Cover Page
Cover Page - shares | 6 Months Ended | |
Jun. 30, 2019 | Jul. 30, 2019 | |
Cover page. | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Jun. 30, 2019 | |
Entity File Number | 1-5353 | |
Entity Registrant Name | TELEFLEX INCORPORATED | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 23-1147939 | |
Entity Address, Address Line One | 550 E. Swedesford Rd., Suite 400 | |
Entity Address, City or Town | Wayne, | |
Entity Address, State or Province | PA | |
Entity Address, Postal Zip Code | 19087 | |
City Area Code | 610 | |
Local Phone Number | 225-6800 | |
Title of 12(b) Security | Common Stock, par value $1.00 per share | |
Trading Symbol | TFX | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Smaller Reporting Company | false | |
Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 46,232,846 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q2 | |
Entity Central Index Key | 0000096943 | |
Current Fiscal Year End Date | --12-31 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | |
Income Statement [Abstract] | ||||
Net revenues | $ 652,507 | $ 609,866 | $ 1,266,091 | $ 1,197,096 |
Cost of goods sold | 279,583 | 265,088 | 548,425 | 521,048 |
Gross profit | 372,924 | 344,778 | 717,666 | 676,048 |
Selling, general and administrative expenses | 236,186 | 229,917 | 463,879 | 445,254 |
Research and development expenses | 27,595 | 26,018 | 54,745 | 52,045 |
Restructuring and impairment charges | 1,685 | 55,353 | 19,080 | 58,416 |
Gain on sale of assets | 0 | 0 | (2,739) | 0 |
Income from continuing operations before interest and taxes | 107,458 | 33,490 | 182,701 | 120,333 |
Interest expense | 20,758 | 26,649 | 43,450 | 52,592 |
Interest income | (472) | (183) | (811) | (456) |
Income from continuing operations before taxes | 87,172 | 7,024 | 140,062 | 68,197 |
Taxes on income from continuing operations | 3,844 | 9,576 | 14,816 | 15,818 |
Income from continuing operations | 83,328 | (2,552) | 125,246 | 52,379 |
Operating income (loss) from discontinued operations | 61 | 94 | (1,282) | 1,329 |
Tax (benefit) on income (loss) from discontinued operations | 14 | 38 | (308) | 20 |
Income (loss) from discontinued operations | 47 | 56 | (974) | 1,309 |
Net income (loss) | $ 83,375 | $ (2,496) | $ 124,272 | $ 53,688 |
Basic: | ||||
Income from continuing operations (in dollars per share) | $ 1.80 | $ (0.06) | $ 2.72 | $ 1.15 |
Income (loss) from discontinued operations (in dollars per share) | 0.01 | 0.01 | (0.02) | 0.03 |
Net income (in dollars per share) | 1.81 | (0.05) | 2.70 | 1.18 |
Diluted: | ||||
Income from continuing operations (in dollars per share) | 1.77 | (0.06) | 2.67 | 1.12 |
Loss from discontinued operations (in dollars per share) | 0 | 0.01 | (0.03) | 0.03 |
Net income (in dollars per share) | $ 1.77 | $ (0.05) | $ 2.64 | $ 1.15 |
Weighted average common shares outstanding | ||||
Basic (in shares) | 46,172 | 45,581 | 46,111 | 45,455 |
Diluted (in shares) | 47,036 | 45,581 | 46,989 | 46,771 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income (loss) | $ 83,375 | $ (2,496) | $ 124,272 | $ 53,688 |
Other comprehensive income (loss), net of tax: | ||||
Foreign currency translation, net of tax of $0, $9,378, $0, and $3,505, for the three and six months periods, respectively | 12,568 | (125,705) | 12,332 | (44,517) |
Pension and other postretirement benefit plans adjustment, net of tax of $(446), $(656), $(836), and $(890) for the three and six months periods, respectively | 1,459 | 2,015 | 2,688 | 2,896 |
Derivatives qualifying as hedges, net of tax of $83, $100, $82, and $(111) for the three and six months periods, respectively | 755 | (329) | 158 | 292 |
Other comprehensive income (loss), net of tax: | 14,782 | (124,019) | 15,178 | (41,329) |
Comprehensive income (loss) | $ 98,157 | $ (126,515) | $ 139,450 | $ 12,359 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | |
Statement of Comprehensive Income [Abstract] | ||||
Foreign currency translation, tax | $ 0 | $ 9,378 | $ 0 | $ 3,505 |
Pension and other postretirement benefits plans adjustment, tax | (446) | (656) | (836) | (890) |
Derivatives qualifying as hedges, tax | $ 83 | $ 100 | $ 82 | $ (111) |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Current assets | ||
Cash and cash equivalents | $ 303,896 | $ 357,161 |
Accounts receivable, net | 382,142 | 366,286 |
Inventories, net | 461,320 | 427,778 |
Prepaid expenses and other current assets | 78,477 | 72,481 |
Prepaid taxes | 19,306 | 12,463 |
Total current assets | 1,245,141 | 1,236,169 |
Property, plant and equipment, net | 425,475 | 432,766 |
Operating lease assets | 107,543 | |
Goodwill | 2,250,219 | 2,246,579 |
Intangible assets, net | 2,242,267 | 2,325,052 |
Deferred tax assets | 3,056 | 2,446 |
Other assets | 40,709 | 34,979 |
Total assets | 6,314,410 | 6,277,991 |
Current liabilities | ||
Current borrowings | 50,000 | 86,625 |
Accounts payable | 108,059 | 106,709 |
Accrued expenses | 87,698 | 97,551 |
Current portion of contingent consideration | 119,706 | 136,877 |
Payroll and benefit-related liabilities | 88,888 | 104,670 |
Accrued interest | 6,009 | 6,031 |
Income taxes payable | 4,448 | 5,943 |
Other current liabilities | 29,084 | 38,050 |
Total current liabilities | 493,892 | 582,456 |
Long-term borrowings | 2,081,372 | 2,072,200 |
Deferred tax liabilities | 604,856 | 608,221 |
Pension and postretirement benefit liabilities | 86,149 | 92,914 |
Noncurrent liability for uncertain tax positions | 11,029 | 10,718 |
Noncurrent contingent consideration | 71,965 | 167,370 |
Noncurrent operating lease liabilities | 96,502 | |
Other liabilities | 203,801 | 204,134 |
Total liabilities | 3,649,566 | 3,738,013 |
Commitments and contingencies | ||
Total shareholders' equity | 2,664,844 | 2,539,978 |
Total liabilities and shareholders' equity | $ 6,314,410 | $ 6,277,991 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2019 | Jul. 01, 2018 | |
Cash flows from operating activities of continuing operations: | ||
Net income (loss) | $ 124,272 | $ 53,688 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Loss (income) from discontinued operations | 974 | (1,309) |
Depreciation expense | 31,966 | 29,527 |
Amortization expense of intangible assets | 75,285 | 75,008 |
Amortization expense of deferred financing costs and debt discount | 2,249 | 2,368 |
Gain on sale of assets | (2,739) | 0 |
Changes in contingent consideration | 25,456 | 34,618 |
Impairment of long-lived assets | 6,911 | 1,865 |
Stock-based compensation | 12,700 | 10,737 |
Deferred income taxes, net | (5,495) | 4,821 |
Payments for contingent consideration | (26,092) | 0 |
Other | (4,527) | (3,669) |
Changes in assets and liabilities, net of effects of acquisitions and disposals: | ||
Accounts receivable | (19,747) | (15,886) |
Inventories | (33,970) | (15,017) |
Prepaid expenses and other assets | (6,381) | (3,611) |
Accounts payable, accrued expenses and other liabilities | (6,231) | 38,112 |
Income taxes receivable and payable, net | (17,347) | (29,668) |
Net cash provided by operating activities from continuing operations | 157,284 | 181,584 |
Cash flows from investing activities of continuing operations: | ||
Expenditures for property, plant and equipment | (56,107) | (38,004) |
Proceeds from sale of assets | 1,178 | 0 |
Payments for businesses and intangibles acquired, net of cash acquired | (1,025) | (22,450) |
Net interest proceeds on swaps designated as net investment hedges | 8,330 | |
Net cash used in investing activities from continuing operations | (47,624) | (60,454) |
Cash flows from financing activities of continuing operations: | ||
Proceeds from new borrowings | 25,000 | 0 |
Reduction in borrowings | (52,500) | (18,500) |
Debt extinguishment, issuance and amendment fees | (4,703) | (188) |
Net proceeds from share based compensation plans and the related tax impacts | 7,829 | 9,800 |
Payments for contingent consideration | (111,928) | (62,574) |
Dividends paid | (31,347) | (30,938) |
Net cash used in financing activities from continuing operations | (167,649) | (102,400) |
Cash flows from discontinued operations: | ||
Net cash provided by (used in) operating activities | 2,799 | (464) |
Net cash provided by (used in) discontinued operations | 2,799 | (464) |
Effect of exchange rate changes on cash and cash equivalents | 1,925 | (5,520) |
Net (decrease) increase in cash and cash equivalents | (53,265) | 12,746 |
Cash and cash equivalents at the beginning of the period | 357,161 | 333,558 |
Cash and cash equivalents at the end of the period | 303,896 | 346,304 |
Non cash investing activities of continuing operations: | ||
Property, plant and equipment additions due to build-to-suit lease transaction | 0 | 28,147 |
Non cash financing activities of continuing operations: | ||
Acquisition of treasury stock associated with settlement and exchange of convertible note hedge and warrant agreements | $ 0 | $ 36,877 |
CONDENSED CONSOLIDATED STATEM_5
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (Unaudited) - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock | Additional Paid In Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Treasury Stock |
Beginning Balance (in shares) at Dec. 31, 2017 | 46,871 | 1,704 | ||||
Beginning Balance at Dec. 31, 2017 | $ 2,430,531 | $ 46,871 | $ 591,721 | $ 2,285,886 | $ (265,091) | $ (228,856) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | 56,184 | 56,184 | ||||
Cash dividends | (15,447) | (15,447) | ||||
Other comprehensive (loss) income | 82,690 | 82,690 | ||||
Shares issued under compensation plans (in shares) | (97) | (43) | ||||
Shares issued under compensation plans | 4,122 | $ 97 | 992 | $ 3,033 | ||
Deferred compensation (in shares) | (8) | |||||
Deferred compensation | 322 | $ 322 | ||||
Settlements of warrants (in shares) | (132) | |||||
Settlements of warrants | (12) | (17,884) | $ 17,872 | |||
Ending Balance (in shares) at Apr. 01, 2018 | 46,968 | 1,521 | ||||
Ending Balance at Apr. 01, 2018 | 2,561,466 | $ 46,968 | 574,829 | 2,329,699 | (182,401) | $ (207,629) |
Beginning Balance (in shares) at Dec. 31, 2017 | 46,871 | 1,704 | ||||
Beginning Balance at Dec. 31, 2017 | 2,430,531 | $ 46,871 | 591,721 | 2,285,886 | (265,091) | $ (228,856) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | 53,688 | |||||
Other comprehensive (loss) income | (41,329) | |||||
Ending Balance (in shares) at Jul. 01, 2018 | 47,082 | 1,379 | ||||
Ending Balance at Jul. 01, 2018 | 2,433,981 | $ 47,082 | 570,037 | 2,311,712 | (306,420) | $ (188,430) |
Beginning Balance (in shares) at Apr. 01, 2018 | 46,968 | 1,521 | ||||
Beginning Balance at Apr. 01, 2018 | 2,561,466 | $ 46,968 | 574,829 | 2,329,699 | (182,401) | $ (207,629) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | (2,496) | (2,496) | ||||
Cash dividends | (15,491) | (15,491) | ||||
Other comprehensive (loss) income | (124,019) | (124,019) | ||||
Shares issued under compensation plans (in shares) | (114) | (2) | ||||
Shares issued under compensation plans | 14,300 | $ 114 | 13,992 | $ 194 | ||
Deferred compensation | 235 | 235 | ||||
Settlements of warrants (in shares) | (140) | |||||
Settlements of warrants | (14) | (19,019) | $ 19,005 | |||
Ending Balance (in shares) at Jul. 01, 2018 | 47,082 | 1,379 | ||||
Ending Balance at Jul. 01, 2018 | 2,433,981 | $ 47,082 | 570,037 | 2,311,712 | (306,420) | $ (188,430) |
Beginning Balance (in shares) at Dec. 31, 2018 | 47,248 | 1,232 | ||||
Beginning Balance at Dec. 31, 2018 | 2,539,978 | $ 47,248 | 574,761 | 2,427,599 | (341,085) | $ (168,545) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | 40,897 | 40,897 | ||||
Cash dividends | (15,650) | (15,650) | ||||
Other comprehensive (loss) income | 396 | 396 | ||||
Shares issued under compensation plans (in shares) | (75) | (40) | ||||
Shares issued under compensation plans | 5,198 | $ 75 | 3,094 | $ 2,029 | ||
Deferred compensation (in shares) | (4) | |||||
Deferred compensation | 380 | 127 | $ 253 | |||
Ending Balance (in shares) at Mar. 31, 2019 | 47,323 | 1,188 | ||||
Ending Balance at Mar. 31, 2019 | 2,569,878 | $ 47,323 | 577,982 | 2,451,525 | (340,689) | $ (166,263) |
Beginning Balance (in shares) at Dec. 31, 2018 | 47,248 | 1,232 | ||||
Beginning Balance at Dec. 31, 2018 | 2,539,978 | $ 47,248 | 574,761 | 2,427,599 | (341,085) | $ (168,545) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | 124,272 | |||||
Other comprehensive (loss) income | 15,178 | |||||
Ending Balance (in shares) at Jun. 30, 2019 | 47,400 | 1,186 | ||||
Ending Balance at Jun. 30, 2019 | 2,664,844 | $ 47,400 | 590,234 | 2,519,203 | (325,907) | $ (166,086) |
Beginning Balance (in shares) at Mar. 31, 2019 | 47,323 | 1,188 | ||||
Beginning Balance at Mar. 31, 2019 | 2,569,878 | $ 47,323 | 577,982 | 2,451,525 | (340,689) | $ (166,263) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | 83,375 | 83,375 | ||||
Cash dividends | (15,697) | (15,697) | ||||
Other comprehensive (loss) income | 14,782 | 14,782 | ||||
Shares issued under compensation plans (in shares) | (77) | (2) | ||||
Shares issued under compensation plans | 12,506 | $ 77 | 12,252 | $ 177 | ||
Ending Balance (in shares) at Jun. 30, 2019 | 47,400 | 1,186 | ||||
Ending Balance at Jun. 30, 2019 | $ 2,664,844 | $ 47,400 | $ 590,234 | $ 2,519,203 | $ (325,907) | $ (166,086) |
CONDENSED CONSOLIDATED STATEM_6
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (Parenthetical) - $ / shares | 3 Months Ended | |||
Jun. 30, 2019 | Mar. 31, 2019 | Jul. 01, 2018 | Apr. 01, 2018 | |
Statement of Stockholders' Equity [Abstract] | ||||
Dividends per share (in dollars per share) | $ 340 | $ 340 | $ 0.34 | $ 0.34 |
Basis of presentation
Basis of presentation | 6 Months Ended |
Jun. 30, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of presentation | Note 1 — Basis of presentation The accompanying unaudited condensed consolidated financial statements of Teleflex Incorporated and its subsidiaries (“we,” “us,” “our,” “Teleflex” and the “Company”) are prepared on the same basis as its annual consolidated financial statements. In the opinion of management, the financial statements reflect all adjustments, which are of a normal recurring nature, necessary for the fair presentation of financial statements for interim periods in accordance with accounting principles generally accepted in the United States of America ("GAAP") and Rule 10-01 of Securities and Exchange Commission ("SEC") Regulation S-X, which sets forth the instructions for the form and content of presentation of financial statements included in Form 10-Q. The preparation of condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, as well as the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. The results of operations for the periods reported are not necessarily indicative of those that may be expected for a full year. In accordance with applicable accounting standards and as permitted by Rule 10-01 of Regulation S-X, the accompanying condensed consolidated financial statements do not include all of the information and footnote disclosures that are required to be included in the Company's annual consolidated financial statements. Therefore, the Company's quarterly condensed consolidated financial statements should be read in conjunction with the Company's consolidated financial statements included in its Annual Report on Form 10-K for the year ended December 31, 2018 . |
Recently issued accounting stan
Recently issued accounting standards | 6 Months Ended |
Jun. 30, 2019 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
Recently issued accounting standards | Recently issued accounting standards In February 2016, the FASB issued guidance that changes the requirements for accounting for leases. Under the new guidance, in connection with a lease as to which an entity is a lessee, the entity generally must recognize a right-to-use asset and a lease liability on the balance sheet, initially measured as the present value of lease payments under the lease. Under previous guidance, operating leases were not recognized on the balance sheet. The Company adopted the new standard on January 1, 2019 using a modified retrospective transition approach, which requires leases existing at, or entered into after, January 1, 2019 to be recognized and measured in the condensed consolidated balance sheet. The Company recognized additional net lease assets and lease liabilities of $105.3 million and $106.6 million , respectively, upon adoption of the guidance. The difference between the additional lease assets and lease liabilities was recorded as an adjustment to the Company's opening balance of retained earnings. Prior period amounts have not been adjusted and continue to reflect the Company's historical accounting. As permitted under the new guidance, the Company has made an accounting policy election not to apply the recognition provisions of the new guidance to short term leases (leases with a lease term of 12 months or less that do not include an option to purchase the underlying asset that the lessee is reasonably certain to exercise); instead, the Company will recognize the lease payments for short term leases on a straight-line basis over the lease term. In addition, the Company has elected to apply certain practical expedients available under the new guidance. As a result, and in connection with the transition to the new guidance, the Company did not reassess (i) whether any expired or existing contracts are or contain leases, (ii) the classification of any expired or existing leases, or (iii) initial direct costs for any existing leases. The Company applied the practical expedients described above to its entire lease portfolio at the January 1, 2019 adoption date. Furthermore, as permitted under the new guidance, the Company has made, as a practical expedient, an accounting policy election to not separate lease and non-lease components and instead will account for each separate lease component and the non-lease components associated with that lease component as a single lease component. Additional information and disclosures required by this standard are contained in Note 8. In February 2018, the FASB issued new guidance to address a narrow-scope financial reporting issue that arose as a consequence of federal tax legislation commonly referred to as the Tax Cuts and Jobs Act ("the TCJA"). Existing guidance requires that deferred tax liabilities and assets be adjusted for a change in tax laws or rates with the effect included in income from continuing operations in the reporting period that includes the enactment date. The guidance is applicable even in situations in which the related income tax effects of items in accumulated other comprehensive income were originally recognized in other comprehensive income (rather than in net income), such as amounts related to benefit plans and hedging activity. As a result, the tax effects of items within accumulated other comprehensive income (referred to as stranded tax effects) do not reflect the appropriate tax rate. The new guidance, which was effective January 1, 2019, permits reclassification of these amounts from accumulated other comprehensive income to retained earnings thereby eliminating the stranded tax effects. The new guidance also requires certain disclosures about the stranded tax effects. The Company elected not to reclassify stranded tax effects from accumulated other comprehensive income to retained earnings. In June 2016, the FASB issued new guidance that changes the methodology to be used to measure credit losses for certain financial instruments and financial assets, including trade receivables. Under current guidance, an entity reflects credit losses on financial assets measured on an amortized cost basis only when it is probable that losses have been incurred, generally considering only past events and current conditions in determining incurred loss. The new guidance requires the recognition of an allowance that reflects the current estimate of credit losses expected to be incurred over the life of the financial asset, based not only on historical experience and current conditions, but also on reasonable forecasts. The main objective of the new guidance is to provide financial statement users with more useful information in making decisions about the expected credit losses on financial instruments and other commitments to extend credit held by a reporting entity at each reporting date. The new guidance is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is permitted. The new guidance will be applied on a modified retrospective basis through a cumulative-effect adjustment to retained earnings as of the beginning of the annual period in which the adoption is effective. The Company is currently evaluating the impact the guidance will have on its consolidated financial statements and related disclosures, but it is not expected to have a material effect on the consolidated financial statements. From time to time, new accounting guidance is issued by the FASB or other standard setting bodies that is adopted by the Company as of the effective date or, in some cases where early adoption is permitted, in advance of the effective date. The Company has assessed the recently issued guidance that is not yet effective and, unless otherwise indicated above, believes the new guidance will not have a material impact on the its consolidated results of operations, cash flows or financial position. |
Net revenues
Net revenues | 6 Months Ended |
Jun. 30, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Net revenues | Net revenues The Company primarily generates revenue from the sale of medical devices including single use disposable devices and, to a lesser extent, reusable devices, instruments and capital equipment. Revenue is recognized when obligations under the terms of a contract with the Company’s customer are satisfied; this occurs upon the transfer of control of the products. Generally, transfer of control to the customer occurs at the point in time when the Company’s products are shipped from the manufacturing or distribution facility. For the Company’s Original Equipment and Development Services ("OEM") segment, most revenue is recognized over time because the OEM segment generates revenue from the sale of custom products that have no alternative use and the Company has an enforceable right to payment to the extent that performance has been completed. The Company markets and sells products through its direct sales force and distributors to customers within the following end markets: (1) hospitals and healthcare providers; (2) other medical device manufacturers; and (3) home care providers such as pharmacies, which comprised 88% , 10% and 2% of consolidated net revenues, respectively, for the six months ended June 30, 2019 . Revenue is measured as the amount of consideration the Company expects to receive in exchange for transferring goods. With respect to the custom products sold in the OEM segment, revenue is measured using the units produced output method. Payment is generally due 30 days from the date of invoice. The following table disaggregates revenue by global product category for the three and six months ended June 30, 2019 and July 1, 2018 . Three Months Ended Six Months Ended June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 (Dollars in thousands) Vascular access $ 153,647 $ 140,149 $ 297,544 $ 284,177 Anesthesia 85,723 89,311 165,975 174,233 Interventional 104,785 98,189 207,969 188,331 Surgical 95,570 90,517 182,289 176,138 Interventional urology 67,952 47,674 127,683 89,974 OEM 56,428 52,594 110,666 98,448 Other (1) 88,402 91,432 173,965 185,795 Net revenues (2) $ 652,507 $ 609,866 $ 1,266,091 $ 1,197,096 (1) Revenues in the "Other" category in the table above include revenues generated from sales of the Company’s respiratory and urology products (other than interventional urology products). For the three and six months ended June 30, 2019, the Company reclassified its cardiac products from "Other" to "Interventional". The comparative prior year period has been restated to conform to the current period presentation. (2) |
Divestitures
Divestitures | 6 Months Ended |
Jun. 30, 2019 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Divestitures | Divestitures On February 4, 2019, the Company sold substantially all of the assets related to its vein catheter reprocessing business for $12.6 million . The Company recognized a $2.7 million pre-tax gain on the sale of assets, which represents the excess of the $9.7 million fair value of consideration received over the carrying value of the assets sold. In connection with the sale, the purchaser of the assets issued a secured promissory note to the Company in the principal amount of $10.5 million . The purchaser's obligations under the notes are secured by a lien on substantially all of the purchaser's assets. The purchaser is obligated to repay the principal amount of the promissory note in annual installments of $2.1 million through the fifth anniversary of the date of sale. On the date of sale, the fair value of the promissory note was $7.6 million , which the Company calculated by applying a discount rate determined after taking into account the creditworthiness of the purchaser. As of June 30, 2019, the Company had $8.0 million in receivables related to the promissory note, of which $2.0 million and $6.0 million are included in accounts receivable, net and other assets, respectively, within the condensed consolidated balance sheet. |
Restructuring and impairment ch
Restructuring and impairment charges (credits) | 6 Months Ended |
Jun. 30, 2019 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and impairment charges (credits) | Restructuring and impairment charges (credits) The following tables provide information regarding restructuring and impairment charges recognized by the Company for the three and six months ended June 30, 2019 and July 1, 2018 : Three Months Ended June 30, 2019 Termination benefits Other costs (1) Total (Dollars in thousands) 2019 Footprint realignment plan $ (459 ) $ 30 $ (429 ) 2018 Footprint realignment plan (2,275 ) 134 $ (2,141 ) Other restructuring programs (2) 62 312 374 Restructuring charges (credits) (2,672 ) 476 (2,196 ) Asset impairment charges — 3,881 3,881 Restructuring and impairment charges (credits) $ (2,672 ) $ 4,357 $ 1,685 Three Months Ended July 1, 2018 Termination benefits Other costs (1) Total (Dollars in thousands) 2018 Footprint realignment plan $ 52,345 $ 129 $ 52,474 Other restructuring programs (4) 574 440 1,014 Restructuring charges 52,919 569 53,488 Asset impairment charges — 1,865 1,865 Restructuring and impairment charges $ 52,919 $ 2,434 $ 55,353 Six Months Ended June 30, 2019 Termination Benefits Other costs (1) Total (Dollars in thousands) 2019 Footprint realignment plan $ 12,516 $ 30 $ 12,546 2018 Footprint realignment plan (1,838 ) 708 (1,130 ) Other restructuring programs (2) 188 565 753 Restructuring charges 10,866 1,303 12,169 Asset impairment charges — 6,911 6,911 Restructuring and impairment charges $ 10,866 $ 8,214 $ 19,080 Six Months Ended July 1, 2018 Termination Benefits Other costs (1) Total (Dollars in thousands) 2018 Footprint realignment plan $ 52,345 $ 129 $ 52,474 2016 Footprint realignment plan (3) 2,199 291 2,490 Other restructuring programs (4) 1,032 555 1,587 Restructuring charges 55,576 975 56,551 Asset impairment charges — 1,865 1,865 Restructuring and impairment charges $ 55,576 $ 2,840 $ 58,416 (1) Other restructuring costs include facility closure, contract termination and other exit costs. (2) Includes the Vascular Solutions integration program (initiated in 2017) as well as the 2016 and 2014 Footprint realignment plans. (3) The 2016 Footprint realignment plan involved the relocation of certain manufacturing operations, the relocation and outsourcing of certain distribution operations and a related workforce reduction at certain of the Company's facilities. The program is substantially complete and the Company expects future restructuring expenses associated with the program, if any, to be immaterial. (4) Includes the 2014 Footprint realignment plan, the Vascular Solutions integration program and the EMEA restructuring program (initiated in 2017). 2019 Footprint Realignment Plan In February 2019, the Company initiated a restructuring plan primarily involving the relocation of certain manufacturing operations to existing lower-cost locations and related workforce reductions (the "2019 Footprint realignment plan"). These actions are expected to be substantially completed during 2022. The following table provides a summary of the Company’s cost estimates by major type of expense associated with the 2019 Footprint realignment plan: Type of expense Total estimated amount expected to be incurred Termination benefits $19 million to $23 million Other exit costs (1) $1 million to $2 million Restructuring charges $20 million to $25 million Restructuring related charges (2) $36 million to $45 million Total restructuring and restructuring related charges $56 million to $70 million (1) Includes facility closure, employee relocation, equipment relocation and outplacement costs. (2) Restructuring related charges represent costs that are directly related to the 2019 Footprint realignment plan and principally constitute costs to transfer manufacturing operations to existing lower-cost locations, project management costs and accelerated depreciation. Most of these charges are expected to be recognized within cost of goods sold. In addition to the restructuring charges shown in the tables above, the Company recorded restructuring related charges with respect to the 2019 Footprint realignment plan of $ 1.0 million and $1.7 million for the three and six months ended June 30, 2019 within cost of goods sold. As of June 30, 2019 , the Company has a restructuring reserve of $11.8 million in connection with this plan, all of which relate to termination benefits. 2018 Footprint Realignment Plan On May 1, 2018, the Company initiated a restructuring plan involving the relocation of certain European manufacturing operations to existing lower-cost locations, the outsourcing of certain of the Company’s European distribution operations and related workforce reductions (the “2018 Footprint realignment plan"). These actions are expected to be substantially completed by the end of 2024. In addition to the restructuring charges shown in the tables above, the Company recorded restructuring related charges with respect to the 2018 Footprint realignment plan of $0.7 million and $1.3 million for the three and six months ended June 30, 2019 and July 1, 2018 , respectively and $1.0 million for each of the three and six months ended July 1, 2018 . The restructuring related charges were included within cost of goods sold. The majority of the restructuring related charges in both periods constituted costs arising from the transfer of manufacturing operations to new locations. The Company estimates that is will incur aggregate pre-tax restructuring and restructuring related charges in connection with the 2018 Footprint realignment plan of approximately $102 million to $133 million . As of June 30, 2019 , the Company has incurred aggregate restructuring charges in connection with the 2018 Footprint realignment plan of $53.9 million . In addition, as of June 30, 2019 , the Company has incurred aggregate restructuring related charges of $5.4 million with respect to the 2018 Footprint realignment plan, consisting of accelerated depreciation and certain other costs that principally resulted from the transfer of manufacturing operations to new locations. The restructuring related charges primarily were included in cost of goods sold. As of June 30, 2019 , the Company has a restructuring reserve of $45.0 million in connection with this plan, all of which related to termination benefits. 2014 Footprint Realignment Plan In 2014, the Company initiated a restructuring plan (“the 2014 Footprint realignment plan”) involving the consolidation of operations and a related reduction in workforce at certain facilities, and the relocation of manufacturing operations from certain higher-cost locations to existing lower-cost locations. These actions commenced in the second quarter 2014 and are expected to be substantially completed by the end of 2020. The Company recorded restructuring related charges with respect to the 2014 Footprint realignment plan of $0.7 million and $1.3 million for the three and six months ended June 30, 2019 , respectively, and $0.6 million and $1.0 million for the three and six months ended July 1, 2018 , respectively. The majority of these restructuring related charges in both periods constituted costs arising from the transfer of manufacturing operations to new locations. The Company estimates that it will incur aggregate pre-tax restructuring and restructuring related charges in connection with the 2014 Footprint realignment plan of $47 million to $52 million . As of June 30, 2019 , the Company has incurred aggregate restructuring charges of $12.8 million in connection with the 2014 Footprint realignment plan . Additionally, as of June 30, 2019 , the Company has incurred aggregate restructuring related charges of $30.5 million in connection with the 2014 Footprint realignment plan, consisting of accelerated depreciation and certain other costs that principally resulted from the transfer of manufacturing operations from the existing locations to new locations. These restructuring related charges primarily were included in cost of goods sold. As of June 30, 2019 , the Company has a restructuring reserve of $3.8 million in connection with the plan, all of which related to termination benefits. |
Inventories, net
Inventories, net | 6 Months Ended |
Jun. 30, 2019 | |
Inventory Disclosure [Abstract] | |
Inventories, net | Inventories, net Inventories as of June 30, 2019 and December 31, 2018 consisted of the following: June 30, 2019 December 31, 2018 (Dollars in thousands) Raw materials $ 131,252 $ 111,105 Work-in-process 63,465 62,334 Finished goods 266,603 254,339 Inventories, net $ 461,320 $ 427,778 |
Goodwill and other intangible a
Goodwill and other intangible assets, net | 6 Months Ended |
Jun. 30, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and other intangible assets, net | Note 7 — Goodwill and other intangible assets, net The following table provides information relating to changes in the carrying amount of goodwill by reportable operating segment for the six months ended June 30, 2019 : Americas EMEA Asia OEM Total (Dollars in thousands) December 31, 2018 $ 1,549,534 $ 480,615 $ 211,547 $ 4,883 $ 2,246,579 Goodwill related to acquisitions 174 75 476 — 725 Currency translation adjustment 1,221 196 1,498 — 2,915 June 30, 2019 $ 1,550,929 $ 480,886 $ 213,521 $ 4,883 $ 2,250,219 The Company's gross carrying amount of, and accumulated amortization relating to, intangible assets as of June 30, 2019 and December 31, 2018 were as follows: Gross Carrying Amount Accumulated Amortization June 30, 2019 December 31, 2018 June 30, 2019 December 31, 2018 (Dollars in thousands) Customer relationships $ 1,025,516 $ 1,030,194 $ (345,715 ) $ (322,972 ) In-process research and development 28,404 28,457 — — Intellectual property 1,359,876 1,363,516 (363,396 ) (322,539 ) Distribution rights 23,455 23,465 (18,397 ) (17,860 ) Trade names 565,434 565,070 (43,644 ) (36,379 ) Non-compete agreements 22,981 23,004 (12,247 ) (8,904 ) $ 3,025,666 $ 3,033,706 $ (783,399 ) $ (708,654 ) |
Leases
Leases | 6 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
Leases | Leases The Company has operating leases for various types of properties, consisting of manufacturing plants, engineering and research centers, distribution warehouses, offices and other facilities, and equipment used in operations. Some leases provide the Company with an option, exercisable at the Company's sole discretion, to terminate the lease or extend the lease term for one or more years. When measuring assets and liabilities arising from a lease that provides the Company with an option to extend the lease term, the Company takes into account payments to be made in the optional extension period when it is reasonably certain that the Company will exercise the option. Total lease cost (all of which related to operating leases) was $6.6 million and $12.7 million for the three and six months ended June 30, 2019 , respectively. Maturities of lease liabilities June 30, 2019 (Dollars in thousands) 2019 $ 14,045 2020 23,992 2021 21,602 2022 19,924 2023 16,363 2024 and thereafter 42,060 Total lease payments 137,986 Less: interest (21,334 ) Present value of lease liabilities $ 116,652 Supplemental information as of and for the six months ended June 30, 2019 (dollars in thousands) Total lease liabilities (1) $ 116,652 Cash paid for amounts included in the measurement of lease liabilities within operating cash flows $ 12,636 Right of use assets obtained in exchange for operating lease obligations $ 19,728 Weighted average remaining lease term 6.8 years Weighted average discount rate 4.4 % (1) The current portion of the operating lease liabilities of $20.1 million is included in Other current liabilities. As of December 31, 2018 , minimum lease payments under noncancellable operating leases were expected to be as follows: December 31, 2018 (Dollars in thousands) 2019 $ 25,294 2020 23,216 2021 21,419 2022 19,460 2023 17,403 2024 and thereafter 41,368 |
Borrowings
Borrowings | 6 Months Ended |
Jun. 30, 2019 | |
Debt Disclosure [Abstract] | |
Borrowings | Borrowings The Company's borrowings at June 30, 2019 and December 31, 2018 were as follows: June 30, 2019 December 31, 2018 (Dollars in thousands) Senior Credit Facility: Revolving credit facility, at a rate of 3.90% at June 30, 2019, due 2024 $ 276,000 $ 293,000 Term loan facility, at a rate of 3.90% at June 30, 2019, due 2024 673,000 683,500 5.25% Senior Notes due 2024 250,000 250,000 4.875% Senior Notes due 2026 400,000 400,000 4.625% Senior Notes due 2027 500,000 500,000 Securitization program, at a rate of 3.15% at June 30, 2019 50,000 50,000 2,149,000 2,176,500 Less: Unamortized debt issuance costs (17,628 ) (17,675 ) 2,131,372 2,158,825 Current borrowings (50,000 ) (86,625 ) Long-term borrowings $ 2,081,372 $ 2,072,200 Credit Agreement On April 5, 2019, the Company amended and restated its existing credit agreement by entering into a Second Amended and Restated Credit Agreement (the "Credit Agreement"), which provides for a five-year revolving credit facility of $1.0 billion and a term loan facility of $700.0 million . The Company's obligations under the Credit Agreement are guaranteed (subject to certain exceptions and limitations) by substantially all of the material domestic subsidiaries of the Company. The obligations under the Credit Agreement are secured, subject to certain exceptions and limitations, by a lien on substantially all of the assets owned by the Company and each guarantor. The maturity date of the revolving credit facility and the term loan facility under the Credit Agreement is April 5, 2024. At the Company’s option, loans under the Credit Agreement will bear interest at a rate equal to adjusted LIBOR plus an applicable margin ranging from 1.125% to 2.00% or at an alternate base rate, which generally is defined as the highest of (i) the “Prime Rate” in the U.S. last quoted by The Wall Street Journal, (ii) 0.50% above the greater of the federal funds rate and the rate comprised of both overnight federal funds and overnight eurodollar borrowings and (iii) 1.00% above adjusted LIBOR for a one month interest period, plus an applicable margin ranging from 0.125% to 1.00% , in each case subject to adjustments based on the Company’s consolidated total net leverage ratio. Overdue loans will bear interest at the rate otherwise applicable to such loans plus 2.00% . The Credit Agreement contains customary representations and warranties and covenants that, in each case, subject to certain exceptions, qualifications and thresholds, (a) place limitations on the Company and its subsidiaries regarding the incurrence of additional indebtedness, additional liens, fundamental changes, dispositions of property, investments and acquisitions, dividends and other restricted payments, transactions with affiliates, restrictive agreements, changes in lines of business and swap agreements, and (b) require the Company and its subsidiaries to comply with sanction laws and other laws and agreements, to deliver financial information and certain other information and give notice of certain events, to maintain their existence and good standing, to pay their other obligations, to permit the administrative agent and the lenders to inspect their books and property, to use the proceeds of the Credit Agreement only for certain permitted purposes and to provide collateral in the future. Subject to certain exceptions, the Company is required to maintain a maximum consolidated total net leverage ratio of 4.50 to 1.00. The Company is further required to maintain a minimum consolidated interest coverage ratio of 3.50 to 1.00. The Company capitalized $3.9 million |
Financial instruments
Financial instruments | 6 Months Ended |
Jun. 30, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Financial instruments | Financial instruments Foreign currency forward contracts The Company uses derivative instruments for risk management purposes. Foreign currency forward contracts designated as cash flow hedges are used to manage exposure related to foreign currency transactions. Foreign currency forward contracts not designated as hedges for accounting purposes are used to manage exposure related to near term foreign currency denominated monetary assets and liabilities. The Company enters into the non-designated foreign currency forward contracts for periods consistent with its currency translation exposures, which generally approximate one month. For the three and six months ended June 30, 2019 , the Company recognized a gain of $1.5 million and a loss of $1.6 million , respectively, related to non-designated foreign currency forward contracts. For the three and six months ended July 1, 2018 , the Company recognized a loss related to non-designated foreign currency forward contracts of $1.4 million and $0.7 million , respectively. The total notional amount for all open foreign currency forward contracts designated as cash flow hedges as of June 30, 2019 and December 31, 2018 was $118.1 million and $115.3 million , respectively. The total notional amount for all open non-designated foreign currency forward contracts as of June 30, 2019 and December 31, 2018 was $147.5 million and $125.9 million , respectively. All open foreign currency forward contracts as of June 30, 2019 have durations of twelve months or less. Cross-currency interest rate swaps On March 4, 2019, the Company entered into cross-currency swap agreements with five different financial institution counterparties to hedge against the effect of variability in the U.S. dollar to euro exchange rate. Under the terms of the cross-currency swap agreements, the Company has notionally exchanged $250 million at an annual interest rate of 4.8750% for €219.2 million at an annual interest rate of 2.4595% . The swap agreements are designed as net investment hedges and expire on March 4, 2024. On October 4, 2018, the Company entered into cross-currency swap agreements with six different financial institution counterparties to hedge against the effect of variability in the U.S. dollar to euro exchange rate. Under the terms of the cross-currency swap agreements, the Company has notionally exchanged $500 million at an annual interest rate of 4.625% for €433.9 million at an annual interest rate of 1.942% . The swap agreements are designed as net investment hedges and expire on October 4, 2023. The swap agreements described above require an exchange of the notional amounts upon expiration or earlier termination of the agreements. We and the counterparties have agreed to effect the exchange through a net settlement. The cross-currency swaps are marked to market at each reporting date and any changes in fair value are recognized as a component of accumulated other comprehensive income (loss) ("AOCI"). For the three and six months ended June 30, 2019 , the Company recognized foreign exchange loss of $0.7 million and gain of $9.8 million , respectively, within AOCI related to the cross-currency swaps. Balance sheet presentation The following table presents the locations in the condensed consolidated balance sheet and fair value of derivative financial instruments as of June 30, 2019 and December 31, 2018 : June 30, 2019 December 31, 2018 Fair Value (Dollars in thousands) Asset derivatives: Designated foreign currency forward contracts $ 1,344 $ 1,216 Non-designated foreign currency forward contracts 159 106 Cross-currency interest rate swap 21,156 14,728 Prepaid expenses and other current assets 22,659 16,050 Total asset derivatives $ 22,659 $ 16,050 Liability derivatives: Designated foreign currency forward contracts $ 992 $ 524 Non-designated foreign currency forward contracts 131 264 Other current liabilities 1,123 788 Cross-currency interest rate swap 6,152 7,793 Other liabilities 6,152 7,793 Total liability derivatives $ 7,275 $ 8,581 See Note 12 for information on the location and amount of gains and losses attributable to derivatives that were reclassified from AOCI to expense (income), net of tax. There was no ineffectiveness related to the Company’s cash flow hedges during the three and six months ended June 30, 2019 and July 1, 2018 . Trade receivables The allowance for doubtful accounts as of June 30, 2019 and December 31, 2018 was $9.9 million and $9.3 million , respectively. The current portion of the allowance for doubtful accounts, which was $5.2 million and $4.4 million as of June 30, 2019 and December 31, 2018 |
Fair value measurement
Fair value measurement | 6 Months Ended |
Jun. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair value measurement | Fair value measurement For a description of the fair value hierarchy, see Note 11 to the Company’s consolidated financial statements included in its Annual Report on Form 10-K for the year ended December 31, 2018 . The following tables provide information regarding the Company's financial assets and liabilities that are measured at fair value on a recurring basis as of June 30, 2019 and December 31, 2018 : Total carrying Quoted prices in active Significant other Significant (Dollars in thousands) Investments in marketable securities $ 10,034 $ 10,034 $ — $ — Derivative assets 22,659 — 22,659 — Derivative liabilities 7,275 — 7,275 — Contingent consideration liabilities 191,671 — — 191,671 Total carrying Quoted prices in active Significant other Significant (Dollars in thousands) Investments in marketable securities $ 8,671 $ 8,671 $ — $ — Derivative assets 16,050 — 16,050 — Derivative liabilities 8,581 — 8,581 — Contingent consideration liabilities 304,248 — — 304,248 There were no transfers of financial assets or liabilities reported at fair value among Level 1, Level 2 or Level 3 within the fair value hierarchy during the six months ended June 30, 2019 . Valuation Techniques The Company’s financial assets valued based upon Level 1 inputs are comprised of investments in marketable securities held in trust, which are available to satisfy benefit obligations under Company benefit plans and other arrangements. The investment assets of the trust are valued using quoted market prices. The Company’s financial assets and liabilities valued based upon Level 2 inputs are comprised of foreign currency forward contracts and cross-currency interest rate swap agreements. The Company uses foreign currency forward contracts and cross-currency interest rate swap agreements to manage foreign currency transaction exposure, exposure to foreign currency denominated monetary assets and liabilities and exposure to the effect of variability in the U.S. dollar to euro exchange rate. The Company measures the fair value of the foreign currency forward and cross-currency swap agreements by calculating the amount required to enter into offsetting contracts with similar remaining maturities, based on quoted market prices, and taking into account the creditworthiness of the counterparties. The Company’s financial liabilities valued based upon Level 3 inputs (inputs that are not observable in the market) are comprised of contingent consideration arrangements pertaining to the Company’s acquisitions, which are discussed immediately below. Contingent consideration Contingent consideration liabilities, which primarily consist of payment obligations that are contingent upon the achievement of revenue-based goals, are remeasured to fair value each reporting period using assumptions including estimated revenues (based on internal operational budgets and long-range strategic plans), discount rates, probability of payment and projected payment dates. The Company determines the fair value of the contingent consideration liabilities using a Monte Carlo simulation (which involves a simulation of future revenues during the earn out-period using management's best estimates) or a probability-weighted discounted cash flow analysis. Increases in projected revenues, estimated cash flows and probabilities of payment may result in significantly higher fair value measurements; decreases in these items may have the opposite effect. Increases in the discount rates in periods prior to payment may result in significantly lower fair value measurements and decreases in the discount rates may have the opposite effect. The table below provides additional information regarding the valuation technique and inputs used in determining the fair value of contingent consideration. Contingent Consideration Liability Valuation Technique Unobservable Input Range Milestone-based payments Discounted cash flow Discount rate 3.7% - 4.3% Projected year of payment 2019 - 2023 Revenue-based payments Monte Carlo simulation Revenue volatility 19.0% - 24.3% Risk free rate Cost of debt structure Projected year of payment 2020 - 2022 Discounted cash flow Discount rate 10.0% Projected year of payment 2019 - 2029 The following table provides information regarding changes in the Company's contingent consideration liabilities during the six months ended June 30, 2019 : Contingent consideration 2019 (Dollars in thousands) Balance - December 31, 2018 $ 304,248 Payments (1) (138,020 ) Revaluations 25,456 Translation adjustment (13 ) Balance - June 30, 2019 $ 191,671 (1) Consists mainly of a $106.8 million payment associated with the Company's acquisition of NeoTract, Inc. and resulting from the achievement of a sales goal for the period from January 1, 2018 to December 31, 2018 and $30.0 million |
Shareholders' equity
Shareholders' equity | 6 Months Ended |
Jun. 30, 2019 | |
Equity [Abstract] | |
Shareholders' equity | Shareholders’ equity Basic earnings per share is computed by dividing net income by the weighted average number of common shares outstanding during the period. Diluted earnings per share is computed in the same manner except that the weighted average number of shares is increased to include dilutive securities. The following table provides a reconciliation of basic to diluted weighted average number of common shares outstanding: Three Months Ended Six Months Ended June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 (Shares in thousands) Basic 46,172 45,581 46,111 45,455 Dilutive effect of share-based awards 864 — 878 1,052 Dilutive effect of convertible warrants — — — 264 Diluted 47,036 45,581 46,989 46,771 The weighted average number of shares that were antidilutive and therefore excluded from the calculation of earnings per share were 0.2 million for the three and six months ended June 30, 2019 and 2.0 million (inclusive of 1.2 million potentially dilutive shares that were excluded because of the net loss for the three months ended July 1, 2018) and 0.7 million for the three and six months ended July 1, 2018 , respectively. The following tables provide information relating to the changes in accumulated other comprehensive loss, net of tax, for the six months ended June 30, 2019 and July 1, 2018 : Cash Flow Hedges Pension and Other Postretirement Benefit Plans Foreign Currency Translation Adjustment Accumulated Other Comprehensive (Loss) Income (Dollars in thousands) Balance as of December 31, 2018 $ 807 $ (131,380 ) $ (210,512 ) $ (341,085 ) Other comprehensive income (loss) before reclassifications 429 (13 ) 12,332 12,748 Amounts reclassified from accumulated other comprehensive income (271 ) 2,701 — 2,430 Net current-period other comprehensive income (loss) 158 2,688 12,332 15,178 Balance as of June 30, 2019 $ 965 $ (128,692 ) $ (198,180 ) $ (325,907 ) Cash Flow Hedges Pension and Other Postretirement Benefit Plans Foreign Currency Translation Adjustment Accumulated Other Comprehensive (Loss) Income (Dollars in thousands) Balance as of December 31, 2017 $ 340 $ (138,808 ) $ (126,623 ) $ (265,091 ) Other comprehensive (loss) before reclassifications 1,103 188 (44,517 ) (43,226 ) Amounts reclassified from accumulated other comprehensive loss (811 ) 2,708 — 1,897 Net current-period other comprehensive income 292 2,896 (44,517 ) (41,329 ) Balance as of July 1, 2018 $ 632 $ (135,912 ) $ (171,140 ) $ (306,420 ) The following table provides information relating to the location in the statements of operations and amount of reclassifications of losses/(gains) in accumulated other comprehensive (loss) income into expense/(income), net of tax, for the three and six months ended June 30, 2019 and July 1, 2018 : Three Months Ended Six Months Ended June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 (Dollars in thousands) (Gains) losses on foreign exchange contracts: Cost of goods sold $ (179 ) $ (118 ) $ (365 ) $ (951 ) Total before tax (179 ) (118 ) (365 ) (951 ) Taxes (benefit) 71 27 94 140 Net of tax (108 ) (91 ) (271 ) (811 ) Losses (gains) on cross-currency swaps (net investment hedge): Interest expense (4,917 ) $ — (8,799 ) $ — Total before tax (4,917 ) — (8,799 ) — Tax expense 1,111 — 2,040 — Net of tax (3,806 ) $ — (6,759 ) $ — Amortization of pension and other postretirement benefit items (1) : Actuarial losses 1,738 1,734 3,478 3,480 Prior-service costs 22 23 44 47 Total before tax 1,760 1,757 3,522 3,527 Tax benefit (410 ) (408 ) (821 ) (819 ) Net of tax 1,350 1,349 2,701 2,708 Total reclassifications, net of tax $ (2,564 ) $ 1,258 $ (4,329 ) $ 1,897 (1) These accumulated other comprehensive (loss) income components are included in the computation of net benefit expense for pension and other postretirement benefit plans. |
Taxes on income from continuing
Taxes on income from continuing operations | 6 Months Ended |
Jun. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
Taxes on income from continuing operations | Taxes on income from continuing operations Three Months Ended Six Months Ended June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 Effective income tax rate 4.4% 136.3% 10.6% 23.2% The effective income tax rate for the three and six months ended June 30, 2019 was 4.4% and 10.6% , respectively and 136.3% and 23.2% for the three and six months ended July 1, 2018, respectively. The effective income tax rates for the three and six months ended June 30, 2019 reflect a net tax benefit related to share-based compensation, partially offset, with respect to the six months ended June 30, 2019, by the effect of non-deductible costs related to the 2019 Footprint realignment plan, as described in Note 5. The effective tax rates for the three and six months ended July 1, 2018, reflect non-deductible costs related to the 2018 Footprint realignment plan, as described in Note 5, and a non-deductible contingent consideration expense recognized in connection with an increase in the fair value of the NeoTract contingent consideration liability. Effective July 3, 2019, the Company merged two of its non-U.S. subsidiaries. The Company is currently evaluating the tax impact of this merger, but it is likely to result in a reduction of approximately $130 million to deferred tax liabilities within 12 months of the effective date of the merger. |
Commitments and contingent liab
Commitments and contingent liabilities | 6 Months Ended |
Jun. 30, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and contingent liabilities | Commitments and contingent liabilities Environmental: The Company is subject to contingencies as a result of environmental laws and regulations that in the future may require the Company to take further action to correct the effects on the environment of prior disposal practices or releases of chemical or petroleum substances by the Company or other parties. Much of this liability results from the U.S. Comprehensive Environmental Response, Compensation and Liability Act, often referred to as Superfund, the U.S. Resource Conservation and Recovery Act and similar state laws. These laws require the Company to undertake certain investigative and remedial activities at sites where the Company conducts or once conducted operations or at sites where Company-generated waste was disposed. Remediation activities vary substantially in duration and cost from site to site. These activities, and their associated costs, depend on the mix of unique site characteristics, evolving remediation technologies, the regulatory agencies involved and their enforcement policies, as well as the presence or absence of other potentially responsible parties. At June 30, 2019 , the Company has recorded $0.9 million and $6.4 million in accrued liabilities and other liabilities, respectively, relating to these matters. Considerable uncertainty exists with respect to these liabilities and, if adverse changes in circumstances occur, the potential liability may exceed the amount accrued as of June 30, 2019 . The time frame over which the accrued amounts may be paid out, based on past history, is estimated to be 10 - 15 years. Litigation: The Company is a party to various lawsuits and claims arising in the normal course of business. These lawsuits and claims include actions involving product liability, product warranty, commercial disputes, intellectual property, contract, employment, environmental and other matters. As of June 30, 2019 , the Company has recorded accrued liabilities of $0.2 million in connection with such contingencies, representing its best estimate of the cost within the range of estimated possible losses that will be incurred to resolve these matters. Based on information currently available, advice of counsel, established reserves and other resources, the Company does not believe that the outcome of any outstanding litigation and claims is likely to be, individually or in the aggregate, material to its business, financial condition, results of operations or liquidity. However, in the event of unexpected further developments, it is possible that the ultimate resolution of these matters, or other similar matters, if unfavorable, may be materially adverse to the Company’s business, financial condition, results of operations or liquidity. Legal costs such as outside counsel fees and expenses are charged to selling, general and administrative expenses in the period incurred. Tax audits and examinations: The Company and its subsidiaries are routinely subject to tax examinations by various tax authorities. As of June 30, 2019 , the most significant tax examination in process is in Germany. The Company may establish reserves with respect to its uncertain tax positions, after which it adjusts the reserves to address developments with respect to its uncertain tax positions, including developments in this tax examination. Accordingly, developments in tax audits and examinations, including resolution of uncertain tax positions, could result in increases or decreases to the Company’s recorded tax liabilities, which could impact the Company’s financial results. Other: The Company has various purchase commitments for materials, supplies and other items occurring in the ordinary conduct of its business. On average, such commitments are not at prices in excess of current market prices. |
Segment information
Segment information | 6 Months Ended |
Jun. 30, 2019 | |
Segment Reporting [Abstract] | |
Segment information | Segment information During the first quarter 2019, the chief operating decision maker, or CODM, (the Company's Chief Executive Officer) changed the manner in which he reviews financial information for purposes of assessing business performance and allocating resources by focusing on the geographic location of all non-OEM operations. As a result, the Company changed its segment presentation. Specifically, the Vascular North America, Interventional North America, Anesthesia North America, Surgical North America, Interventional Urology North America, Respiratory North America and Latin America operating segments were combined into a new Americas segment. The Company now has four segments: Americas, EMEA (Europe, Middle East and Africa), Asia and OEM. All prior comparative periods presented have been restated to reflect these changes. The following tables present the Company’s segment results for the three and six months ended June 30, 2019 and July 1, 2018 : Three Months Ended Six Months Ended June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 (Dollars in thousands) Americas $ 373,804 $ 331,444 $ 717,828 $ 654,706 EMEA 147,047 153,415 301,592 313,285 Asia 75,228 72,413 136,005 130,657 OEM 56,428 52,594 110,666 98,448 Net revenues $ 652,507 $ 609,866 $ 1,266,091 $ 1,197,096 Three Months Ended Six Months Ended June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 (Dollars in thousands) Americas $ 82,509 $ 47,315 $ 148,108 $ 106,205 EMEA 20,827 26,535 47,850 58,305 Asia 19,260 20,746 29,239 34,114 OEM 13,884 13,552 27,205 22,568 Total segment operating profit (1) 136,480 108,148 252,402 221,192 Unallocated expenses (2) (29,022 ) (74,658 ) (69,701 ) (100,859 ) Income from continuing operations before interest and taxes $ 107,458 $ 33,490 $ 182,701 $ 120,333 (1) Segment operating profit includes segment net revenues from external customers reduced by the segment's standard cost of goods sold, adjusted for fixed manufacturing cost absorption variances, selling, general and administrative expenses, research and development expenses and an allocation of corporate expenses. Corporate expenses are allocated among the segments in proportion to the respective amounts of one of several items (such as net revenues, numbers of employees, and amount of time spent), depending on the category of expense involved. (2) Unallocated expenses primarily include manufacturing variances other than fixed manufacturing cost absorption variances, restructuring charges and gain on sale of assets. |
Condensed consolidating guarant
Condensed consolidating guarantor financial information | 6 Months Ended |
Jun. 30, 2019 | |
Condensed Consolidated Guarantor Financial Information [Abstract] | |
Condensed consolidating guarantor financial information | Condensed consolidating guarantor financial information The Company’s $250 million principal amount of 5.25% Senior Notes due 2024 (the “2024 Notes”), $400 million principal amount of 4.875% Senior Notes due 2026 (the “2026 Notes”) and $500 million principal amount of 4.625% Senior Notes due 2027 (the “2027 Notes," and collectively with the 2024 Notes and the 2026 Notes, the "Senior Notes") are issued by Teleflex Incorporated (the “Parent Company”), and payment of the Parent Company's obligations under the Senior Notes are guaranteed, jointly and severally, by certain of the Parent Company’s subsidiaries (each, a “Guarantor Subsidiary” and collectively, the “Guarantor Subsidiaries”). The 2024 Notes, 2026 Notes and 2027 Notes are guaranteed by the same Guarantor Subsidiaries. The guarantees are full and unconditional, subject to certain customary release provisions. Each Guarantor Subsidiary is directly or indirectly 100% owned by the Parent Company. The Company’s condensed consolidating statements of income and comprehensive income for the three and six months ended June 30, 2019 and July 1, 2018 , condensed consolidating balance sheets as of June 30, 2019 and December 31, 2018 and condensed consolidating statements of cash flows for the six months ended June 30, 2019 and July 1, 2018 , provide consolidated information for: a. Parent Company, the issuer of the guaranteed obligations; b. Guarantor Subsidiaries, on a combined basis; c. Non-Guarantor Subsidiaries (i.e., those subsidiaries of the Parent Company that have not guaranteed payment of the Senior Notes), on a combined basis; and d. Parent Company and its subsidiaries on a consolidated basis. In connection with the Company's entry into the Credit Agreement on April 5, 2019 (as described in Note 9), a subsidiary of the Company (the "Released Subsidiary") that was a guarantor of Parent Company’s obligations under the previously outstanding credit agreement and under the Senior Notes was removed as a guarantor of Parent Company’s obligations under the Credit Agreement. Under the indentures governing the Senior Notes, the removal of the Released Subsidiary as a guarantor under the Credit Agreement automatically resulted in the release of the Released Subsidiary from its guarantees of the Senior Notes. Therefore, as of the date of the Credit Agreement, the Released Subsidiary is no longer a Guarantor Subsidiary. The condensed consolidating statements of income and comprehensive income for the three and six months ended July 1, 2018, the condensed consolidating balance sheet as of December 31, 2018 and the condensed consolidating statement of cash flows for the six months ended July 1, 2018 have been restated to exclude the Released Subsidiary from the information relating to the Guarantor Subsidiaries and to include the Released Subsidiary in the information relating to Non-Guarantor Subsidiaries. The same accounting policies as described in Note 1 to the consolidated financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018 are used by the Parent Company and each of its subsidiaries in connection with the condensed consolidating financial information, except for the use of the equity method of accounting to reflect ownership interests in subsidiaries, which are eliminated upon consolidation. Consolidating entries and eliminations in the following condensed consolidated financial statements represent adjustments to (a) eliminate intercompany transactions between or among the Parent Company, the Guarantor Subsidiaries and the Non-Guarantor Subsidiaries, (b) eliminate the investments in subsidiaries and (c) record consolidating entries. TELEFLEX INCORPORATED AND SUBSIDIARIES CONDENSED CONSOLIDATING STATEMENTS OF INCOME AND COMPREHENSIVE INCOME Three Months Ended June 30, 2019 Parent Guarantor Non-Guarantor Eliminations Condensed (Dollars in thousands) Net revenues $ — $ 439,489 $ 327,596 $ (114,578 ) $ 652,507 Cost of goods sold — 244,956 151,423 (116,796 ) 279,583 Gross profit — 194,533 176,173 2,218 372,924 Selling, general and administrative expenses 14,312 141,628 80,512 (266 ) 236,186 Research and development expenses 596 20,331 6,668 — 27,595 Restructuring and impairment charges — 108 1,577 — 1,685 (Loss) income from continuing operations before interest and taxes (14,908 ) 32,466 87,416 2,484 107,458 Interest, net 29,350 (23,439 ) 14,375 — 20,286 (Loss) income from continuing operations before taxes (44,258 ) 55,905 73,041 2,484 87,172 (Benefit) taxes on (loss) income from continuing operations (19,519 ) 15,681 7,480 202 3,844 Equity in net income of consolidated subsidiaries 108,067 57,951 — (166,018 ) — Income from continuing operations 83,328 98,175 65,561 (163,736 ) 83,328 Operating income from discontinued operations 61 — — — 61 Tax on income from discontinued operations 14 — — — 14 Income from discontinued operations 47 — — — 47 Net income 83,375 98,175 65,561 (163,736 ) 83,375 Other comprehensive income 14,782 17,107 19,457 (36,564 ) 14,782 Comprehensive income $ 98,157 $ 115,282 $ 85,018 $ (200,300 ) $ 98,157 Three Months Ended July 1, 2018 Parent Guarantor Non-Guarantor Eliminations Condensed Consolidated (Dollars in thousands) Net revenues $ — $ 391,304 $ 326,279 $ (107,717 ) $ 609,866 Cost of goods sold — 231,487 143,532 (109,931 ) 265,088 Gross profit — 159,817 182,747 2,214 344,778 Selling, general and administrative expenses 12,430 139,549 77,739 199 229,917 Research and development expenses 489 18,818 6,711 — 26,018 Restructuring and impairment charges — 2,545 52,808 — 55,353 (Loss) income from continuing operations before interest and taxes (12,919 ) (1,095 ) 45,489 2,015 33,490 Interest, net 24,788 (13,966 ) 15,644 — 26,466 (Loss) income from continuing operations before taxes (37,707 ) 12,871 29,845 2,015 7,024 (Benefit) taxes on (loss) income from continuing operations (13,218 ) 11,272 11,459 63 9,576 Equity in net income of consolidated subsidiaries 21,937 13,183 342 (35,462 ) — (Loss) income from continuing operations (2,552 ) 14,782 18,728 (33,510 ) (2,552 ) Operating income from discontinued operations 94 — — — 94 Tax on income from discontinued operations 38 — — — 38 Income from discontinued operations 56 — — — 56 Net (loss) income (2,496 ) 14,782 18,728 (33,510 ) (2,496 ) Other comprehensive loss (124,019 ) (114,917 ) (130,725 ) 245,642 (124,019 ) Comprehensive loss $ (126,515 ) $ (100,135 ) $ (111,997 ) $ 212,132 $ (126,515 ) Six Months Ended June 30, 2019 Parent Guarantor Non-Guarantor Eliminations Condensed (Dollars in thousands) Net revenues $ — $ 854,632 $ 648,589 $ (237,130 ) $ 1,266,091 Cost of goods sold — 479,173 299,280 (230,028 ) 548,425 Gross profit — 375,459 349,309 (7,102 ) 717,666 Selling, general and administrative expenses 30,479 273,327 159,981 92 463,879 Research and development expenses 1,080 40,452 13,213 — 54,745 Restructuring and impairment charges — 6,081 12,999 — 19,080 Gain on sale of assets — — (2,739 ) — (2,739 ) (Loss) income from continuing operations before interest and taxes (31,559 ) 55,599 165,855 (7,194 ) 182,701 Interest, net 33,415 (21,845 ) 31,069 — 42,639 (Loss) income from continuing operations before taxes (64,974 ) 77,444 134,786 (7,194 ) 140,062 (Benefit) taxes on (loss) income from continuing operations (28,391 ) 27,250 17,190 (1,233 ) 14,816 Equity in net income of consolidated subsidiaries 161,829 100,997 — (262,826 ) — Income from continuing operations 125,246 151,191 117,596 (268,787 ) 125,246 Operating loss from discontinued operations (1,282 ) — — — (1,282 ) Tax benefit on loss from discontinued operations (308 ) — — — (308 ) Loss from discontinued operations (974 ) — — — (974 ) Net income 124,272 151,191 117,596 (268,787 ) 124,272 Other comprehensive income 15,178 15,606 14,463 (30,069 ) 15,178 Comprehensive income $ 139,450 $ 166,797 $ 132,059 $ (298,856 ) $ 139,450 Six Months Ended July 1, 2018 Parent Guarantor Non-Guarantor Eliminations Condensed (Dollars in thousands) Net revenues $ — $ 770,723 $ 646,288 $ (219,915 ) $ 1,197,096 Cost of goods sold — 449,091 285,540 (213,583 ) 521,048 Gross profit — 321,632 360,748 (6,332 ) 676,048 Selling, general and administrative expenses 21,611 270,218 153,755 (330 ) 445,254 Research and development expenses 716 38,186 13,143 — 52,045 Restructuring and impairment charges — 3,453 54,963 — 58,416 (Loss) income from continuing operations before interest and taxes (22,327 ) 9,775 138,887 (6,002 ) 120,333 Interest, net 46,929 (26,015 ) 31,222 — 52,136 (Loss) income from continuing operations before taxes (69,256 ) 35,790 107,665 (6,002 ) 68,197 (Benefit) taxes on (loss) income from continuing operations (26,410 ) 21,468 21,863 (1,103 ) 15,818 Equity in net income of consolidated subsidiaries 96,504 78,607 635 (175,746 ) — Income from continuing operations 53,658 92,929 86,437 (180,645 ) 52,379 Operating income from discontinued operations 50 — 1,279 — 1,329 Taxes on income from discontinued operations 20 — — — 20 Income from discontinued operations 30 — 1,279 — 1,309 Net income 53,688 92,929 87,716 (180,645 ) 53,688 Other comprehensive loss (41,329 ) (44,798 ) (43,498 ) 88,296 (41,329 ) Comprehensive income $ 12,359 $ 48,131 $ 44,218 $ (92,349 ) $ 12,359 TELEFLEX INCORPORATED AND SUBSIDIARIES CONDENSED CONSOLIDATING BALANCE SHEETS June 30, 2019 Parent Guarantor Non-Guarantor Eliminations Condensed (Dollars in thousands) ASSETS Current assets Cash and cash equivalents $ 29,891 $ 3,540 $ 270,465 $ — $ 303,896 Accounts receivable, net 1,779 62,569 312,552 5,242 382,142 Accounts receivable from consolidated subsidiaries 32,698 353,336 407,860 (793,894 ) — Inventories, net — 276,761 222,603 (38,044 ) 461,320 Prepaid expenses and other current assets 36,874 9,477 28,013 4,113 78,477 Prepaid taxes 11,489 — 7,817 — 19,306 Total current assets 112,731 705,683 1,249,310 (822,583 ) 1,245,141 Property, plant and equipment, net 3,098 239,415 182,962 — 425,475 Operating lease assets 13,912 59,711 33,920 — 107,543 Goodwill — 1,255,536 994,683 — 2,250,219 Intangibles assets, net 80 1,235,058 1,007,129 — 2,242,267 Investments in affiliates 5,632,043 2,127,743 924,450 (8,684,236 ) — Deferred tax assets 14,543 — 5,440 (16,927 ) 3,056 Notes receivable and other amounts due from consolidated subsidiaries 1,892,369 3,192,420 287,713 (5,372,502 ) — Other assets 19,039 11,802 9,868 — 40,709 Total assets $ 7,687,815 $ 8,827,368 $ 4,695,475 $ (14,896,248 ) $ 6,314,410 LIABILITIES AND EQUITY