IRVINE, Calif., July 26,
2016 /PRNewswire/ -- Edwards Lifesciences Corporation (NYSE: EW),
the global leader in patient-focused innovations for structural
heart disease and critical care monitoring, today reported
financial results for the quarter ended June 30, 2016.
Second Quarter Highlights:
- Sales grew 23.1% to $759.3
million; underlying1 sales were up 21%
- Global Transcatheter Heart Valve Therapy (THVT) sales grew
48.7%; underlying grew 45%
- U.S. THVT sales were up 71.5%; underlying grew 66%
- GAAP EPS was $0.58, an increase
of 13.7%; adjusted2 EPS grew 33% to $0.76
- 2016 THVT global sales guidance raised $100 million; underlying growth to exceed
30%*
- 2016 total sales guidance at the high end of $2.7 - $3.0 billion*
- 2016 adjusted EPS guidance increased to $2.78 - $2.88*
"We are very pleased to report strong second quarter
performance, which reflected significant growth in the number of
patients and physicians choosing transcatheter heart valve
therapy," said Michael A. Mussallem,
chairman and CEO. "Our results this quarter were better than
expected, driving strong top and bottom line growth."
Second Quarter 2016
Results
Sales for the quarter ended June 30, 2016 were $759.3 million, up 23.1 percent. U.S. and
international segment sales for the second quarter were
$401.5 million and $357.8 million, respectively. On an
underlying basis, sales grew 21.1 percent over the second
quarter last year. Net income for the quarter ended
June 30, 2016 was $126.6
million, or $0.58 per diluted
share.
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[*]
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Guidance for sales
and sales growth rates is provided on an "underlying basis," and
projections for diluted earnings per share, net income and growth,
gross profit margin, taxes, and free cash flow are also provided on
a non-GAAP basis as adjusted for the items identified on the
Non-GAAP Financial Information page due to the inherent difficulty
in forecasting such items. The Company is not able to provide
a reconciliation of the non-GAAP guidance to comparable GAAP
measures due to the unknown effect, timing, and potential
significance of special charges or gains, and management's
inability to forecast charges associated with future transactions
and initiatives.
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For the second quarter, the company reported Transcatheter Heart
Valve Therapy sales of $418.6
million, a 48.7 percent growth rate over the second quarter
last year, or 45.1 percent on an underlying basis. Growth was led
by continued strong therapy adoption across all geographies, with
notable strength in the U.S.
In the U.S., THVT sales for the quarter were $246.4 million, a 71.5 percent growth rate over
the second quarter last year, or 65.7 percent on an underlying
basis. "Overall procedure growth exceeded our expectations,
and strong sales were widespread in both large and small
hospitals," said Mussallem. "Positive clinical results continue to
drive adoption, and clinician feedback on the intermediate risk
trial data presented at the ACC conference has been consistently
positive."
Surgical Heart Valve Therapy product group sales for the quarter
were $198.7 million. Reported sales
decreased 2.6 percent compared to the second quarter last year, or
down 3.3 percent on an underlying basis. Globally, sales were
impacted in surgical mitral valves due to a temporary suspension of
production, which was partially offset by solid growth in surgical
aortic valves.
Critical Care product group sales were $142.0 million for the quarter, representing an
increase of 8.0 percent versus last year, or 6.7 percent on an
underlying basis. Overall growth for the quarter was strong in
the company's core products and its Enhanced Surgical Recovery
program.
For the quarter, the company's gross profit margin was 73.3
percent, compared to 74.3 percent in the same period last year.
This decrease, which we expected, was driven primarily by the
impact of foreign exchange, partially offset by a more profitable
product mix reflecting strong growth in THVT and the prior year
sales return reserve.
Selling, general and administrative expenses increased to
$228.8 million for the quarter, or
30.1 percent of sales. This increase was driven primarily by sales
and personnel related expenses.
Research and development investments for the quarter increased
to $112.9 million compared to
$97.5 million in the prior year
period. This increase was primarily the result of continued
investments in our transcatheter mitral and aortic valve
programs.
Cash flow from operating activities for the quarter was
$190.3 million. After capital
spending of $37.1 million, free cash
flow was $153.2 million.
Cash, cash equivalents and short-term investments totaled
$1.1 billion at June 30,
2016. Total debt was $0.6
billion.
Six-Month Results
For the six months ended June 30, 2016, the company
recorded net income of $269.6
million, or $1.24 per diluted
share, compared to $236.1 million, or
$1.07 per diluted share, for the same
period in 2015. Net income increased for the six months by
14.2 percent, or 26.9 percent, on an adjusted basis. And, diluted
earnings per share increased 15.9 percent over last year, or
increased 28.1 percent, on an adjusted basis.
Net sales for the first six months of 2016 grew 20.7 percent to
$1.5 billion. On an underlying
basis, sales grew 20.4 percent.
U.S. and international segment sales for the first six months of
2016 were $777.1 million and
$679.5 million, respectively.
During the first six months of 2016, the company repurchased 4.6
million shares of common stock for $415.7
million.
Outlook
For the full year 2016, the company now expects sales to be at
the high end of its previous $2.7 to $3.0
billion range based on its strong first half results, an
anticipated third quarter approval of intermediate risk in the
U.S., and the momentum of therapy adoption globally. With
this increase in sales guidance, the company now expects adjusted
earnings per share to be between $2.78 and
$2.88.
For the third quarter of 2016, at current foreign exchange
rates, the company projects sales to be between $720 and $760 million, and adjusted earnings per
share to be between $0.62 and
$0.68.
"We are very pleased with our strong performance achieved
through the first half of this year," said Mussallem. "As patients
and clinicians increasingly prefer TAVR, and based on the
substantial body of compelling evidence, we remain as optimistic as
ever about the long-term growth opportunity represented by
transcatheter therapies. Overall, we remain committed to
aggressively investing in structural heart disease and critical
care technologies. We are confident this will result in more
patients being treated with our innovative therapies and continued
strong organic growth."
About Edwards
Lifesciences
Edwards Lifesciences, based in Irvine,
Calif., is the global leader in patient-focused medical
innovations for structural heart disease, as well as critical care
and surgical monitoring. Driven by a passion to help patients, the
company collaborates with the world's leading clinicians and
researchers to address unmet healthcare needs, working to improve
patient outcomes and enhance lives. For more information, visit
www.Edwards.com and follow us on Twitter @EdwardsLifesci.
Conference Call and Webcast
Information
Edwards Lifesciences will be hosting a conference call today at
2:00 p.m. PT to discuss its second quarter results. To
participate in the conference call, dial (877) 407-8037 or (201)
689-8037. For 72 hours following the call, an audio replay
can be accessed by dialing (877) 660-6853 or (201) 612-7415 and
using conference number 13639912. The call will also be
available via live or archived webcast on the "Investor Relations"
section of the Edwards web site at ir.edwards.com or
www.edwards.com. A live stream and archived replay can also be
accessed via mobile devices by downloading Edwards' IR App for
iPhone and iPad or Android.
This news release includes forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933 and Section
21E of the Securities Exchange Act of 1934. These
forward-looking statements can sometimes be identified by the use
of words such as "may," "will," "should," "anticipate," "believe,"
"plan," "project," "estimate," "expect," "intend," "guidance,"
"outlook," "optimistic," "aspire," "confident" or other forms
of these words or similar expressions and include, but are not
limited to, statements made by Mr. Mussallem, financial guidance,
and information in the Outlook section, including the company's
expectations for therapy adoption. Forward-looking statements
are based on estimates and assumptions made by management of the
company and are believed to be reasonable, though they are
inherently uncertain and difficult to predict. Our
forward-looking statements speak only as of the date on which they
are made and we do not undertake any obligation to update any
forward-looking statement to reflect events or circumstances after
the date of the statement. If the company does update or
correct one or more of these statements, investors and others
should not conclude that the company will make additional updates
or corrections.
Forward-looking statements involve risks and uncertainties that
could cause actual results or experience to differ materially from
that expressed or implied by the forward-looking statements.
Factors that could cause actual results or experience to differ
materially from that expressed or implied by the forward-looking
statements include uncertainties associated with new product
launches, competitive dynamics and rate of therapy adoption,
particularly for THVT; the timing and scope of regulatory approvals
and reimbursement levels for our products; the company's success in
developing new products and avoiding manufacturing and quality
issues; the impact of currency exchange rates and related hedge
contracts; the timing or results of pending or future clinical
trials; actions by the U.S. Food and Drug Administration and other
regulatory agencies; unexpected litigation results or expenses; and
other risks detailed in the company's filings with the Securities
and Exchange Commission, including its Annual Report on Form 10-K
for the year ended December 31, 2015. These filings, along
with important safety information about our products, may be found
at edwards.com.
Edwards, Edwards Lifesciences, the stylized E logo, and Enhanced
Surgical Recovery Program are trademarks of Edwards Lifesciences
Corporation. All other trademarks are the property of their
respective owners.
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[1]
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"Underlying" amounts
are non-GAAP items and in this press release excludes foreign
exchange fluctuations, and sales return reserves associated with
THVT product upgrades. See the Non-GAAP Financial Information page
and reconciliation tables below.
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[2]
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Adjusted income and
earnings per share are non-GAAP items and exclude amortization of
intellectual property, gains and losses from significant
investments, impairments, litigation, and business development
transactions.
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EDWARDS
LIFESCIENCES CORPORATION
Unaudited
Consolidated Statements of Operations
(in millions, except per share data)
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Three Months
Ended
June 30,
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Six Months
Ended
June 30,
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2016
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2015
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2016
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2015
|
Net sales
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$
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759.3
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$
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616.8
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$
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1,456.6
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$
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1,207.1
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Cost of
sales
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202.5
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158.6
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382.8
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294.6
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Gross
profit
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556.8
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458.2
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1,073.8
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912.5
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Selling, general, and
administrative expenses
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228.8
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213.9
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441.5
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416.4
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Research and
development expenses
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112.9
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97.5
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215.3
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183.9
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Intellectual property
litigation expenses
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9.1
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1.0
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21.3
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1.3
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Special
charges
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34.5
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|
—
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34.5
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|
—
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Interest expenses,
net
|
2.4
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|
|
1.8
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|
|
4.8
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|
|
4.2
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Other expenses,
net
|
0.1
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|
|
1.8
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|
|
4.1
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|
|
2.0
|
|
|
|
|
|
|
|
|
|
Income before
provision for income taxes
|
169.0
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|
142.2
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|
352.3
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|
|
304.7
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|
|
|
|
|
|
|
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|
Provision for income
taxes
|
42.4
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|
|
29.5
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|
|
82.7
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|
|
68.6
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|
|
|
|
|
|
|
|
|
Net income
|
$
|
126.6
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|
|
$
|
112.7
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|
$
|
269.6
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|
$
|
236.1
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Earnings per
share: (A)
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Basic
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$
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0.60
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$
|
0.52
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$
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1.27
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$
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1.10
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Diluted
|
$
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0.58
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$
|
0.51
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$
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1.24
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$
|
1.07
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Weighted-average
common shares outstanding:(A)
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Basic
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212.2
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|
215.3
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|
|
212.6
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|
|
215.4
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Diluted
|
217.3
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|
|
219.9
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|
217.6
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|
220.3
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|
Operating
Statistics
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|
As a percentage of
net sales:
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|
Gross
profit
|
73.3
|
%
|
|
74.3
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%
|
|
73.7
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%
|
|
75.6
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%
|
Selling, general, and
administrative expenses
|
30.1
|
%
|
|
34.7
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%
|
|
30.3
|
%
|
|
34.5
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%
|
Research and
development expenses
|
14.9
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%
|
|
15.8
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%
|
|
14.8
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%
|
|
15.2
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%
|
Income before
provision for income taxes
|
22.3
|
%
|
|
23.1
|
%
|
|
24.2
|
%
|
|
25.2
|
%
|
Net income
|
16.7
|
%
|
|
18.3
|
%
|
|
18.5
|
%
|
|
19.6
|
%
|
|
|
|
|
|
|
|
|
Effective tax
rate
|
25.1
|
%
|
|
20.7
|
%
|
|
23.5
|
%
|
|
22.5
|
%
|
|
_______________
|
Note: Numbers may not
calculate due to rounding.
