Thu, May 1, 3:51 PM (10 days ago)
**Teleflex Incorporated (TFX) Q1 2025 Financial Summary** **Financial Health and Performance:** - **Revenue:** $700.7 million, down 5.0% YoY due to decreased sales volumes and unfavorable foreign exchange rates. - **Gross Profit:** $389.4 million, with a margin of 55.6%, down 80 basis points YoY due to cost inflation and unfavorable product mix. - **Operating Income:** $125.5 million, up from a loss of $4.8 million YoY, driven by lower SG&A expenses and no pension settlement charge. - **Net Income:** $95.0 million, up from $15.3 million YoY, with EPS of $2.08. - **Cash Flow from Operations:** $73.3 million, down $39.5 million YoY due to unfavorable operating results and working capital changes. **Segment Performance:** - **Americas:** Revenue down 3.7% YoY, operating profit down 1.8% YoY. - **EMEA:** Revenue down 5.3% YoY, operating profit down 6.7% YoY. - **Asia:** Revenue down 12.4% YoY, operating profit down 27.4% YoY. **Key Trends and Uncertainties:** - **Acquisitions:** Planned acquisition of BIOTRONIK's Vascular Intervention business for €760 million, expected to close in Q3 2025. - **Restructuring:** Ongoing restructuring initiatives to optimize operations and reduce costs. - **Tariffs:** Potential material impact on gross margins and cash flows due to recently enacted U.S. tariffs. - **Foreign Exchange:** Non-designated foreign currency forward contracts designed to hedge against the cash consideration for the VI Business acquisition. **Future Operations Impact:** - **Separation:** Planned separation of Urology, Acute Care, and OEM businesses into a new public company, expected to complete in mid-2026. - **Cash Flow:** Expects to fund operating requirements, capital expenditures, debt obligations, and separation costs with cash flow from operations, available cash, and borrowings. - **Share Repurchase:** Completed an accelerated share repurchase agreement for $300 million of common stock. **Management's Outlook:** - Focused on achieving consistent, sustainable, and profitable growth. - Evaluating portfolio of products and businesses for alignment with overall objectives. - Monitoring global economic factors, trade policies, and public health issues.