Current liabilities Current borrowings $ — $ — $ 50,000 $ — $ 50,000 Accounts payable 3,972 62,664 41,423 — 108,059 Accounts payable to consolidated subsidiaries 259,906 328,596 205,392 (793,894 ) — Accrued expenses 6,376 33,982 47,340 — 87,698 Current portion of contingent consideration — 112,329 7,377 — 119,706 Payroll and benefit-related liabilities 16,365 31,763 40,760 — 88,888 Accrued interest 5,978 — 31 — 6,009 Income taxes payable — — 5,681 (1,233 ) 4,448 Other current liabilities 3,988 13,561 11,535 — 29,084 Total current liabilities 296,585 582,895 409,539 (795,127 ) 493,892 Long-term borrowings 2,081,372 — — — 2,081,372 Deferred tax liabilities — 354,208 267,575 (16,927 ) 604,856 Pension and postretirement benefit liabilities 43,250 26,800 16,099 — 86,149 Noncurrent liability for uncertain tax positions 1,042 7,329 2,658 — 11,029 Notes payable and other amounts due to consolidated subsidiaries 2,458,281 1,800,913 1,113,308 (5,372,502 ) — Noncurrent contingent consideration — 42,647 29,318 — 71,965 Noncurrent operating lease liabilities 11,421 59,065 26,016 — 96,502 Other liabilities 131,020 9,341 63,440 — 203,801 Total liabilities 5,022,971 2,883,198 1,927,953 (6,184,556 ) 3,649,566 Total shareholders' equity 2,664,844 5,944,170 2,767,522 (8,711,692 ) 2,664,844 Total liabilities and shareholders' equity $ 7,687,815 $ 8,827,368 $ 4,695,475 $ (14,896,248 ) $ 6,314,410 December 31, 2018 Parent Guarantor Non-Guarantor Eliminations Condensed (Dollars in thousands) ASSETS Current assets Cash and cash equivalents $ 49,523 $ 1,701 $ 305,937 $ — $ 357,161 Accounts receivable, net 5,885 54,013 301,054 5,334 366,286 Accounts receivable from consolidated subsidiaries 32,036 1,122,107 366,033 (1,520,176 ) — Inventories, net — 266,073 192,659 (30,954 ) 427,778 Prepaid expenses and other current assets 30,458 9,673 28,237 4,113 72,481 Prepaid taxes 7,029 — 5,434 — 12,463 Total current assets 124,931 1,453,567 1,199,354 (1,541,683 ) 1,236,169 Property, plant and equipment, net 3,385 253,037 176,344 — 432,766 Goodwill — 1,254,848 991,731 — 2,246,579 Intangibles assets, net 90 1,277,462 1,047,500 — 2,325,052 Investments in affiliates 5,984,566 1,625,464 837,899 (8,447,929 ) — Deferred tax assets — — 4,822 (2,376 ) 2,446 Notes receivable and other amounts due from consolidated subsidiaries 2,337,737 3,347,815 13,242 (5,698,794 ) — Other assets 17,180 5,776 12,023 — 34,979 Total assets $ 8,467,889 $ 9,217,969 $ 4,282,915 $ (15,690,782 ) $ 6,277,991 LIABILITIES AND EQUITY Current liabilities Current borrowings $ 36,625 $ — $ 50,000 $ — $ 86,625 Accounts payable 3,448 62,764 40,497 — 106,709 Accounts payable to consolidated subsidiaries 1,058,008 292,093 170,075 (1,520,176 ) — Accrued expenses 5,659 41,873 50,019 — 97,551 Current portion of contingent consideration — 106,514 30,363 — 136,877 Payroll and benefit-related liabilities 17,156 44,982 42,532 — 104,670 Accrued interest 5,995 — 36 — 6,031 Income taxes payable — — 5,943 — 5,943 Other current liabilities 843 34,916 2,291 — 38,050 Total current liabilities 1,127,734 583,142 391,756 (1,520,176 ) 582,456 Long-term borrowings 2,072,200 — — — 2,072,200 Deferred tax liabilities 87,671 257,522 265,404 (2,376 ) 608,221 Pension and postretirement benefit liabilities 49,290 27,454 16,170 — 92,914 Noncurrent liability for uncertain tax positions 801 7,212 2,705 — 10,718 Notes payable and other amounts due to consolidated subsidiaries 2,451,784 2,222,580 1,024,430 (5,698,794 ) — Noncurrent contingent consideration — 131,563 35,807 — 167,370 Other liabilities 138,431 8,204 57,499 204,134 Total liabilities 5,927,911 3,237,677 1,793,771 (7,221,346 ) 3,738,013 Total shareholders' equity 2,539,978 5,980,292 2,489,144 (8,469,436 ) 2,539,978 Total liabilities and shareholders' equity $ 8,467,889 $ 9,217,969 $ 4,282,915 $ (15,690,782 ) $ 6,277,991 TELEFLEX INCORPORATED AND SUBSIDIARIES CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS Six Months Ended June 30, 2019 Parent Guarantor Non-Guarantor Eliminations Condensed (Dollars in thousands) Net cash (used in) provided by operating activities from continuing operations $ (60,841 ) $ 180,717 $ 129,863 $ (92,455 ) $ 157,284 Cash flows from investing activities of continuing operations: Expenditures for property, plant and equipment (327 ) (37,981 ) (17,799 ) — (56,107 ) Proceeds from sale of assets and investments 2,362 1,178 — (2,362 ) 1,178 Payments for businesses and intangibles acquired, net of cash acquired — (1,025 ) — — (1,025 ) Net interest proceeds on swaps designated as net investment hedges 8,330 — — — 8,330 Net cash provided by (used in) investing activities from continuing operations 10,365 (37,828 ) (17,799 ) (2,362 ) (47,624 ) Cash flows from financing activities of continuing operations: Proceeds from new borrowings 25,000 — — — 25,000 Reduction in borrowings (52,500 ) — — — (52,500 ) Debt extinguishment, issuance and amendment fees (4,703 ) — — — (4,703 ) Net proceeds from share based compensation plans and the related tax impacts 7,829 — — — 7,829 Payments for contingent consideration — (15,044 ) (96,884 ) — (111,928 ) Dividends paid (31,347 ) — — — (31,347 ) Intercompany transactions 83,135 (126,062 ) 40,565 2,362 — Intercompany dividends paid — — (92,455 ) 92,455 — Net cash provided by (used in) financing activities from continuing operations 27,414 (141,106 ) (148,774 ) 94,817 (167,649 ) Cash flows from discontinued operations: Net cash provided by (used in) operating activities 3,430 — (631 ) — 2,799 Net cash provided by (used in) discontinued operations 3,430 — (631 ) — 2,799 Effect of exchange rate changes on cash and cash equivalents — — 1,925 — 1,925 Net (decrease) increase in cash and cash equivalents (19,632 ) 1,783 (35,416 ) — (53,265 ) Cash and cash equivalents at the beginning of the period 49,523 1,757 305,881 — 357,161 Cash and cash equivalents at the end of the period $ 29,891 $ 3,540 $ 270,465 $ — $ 303,896 Six Months Ended July 1, 2018 Parent Guarantor Non-Guarantor Eliminations Condensed (Dollars in thousands) Net cash (used in) provided by operating activities from continuing operations $ (165,764 ) $ 254,769 $ 162,952 $ (70,373 ) $ 181,584 Cash flows from investing activities of continuing operations: Expenditures for property, plant and equipment (795 ) (16,602 ) (20,607 ) — (38,004 ) Proceeds from sale of assets 22,944 — — (22,944 ) — Payments for businesses and intangibles acquired, net of cash acquired — — (22,450 ) — (22,450 ) Net cash provided by (used in) investing activities from continuing operations 22,149 (16,602 ) (43,057 ) (22,944 ) (60,454 ) Cash flows from financing activities of continuing operations: Reduction in borrowings (18,500 ) — — — (18,500 ) Debt extinguishment, issuance and amendment fees (188 ) — — — (188 ) Net proceeds from share based compensation plans and the related tax impacts 9,800 — — — 9,800 Payments for contingent consideration — (170 ) (62,404 ) — (62,574 ) Dividends paid (30,938 ) — — — (30,938 ) Intercompany transactions 196,888 (234,304 ) 14,472 22,944 — Intercompany dividends paid — — (70,373 ) 70,373 — Net cash provided by (used in) financing activities from continuing operations 157,062 (234,474 ) (118,305 ) 93,317 (102,400 ) Cash flows from discontinued operations: Net cash used in operating activities (464 ) — — — (464 ) Net cash used in discontinued operations (464 ) — — — (464 ) Effect of exchange rate changes on cash and cash equivalents — — (5,520 ) — (5,520 ) Net increase (decrease) in cash and cash equivalents 12,983 3,693 (3,930 ) — 12,746 Cash and cash equivalents at the beginning of the period 37,803 8,933 286,822 — 333,558 Cash and cash equivalents at the end of the period $ 50,786 $ 12,626 $ 282,892 $ — $ 346,304 |
Recently issued accounting st_2
Recently issued accounting standards (Policies) | 6 Months Ended |
Jun. 30, 2019 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
Recently issued accounting standards | Recently issued accounting standards In February 2016, the FASB issued guidance that changes the requirements for accounting for leases. Under the new guidance, in connection with a lease as to which an entity is a lessee, the entity generally must recognize a right-to-use asset and a lease liability on the balance sheet, initially measured as the present value of lease payments under the lease. Under previous guidance, operating leases were not recognized on the balance sheet. The Company adopted the new standard on January 1, 2019 using a modified retrospective transition approach, which requires leases existing at, or entered into after, January 1, 2019 to be recognized and measured in the condensed consolidated balance sheet. The Company recognized additional net lease assets and lease liabilities of $105.3 million and $106.6 million , respectively, upon adoption of the guidance. The difference between the additional lease assets and lease liabilities was recorded as an adjustment to the Company's opening balance of retained earnings. Prior period amounts have not been adjusted and continue to reflect the Company's historical accounting. As permitted under the new guidance, the Company has made an accounting policy election not to apply the recognition provisions of the new guidance to short term leases (leases with a lease term of 12 months or less that do not include an option to purchase the underlying asset that the lessee is reasonably certain to exercise); instead, the Company will recognize the lease payments for short term leases on a straight-line basis over the lease term. In addition, the Company has elected to apply certain practical expedients available under the new guidance. As a result, and in connection with the transition to the new guidance, the Company did not reassess (i) whether any expired or existing contracts are or contain leases, (ii) the classification of any expired or existing leases, or (iii) initial direct costs for any existing leases. The Company applied the practical expedients described above to its entire lease portfolio at the January 1, 2019 adoption date. Furthermore, as permitted under the new guidance, the Company has made, as a practical expedient, an accounting policy election to not separate lease and non-lease components and instead will account for each separate lease component and the non-lease components associated with that lease component as a single lease component. Additional information and disclosures required by this standard are contained in Note 8. In February 2018, the FASB issued new guidance to address a narrow-scope financial reporting issue that arose as a consequence of federal tax legislation commonly referred to as the Tax Cuts and Jobs Act ("the TCJA"). Existing guidance requires that deferred tax liabilities and assets be adjusted for a change in tax laws or rates with the effect included in income from continuing operations in the reporting period that includes the enactment date. The guidance is applicable even in situations in which the related income tax effects of items in accumulated other comprehensive income were originally recognized in other comprehensive income (rather than in net income), such as amounts related to benefit plans and hedging activity. As a result, the tax effects of items within accumulated other comprehensive income (referred to as stranded tax effects) do not reflect the appropriate tax rate. The new guidance, which was effective January 1, 2019, permits reclassification of these amounts from accumulated other comprehensive income to retained earnings thereby eliminating the stranded tax effects. The new guidance also requires certain disclosures about the stranded tax effects. The Company elected not to reclassify stranded tax effects from accumulated other comprehensive income to retained earnings. In June 2016, the FASB issued new guidance that changes the methodology to be used to measure credit losses for certain financial instruments and financial assets, including trade receivables. Under current guidance, an entity reflects credit losses on financial assets measured on an amortized cost basis only when it is probable that losses have been incurred, generally considering only past events and current conditions in determining incurred loss. The new guidance requires the recognition of an allowance that reflects the current estimate of credit losses expected to be incurred over the life of the financial asset, based not only on historical experience and current conditions, but also on reasonable forecasts. The main objective of the new guidance is to provide financial statement users with more useful information in making decisions about the expected credit losses on financial instruments and other commitments to extend credit held by a reporting entity at each reporting date. The new guidance is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is permitted. The new guidance will be applied on a modified retrospective basis through a cumulative-effect adjustment to retained earnings as of the beginning of the annual period in which the adoption is effective. The Company is currently evaluating the impact the guidance will have on its consolidated financial statements and related disclosures, but it is not expected to have a material effect on the consolidated financial statements. From time to time, new accounting guidance is issued by the FASB or other standard setting bodies that is adopted by the Company as of the effective date or, in some cases where early adoption is permitted, in advance of the effective date. The Company has assessed the recently issued guidance that is not yet effective and, unless otherwise indicated above, believes the new guidance will not have a material impact on the its consolidated results of operations, cash flows or financial position. |
Net revenues (Tables)
Net revenues (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Revenue by Major Customers by Reporting Segments | The following table disaggregates revenue by global product category for the three and six months ended June 30, 2019 and July 1, 2018 . Three Months Ended Six Months Ended June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 (Dollars in thousands) Vascular access $ 153,647 $ 140,149 $ 297,544 $ 284,177 Anesthesia 85,723 89,311 165,975 174,233 Interventional 104,785 98,189 207,969 188,331 Surgical 95,570 90,517 182,289 176,138 Interventional urology 67,952 47,674 127,683 89,974 OEM 56,428 52,594 110,666 98,448 Other (1) 88,402 91,432 173,965 185,795 Net revenues (2) $ 652,507 $ 609,866 $ 1,266,091 $ 1,197,096 (1) Revenues in the "Other" category in the table above include revenues generated from sales of the Company’s respiratory and urology products (other than interventional urology products). For the three and six months ended June 30, 2019, the Company reclassified its cardiac products from "Other" to "Interventional". The comparative prior year period has been restated to conform to the current period presentation. (2) |