|
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(A)
|
All share and per
share amounts for the prior year were adjusted for the December 11,
2015 two-for-one stock split.
|
EDWARDS
LIFESCIENCES CORPORATION
Unaudited Balance
Sheets
(in
millions)
|
|
|
June 30,
2016
|
|
December 31,
2015
|
ASSETS
|
|
|
|
|
|
|
|
Current
assets
|
|
|
|
Cash and cash
equivalents
|
$
|
369.9
|
|
|
$
|
718.4
|
|
Short-term
investments
|
690.3
|
|
|
506.3
|
|
Accounts and other
receivables, net
|
425.8
|
|
|
344.1
|
|
Inventories,
net
|
367.6
|
|
|
339.9
|
|
Prepaid
expenses
|
50.0
|
|
|
45.1
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|
Other current
assets
|
81.5
|
|
|
94.1
|
|
Total current
assets
|
1,985.1
|
|
|
2,047.9
|
|
|
|
|
|
Long-term accounts
receivable, net
|
5.3
|
|
|
3.6
|
|
Long-term
investments
|
391.7
|
|
|
379.9
|
|
Property, plant, and
equipment, net
|
516.2
|
|
|
482.5
|
|
Goodwill
|
629.4
|
|
|
628.3
|
|
Other intangible
assets, net
|
208.7
|
|
|
205.4
|
|
Deferred income
taxes
|
188.6
|
|
|
180.5
|
|
Other
assets
|
126.4
|
|
|
131.2
|
|
|
|
|
|
Total
assets
|
$
|
4,051.4
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|
|
$
|
4,059.3
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|
|
|
|
|
LIABILITIES AND
STOCKHOLDERS' EQUITY
|
|
|
|
|
|
|
|
Current
liabilities
|
|
|
|
Accounts payable and
accrued liabilities
|
$
|
478.2
|
|
|
$
|
476.2
|
|
|
|
|
|
Long-term
debt
|
602.5
|
|
|
599.9
|
|
Other long-term
liabilities
|
499.5
|
|
|
480.1
|
|
|
|
|
|
Stockholders'
equity
|
|
|
|
Common
stock
|
241.0
|
|
|
239.1
|
|
Additional paid-in
capital
|
1,020.2
|
|
|
946.8
|
|
Retained
earnings
|
3,606.4
|
|
|
3,336.8
|
|
Accumulated other
comprehensive loss
|
(178.7)
|
|
|
(182.6)
|
|
Treasury stock, at
cost
|
(2,217.7)
|
|
|
(1,837.0)
|
|
Total stockholders'
equity
|
2,471.2
|
|
|
2,503.1
|
|
|
|
|
|
Total liabilities and
stockholders' equity
|
$
|
4,051.4
|
|
|
$
|
4,059.3
|
|
EDWARDS LIFESCIENCES CORPORATION
Non-GAAP Financial Information
To supplement the consolidated financial results prepared in
accordance with Generally Accepted Accounting Principles ("GAAP"),
the Company uses non-GAAP historical financial measures. The
Company uses the term "underlying" when referring to non-GAAP sales
information, which excludes foreign exchange fluctuations,
adjustments for discontinued and acquired products, and sales
return reserves associated with transcatheter heart valve therapy
("THVT") product upgrades; and "adjusted" to also exclude
amortization of intellectual property, gains and losses from
significant investments, impairments, litigation, and business
development transactions. Guidance for sales and sales growth
rates is provided on an "underlying basis," and projections for
diluted earnings per share, net income and growth, gross profit
margin, taxes, and free cash flow are also provided on a non-GAAP
basis as adjusted for the items identified below due to the
inherent difficulty in forecasting such items. The Company is
not able to provide a reconciliation of the non-GAAP guidance to
comparable GAAP measures due to the unknown effect, timing, and
potential significance of special charges or gains, and
management's inability to forecast charges associated with future
transactions and initiatives. Management does not consider
the excluded items or adjustments as part of its day-to-day
business or reflective of the core operational activities of the
Company as they result from transactions outside the ordinary
course of business.
