Integer Holdings Corporation · NYSE:ITGR
Integer — Greatbatch — 2014 and first three quarters of 2015 Earnings Presentation
25 slides from Integer's earnings presentation, Jan 11, 2016
Slide 1: Historical Pro Forma Information
INTEGER Historical Pro Forma Information 2014 Total Year First Three Quarters of 2015 808 Greatbatch 9 Lake Region ELECTROCHEM
Slide 2: Non-GAAP Financial Measures
INTEGER Non-GAAP Financial Measures The Company uses non-GAAP financial measures, including the measures provided in this presentation, to descri operating results as well as the pro forma effect of the recent merger. Our management team believes that the presentation of these measures provides usef
Slide 3: Assumptions
INTEGER Assumptions * The followi f It th tbatch iti Lake seus Medical he k f Fiscal Year 2014. . timated the imp d iation, amortization, interest and taxes to oe preliminar ice allocation, which is subj hange, and could rar material from the final I i Il 0 for de the results of Qi p(N whe is Hes to
Slide 4: Assumptions (cont'd)
INTEGER Assumptions (con’ 4 * Pro forma i 1 1 for 1 a million in year one and up t fter three years. -P as computed using a 5.7% weighted interest rate. ° Th pl fi ial agr h K, 0 forma fi | filed by the Company in connection with th fal Ri n the spin- off. of Nuvectra or the results of Lake Region M
Slide 5: Product Mapping: Prior vs New View
INTEGER Product Mapping: Prior vs New View Greatbatch Medical Lake Region Medical New Greatbatch, Inc. Avent ‘Advanced Surgical haces _ Vascular Cardio and Vascular Cardio and Vascular Cardiac/Neuromodulation Cardiac/Neuromodulation Elimination of Intersegment Sales Energy, Military, Environmental E
Slide 6: Greatbatch Medical Revenue-Recast
INTEGER Greatbatch Medical Revenue-Recast* Segment FY 2014 Qu 2015 Qa2015 13 2015 ‘Advanced Surgical, Orthopaedies, and Portable Medical $490.58 $105.73. $108,830 $98,763 Cardio and Vaseular 138,084 144,710 146,853 Cardiae/Neuromodulation 98,86 109157 93849 em 175710 16,545 119; (2,566) (2.325) (3,0
Slide 7: Income Statement
INTEGER Pro Forma Income Statement Summary by Period YrD2014 __Q12015 22018 _Q3 2015 Sales 8 168918 $ 357,867 $376,917 § 348,420 Cost ofsales 1,090,380 289.660 __270.470__250.073, Gross profit 368 106, rent expenses: Selling, general and administrative expenses 1365744510 46,70 Research, development
Slide 8: EBITDA, As Adjusted
INTEGER Combined EBITDA, As Adjusted Summary by Period YTD 2014 Q12015 Q2 2015 Q3 2015 ‘Net income ag Ss (22,062) $ 4549S 8725 S$ (4,643) Interest expe 4 25853 26387 31,506 rai nee 348) 356 a3) (1240) Depreciation and anontization : 25619 25624 ‘m0 ‘Reported EBITDA 148,163 $7,377 60,423, 50,593 ilng
Slide 9: EPS, As Adjusted
INTEGER Combined EPS, As Adjusted Summary by Period ‘12015 252015 Combined Net Per | CombinedNet_ Per | CombinedNet Per Income Share | Income Share | _ Income __Share ‘Net income (loss) as reported S459 8 015 85S 028|S 4613) $ C15 Adjustments: Inventory stepup amortization (COS) 19977 064 z 5 1626 0
Slide 10: Revenue FY 2014
INTEGER Pro Forma Revenue* FY 2014 Nuveetra Combined Greatbatch, Lake Region _ Reclassification Revenue ProForma Pro Forma Product Line Recast Medical, Recast. Adjustment Divested Adjustments _ Revenue Advanced Surgical, Orthopaedies, and Portable Medical $216,339 $223,219 $- $- $- $430,558 Cardio a
Slide 11: Revenue Q1 2015
INTEGER Pro Forma Revenue* Qi 2015 Nuvectra Combined Greatbatch, _ Lake Region _ Reclassification Revenue ProForma Pro Forma Product Line Recast Medical, Recast Adjustment ——_‘Divested Adjustments Revenue ‘Advanced Surgical, Orthopaedies, and Portable Mestical $52,638 8 533195 8 - 8 - 8 - 8 105,773
Slide 12: Revenue Q2 2015
INTEGER Pro Forma Revenue* Q2 2015 Nuveetra Combined Greatbatch, LakeRegion _ Reclassification Revenue ProForma Pro Forma Product Line Recast Medical, Recast Adjustment Divested Adjustments _ Revenue ced Surgical, Onthopaedies and Portable Medical $53,181 $55,649 s- = $108,830 Cardio and Vascular 12
Slide 13: Revenue Q3 2015
INTEGER Pro Forma Revenue* Q3 2015 Combined Greatbatch, _LakeRegion Reclassification Nuveetra Revenue ProForma Pro Forma Product Line Recast. Medical, Recast Adjustment Divested Adjustments Revenue Advanced Surgical, Orthopaedies, and. Portable Medical 844,976 $53,787 s- $= $98,763 Cartio and Vascul
Slide 14: Income Statement FY 2014
INTEGER Pro Forma Income Statement FY 2014 th wan ry 7a wa fs rey as st ay ince 3) cE Fang s09 CC OT ang ope har: tase : oa sa 2 eas) : [mn stp 03 Greatbatch é = Great! 9 Lake Region EL=CTROG! 7
Slide 15: Income Statement Q1 2015
INTEGER Pro Forma Income Statement Died Weieted average shares outstanding ‘sie Q1 2015 ‘doted new mm Proform Historical Reclassfeions ()_Aagustments@)—_Agustnens @) 50 ame s iis) 199.165 036 ss 33 Bu 1366 st eo a as) 550 1 218) 50 nasis 2a : 7 i390 Gos 1381 18 358 fea i) 128 on, ngs 089 Bs 1366 08
Slide 16: Income Statement Q2 2015
INTEGER Pro Forma Income Statement Medical Greatbatch &B Lake Region EL=CTROG!
