Slide 1: Third Quarter 2024 Earnings Conference Call
Teleflex Incorporated Third Quarter 2024 Earnings Conference Call 10/31/2024
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 October 31, 2024 and can be accessed on the Teleflex website or by telephon
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 10/31/2024
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 we will continue to focus on our strategy to drive durable growth and that we will continue to invest in organic and inorganic growth drivers; our forecasted
Slide 5: Executive Overview
Executive Overview Liam Kelly Chairman, President and CEO
Slide 6: Q3 Performance Summary
Q3'24 Highlights Q3 ◦ Q3'24 adjusted constant currency revenue grew 2.2% year- over-year Performance ◦ Q3'24 adjusted gross margin of 60.8% and adjusted operating margin of 27.3% Summary ◦ Q3'24 adjusted EPS of $3.49, a 4.1% decrease year-over-year ◦ Lowering adjusted constant currency revenue growt
Slide 7: Q3'24 Segment Revenue Review
Q3'24 Segment Revenue Review Three Months Ended September 29, 2024 As reported Adjusted Adjusted Constant Reported Dollars in Millions September 29, 2024 October 1, 2023 September 29, 2024 October 1, 2023 Currency Revenue Revenue Growth Growth Americas $433.3 $428.2 1.2% $433.3 $428.2 1.5% EMEA 150.
Slide 8: Q3'24 Global Product Category Revenue Review
Q3'24 Global Product Category Revenue Review Three Months Ended September 29, 2024 As reported Adjusted Adjusted Constant Reported Dollars in Millions September 29, 2024 October 1, 2023 September 29, 2024 October 1, 2023 Currency Revenue Revenue Growth Growth Vascular Access $180.9 $169.9 6.5% $180.
Slide 9: Clinical and Commercial Updates
Clinical and Commercial Updates Expanding Titan SGS™ Stapler Clinical Foundation – In August, Teleflex announced the publication of a retrospective study that compared perioperative outcomes of the Titan SGS™ Stapler with multi-fire surgical staplers at a single site (783 propensity matched 1 patien
Slide 10: Clinical and Commercial Updates
Clinical and Commercial Updates First Patient Enrolled in Teleflex's Barrigel™ Rectal Spacer Trial for Post Radical Prostatectomy Radiation Therapy – The trial will study Barrigel™ rectal spacer in patients undergoing hypofractionated post-prostatectomy radiation regimen across U.S. sites and one si
Slide 11: Financial Overview
Financial Overview Thomas Powell Executive VP and CFO
Slide 12: Q3'24 Financial Review
Q3'24 Financial Review ◦ Revenue increased 2.4% year-over-year on a GAAP basis Global revenue growth ◦ Adjusted revenue increased 2.2% year-over-year on a constant currency basis ◦ GAAP gross margin of 56.3% vs. 55.8% in the prior year period Gross margin ◦ Adjusted gross margin of 60.8%, up 140 bps
Slide 13: 2024 Financial Guidance Summary
2024 Financial Guidance Summary 2024 Guidance Low High GAAP Revenue Growth 2.90% 3.40% Impact of Foreign Exchange Rate Fluctuations (0.15)% (0.15)% Impact of Italian Payback Measure (0.45)% (0.45)% Adjusted Constant Currency Revenue Growth 3.50% 4.00% Adjusted Gross Margin 60.50% 61.00% Adjusted Ope
Slide 14: Key Takeaways
Key Takeaways The solid third quarter 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 third quarter. Our allowed us to i
Slide 15: Thank You!
Thank You! 15 TELEFLEX EARNINGS CONFERENCE CALL 10/31/2024
Slide 16: Appendices
Appendices Empowering the future of healthcare
Slide 17: 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 18: 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 19: 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 20: Appendix A1 - Q3'24 Segment Reconciliation of Net Revenue
Appendix A1 - Q3'24 Segment Reconciliation of Net Revenue (Dollars in millions) Three Months Ended September 29, 2024 September 29, 2024 October 1, 2023 % Increase / (Decrease) Adjusted Reported Adjusted Reported Adjusted Reported Adjustment Constant Adjustment Adjustment Revenue Revenue Revenue Rev
Slide 21: Appendix A2 - 2024 Segment Reconciliation of Net Revenue
Appendix A2 - 2024 Segment Reconciliation of Net Revenue (Dollars in millions) Nine Months Ended September 29, 2024 September 29, 2024 October 1, 2023 % Increase / (Decrease) Adjusted Reported Adjusted Reported Adjusted Reported Adjustment Constant Adjustment Adjustment Revenue Revenue Revenue Reven
Slide 22: Appendix A3 - Q3'24 Global Product Category Reconciliation of Net Revenue
Appendix A3 - Q3'24 Global Product Category Reconciliation of Net Revenue (Dollars in millions) Three Months Ended September 29, 2024 September 29, 2024 October 1, 2023 % Increase / (Decrease) Adjusted Reported Adjusted Reported Adjusted Reported Adjustment Constant Adjustment Adjustment Revenue Rev
Slide 23: Appendix A4 - 2024 Global Product Category Reconciliation of Net Revenue
Appendix A4 - 2024 Global Product Category Reconciliation of Net Revenue (Dollars in millions) Nine Months Ended September 29, 2024 September 29, 2024 October 1, 2023 % Increase / (Decrease) Adjusted Reported Adjusted Reported Adjusted Reported Adjustment Constant Adjustment Adjustment Revenue Reven
Slide 24: 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 September 29, 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 c
Slide 25: 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 October 1, 2023 Selling, general and Research and Diluted earnings Gross administrative development Operating margin Income before Income tax Effective per share fro
Slide 26: 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) Nine Months Ended September 29, 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 co
Slide 27: 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) Nine Months Ended October 1, 2023 Selling, general and Research and Diluted earnings Gross administrative development Operating margin Income before Income tax Effective per share from
Slide 28: Appendix B Tickmarks
A. Restructuring, restructuring related and impairment items – For the three months ended September 29, 2024, pre-tax restructuring charges were $0.3 million and restructuring related charges were $6.5 million. For the three months ended October 1, 2023, pre-tax restructuring charges were $0.2 milli
Slide 29: 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 55.76% 56.26% Estimated restructuring, restructuring related and impairment items 0.60% 0.60% Estimated acquisition, integration and divestiture related items 0.06% 0.06% ERP implementatio
Slide 30: 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 $6.65 $6.95 Estimated restructuring, restructuring related and impairment items, net of tax $0.60 $0.60 Estimated acquisition, integration and dives
Slide 31: 2024 Financial Review - Nine Months Ended September 29, 2024
2024 Financial Review - Nine Months Ended September 29, 2024 ◦ Revenue increased 2.3% year-over-year on a GAAP basis Global revenue growth ◦ Adjusted revenue increased 3.0% year-over-year ◦ Adjusted revenue increased 3.1% year-over-year on a constant currency basis ◦ GAAP gross margin of 56.1% vs. 5