Greatbatch, Inc. Provides Preliminary 2015 Revenue Results and 2016 Guidance
January 11 2016 - 4:05PM
Greatbatch, Inc. (NYSE:GB), today provided preliminary 2015 revenue
and guidance for 2016. Greatbatch President and Chief
Executive Officer, Thomas J. Hook, will provide further details and
discuss the company’s strategy for long-term growth and
profitability during meetings at the 34th annual J.P. Morgan
Healthcare Conference in San Francisco.
In 2016, Greatbatch expects:
- Margin Expansion
- Leverage global operations footprint to improve our cost
competitiveness while meeting the highest quality standards
- Organic Growth
- Drive incremental sales in core product lines through current
customers and enrolling new customers
- Expand capabilities to create complete devices and systems in
other markets across Greatbatch portfolio
- Nuvectra spinoff
- Opportunity for shareholders to acquire Nuvectra shares in a
tax free transaction
The company’s guidance update is as follows:
(In millions) |
2014 Pro Forma(1) |
2015 Pro Forma(1) (2) |
2016 Guidance(1) (2) |
Change |
Sales |
$ |
1,469 |
|
$ |
1,443 |
|
~$1,470 |
~2% |
Adjusted EBITDA |
$ |
307 |
|
$ |
312 |
|
~$327 |
~5% |
Adjusted EBITDA Margin |
|
20.9 |
% |
|
21.6 |
% |
~22.3% |
~70 bps |
Share count |
|
31,015 |
|
|
31,500 |
|
31,500 |
- |
(1) Pro forma for Lake Region merger and Nuvectra spinoff. 2015
Sales results are preliminary and subject to revision.
(2) Our full year 2015 and 2016 Adjusted EBITDA guidance
consists of estimated GAAP net income plus estimates of i)
interest expense, ii) taxes, iii) depreciation, iv) amortization of
intangible assets, v) inventory step-up amortization, vi) IP
related litigation charges, vii) stock-based compensation, viii)
consolidation costs, ix) acquisition and integration costs, x)
asset write-offs and severance, xi) debt extinguishment charges,
and xii) non-cash gains/losses on investments. These amounts are
not yet available for 2015 and 2016 and will be provided by the
Company when available.
Greatbatch presentation and historical pro forma
information can be found on the company’s website
www.greatbatch.com.
About Greatbatch, Inc.
Greatbatch, Inc. (NYSE:GB) is one of the largest
medical device outsource (MDO) manufacturers in the world serving
the cardiac, neuromodulation, orthopaedics, vascular, advanced
surgical and portable medical markets. The company provides
innovative, high quality medical technologies that enhance the
lives of patients worldwide. In addition, it develops batteries for
high-end niche applications in energy, military, and environmental
markets. The company's brands include Greatbatch Medical, Lake
Region Medical and Electrochem. Additional information is available
at www.greatbatch.com.
Forward-Looking StatementsSome
of the statements in this press release, including the information
provided under the caption “Financial Guidance,” are
“forward-looking statements” within the meaning of Section 27A of
the Securities Act of 1933, as amended, and section 21E of the
Securities Exchange Act of 1934, as amended, and involve a number
of risks and uncertainties. These statements can be identified by
terminology such as “may,” “will,” “should,” “could,” “expects,”
“intends,” “plans,” “anticipates,” “believes,” “estimates,”
“predicts,” “potential” or “continue,” or the negative of these
terms or other comparable terminology. These statements are based
on the Company’s current expectations. The Company’s actual results
could differ materially from those stated or implied in such
forward-looking statements. Risks and uncertainties that could
cause actual results to differ materially from those stated or
implied by such forward-looking statements include, among others,
the following matters affecting the Company: our dependence upon a
limited number of customers; customer ordering patterns; product
obsolescence; our inability to market current or future products;
pricing/vertical integration pressure from customers; our ability
to timely and successfully implement our cost reduction and plant
consolidation initiatives (including the consolidation of our Swiss
Orthopaedic operations); our reliance on third party suppliers for
raw materials, products and subcomponents; our inability to
maintain high quality standards for our products; challenges to our
intellectual property rights; product liability claims; our
inability to successfully consummate and integrate acquisitions and
to realize synergies; our unsuccessful expansion into new markets;
our ability to realize a return on our substantial RD&E
investments, including system and device products; our inability to
obtain licenses to key technology; regulatory changes or
consolidation in the healthcare industry; global economic factors
including currency exchange rates and interest rates; the
resolution of various legal actions and other risks and
uncertainties described in the Company’s Annual Report on Form 10-K
and in other periodic filings with the Securities and Exchange
Commission. The Company assumes no obligation to update
forward-looking information in this press release whether to
reflect changed assumptions, the occurrence of unanticipated events
or changes in future operating results, financial conditions or
prospects, or otherwise.
Contact Information
Tony Borowicz
Vice President Business Development
716-759-5809
Integer (NYSE:ITGR)
Historical Stock Chart
From Mar 2024 to Apr 2024
Integer (NYSE:ITGR)
Historical Stock Chart
From Apr 2023 to Apr 2024