Restructuring and impairment _2
Restructuring and impairment charges (credits) (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Other Impairment Charges | The following tables provide information regarding restructuring and impairment charges recognized by the Company for the three and six months ended June 30, 2019 and July 1, 2018 : Three Months Ended June 30, 2019 Termination benefits Other costs (1) Total (Dollars in thousands) 2019 Footprint realignment plan $ (459 ) $ 30 $ (429 ) 2018 Footprint realignment plan (2,275 ) 134 $ (2,141 ) Other restructuring programs (2) 62 312 374 Restructuring charges (credits) (2,672 ) 476 (2,196 ) Asset impairment charges — 3,881 3,881 Restructuring and impairment charges (credits) $ (2,672 ) $ 4,357 $ 1,685 Three Months Ended July 1, 2018 Termination benefits Other costs (1) Total (Dollars in thousands) 2018 Footprint realignment plan $ 52,345 $ 129 $ 52,474 Other restructuring programs (4) 574 440 1,014 Restructuring charges 52,919 569 53,488 Asset impairment charges — 1,865 1,865 Restructuring and impairment charges $ 52,919 $ 2,434 $ 55,353 Six Months Ended June 30, 2019 Termination Benefits Other costs (1) Total (Dollars in thousands) 2019 Footprint realignment plan $ 12,516 $ 30 $ 12,546 2018 Footprint realignment plan (1,838 ) 708 (1,130 ) Other restructuring programs (2) 188 565 753 Restructuring charges 10,866 1,303 12,169 Asset impairment charges — 6,911 6,911 Restructuring and impairment charges $ 10,866 $ 8,214 $ 19,080 Six Months Ended July 1, 2018 Termination Benefits Other costs (1) Total (Dollars in thousands) 2018 Footprint realignment plan $ 52,345 $ 129 $ 52,474 2016 Footprint realignment plan (3) 2,199 291 2,490 Other restructuring programs (4) 1,032 555 1,587 Restructuring charges 55,576 975 56,551 Asset impairment charges — 1,865 1,865 Restructuring and impairment charges $ 55,576 $ 2,840 $ 58,416 (1) Other restructuring costs include facility closure, contract termination and other exit costs. (2) Includes the Vascular Solutions integration program (initiated in 2017) as well as the 2016 and 2014 Footprint realignment plans. (3) The 2016 Footprint realignment plan involved the relocation of certain manufacturing operations, the relocation and outsourcing of certain distribution operations and a related workforce reduction at certain of the Company's facilities. The program is substantially complete and the Company expects future restructuring expenses associated with the program, if any, to be immaterial. (4) Includes the 2014 Footprint realignment plan, the Vascular Solutions integration program and the EMEA restructuring program (initiated in 2017). |
Summary Of Current Cost Estimates By Major Type Of Cost Table | These actions are expected to be substantially completed during 2022. The following table provides a summary of the Company’s cost estimates by major type of expense associated with the 2019 Footprint realignment plan: Type of expense Total estimated amount expected to be incurred Termination benefits $19 million to $23 million Other exit costs (1) $1 million to $2 million Restructuring charges $20 million to $25 million Restructuring related charges (2) $36 million to $45 million Total restructuring and restructuring related charges $56 million to $70 million (1) Includes facility closure, employee relocation, equipment relocation and outplacement costs. (2) Restructuring related charges represent costs that are directly related to the 2019 Footprint realignment plan and principally constitute costs to transfer manufacturing operations to existing lower-cost locations, project management costs and accelerated depreciation. Most of these charges are expected to be recognized within cost of goods sold. |
Inventories, net (Tables)
Inventories, net (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Inventory Disclosure [Abstract] | |
Inventories, net | Inventories as of June 30, 2019 and December 31, 2018 consisted of the following: June 30, 2019 December 31, 2018 (Dollars in thousands) Raw materials $ 131,252 $ 111,105 Work-in-process 63,465 62,334 Finished goods 266,603 254,339 Inventories, net $ 461,320 $ 427,778 |
Goodwill and other intangible_2
Goodwill and other intangible assets, net (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | The following table provides information relating to changes in the carrying amount of goodwill by reportable operating segment for the six months ended June 30, 2019 : Americas EMEA Asia OEM Total (Dollars in thousands) December 31, 2018 $ 1,549,534 $ 480,615 $ 211,547 $ 4,883 $ 2,246,579 Goodwill related to acquisitions 174 75 476 — 725 Currency translation adjustment 1,221 196 1,498 — 2,915 June 30, 2019 $ 1,550,929 $ 480,886 $ 213,521 $ 4,883 $ 2,250,219 |
Schedule of Finite-Lived Intangible Assets | The Company's gross carrying amount of, and accumulated amortization relating to, intangible assets as of June 30, 2019 and December 31, 2018 were as follows: Gross Carrying Amount Accumulated Amortization June 30, 2019 December 31, 2018 June 30, 2019 December 31, 2018 (Dollars in thousands) Customer relationships $ 1,025,516 $ 1,030,194 $ (345,715 ) $ (322,972 ) In-process research and development 28,404 28,457 — — Intellectual property 1,359,876 1,363,516 (363,396 ) (322,539 ) Distribution rights 23,455 23,465 (18,397 ) (17,860 ) Trade names 565,434 565,070 (43,644 ) (36,379 ) Non-compete agreements 22,981 23,004 (12,247 ) (8,904 ) $ 3,025,666 $ 3,033,706 $ (783,399 ) $ (708,654 ) |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
Schedule of Lessee, Operating Lease, Liability, Maturity | Maturities of lease liabilities June 30, 2019 (Dollars in thousands) 2019 $ 14,045 2020 23,992 2021 21,602 2022 19,924 2023 16,363 2024 and thereafter 42,060 Total lease payments 137,986 Less: interest (21,334 ) Present value of lease liabilities $ 116,652 |
Supplemental Information, Lessee, Operating Lease | Supplemental information as of and for the six months ended June 30, 2019 (dollars in thousands) Total lease liabilities (1) $ 116,652 Cash paid for amounts included in the measurement of lease liabilities within operating cash flows $ 12,636 Right of use assets obtained in exchange for operating lease obligations $ 19,728 Weighted average remaining lease term 6.8 years Weighted average discount rate 4.4 % (1) The current portion of the operating lease liabilities of $20.1 million is included in Other current liabilities. |
Future Minimum Lease Payments Under Noncancelable Operating Leases | As of December 31, 2018 , minimum lease payments under noncancellable operating leases were expected to be as follows: December 31, 2018 (Dollars in thousands) 2019 $ 25,294 2020 23,216 2021 21,419 2022 19,460 2023 17,403 2024 and thereafter 41,368 |
Borrowings (Tables)
Borrowings (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Debt Disclosure [Abstract] | |
Components of Long-Term Debt | The Company's borrowings at June 30, 2019 and December 31, 2018 were as follows: June 30, 2019 December 31, 2018 (Dollars in thousands) Senior Credit Facility: Revolving credit facility, at a rate of 3.90% at June 30, 2019, due 2024 $ 276,000 $ 293,000 Term loan facility, at a rate of 3.90% at June 30, 2019, due 2024 673,000 683,500 5.25% Senior Notes due 2024 250,000 250,000 4.875% Senior Notes due 2026 400,000 400,000 4.625% Senior Notes due 2027 500,000 500,000 Securitization program, at a rate of 3.15% at June 30, 2019 50,000 50,000 2,149,000 2,176,500 Less: Unamortized debt issuance costs (17,628 ) (17,675 ) 2,131,372 2,158,825 Current borrowings (50,000 ) (86,625 ) Long-term borrowings $ 2,081,372 $ 2,072,200 |
Financial instruments (Tables)
Financial instruments (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Fair Values of Derivative Instruments Designated as Hedging Instruments | The following table presents the locations in the condensed consolidated balance sheet and fair value of derivative financial instruments as of June 30, 2019 and December 31, 2018 : June 30, 2019 December 31, 2018 Fair Value (Dollars in thousands) Asset derivatives: Designated foreign currency forward contracts $ 1,344 $ 1,216 Non-designated foreign currency forward contracts 159 106 Cross-currency interest rate swap 21,156 14,728 Prepaid expenses and other current assets 22,659 16,050 Total asset derivatives $ 22,659 $ 16,050 Liability derivatives: Designated foreign currency forward contracts $ 992 $ 524 Non-designated foreign currency forward contracts 131 264 Other current liabilities 1,123 788 Cross-currency interest rate swap 6,152 7,793 Other liabilities 6,152 7,793 Total liability derivatives $ 7,275 $ 8,581 |
Fair value measurement (Tables)
Fair value measurement (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Financial Assets and Liabilities Carried at Fair Value Measured on Recurring Basis | The following tables provide information regarding the Company's financial assets and liabilities that are measured at fair value on a recurring basis as of June 30, 2019 and December 31, 2018 : Total carrying Quoted prices in active Significant other Significant (Dollars in thousands) Investments in marketable securities $ 10,034 $ 10,034 $ — $ — Derivative assets 22,659 — 22,659 — Derivative liabilities 7,275 — 7,275 — Contingent consideration liabilities 191,671 — — 191,671 Total carrying Quoted prices in active Significant other Significant (Dollars in thousands) Investments in marketable securities $ 8,671 $ 8,671 $ — $ — Derivative assets 16,050 — 16,050 — Derivative liabilities 8,581 — 8,581 — Contingent consideration liabilities 304,248 — — 304,248 |
Schedule of Valuation Techniques | The table below provides additional information regarding the valuation technique and inputs used in determining the fair value of contingent consideration. Contingent Consideration Liability Valuation Technique Unobservable Input Range Milestone-based payments Discounted cash flow Discount rate 3.7% - 4.3% Projected year of payment 2019 - 2023 Revenue-based payments Monte Carlo simulation Revenue volatility 19.0% - 24.3% Risk free rate Cost of debt structure Projected year of payment 2020 - 2022 Discounted cash flow Discount rate 10.0% Projected year of payment 2019 - 2029 |
Reconciliation of Changes in Level 3 Financial Liabilities Measured at Fair Value on Recurring Basis | The following table provides information regarding changes in the Company's contingent consideration liabilities during the six months ended June 30, 2019 : Contingent consideration 2019 (Dollars in thousands) Balance - December 31, 2018 $ 304,248 Payments (1) (138,020 ) Revaluations 25,456 Translation adjustment (13 ) Balance - June 30, 2019 $ 191,671 (1) Consists mainly of a $106.8 million payment associated with the Company's acquisition of NeoTract, Inc. and resulting from the achievement of a sales goal for the period from January 1, 2018 to December 31, 2018 and $30.0 million of payments associated with the Company's acquisition of Essential Medical, Inc. and resulting from achievement of a regulatory goal. |
Shareholders' equity (Tables)
Shareholders' equity (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Equity [Abstract] | |
Reconciliation of Basic to Diluted Weighted Average Common Shares Outstanding | The following table provides a reconciliation of basic to diluted weighted average number of common shares outstanding: Three Months Ended Six Months Ended June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 (Shares in thousands) Basic 46,172 45,581 46,111 45,455 Dilutive effect of share-based awards 864 — 878 1,052 Dilutive effect of convertible warrants — — — 264 Diluted 47,036 45,581 46,989 46,771 |
Change in Accumulated Other Comprehensive Income (Loss) | The following tables provide information relating to the changes in accumulated other comprehensive loss, net of tax, for the six months ended June 30, 2019 and July 1, 2018 : Cash Flow Hedges Pension and Other Postretirement Benefit Plans Foreign Currency Translation Adjustment Accumulated Other Comprehensive (Loss) Income (Dollars in thousands) Balance as of December 31, 2018 $ 807 $ (131,380 ) $ (210,512 ) $ (341,085 ) Other comprehensive income (loss) before reclassifications 429 (13 ) 12,332 12,748 Amounts reclassified from accumulated other comprehensive income (271 ) 2,701 — 2,430 Net current-period other comprehensive income (loss) 158 2,688 12,332 15,178 Balance as of June 30, 2019 $ 965 $ (128,692 ) $ (198,180 ) $ (325,907 ) Cash Flow Hedges Pension and Other Postretirement Benefit Plans Foreign Currency Translation Adjustment Accumulated Other Comprehensive (Loss) Income (Dollars in thousands) Balance as of December 31, 2017 $ 340 $ (138,808 ) $ (126,623 ) $ (265,091 ) Other comprehensive (loss) before reclassifications 1,103 188 (44,517 ) (43,226 ) Amounts reclassified from accumulated other comprehensive loss (811 ) 2,708 — 1,897 Net current-period other comprehensive income 292 2,896 (44,517 ) (41,329 ) Balance as of July 1, 2018 $ 632 $ (135,912 ) $ (171,140 ) $ (306,420 ) |
Reclassification of Gain/Losses into Income/Expense, Net of Tax | The following table provides information relating to the location in the statements of operations and amount of reclassifications of losses/(gains) in accumulated other comprehensive (loss) income into expense/(income), net of tax, for the three and six months ended June 30, 2019 and July 1, 2018 : Three Months Ended Six Months Ended June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 (Dollars in thousands) (Gains) losses on foreign exchange contracts: Cost of goods sold $ (179 ) $ (118 ) $ (365 ) $ (951 ) Total before tax (179 ) (118 ) (365 ) (951 ) Taxes (benefit) 71 27 94 140 Net of tax (108 ) (91 ) (271 ) (811 ) Losses (gains) on cross-currency swaps (net investment hedge): Interest expense (4,917 ) $ — (8,799 ) $ — Total before tax (4,917 ) — (8,799 ) — Tax expense 1,111 — 2,040 — Net of tax (3,806 ) $ — (6,759 ) $ — Amortization of pension and other postretirement benefit items (1) : Actuarial losses 1,738 1,734 3,478 3,480 Prior-service costs 22 23 44 47 Total before tax 1,760 1,757 3,522 3,527 Tax benefit (410 ) (408 ) (821 ) (819 ) Net of tax 1,350 1,349 2,701 2,708 Total reclassifications, net of tax $ (2,564 ) $ 1,258 $ (4,329 ) $ 1,897 (1) These accumulated other comprehensive (loss) income components are included in the computation of net benefit expense for pension and other postretirement benefit plans. |
Taxes on income from continui_2
