Slide 1: Teleflex Incorporated 2010 Financial Outlook
TELEFLEX INCORPORATED 2010 FINANCIAL OUTLOOK Exhibit 99.2
Slide 2: Forward-Looking Statements/Additional Notes
Forward-Looking Statements/Additional Notes This presentation and our discussion contain forward-looking information and statements including, but not limited to, such matters as forecasted 2010 net sales, core revenue growth, operating margins, pension expense, earnings per share excluding special
Slide 3: Conference Call Logistics
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 69522110
Slide 4: Jeff Black, Chairman and Chief Executive Officer
JEFF BLACK Chairman and Chief Executive Officer
Slide 5: Financial Outlook
2010 Financial Outlook Net sales to exceed $1.92 billion Consolidated core revenue growth of 2% to 3% Minimal full year foreign currency tail-wind Overall operating margins of between 16% to 17% for the year Growth of 50 to 100 bps EPS excluding special items of $4.10 to $4.25 Growth of 14% to 18% C
Slide 6: Medical Segment Outlook
2010 Medical Segment Outlook Net sales exceeding $1.5 billion Core revenue growth of 3% to 4% Core sales growth driven by: Continued penetration of infection prevention critical care product lines Growth in anesthesia product offerings New product introductions Increased investment in R&D, clinical
Slide 7: Medical Segment Outlook
2010 Medical Segment Outlook North America EMEA AsLA OEM 646.8 494.6 165.7 149 North America EMEA AsLA OEM 667 515.7 173.4 156.9 Critical Care Surgical Cardiac Care OEM Other 938.9 283.7 70.2 149.3 14.2 Critical Care Surgical Cardiac Care OEM 973.7 298.1 69.9 156.8
Slide 8: Medical Segment Outlook - Core Growth by Product Family
2010 Medical Segment Outlook Product Family Core Growth Core Growth Critical Care 3% to 4% Volume 2% to 3% Surgical 3% to 4% Price Flat Cardiac Care Flat New Product Introductions 2% OEM 3% to 4% CFG Expirations (1%) Total Core Growth 3% to 4% Total Core Growth 3% to 4%
Slide 9: Medical Segment Outlook - Research & Development Trend
2010 Medical Segment Outlook - Research & Development Trend 2007 Actual 2008 Actual 2009 Outlook 2010 Outlook R&D - $ 23.506 42.454 51.955 61.804 R&D - % of Revenue 0.023 0.028 0.036 0.041 Note: excludes $21.5M, ~$4M and ~$2M of FDA remediation expense in '08, '09, '10 respectively
Slide 10: Medical Segment Outlook - New Product Introductions
2010 Medical Segment Outlook - New Product Introductions Not dependent on any one single product or procedure Vitality Index ~10% in 2010; up ~ 200 bps over 2009 ~ 60% of new product introductions to occur from higher margin / more clinical vascular access & anesthesia products Continued focus on pr
Slide 11: Medical Segment Outlook - Clinical Education Training
2010 Medical Segment Outlook - Clinical Education Training Vascular Access Anesthesia Respiratory 146 95 1 Largest increases in vascular access focused around PICC care, vessel health and preservation programs Anesthesia training focused around awareness of regional anesthesia product offerings Resp
Slide 12: Medical Segment Outlook - FDA Update and Outlook Assumptions
2010 Medical Segment Outlook - FDA Update and Outlook Assumptions At the end of 2009, the FDA began their inspections of the former-Arrow facilities covered under the corporate warning letter Company believes it has put in place the necessary remedial measures to address the concerns raised by the c
Slide 13: Aerospace Segment Outlook
2010 Aerospace Segment Outlook Net sales of $185 - $195 million Core revenue growth of 3% to 4% Increase in wide-body cargo loading system shipments to Boeing & Airbus Reduction in narrow-body volume Repair revenues flat versus 2009 Increase in cargo container volume Low double-digit operating margi
Slide 14: Commercial Segment Outlook
2010 Commercial Segment Outlook Net sales of $230 - $240 million Core revenue decline of approximately 3% Increase in Marine volume offset by reduction in shipments of modern burner unit to U.S. Military Rigging services sales flat with 2009 Upper single digit operating margins consistent with 2009
Slide 15: Kevin Gordon, Executive Vice President and Chief Financial Officer
KEVIN GORDON Executive Vice President and Chief Financial Officer
Slide 16: 2010 Outlook Financial Goals
$3.90 to $4.00 $3.90 to $4.00 $4.10 to $4.40 Over $2,400 $280 to $290 6.9% 6.9% 5.7% 5.8% Note: 2008 & 2009 Cash Flow from Continuing Operations exclude tax payments of $90.2M & $97.5M, respectively related to gain on sale of businesses 2010 Outlook Financial Goals
Slide 17: 2010 Outlook Assumptions
Pension & OPEB expense declines ~ $2 million versus 2009 Foreign currency tailwind Euro assumed to be at approximately today's rates Annual effective tax rate: 30% Capex: $50 - $55 million Depreciation expense: ~$60 million Amortization expense: ~$45 million Reduced debt balance & low interest rates
Slide 18: Outlook EPS Reconciliation
2010 Outlook Low High Earnings per share from continuing operations available to common shareholders on a GAAP basis $4.05 $4.20 Add-back special items $0.05 $0.05 Earnings per share from continuing operations before special items $4.10 $4.25 Amortization expense $1.12 $1.12 Earnings per share from
Slide 19: Jeff Black, Chairman and Chief Executive Officer
JEFF BLACK Chairman and Chief Executive Officer
Slide 20: Summary
Summary Medical core revenue growth of 3% to 4% Continued expansion of operating margins EPS excluding special items of $4.10 to $4.25, up 14% to 18% Cash flow from operations of $275 to $280 million, up 20% to 27% Completion of Arrow integration
Slide 21: Question & Answer
QUESTION & ANSWER Teleflex: