Slide 1: Second Quarter 2012 Earnings Conference Call
1 TELEFLEX INCORPORATED SECOND QUARTER 2012 EARNINGS CONFERENCE CALL Exhibit 99.1
Slide 2: Conference Call Logistics
2 Conference Call Logistics The release, accompanying slides, and replay webcast available online at www.teleflex.com (click on "Investors") Telephone replay available by dialing 888-286-8010 or for international calls, 617- 801-6888, pass code number 46362185
Slide 3: Introductions
3 Introductions Benson Smith Chairman, President and CEO Thomas Powell Senior Vice President and CFO Jake Elguicze Treasurer and Vice President of Investor Relations
Slide 4: Forward-Looking Statements/Additional Notes
4 4 4 4 4 4 4 Forward-Looking Statements/Additional Notes This presentation and our discussion contain forward-looking information and statements including, but not limited to, our expectation that the sale of the orthopedics business of our OEM Segment will close in the third quarter of 2012; antic
Slide 5: Second Quarter 2012 Highlights
5 SECOND QUARTER 2012 HIGHLIGHTS
Slide 6: Financial Highlights
6 Financial Highlights Revenue of $383.3 million, up 4.7% constant currency Gross margin of 48.1%, up 50 bps vs. prior year Adjusted operating margins of 17.0%, up 150 bps vs. prior year Adjusted EPS of $1.23, up 34% vs. prior year
Slide 7: Strategic Development Highlights
7 Strategic Development Highlights Marketplace continues to accept pricing initiatives Up 132 bps versus prior year Up 25 bps sequentially Investment in research and development paying benefits Research & Development spending up 10% versus Q2'11 New product introductions contribute 94 bps to top-lin
Slide 8: Strategic Development Highlights: Four Acquisitions
8 Strategic Development Highlights Four acquisitions closed during the second quarter Semprus Biosciences Hotspur Technologies EFx EZ Blocker Technology acquisitions that position the Company for future growth
Slide 9: Semprus Biosciences
99% platelet reduction 99% platelet reduction 99% platelet reduction Polymer surface modification creating non-leaching, non-cidal bonded surface layer that prevents attachment of blood components while improving lubricity (non-stick surface) Semprus Biosciences 9
Slide 10: Hotspur Technologies
Hotspur Technologies 1QCath GPSCath Balloon Angioplasty Balloon Angioplasty fatiraceuta Wire Embolectomy Balloon Embolectomy Contrast Delivery Contrast Delivery Contrast Delivery FDA Dialvaiacoss Dialysis Access Dialysis Access Approval the Peripheral Angioplasty Peripheral Embolectomy Synthetic or
Slide 11: EFx
11 EFx Acquired family of laparoscopic fascial closure system products 510(k) approved for standard and bariatric length devices More than 750 clinical cases have been performed with the device in the United States Being prepared for CE Mark review Opens new surgical procedure markets to Teleflex
Slide 12: EZ-Blocker
12 EZ-BlockerTM Acquired single-use catheter product line Patented bronchial blocker for lung isolation and one-lung ventilation Unique bifurcated distal end CE Mark approval in Europe 510(k) application submitted to FDA pending clearance Strengthens Anesthesia and Respiratory franchise
Slide 13: Strategic Development Highlights: OEM Orthopedics Divestiture
13 Strategic Development Highlights Definitive agreement reached to divest OEM Orthopedics business for $45.2 million Consistent with strategy to achieve higher revenue growth and expand gross and operating margins Expected to close in third quarter of 2012 Remainder of OEM division will focus on ex
Slide 14: Strategic Development Highlights: Distribution Center Consolidation
14 Strategic Development Highlights Announced the consolidation of three U.S. based distribution centers into one centralized location Reduces operational footprint Expands future gross and operating margins Will lead to improved operating efficiencies and service to customers
Slide 15: Group Purchasing Organization and Integrated Delivery Network Update
15 Group Purchasing Organization and Integrated Delivery Network Update Awarded 7 GPO contracts during the quarter 3 new awards 4 award renewals Awarded 11 IDN contracts during the quarter 5 new awards 6 award renewals
Slide 16: Second Quarter 2012 Financial Review
16 SECOND QUARTER 2012 FINANCIAL REVIEW
Slide 17: Second Quarter - Financial Results