Management considers free cash flow to be a liquidity measure
which provides useful information to management and investors about
the amount of cash generated by business operations, after
deducting payments for capital expenditures, which cash can then be
used for strategic opportunities or other business purposes
including, among others, investing in the Company's business,
making strategic acquisitions, strengthening the balance sheet, and
repurchasing stock.
Management uses non-GAAP financial measures internally for
strategic decision making, forecasting future results, and
evaluating current performance. These non-GAAP financial
measures are used in addition to and in conjunction with results
presented in accordance with GAAP and reflect an additional way of
viewing aspects of the Company's operations by investors that, when
viewed with its GAAP results, provide a more complete understanding
of factors and trends affecting the Company's business.
Non-GAAP financial measures are not prepared in accordance with
GAAP; therefore, the information is not necessarily comparable to
other companies and should be considered as a supplement to, and
not as a substitute for, or superior to, the corresponding measures
calculated in accordance with GAAP. A reconciliation of
non-GAAP historical financial measures to the most comparable GAAP
measure is provided in the tables below.
The items described below are adjustments to the GAAP
financial results in the reconciliations that follow:
THVT Sales Return Reserve and Related Costs - In the
first quarter of 2016, the Company recorded a $1.7 million reversal of the sales return reserve
($1.5 million net of related costs)
upon delivery of the next-generation THVT products in the United States. In addition, in the
first quarter of 2016, the Company recorded inventory reserves of
$1.6 million related to estimated
excess THVT inventory expected upon introduction of next-generation
THVT products in Japan. In the second quarter of 2015, the
Company recorded a net sales return reserve and related costs,
primarily related to inventory reserves, of $15.9 million related to estimated THVT product
returns expected upon introduction of next-generation THVT
products.
Intellectual Property Litigation Expenses - The Company
incurred intellectual property litigation expenses of $12.2 million and $0.3
million in the first quarter of 2016 and 2015, respectively,
and $9.1 million and $1.0 million in the second quarter of 2016 and
2015, respectively.
Amortization of Intellectual Property - The Company
recorded amortization expense of $1.7
million and $1.8 million in
the first quarter of 2016 and 2015, respectively, and $1.9 million and $1.7
million in the second quarter of 2016 and 2015,
respectively, related to intellectual property.
Purchased In-process Research and Development - The
Company recorded a $34.5 million
charge in the second quarter of 2016 related to the acquisition of
technology for use in its transcatheter heart valve programs.
Foreign Exchange - Fluctuations in exchange rates impact
the comparative results and sales growth rates of the Company's
underlying business. Management believes that excluding the impact
of foreign exchange rate fluctuations from its sales growth
provides investors a more meaningful comparison to historical
financial results. The impact of foreign exchange rate fluctuations
has been detailed in the "Reconciliation of Sales by Product Group
and Region."
