Slide 1: Teleflex Incorporated Second Quarter 2024 Earnings Conference Call
Teleflex Incorporated Second Quarter 2024 Earnings Conference Call 8/1/2024
Slide 2: Conference Call Logistics
Conference Call Logistics The release, accompanying slides, and replay webcast are available online at www.teleflex.com (click on Investors) An audio replay of the call will be available beginning at 11:00 am Eastern Time on August 1, 2024 either on the Teleflex website or by telephone. The call can
Slide 3: Today's Speakers
Today’s Speakers Liam Kelly Thomas Powell Lawrence Keusch Chairman, Executive VP VP, Investor President and CEO and CFO Relations and Strategy Development TELEFLEX EARNINGS CONFERENCE CALL 8/1/2024
Slide 4: Note on Forward-Looking Statements and Non-GAAP Financial Measures
Note on Forward-Looking Statements This presentation contains forward-looking statements, including, but not limited to our expectation that our Ringer™ Balloon Perfusion Catheter will enter a limited market release phase in August 2024; our forecasted 2024: GAAP, adjusted revenue and adjusted const
Slide 5: Executive Overview
Executive Overview Liam Kelly Chairman, President and CEO
Slide 6: Q2 Performance Summary
Q2'24 Highlights Q2 ◦ Q2'24 adjusted constant currency revenue grew 3.4% year- over-year Performance ◦ Q2'24 adjusted gross margin of 60.8% and adjusted operating margin of 26.7% Summary ◦ Q2'24 adjusted EPS of $3.42, a 0.3% increase year-over-year ◦ Increased adjusted constant currency revenue grow
Slide 7: Q2'24 Segment Revenue Review
Q2'24 Segment Revenue Review Three Months Ended June 30, 2024 As reported Adjusted Adjusted Constant Reported Dollars in Millions June 30, 2024 July 2, 2023 June 30, 2024 July 2, 2023 Currency Revenue Revenue Growth Growth Americas $426.8 $424.7 0.5% $426.8 $424.7 0.6% EMEA 147.1 147.8 (0.5)% 160.9
Slide 8: Q2'24 Global Product Category Revenue Review
Q2'24 Global Product Category Revenue Review Three Months Ended June 30, 2024 As reported Adjusted Adjusted Constant Reported Dollars in Millions June 30, 2024 July 2, 2023 June 30, 2024 July 2, 2023 Currency Revenue Revenue Growth Growth Vascular Access $181.1 $173.8 4.2% $181.1 $173.8 4.8% Interve
Slide 9: Clinical and Commercial Updates
Clinical and Commercial Updates Expanding Interventional Portfolio – Announced FDA 510(k) clearance of the Ringer™ Perfusion Balloon Catheter (PBC), the only commercially available Percutaneous Transluminal Coronary 1 Angioplasty (PTCA) perfusion balloon catheter. – The Ringer™ PBC is indicated for
Slide 10: Financial Overview
Financial Overview Thomas Powell Executive VP and CFO
Slide 11: Q2'24 Financial Review
Q2'24 Financial Review ◦ Revenue increased 0.9% year-over-year on a GAAP basis ◦ Adjusted revenue increased 2.7% year-over-year Global revenue growth ◦ Adjusted revenue increased 3.4% year-over-year on a constant currency basis ◦ GAAP gross margin of 55.6% vs. 54.9% in the prior year period Gross ma
Slide 12: 2024 Financial Guidance Summary
2024 Financial Guidance Summary 2024 Guidance Low High GAAP Revenue Growth 3.40% 4.40% Impact of Foreign Exchange Rate Fluctuations (0.40)% (0.40)% Impact of Italian Payback Measure (0.45)% (0.45)% Adjusted Constant Currency Revenue Growth 4.25% 5.25% Adjusted Gross Margin 60.25% 61.00% Adjusted Ope
Slide 13: Key Takeaways
Key Takeaways The solid first half We will continue to focus Our diversified portfolio results and IABP on our strategy to drive and global footprint drove opportunity in the durable growth. We will durable growth in the fourth quarter have continue to invest in second quarter. Our allowed us to inc
Slide 14: Thank You!
