialty Surgical $314.7
Slide 16: Fourth Quarter and FY 2024 Adjusted EBITDA Margin Reconciliation
Fourth Quarter and FY 2024 Adjusted EBITDA Margin Reconciliation Note: Numbers may not add due to rounding (In millions) Q4 2024 Q4 2023 Q4 YTD 2024 Q4 YTD 2023 GAAP Net Income $19.4 $19.8 ($6.9) $67.7 Depreciation 10.9 9.8 41.4 39.7 Intangible asset amortization 26.6 20.7 105.3 82.8 Other (income),
Slide 17: Fourth Quarter and FY 2024 Adjusted EPS Reconciliation
Fourth Quarter and FY 2024 Adjusted EPS Reconciliation Note: Numbers may not add due to rounding (In millions) Q4 2024 Q4 2023 Q4 YTD 2024 Q4 YTD 2023 GAAP Net Income $19.4 $19.8 ($6.9) $67.7 Acquisition, divestiture and integration-related charges (1) 2.3 7.1 33.6 25.2 Structural optimization charg
Slide 18: Fourth Quarter and FY 2024 Adjusted Free Cash Flow Reconciliation
Fourth Quarter and FY 2024 Adjusted Free Cash Flow Reconciliation (In millions) Q4 2024 Q4 2023 TTM 2024 TTM 2023 Net Cash from Operating Activities $50.7 $58.7 $129.4 $140.0 Purchases of Property and Equipment ($29.6) ($24.6) ($104.4) ($67.0) Free Cash Flow $21.1 $34.2 $25.0 $73.0 Adjusted Net Inco
Slide 19: Fourth Quarter and FY 2024 Adjusted Gross Margin Reconciliation
Fourth Quarter and FY 2024 Adjusted Gross Margin Reconciliation Note: Numbers may not add due to rounding (In millions) Q4 2024 Q4 2023 Q4 YTD 2024 Q4 YTD 2023 Reported Gross Profit $249.1 $226.5 $882.1 $884.7 Structural optimization charges 4.2 3.1 16.2 8.2 Acquisition, divestiture and integration-
Slide 20: Fourth Quarter and FY 2024 Adjusted SG&A Reconciliation
Fourth Quarter and FY 2024 Adjusted SG&A Reconciliation Note: Numbers may not add due to rounding (In millions) Q4 2024 Q4 2023 FY 2024 FY 2023 Reported SG&A $178.5 $163.1 $717.0 $656.6 Structural optimization charges 4.3 3.2 7.4 7.9 Acquisition, divestiture and integration-related charges (1) 0.3 8
Slide 21: Fourth Quarter 2024 Net Debt Reconciliation
Fourth Quarter 2024 Net Debt Reconciliation Capitalization ($ in millions) 12/31/2024 12/31/2023 Short-term borrowings under senior credit facility 33.9 14.5 Long-term borrowings under senior credit facility 1,087.9 825.6 Borrowings under securitization facility 108.1 89.2 Convertible securities 573
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