EDWARDS
LIFESCIENCES CORPORATION
Unaudited
Reconciliation of GAAP to Non-GAAP Financial
Information
(in millions,
except per share data)
|
|
RECONCILIATION OF
GAAP TO ADJUSTED NET INCOME
|
|
|
|
Three Months
Ended
June 30,
|
|
Six Months
Ended
June 30,
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
GAAP Net
Income
|
|
$
|
126.6
|
|
|
$
|
112.7
|
|
|
$
|
269.6
|
|
|
$
|
236.1
|
|
Growth Rate
%
|
|
12.3
|
%
|
|
|
|
14.2
|
%
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP adjustments:
(A)
|
|
|
|
|
|
|
|
|
THVT sales return
reserve and related costs
|
|
—
|
|
|
15.9
|
|
|
0.1
|
|
|
15.9
|
|
Intellectual property
litigation expenses
|
|
9.1
|
|
|
1.0
|
|
|
21.3
|
|
|
1.3
|
|
Amortization of
intellectual property
|
|
1.9
|
|
|
1.7
|
|
|
3.6
|
|
|
3.5
|
|
Purchased in-process
research and development
|
|
34.5
|
|
|
—
|
|
|
34.5
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
Provision for income
taxes
|
|
|
|
|
|
|
|
|
Tax effect on
reconciling items (B)
|
|
(7.5)
|
|
|
(5.6)
|
|
|
(10.9)
|
|
|
(6.1)
|
|
Adjusted Net
Income
|
|
$
|
164.6
|
|
|
$
|
125.7
|
|
|
$
|
318.2
|
|
|
$
|
250.7
|
|
Growth Rate
%
|
|
30.9
|
%
|
|
|
|
26.9
|
%
|
|
|
|
RECONCILIATION OF
GAAP TO ADJUSTED DILUTED EARNINGS PER SHARE
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP Diluted
Earnings Per Share (C)
|
|
$
|
0.58
|
|
|
$
|
0.51
|
|
|
$
|
1.24
|
|
|
$
|
1.07
|
|
Growth Rate
%
|
|
13.7
|
%
|
|
|
|
15.9
|
%
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP adjustments:
(A), (D)
|
|
|
|
|
|
|
|
|
THVT sales return
reserve and related costs
|
|
—
|
|
|
0.05
|
|
|
—
|
|
|
0.05
|
|
Intellectual property
litigation expenses
|
|
0.03
|
|
|
—
|
|
|
0.07
|
|
|
—
|
|
Amortization of
intellectual property
|
|
0.01
|
|
|
0.01
|
|
|
0.01
|
|
|
0.02
|
|
Purchased in-process
research and development
|
|
0.14
|
|
|
—
|
|
|
0.14
|
|
|
—
|
|
Adjusted Diluted
Earnings Per Share
|
|
$
|
0.76
|
|
|
$
|
0.57
|
|
|
$
|
1.46
|
|
|
$
|
1.14
|
|
Growth Rate
%
|
|
33.3
|
%
|
|
|
|
28.1
|
%
|
|
|
|
_______________
|
Note: Numbers may not
calculate due to rounding.
|
|
|
(A)
|
See description of
non-GAAP adjustments on the "Non-GAAP Financial Information"
page.
|
|
|
(B)
|
The tax effect on
non-GAAP adjustments is calculated based upon the impact of the
relevant tax jurisdictions' statutory tax rates on the Company's
estimated annual effective tax rate, or discrete rate in the
quarter, as applicable.
|
|
|
(C)
|
All per share amounts
for the prior year were adjusted for the December 11, 2015
two-for-one stock split.
|
|
|
(D)