Slide 17: Income Statement Q3 2015
INTEGER Pro Forma Income Statement Medical Greatbatch &B Lake Region EL=CTROG!
Slide 18: EBITDA, As Adjusted FY 2014
INTEGER Combined EBITDA, As Adjusted FY 2014 Lake Region Forma ‘Combined Pro Greathateh, Ine, Medical (1) Adimtnent Nuvectra Forma ‘Net income (loss) $s 5.458 S (46330) $45,129) S 13939 $22,062) Inrest opens 4252 63.096 40.676 : og.024 ovision for: 21121 @a882) 3.192) 7505 3.418) Doprecaion and sen
Slide 19: EBITDA, As Adjusted Q1 2015
INTEGER Combined EBITDA, As Adjusted Q1 2015 Lake Region Pro Forma Combined Pro Greatbateh, Inc. Medical on Adjustment Nuveetra Forma Net income (loss) s 8008S. Ss (10.081) 3,583 4 Interest expense 1120 rem 11012 26,853 Provision for income taxes 1312 1,869 (6255) 1930 356 Depreciation and amortizat
Slide 20: EBITDA, As Adjusted Q2 2015
INTEGER Combined EBITDA, As Adjusted Q2 2015 Jake Region Pro Forma Combined Pro Greathatch, Inc. ‘Medal o- Adjustment Nuseetra Forma Net soon uy 9283S $ (10,000) $ 4016 8725 Interest expens. 1,206 136 10,638 26,787 Provision for in 2,652 26) (6201) 2162 (713) Depron a sortaton 9,016 12,190 4,563 (14
Slide 21: EBITDA, As Adjusted Q3 2015
INTEGER Combined EBITDA, As Adjusted Q3 2015 Lake Region Pro Forma Combined Pro Greatbateh, Ine. Medical (1) Adjustment Nuveetra Forma Net income (loss) 2s Ts § 0.991) $ 452 $ (4643) Interest expense 5,825, 14914 10,767 - 31,506 Provision for income tae (16) 1,518 ) 2,462 (1.240) ciation Ene amortiz
Slide 22: EPS, As Adjusted FY 2014
INTEGER Combined EPS, As Adjusted FY 2014 Lake Region Pro Forma Combined Net Greatbatch, Inc. _Medical_ Adjustment __Nuvectra___—_Ineome _Per Share Net income as reported 8 55.458 S (46330) $ (45,129) $13.99 S 22062) SO) Adjustments: ats aeienneonao (Cos) 195 428 15548 E 19977 O64 iat ion 1,626 - -
Slide 23: EPS, As Adjusted Q1 2015
INTEGER Combined EPS, As Adjusted Q1 2015 Lake Region — Pro Forma ‘Combined Net Greathatch, Inc. Medical Adjustment — Nuvectra Income Per Share ‘Net income as reported $ 8008 $ 3,039 $ (10,081) $ 3,583 $ 4549 $ O15 Adjustments: PPrelated tiga 4 = : oor Amortization oh = gibles 23 3,844 2,001 a & 0.2
Slide 24: EPS, As Adjusted Q2 2015
INTEGER Combined EPS, As Adjusted Q2 2015 Lake Region Combined Net Greathateh,Ine Medical Aine Nuvectra Income __Per Share Net income as reported $ 9283S 5426 S$ (10,000) $4016 § 5 $028 Adjustments: IP rehted litigation 948 : : : ous 0.03 Amortization of intangibles 2359 3,641 2204 80M 0.26 (Consola
Slide 25: EPS, As Adjusted Q3 2015
INTEGER Combined EPS, As Adjusted Q3 2015 Lake Region Pro Forma Combined Net Greathateh, Inc. Medical Adjustment Nuveetra Income _Per Share Net income as reported $ Ds TA S O91) $ 4572 $ — 46B) $0.15) relat i tigation BB : 733002 Amortization of intangibles 2m 3,688 2.156 8115 0.26 Consolidation and
Greatbatch — 2014 and first three quarters of 2015 Earnings Presentation on 6ix