17 Second Quarter - Financial Results Revenue of $383.3 million Up 0.6% as-reported; up 4.7% constant currency Gross margin of 48.1% Up 50 bps vs. prior year Research & development spending up 10% from prior year Adjusted operating margin of 17.0% Up 150 bps vs. prior year Adjusted EPS of $1.23, up
Slide 18: Second Quarter 2012 Product & Geographic Revenue Review
18 SECOND QUARTER 2012 PRODUCT & GEOGRAPHIC REVENUE REVIEW
Slide 19: Product Revenue Review
19 Product Revenue Review Critical Care Surgical Care Cardiac Care OEM 0.66 0.19 0.05 0.1 Q2'12 Q2'11 Constant Currency Revenue Commentary Critical Care Surgical Care Cardiac Care OEM 0.67 0.19 0.06 0.08 Critical Care: $254.1 million, up 4.4% Surgical Care: $72.5 million, up 3.8% Anesthesia - up 7.8
Slide 20: Segment Revenue Review
20 Segment Revenue Review North America EMEA Asia Pacific & Latin America OEM 0.42 0.33 0.15 0.1 Q2'12 Q2'11 Constant Currency Revenue Commentary North America EMEA Asia Pacific & Latin America OEM 0.41 0.36 0.15 0.08 North America: $160.3 million, up 2.7% EMEA: $126.9 million, up 2.3% Asia Pacific
Slide 21: 2012 Outlook
2012 OUTLOOK Teleflex:
Slide 22: 2012 Outlook
22 2012 Outlook Constant currency revenue growth range of 4.0% to 6.0% Pricing growth of 50 to 75 bps New product sales growth of 100 to 150 bps Increased volume of 250 to 375 bps Adjusted earnings per share range of $4.25 to $4.45 Represents growth of between 11% to 16%
Slide 23: Question & Answer
IESTION & ANSWER Teleflex:
Slide 24: Appendices
APPENDICES Teleflex:
Slide 25: Appendix A - Reconciliation of Product Constant Currency Revenue Growth
25 Appendix A - Reconciliation of Product Constant Currency Revenue Growth Dollars in Millions
Slide 26: Appendix B - Reconciliation of Segment Constant Currency Revenue Growth
26 Appendix B - Reconciliation of Segment Constant Currency Revenue Growth Dollars in Millions
Slide 27: Appendix C - Reconciliation of Critical Care Product Constant Currency Revenue Growth
27 Appendix C - Reconciliation of Critical Care Product Constant Currency Revenue Growth Dollars in Millions
Slide 28: Appendix D - Reconciliation of Teleflex Selling, General and Administrative Expenses
28 Appendix D - Reconciliation of Teleflex Selling, General and Administrative Expenses
Slide 29: Appendix E - Reconciliation of Teleflex Operating Expenses
29 Appendix E - Reconciliation of Teleflex Operating Expenses
Slide 30: Appendix F - Second Quarter Income Statement from Continuing Operations
30 Appendix F - Second Quarter Income Statement from Continuing Operations Dollars in millions, except per share
Slide 31: Appendix G - EPS Reconciliation from Continuing Operations
31 Appendix G - EPS Reconciliation from Continuing Operations In 2012, losses and other charges include approximately $0.4 million, net of tax, or $0.01 per share, related to acquisition costs; and ($0.3) million, net of tax, or ($0.01) per share, related to a gain on sale of businesses and assets.
Slide 32: Appendix H - Reconciliation of Product Constant Currency Revenue Growth
32 Appendix H - Reconciliation of Product Constant Currency Revenue Growth Dollars in Millions
Slide 33: Appendix I - Reconciliation of Segment Constant Currency Revenue Growth
33 Appendix I - Reconciliation of Segment Constant Currency Revenue Growth Dollars in Millions
Slide 34: Appendix J - Reconciliation of Critical Care Product Constant Currency Revenue Growth
34 Appendix J - Reconciliation of Critical Care Product Constant Currency Revenue Growth Dollars in Millions
Slide 35: Appendix K - Year-to-Date Income Statement from Continuing Operations
35 Appendix K - Year-to-Date Income Statement from Continuing Operations Dollars in millions, except per share
Slide 36: Appendix L - EPS Reconciliation from Continuing Operations
36 Appendix L - EPS Reconciliation from Continuing Operations In 2012, losses and other charges include approximately $0.4 million, net of tax, or $0.01 per share, related to acquisition costs; and ($0.3) million, net of tax, or ($0.01) per share, related to a gain on sale of businesses and assets.
Slide 37: Appendix M - Reconciliation of 2012 Outlook Earnings per Share Guidance
37 Appendix M - Reconciliation of 2012 Outlook Earnings per Share Guidance Note: In 2012, special items include approximately $7.0 million, net of tax, or $0.17 per share related to the acceleration of an interest rate swap; approximately $0.4 million, net of tax, or $0.01 per share related to acqui