|
All amounts are tax
effected, calculated based upon the impact of the relevant tax
jurisdictions' statutory tax rates on the Company's estimated
annual effective tax rate, or discrete rate in the quarter, as
applicable.
|
EDWARDS
LIFESCIENCES CORPORATION
Unaudited
Reconciliation of GAAP to Non-GAAP Financial
Information
($ in
millions)
|
|
THVT UNITED STATES
UNDERLYING SALES GROWTH
|
|
|
|
Three Months
Ended
June 30,
|
|
|
2016
|
|
2015
|
THVT United States
GAAP Sales
|
|
$
|
246.4
|
|
|
$
|
143.7
|
|
Adjustment for THVT
sales return reserve
|
|
—
|
|
|
5.0
|
|
THVT United States
Underlying Sales
|
|
$
|
246.4
|
|
|
$
|
148.7
|
|
Underlying Growth
Rate %
|
|
65.7
|
%
|
|
|
EDWARDS
LIFESCIENCES CORPORATION
Unaudited
Reconciliation of GAAP to Non-GAAP Financial
Information
($ in
millions)
|
|
RECONCILIATION OF
SALES BY PRODUCT GROUP AND REGION
|
|
|
|
|
|
|
|
|
|
|
|
2016 Adjusted
|
|
2015 Adjusted
|
|
|
Sales by Product Group (QTD)
|
|
2Q
2016
|
|
2Q
2015
|
|
Change
|
|
GAAP
Growth
Rate*
|
|
Sales Return
Reserve
|
|
2Q 2016 Underlying
Sales
|
|
Sales Return
Reserve
|
|
FX Impact
|
|
2Q 2015 Underlying
Sales
|
|
Underlying
Growth
Rate *
|
Transcatheter
Heart Valve Therapy
|
|
$
|
418.6
|
|
|
$
|
281.4
|
|
|
$
|
137.2
|
|
|
48.7
|
%
|
|
$
|
—
|
|
|
$
|
418.6
|
|
|
$
|
5.0
|
|
|
$
|
2.0
|
|
|
$
|
288.4
|
|
|
45.1
|
%
|
Surgical Heart
Valve Therapy
|
|
198.7
|
|
|
204.0
|
|
|
(5.3)
|
|
|
(2.6)
|
%
|
|
—
|
|
|
198.7
|
|
|
—
|
|
|
1.5
|
|
|
205.5
|
|
|
(3.3)
|
%
|
Critical
Care
|
|
142.0
|
|
|
131.4
|
|
|
10.6
|
|
|
8.0
|
%
|
|
—
|
|
|
142.0
|
|
|
—
|
|
|
1.7
|
|
|
133.1
|
|
|
6.7
|
%
|
Total
|
|
$
|
759.3
|
|
|
$
|
616.8
|
|
|
$
|
142.5
|
|
|
23.1
|
%
|
|
$
|
—
|
|
|
$
|
759.3
|
|
|
$
|
5.0
|
|
|
$
|
5.2
|
|
|
$
|
627.0
|
|
|
21.1
|
%
|
|
|
|
|
|
|
|
|
|
|
2016 Adjusted
|
|
2015 Adjusted
|
|
|
Sales by Product Group (YTD)
|
|
YTD 2Q
2016
|
|
YTD 2Q
2015
|
|
Change
|
|
GAAP
Growth
Rate*
|
|
Sales Return
Reserve
|
|
YTD 2Q 2016
Underlying Sales
|
|
Sales Return
Reserve
|
|
FX Impact
|
|
YTD 2Q 2015
Underlying Sales
|
|
Underlying
Growth
Rate *
|
Transcatheter
Heart Valve Therapy
|
|
$
|
786.4
|
|
|
$
|
549.9
|
|
|
$
|
236.5
|
|
|
43.0
|
%
|
|
$
|
(1.7)
|
|
|
$
|
784.7
|
|
|
$
|
5.0
|
|
|
$
|
(1.8)
|
|
|
$
|
553.1
|
|
|
41.9
|
%
|
Surgical Heart
Valve Therapy
|
|
394.6
|
|
|
400.9
|
|
|
(6.3)
|
|
|
(1.6)
|
%
|
|
—
|
|
|
394.6
|
|
|
—
|
|
|
(1.3)
|
|
|
399.6
|
|
|
(1.3)
|
%
|
Critical
Care
|
|
275.6
|
|
|
256.3
|
|
|
19.3
|
|
|
7.5
|
%
|
|
—
|
|
|
275.6
|
|
|
—
|
|
|
(0.7)
|
|
|
255.6
|
|
|
7.8
|
%
|
Total