Thank You! 14 TELEFLEX EARNINGS CONFERENCE CALL 8/1/2024
Slide 15: Appendices
Appendices Empowering the future of healthcare
Slide 16: Non-GAAP Financial Measures
Non-GAAP Financial Measures The presentation to which these appendices are attached and the following appendices include, among other things, tables reconciling the following applicable non-GAAP financial measures to the most comparable GAAP financial measure: Adjusted revenue. This non-GAAP measure
Slide 17: Non-GAAP Adjustments
Non-GAAP Adjustments The following is an explanation of certain of the adjustments that are applied with respect to one or more of the non-GAAP financial measures that appear in the presentation to which these appendices are attached: Restructuring, restructuring related and impairment items - Restr
Slide 18: Non-GAAP Adjustments
Non-GAAP Adjustments European medical device regulation - The European Union (“EU”) has adopted the EU Medical Device Regulation (“MDR”), which replaces the existing Medical Devices Directive (“MDD”) and imposes more stringent requirements for the marketing and sale of medical devices in the EU, inc
Slide 19: Appendix A1 - Q2'24 Segment Reconciliation of Net Revenue
Appendix A1 - Q2'24 Segment Reconciliation of Net Revenue (Dollars in millions) Three Months Ended June 30, 2024 June 30, 2024 July 2, 2023 % Increase / (Decrease) Adjusted Reported Adjusted Reported Adjusted Reported Adjustment Constant Adjustment Adjustment Revenue Revenue Revenue Revenue Revenue
Slide 20: Appendix A2 - 2024 Segment Reconciliation of Net Revenue
Appendix A2 - 2024 Segment Reconciliation of Net Revenue (Dollars in millions) Six Months Ended June 30, 2024 June 30, 2024 July 2, 2023 % Increase / (Decrease) Adjusted Reported Adjusted Reported Adjusted Reported Adjustment Constant Adjustment Adjustment Revenue Revenue Revenue Revenue Revenue Gro
Slide 21: Appendix A3 - Q2'24 Global Product Category Reconciliation of Net Revenue
Appendix A3 - Q2'24 Global Product Category Reconciliation of Net Revenue (Dollars in millions) Three Months Ended June 30, 2024 June 30, 2024 July 2, 2023 % Increase / (Decrease) Adjusted Reported Adjusted Reported Adjusted Reported Adjustment Constant Adjustment Adjustment Revenue Revenue Revenue
Slide 22: Appendix A4 - 2024 Global Product Category Reconciliation of Net Revenue
Appendix A4 - 2024 Global Product Category Reconciliation of Net Revenue (Dollars in millions) Six Months Ended June 30, 2024 June 30, 2024 July 2, 2023 % Increase / (Decrease) Adjusted Reported Adjusted Reported Adjusted Reported Adjustment Constant Adjustment Adjustment Revenue Revenue Revenue Rev
Slide 23: Appendix B1 – Reconciliation of Consolidated Statement of Income Items
Appendix B1 – Reconciliation of Consolidated Statement of Income Items (Dollars in millions, except per share data) Three Months Ended June 30, 2024 Operating Income Income tax Effective Diluted earnings per share Revenue Gross margin SG&A (1) R&D (1) margin (2) before expense income tax from contin
Slide 24: Appendix B2 – Reconciliation of Consolidated Statement of Income Items
Appendix B2 – Reconciliation of Consolidated Statement of Income Items (Dollars in millions, except per share data) Three Months Ended July 2, 2023 Selling, general and Research and Diluted earnings Gross administrative development Operating margin Income before Income tax Effective per share from m
Slide 25: Appendix B3 – Reconciliation of Consolidated Statement of Income Items
Appendix B3 – Reconciliation of Consolidated Statement of Income Items (Dollars in millions, except per share data) Six Months Ended June 30, 2024 Operating Income Income tax Effective Diluted earnings per share Revenue Gross margin SG&A (1) R&D (1) margin (2) before expense income tax from continui
Slide 26: Appendix B4 – Reconciliation of Consolidated Statement of Income Items
Appendix B4 – Reconciliation of Consolidated Statement of Income Items (Dollars in millions, except per share data) Six Months Ended July 2, 2023 Selling, general and Research and Diluted earnings Gross administrative development Operating margin Income before Income tax Effective per share from mar
Slide 27: Appendix B Tickmarks
A. Restructuring, restructuring related and impairment items – For the three months ended June 30, 2024, pre-tax restructuring charges were $7.9 million and restructuring related charges were $4.4 million. For the three months ended July 2, 2023, pre-tax restructuring charges were $1.5 million and r
Slide 28: Appendix C - 2024 Adj. Gross and Operating Margin Guidance Reconciliation
Appendix C - 2024 Adj. Gross and Operating Margin Guidance Reconciliation Low High Forecasted GAAP Gross Margin 55.51% 56.26% Estimated restructuring, restructuring related and impairment items 0.58% 0.58% Estimated acquisition, integration and divestiture related items 0.06% 0.06% ERP implementatio
Slide 29: Appendix D - Reconciliation of 2024 Adjusted Earnings Per Share Guidance
Appendix D - Reconciliation of 2024 Adjusted Earnings Per Share Guidance Low High Forecasted GAAP Diluted Earnings Per Share from continuing operations $6.43 $6.83 Estimated restructuring, restructuring related and impairment items, net of tax $0.59 $0.59 Estimated acquisition, integration and dives
Slide 30: 2024 Financial Review - Six Months Ended June 30, 2024
2024 Financial Review - Six Months Ended June 30, 2024 ◦ Revenue increased 2.3% year-over-year on a GAAP basis Global revenue growth ◦ Adjusted revenue increased 3.2% year-over-year ◦ Adjusted revenue increased 3.6% year-over-year on a constant currency basis ◦ GAAP gross margin of 56.0% vs. 55.0% i