Integer Holdings Corporation · NYSE:ITGR
Integer — 2018 Barclays Global Healthcare Conference
19 slides from Integer's conference presentation, Mar 14, 2018
Slide 1: 2018 Barclays Global Healthcare Conference
2018 Barclays Global Healthcare Conference Integer Holdings Corporation March 14, 2018
Slide 2: Presentation of Financial Information & Forward-Looking Statements
Presentation of Financial Information & Forward-Looking Statements Historical financial and operating data in this presentation reflect the consolidated results of Integer for the periods indicated. This presentation includes financial information prepared in accordance with accounting principles ge
Slide 3: Our Vision
@ integer’ Our Vision To enhance the lives of patients worldwide by being our customers’ partner of choice for innovative medical technologies and services.
Slide 4: What We Do
What We Do World’s Leading Medical Device Outsource (MDO) Manufacturer 10,000+ associates ~$1.5bn in revenue, 2x Larger than closest competitor Products sold in 100+ countries 25 Manufacturing locations More than 1,250 patents 4 ITGR: Barclays Global Healthcare Conference / Mar 14, 2018
Slide 5: Product Lines
io) Integer” Product Lines Cardiac Rhythm Management & Neuromodulation Z Cardio & Vascular a —— @\ t “7 tlh a S :
Slide 6: $1.5B Revenue by Markets Served
$1.5B Revenue by Markets Served 2017 Sales by Product Line Tachycardia Cardiovascular / Structural Heart SCS / Neurostimulation Cardiac & Peripheral Vascular Neuromodulation Bradycardia Cardio & Neurovascular 29% Vascular 37% Urology $1,462M Oncology 4% Electrophysiology 30% Vascular Access Environm
Slide 7: Positioned to Accelerate Growth
Positioned to Accelerate Growth STRATEGY TO MANAGEMENT TEAM ACCELERATE GROWTH IN PLACE CLEAR OBJECTIVES • Portfolio Management • Appointed since 2Q17 • Sales Growth Above • CEO, CFO, CHRO, Market • Operational Strategy President C&V • Six Strategic • Profit Growth at least Imperatives • Aligned to E
Slide 8: Focused Strategy to Drive Long-Term Growth
Focused Strategy to Drive Long-Term Growth Portfolio Strategy Operational Strategy Strategic Imperatives Invest to Grow Cardio & Vascular Customers “earn business Neuromodulation daily” Electrochem Protect & Preserve • Sales Force Excellence • Market Focused Innovation Cardiac Rhythm Management Cost
Slide 9: Organization Aligned to Drive Strategic Imperatives
Organization Aligned to Drive Strategic Imperatives Organization Updates Strategic Imperatives • 2018 Focus ◦ Improve AS&O profitability Jeremy Friedman ◦ Customer strategic imperatives COO • Anticipated retirement YE18 Jeremy Friedman COO • Strong commercial and general Manufacturing Customers Exce
Slide 10: 2017 Turnaround and Strategic Imperatives Position Integer for Accelerated Growth
2017 Turnaround and Strategic Imperatives Position Integer for Accelerated Growth ($ in millions, except per share amounts) Sales Adjusted EBITDA Adjusted EPS YOY Growth 2% 7%-10% YOY Growth 5% 12%-23% 5% 2% - 5% $305 - $315 $3.15 - $3.45 $286 $280 $2.81 $2.68 (4)% 2016 2017 2018 2016 2017 2018 2016
Slide 11: Deleveraging Through Improving Free Cash Flow
Deleveraging Through Improving Free Cash Flow ($ in millions) Cash Flow From Ops Free Cash Flow (1) Debt Payments Leverage (3) $149 $150+ $129 $103 $100+ 6.1x 5.6x $100+ $106 $98 $47 $44 $15 $29 $31 $30 2016 2017 2018 2016 2017 2018 2016 (2) 2017 2018 2016 2017 2018 Outlook Outlook Outlook Outlook A
Slide 12: Improved Performance, Well-Positioned to Accelerate Growth
Improved Performance, Well-Positioned to Accelerate Growth Strategy to Accelerate Growth Clear Objectives • Sales Growth Above Market Management Team in Place • Profit Growth at least 2x Sales Growth • Earn a Valuation Premium Steady Deleveraging 12 ITGR: Barclays Global Healthcare Conference / Mar
Slide 13: Question & Answer Period
Question & Answer Period 13
Slide 14: Appendix
APPENDIX 14
Slide 15: Non-GAAP Reconciliation
Non-GAAP Reconciliation Net Income and Diluted EPS Reconciliation ($ in thousands, except per share amounts) Year Ended December 29, 2017 December 30, 2016 Per Per Net Diluted Net Diluted Pre-Tax Income Share Pre-Tax Income Share As reported (GAAP) $ 21,827 $ 66,679 $ 2.09 $ 1,185 $ 5,961 $ 0.19 Adj
Slide 16: Non-GAAP Reconciliations
Non-GAAP Reconciliations Footnotes to “Net Income and Diluted EPS Reconciliation” (a) The difference between pre-tax and net income amounts is the estimated tax impact related to the respective adjustment. Net income amounts are computed using a 35% U.S. tax rate, and the statutory tax rates in Mexi
Slide 17: Non-GAAP Reconciliations
Non-GAAP Reconciliations EBITDA and Adjusted EBITDA Reconciliation ($ in thousands) Three Months Ended Year Ended December 29, December 30, December 29, December 30, 2017 2016 2017 2016 Net Income (GAAP) $ 54,338 $ 7,933 $ 66,679 $ 5,961 Interest expense 25,435 27,875 106,460 111,270 Benefit for inc
Slide 18: 2018 Full-Year Outlook
2018 Full-Year Outlook ($ in millions, except per share amounts) Except as described below, further reconciliations by line 2018 Outlook GAAP Non-GAAP item to the closest corresponding GAAP financial measure for Adjusted Net Income, Adjusted Earnings As Reported Growth Adjusted Growth per Diluted Sh
Slide 19: Contact Information
Contact Information Amy Wakeham VP, Investor Relations Integer ir@integer.net (O) 214.618.4978 (M) 214.430.7208 www.integer.net
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