Sales
|
|
$
|
1,456.6
|
|
|
$
|
1,207.1
|
|
|
$
|
249.5
|
|
|
20.7
|
%
|
|
$
|
(1.7)
|
|
|
$
|
1,454.9
|
|
|
$
|
5.0
|
|
|
$
|
(3.8)
|
|
|
$
|
1,208.3
|
|
|
20.4
|
%
|
|
|
|
|
|
|
|
|
|
|
2016 Adjusted
|
|
2015 Adjusted
|
|
|
Sales by Region (QTD)
|
|
2Q
2016
|
|
2Q
2015
|
|
Change
|
|
GAAP
Growth Rate*
|
|
Sales Return
Reserve
|
|
2Q 2016 Underlying
Sales
|
|
Sales Return
Reserve
|
|
FX Impact
|
|
2Q 2015 Underlying
Sales
|
|
Underlying
Growth
Rate *
|
United
States
|
|
$
|
401.5
|
|
|
$
|
302.7
|
|
|
$
|
98.8
|
|
|
32.6
|
%
|
|
$
|
—
|
|
|
$
|
401.5
|
|
|
$
|
5.0
|
|
|
$
|
—
|
|
|
$
|
307.7
|
|
|
30.5
|
%
|
Europe
|
|
203.6
|
|
|
181.9
|
|
|
21.7
|
|
|
11.9
|
%
|
|
—
|
|
|
203.6
|
|
|
—
|
|
|
—
|
|
|
181.9
|
|
|
11.9
|
%
|
Japan
|
|
79.9
|
|
|
62.3
|
|
|
17.6
|
|
|
28.3
|
%
|
|
—
|
|
|
79.9
|
|
|
—
|
|
|
7.8
|
|
|
70.1
|
|
|
14.0
|
%
|
Rest of
World
|
|
74.3
|
|
|
69.9
|
|
|
4.4
|
|
|
6.2
|
%
|
|
—
|
|
|
74.3
|
|
|
—
|
|
|
(2.6)
|
|
|
67.3
|
|
|
10.4
|
%
|
International
|
|
357.8
|
|
|
314.1
|
|
|
43.7
|
|
|
13.9
|
%
|
|
—
|
|
|
357.8
|
|
|
—
|
|
|
5.2
|
|
|
319.3
|
|
|
12.1
|
%
|
Total
|
|
$
|
759.3
|
|
|
$
|
616.8
|
|
|
$
|
142.5
|
|
|
23.1
|
%
|
|
$
|
—
|
|
|
$
|
759.3
|
|
|
$
|
5.0
|
|
|
$
|
5.2
|
|
|
$
|
627.0
|
|
|
21.1
|
%
|
|
|
|
|
|
|
|
|
|
|
2016 Adjusted
|
|
2015 Adjusted
|
|
|
Sales by Region (YTD)
|
|
YTD 2Q
2016
|
|
YTD 2Q
2015
|
|
Change
|
|
GAAP
Growth Rate*
|
|
Sales Return
Reserve
|
|
YTD 2Q 2016
Underlying Sales
|
|
Sales Return
Reserve
|
|
FX Impact
|
|
YTD 2Q 2015
Underlying Sales
|
|
Underlying
Growth
Rate *
|
United
States
|
|
$
|
777.1
|
|
|
$
|
586.2
|
|
|
$
|
190.9
|
|
|
32.6
|
%
|
|
$
|
(1.7)
|
|
|
$
|
775.4
|
|
|
$
|
5.0
|
|
|
$
|
—
|
|
|
$
|
591.2
|
|
|
31.2
|
%
|
Europe
|
|
392.1
|
|
|
367.2
|
|
|
24.9
|
|
|
6.8
|
%
|
|
—
|
|
|
392.1
|
|
|
—
|
|
|
(4.5)
|
|
|
362.7
|
|
|
8.1
|
%
|
Japan
|
|
146.5
|
|
|
120.4
|
|
|
26.1
|
|
|
21.7
|
%
|
|
—
|
|
|
146.5
|
|
|
—
|
|
|
9.3
|
|
|
129.7
|
|
|
13.0
|
%
|
Rest of
World
|
|
140.9
|
|
|
133.3
|
|
|
7.6
|
|
|
5.7
|
%
|
|
—
|
|
|
140.9
|
|
|
—
|
|
|
(8.6)
|
|
|
124.7
|
|
|
13.0
|
%
|
International
|
|
679.5
|
|
|
620.9
|
|
|
58.6
|
|
|
9.4
|
%
|
|
—
|
|
|
679.5
|
|
|
—
|
|
|
(3.8)
|
|
|
617.1
|
|
|
10.1
|
%
|
Total
|
|
$
|
1,456.6
|
|
|
$
|
1,207.1
|
|
|
$
|
249.5
|
|
|
20.7
|
%
|
|
$
|
(1.7)
|
|
|
$
|
1,454.9
|
|
|
$
|
5.0
|
|
|
$
|
(3.8)
|
|
|
$
|
1,208.3
|
|
|
20.4
|
%
|
|
_______________
|
* Numbers may not
calculate due to rounding.
|
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SOURCE Edwards Lifesciences Corporation