Teleflex(US:TFX)2025-11-06 12:00Financial Performance - GAAP revenue for Q3 2025 was $913.0 million, representing a 19.4% increase compared to the prior year period[6] - Adjusted revenue for Q3 2025 was $892.9 million, up 16.8% year-over-year, and up 15.3% on an adjusted constant currency basis[6] - Consolidated adjusted revenue for the three months ended September 28, 2025, was $892.9 million, a 19.4% increase from $764.4 million in the prior year[49] - Consolidated revenue for the three months ended September 28, 2025, was $913.0 million, representing a 19.4% increase compared to $764.4 million in the same period last year[50] - For the nine months ended September 28, 2025, consolidated revenue was $2,394.6 million, a 6.3% increase from $2,251.9 million in the prior year[53][54] - The company reported a 6.3% increase in consolidated revenue for the nine months ended September 28, 2025, totaling $2,374.5 million[49] Earnings and Margins - Adjusted diluted EPS from continuing operations for Q3 2025 was $3.67, compared to $3.49 in the prior year period[6] - Adjusted gross margin improved to 57.3% for the three months ended September 28, 2025, compared to 60.8% in the same period last year[51][52] - The adjusted operating margin for the nine months ended September 28, 2025, was 24.9%, compared to 26.9% in the same period last year[53][54] - The effective income tax rate for the three months ended September 28, 2025, was 6.8%[51] Guidance and Projections - The company narrowed its full year 2025 GAAP revenue growth guidance to a range of 9.10% to 9.60%[6] - The company lowered its full year 2025 adjusted constant currency revenue growth guidance to 6.90% to 7.40%[6] Impairments and Charges - A non-cash goodwill impairment charge of $403.9 million was recognized for the Interventional Urology North America reporting unit due to market deterioration[20] - A non-cash impairment charge of $100 million was recognized for the Titan SGS asset group, driven by lower than expected sales growth[21] - The company recognized a goodwill impairment charge of $403,925 during the nine months ended September 28, 2025[70] - The company incurred restructuring charges of $117.6 million for the three months ended September 28, 2025, compared to $0.3 million in the same period of 2024[66] Segment Performance - EMEA segment reported revenue increased by 55.9% to $234.2 million, with an adjusted revenue of $214.1 million after a $20.1 million adjustment[49] - Americas segment revenue for the nine months ended September 28, 2025, was $1,557.3 million, reflecting a 2.1% increase from $1,525.5 million in the prior year[49] - EMEA segment adjusted revenue for the nine months ended September 28, 2025, was $531.5 million, a 20.7% increase compared to $456.9 million in the prior year[49] - The Interventional product category saw significant growth, with reported revenue of $266.4 million, a 77.8% increase from $149.9 million year-over-year[50] - The company experienced a decline in the Interventional Urology category, with revenue decreasing by 13.9% to $71.8 million from $83.4 million year-over-year[50] - The Other product category reported a 44.4% increase in revenue to $79.1 million, driven by adjustments related to the Italian payback measure[50] Cash Flow and Investments - Net cash provided by operating activities from continuing operations was $188,971, a decrease from $435,624 in the prior year[70] - Total cash used in investing activities from continuing operations was $826,782, significantly higher than $76,270 in the previous year[70] - Proceeds from new borrowings amounted to $1,140,000, compared to $130,000 in the same period last year[70] - The company repurchased common stock totaling $300,000, up from $200,000 in the prior year[70] - Cash, cash equivalents, and restricted cash equivalents at the end of the period were $381,310, an increase from $277,765 at the end of the previous year[70] Strategic Actions - The company continues to actively advance the process of a potential sale of NewCo, which has become a primary focus[5] - The integration plan for the Vascular Intervention Business is expected to incur restructuring costs of $36 to $44 million, with annual pre-tax savings projected at $24 million to $30 million once fully implemented[22][23] - The company is undergoing strategic actions to separate into RemainCo and NewCo, incurring direct costs related to consulting and legal services[39] Research and Development - Research and development expenses increased to $57.2 million for the three months ended September 28, 2025, up from $38.7 million in the same period of 2024, indicating a focus on innovation[66]