Taxes on income from continuing operations (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
Effective Income Tax Rate | Three Months Ended Six Months Ended June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 Effective income tax rate 4.4% 136.3% 10.6% 23.2% |
Segment information (Tables)
Segment information (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Segment Reporting [Abstract] | |
Segment Results | The following tables present the Company’s segment results for the three and six months ended June 30, 2019 and July 1, 2018 : Three Months Ended Six Months Ended June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 (Dollars in thousands) Americas $ 373,804 $ 331,444 $ 717,828 $ 654,706 EMEA 147,047 153,415 301,592 313,285 Asia 75,228 72,413 136,005 130,657 OEM 56,428 52,594 110,666 98,448 Net revenues $ 652,507 $ 609,866 $ 1,266,091 $ 1,197,096 Three Months Ended Six Months Ended June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 (Dollars in thousands) Americas $ 82,509 $ 47,315 $ 148,108 $ 106,205 EMEA 20,827 26,535 47,850 58,305 Asia 19,260 20,746 29,239 34,114 OEM 13,884 13,552 27,205 22,568 Total segment operating profit (1) 136,480 108,148 252,402 221,192 Unallocated expenses (2) (29,022 ) (74,658 ) (69,701 ) (100,859 ) Income from continuing operations before interest and taxes $ 107,458 $ 33,490 $ 182,701 $ 120,333 (1) Segment operating profit includes segment net revenues from external customers reduced by the segment's standard cost of goods sold, adjusted for fixed manufacturing cost absorption variances, selling, general and administrative expenses, research and development expenses and an allocation of corporate expenses. Corporate expenses are allocated among the segments in proportion to the respective amounts of one of several items (such as net revenues, numbers of employees, and amount of time spent), depending on the category of expense involved. (2) Unallocated expenses primarily include manufacturing variances other than fixed manufacturing cost absorption variances, restructuring charges and gain on sale of assets. |
Condensed consolidating guara_2
Condensed consolidating guarantor financial information (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Condensed Consolidated Guarantor Financial Information [Abstract] | |
Condensed Consolidated Statements of Income (Loss) and Comprehensive Income (Loss) | TELEFLEX INCORPORATED AND SUBSIDIARIES CONDENSED CONSOLIDATING STATEMENTS OF INCOME AND COMPREHENSIVE INCOME Three Months Ended June 30, 2019 Parent Guarantor Non-Guarantor Eliminations Condensed (Dollars in thousands) Net revenues $ — $ 439,489 $ 327,596 $ (114,578 ) $ 652,507 Cost of goods sold — 244,956 151,423 (116,796 ) 279,583 Gross profit — 194,533 176,173 2,218 372,924 Selling, general and administrative expenses 14,312 141,628 80,512 (266 ) 236,186 Research and development expenses 596 20,331 6,668 — 27,595 Restructuring and impairment charges — 108 1,577 — 1,685 (Loss) income from continuing operations before interest and taxes (14,908 ) 32,466 87,416 2,484 107,458 Interest, net 29,350 (23,439 ) 14,375 — 20,286 (Loss) income from continuing operations before taxes (44,258 ) 55,905 73,041 2,484 87,172 (Benefit) taxes on (loss) income from continuing operations (19,519 ) 15,681 7,480 202 3,844 Equity in net income of consolidated subsidiaries 108,067 57,951 — (166,018 ) — Income from continuing operations 83,328 98,175 65,561 (163,736 ) 83,328 Operating income from discontinued operations 61 — — — 61 Tax on income from discontinued operations 14 — — — 14 Income from discontinued operations 47 — — — 47 Net income 83,375 98,175 65,561 (163,736 ) 83,375 Other comprehensive income 14,782 17,107 19,457 (36,564 ) 14,782 Comprehensive income $ 98,157 $ 115,282 $ 85,018 $ (200,300 ) $ 98,157 Three Months Ended July 1, 2018 Parent Guarantor Non-Guarantor Eliminations Condensed Consolidated (Dollars in thousands) Net revenues $ — $ 391,304 $ 326,279 $ (107,717 ) $ 609,866 Cost of goods sold — 231,487 143,532 (109,931 ) 265,088 Gross profit — 159,817 182,747 2,214 344,778 Selling, general and administrative expenses 12,430 139,549 77,739 199 229,917 Research and development expenses 489 18,818 6,711 — 26,018 Restructuring and impairment charges — 2,545 52,808 — 55,353 (Loss) income from continuing operations before interest and taxes (12,919 ) (1,095 ) 45,489 2,015 33,490 Interest, net 24,788 (13,966 ) 15,644 — 26,466 (Loss) income from continuing operations before taxes (37,707 ) 12,871 29,845 2,015 7,024 (Benefit) taxes on (loss) income from continuing operations (13,218 ) 11,272 11,459 63 9,576 Equity in net income of consolidated subsidiaries 21,937 13,183 342 (35,462 ) — (Loss) income from continuing operations (2,552 ) 14,782 18,728 (33,510 ) (2,552 ) Operating income from discontinued operations 94 — — — 94 Tax on income from discontinued operations 38 — — — 38 Income from discontinued operations 56 — — — 56 Net (loss) income (2,496 ) 14,782 18,728 (33,510 ) (2,496 ) Other comprehensive loss (124,019 ) (114,917 ) (130,725 ) 245,642 (124,019 ) Comprehensive loss $ (126,515 ) $ (100,135 ) $ (111,997 ) $ 212,132 $ (126,515 ) Six Months Ended June 30, 2019 Parent Guarantor Non-Guarantor Eliminations Condensed (Dollars in thousands) Net revenues $ — $ 854,632 $ 648,589 $ (237,130 ) $ 1,266,091 Cost of goods sold — 479,173 299,280 (230,028 ) 548,425 Gross profit — 375,459 349,309 (7,102 ) 717,666 Selling, general and administrative expenses 30,479 273,327 159,981 92 463,879 Research and development expenses 1,080 40,452 13,213 — 54,745 Restructuring and impairment charges — 6,081 12,999 — 19,080 Gain on sale of assets — — (2,739 ) — (2,739 ) (Loss) income from continuing operations before interest and taxes (31,559 ) 55,599 165,855 (7,194 ) 182,701 Interest, net 33,415 (21,845 ) 31,069 — 42,639 (Loss) income from continuing operations before taxes (64,974 ) 77,444 134,786 (7,194 ) 140,062 (Benefit) taxes on (loss) income from continuing operations (28,391 ) 27,250 17,190 (1,233 ) 14,816 Equity in net income of consolidated subsidiaries 161,829 100,997 — (262,826 ) — Income from continuing operations 125,246 151,191 117,596 (268,787 ) 125,246 Operating loss from discontinued operations (1,282 ) — — — (1,282 ) Tax benefit on loss from discontinued operations (308 ) — — — (308 ) Loss from discontinued operations (974 ) — — — (974 ) Net income 124,272 151,191 117,596 (268,787 ) 124,272 Other comprehensive income 15,178 15,606 14,463 (30,069 ) 15,178 Comprehensive income $ 139,450 $ 166,797 $ 132,059 $ (298,856 ) $ 139,450 Six Months Ended July 1, 2018 Parent Guarantor Non-Guarantor Eliminations Condensed (Dollars in thousands) Net revenues $ — $ 770,723 $ 646,288 $ (219,915 ) $ 1,197,096 Cost of goods sold — 449,091 285,540 (213,583 ) 521,048 Gross profit — 321,632 360,748 (6,332 ) 676,048 Selling, general and administrative expenses 21,611 270,218 153,755 (330 ) 445,254 Research and development expenses 716 38,186 13,143 — 52,045 Restructuring and impairment charges — 3,453 54,963 — 58,416 (Loss) income from continuing operations before interest and taxes (22,327 ) 9,775 138,887 (6,002 ) 120,333 Interest, net 46,929 (26,015 ) 31,222 — 52,136 (Loss) income from continuing operations before taxes (69,256 ) 35,790 107,665 (6,002 ) 68,197 (Benefit) taxes on (loss) income from continuing operations (26,410 ) 21,468 21,863 (1,103 ) 15,818 Equity in net income of consolidated subsidiaries 96,504 78,607 635 (175,746 ) — Income from continuing operations 53,658 92,929 86,437 (180,645 ) 52,379 Operating income from discontinued operations 50 — 1,279 — 1,329 Taxes on income from discontinued operations 20 — — — 20 Income from discontinued operations 30 — 1,279 — 1,309 Net income 53,688 92,929 87,716 (180,645 ) 53,688 Other comprehensive loss (41,329 ) (44,798 ) (43,498 ) 88,296 (41,329 ) Comprehensive income $ 12,359 $ 48,131 $ 44,218 $ (92,349 ) $ 12,359 |
Condensed Consolidating Balance Sheets | TELEFLEX INCORPORATED AND SUBSIDIARIES CONDENSED CONSOLIDATING BALANCE SHEETS June 30, 2019 Parent Guarantor Non-Guarantor Eliminations Condensed (Dollars in thousands) ASSETS Current assets Cash and cash equivalents $ 29,891 $ 3,540 $ 270,465 $ — $ 303,896 Accounts receivable, net 1,779 62,569 312,552 5,242 382,142 Accounts receivable from consolidated subsidiaries 32,698 353,336 407,860 (793,894 ) — Inventories, net — 276,761 222,603 (38,044 ) 461,320 Prepaid expenses and other current assets 36,874 9,477 28,013 4,113 78,477 Prepaid taxes 11,489 — 7,817 — 19,306 Total current assets 112,731 705,683 1,249,310 (822,583 ) 1,245,141 Property, plant and equipment, net 3,098 239,415 182,962 — 425,475 Operating lease assets 13,912 59,711 33,920 — 107,543 Goodwill — 1,255,536 994,683 — 2,250,219 Intangibles assets, net 80 1,235,058 1,007,129 — 2,242,267 Investments in affiliates 5,632,043 2,127,743 924,450 (8,684,236 ) — Deferred tax assets 14,543 — 5,440 (16,927 ) 3,056 Notes receivable and other amounts due from consolidated subsidiaries 1,892,369 3,192,420 287,713 (5,372,502 ) — Other assets 19,039 11,802 9,868 — 40,709 Total assets $ 7,687,815 $ 8,827,368 $ 4,695,475 $ (14,896,248 ) $ 6,314,410 LIABILITIES AND EQUITY Current liabilities Current borrowings $ — $ — $ 50,000 $ — $ 50,000 Accounts payable 3,972 62,664 41,423 — 108,059 Accounts payable to consolidated subsidiaries 259,906 328,596 205,392 (793,894 ) — Accrued expenses 6,376 33,982 47,340 — 87,698 Current portion of contingent consideration — 112,329 7,377 — 119,706 Payroll and benefit-related liabilities 16,365 31,763 40,760 — 88,888 Accrued interest 5,978 — 31 — 6,009 Income taxes payable — — 5,681 (1,233 ) 4,448 Other current liabilities 3,988 13,561 11,535 — 29,084 Total current liabilities 296,585 582,895 409,539 (795,127 ) 493,892 Long-term borrowings 2,081,372 — — — 2,081,372 Deferred tax liabilities — 354,208 267,575 (16,927 ) 604,856 Pension and postretirement benefit liabilities 43,250 26,800 16,099 — 86,149 Noncurrent liability for uncertain tax positions 1,042 7,329 2,658 — 11,029 Notes payable and other amounts due to consolidated subsidiaries 2,458,281 1,800,913 1,113,308 (5,372,502 ) — Noncurrent contingent consideration — 42,647 29,318 — 71,965 Noncurrent operating lease liabilities 11,421 59,065 26,016 — 96,502 Other liabilities 131,020 9,341 63,440 — 203,801 Total liabilities 5,022,971 2,883,198 1,927,953 (6,184,556 ) 3,649,566 Total shareholders' equity 2,664,844 5,944,170 2,767,522 (8,711,692 ) 2,664,844 Total liabilities and shareholders' equity $ 7,687,815 $ 8,827,368 $ 4,695,475 $ (14,896,248 ) $ 6,314,410 December 31, 2018 Parent Guarantor Non-Guarantor Eliminations Condensed (Dollars in thousands) ASSETS Current assets Cash and cash equivalents $ 49,523 $ 1,701 $ 305,937 $ — $ 357,161 Accounts receivable, net 5,885 54,013 301,054 5,334 366,286 Accounts receivable from consolidated subsidiaries 32,036 1,122,107 366,033 (1,520,176 ) — Inventories, net — 266,073 192,659 (30,954 ) 427,778 Prepaid expenses and other current assets 30,458 9,673 28,237 4,113 72,481 Prepaid taxes 7,029 — 5,434 — 12,463 Total current assets 124,931 1,453,567 1,199,354 (1,541,683 ) 1,236,169 Property, plant and equipment, net 3,385 253,037 176,344 — 432,766 Goodwill — 1,254,848 991,731 — 2,246,579 Intangibles assets, net 90 1,277,462 1,047,500 — 2,325,052 Investments in affiliates 5,984,566 1,625,464 837,899 (8,447,929 ) — Deferred tax assets — — 4,822 (2,376 ) 2,446 Notes receivable and other amounts due from consolidated subsidiaries 2,337,737 3,347,815 13,242 (5,698,794 ) — Other assets 17,180 5,776 12,023 — 34,979 Total assets $ 8,467,889 $ 9,217,969 $ 4,282,915 $ (15,690,782 ) $ 6,277,991 LIABILITIES AND EQUITY Current liabilities Current borrowings $ 36,625 $ — $ 50,000 $ — $ 86,625 Accounts payable 3,448 62,764 40,497 — 106,709 Accounts payable to consolidated subsidiaries 1,058,008 292,093 170,075 (1,520,176 ) — Accrued expenses 5,659 41,873 50,019 — 97,551 Current portion of contingent consideration — 106,514 30,363 — 136,877 Payroll and benefit-related liabilities 17,156 44,982 42,532 — 104,670 Accrued interest 5,995 — 36 — 6,031 Income taxes payable — — 5,943 — 5,943 Other current liabilities 843 34,916 2,291 — 38,050 Total current liabilities 1,127,734 583,142 391,756 (1,520,176 ) 582,456 Long-term borrowings 2,072,200 — — — 2,072,200 Deferred tax liabilities 87,671 257,522 265,404 (2,376 ) 608,221 Pension and postretirement benefit liabilities 49,290 27,454 16,170 — 92,914 Noncurrent liability for uncertain tax positions 801 7,212 2,705 — 10,718 Notes payable and other amounts due to consolidated subsidiaries 2,451,784 2,222,580 1,024,430 (5,698,794 ) — Noncurrent contingent consideration — 131,563 35,807 — 167,370 Other liabilities 138,431 8,204 57,499 204,134 Total liabilities 5,927,911 3,237,677 1,793,771 (7,221,346 ) 3,738,013 Total shareholders' equity 2,539,978 5,980,292 2,489,144 (8,469,436 ) 2,539,978 Total liabilities and shareholders' equity $ 8,467,889 $ 9,217,969 $ 4,282,915 $ (15,690,782 ) $ 6,277,991 |
Condensed Consolidating Statements of Cash Flows | TELEFLEX INCORPORATED AND SUBSIDIARIES CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS Six Months Ended June 30, 2019 Parent Guarantor Non-Guarantor Eliminations Condensed (Dollars in thousands) Net cash (used in) provided by operating activities from continuing operations $ (60,841 ) $ 180,717 $ 129,863 $ (92,455 ) $ 157,284 Cash flows from investing activities of continuing operations: Expenditures for property, plant and equipment (327 ) (37,981 ) (17,799 ) — (56,107 ) Proceeds from sale of assets and investments 2,362 1,178 — (2,362 ) 1,178 Payments for businesses and intangibles acquired, net of cash acquired — (1,025 ) — — (1,025 ) Net interest proceeds on swaps designated as net investment hedges 8,330 — — — 8,330 Net cash provided by (used in) investing activities from continuing operations 10,365 (37,828 ) (17,799 ) (2,362 ) (47,624 ) Cash flows from financing activities of continuing operations: Proceeds from new borrowings 25,000 — — — 25,000 Reduction in borrowings (52,500 ) — — — (52,500 ) Debt extinguishment, issuance and amendment fees (4,703 ) — — — (4,703 ) Net proceeds from share based compensation plans and the related tax impacts 7,829 — — — 7,829 Payments for contingent consideration — (15,044 ) (96,884 ) — (111,928 ) Dividends paid (31,347 ) — — — (31,347 ) Intercompany transactions 83,135 (126,062 ) 40,565 2,362 — Intercompany dividends paid — — (92,455 ) 92,455 — Net cash provided by (used in) financing activities from continuing operations 27,414 (141,106 ) (148,774 ) 94,817 (167,649 ) Cash flows from discontinued operations: Net cash provided by (used in) operating activities 3,430 — (631 ) — 2,799 Net cash provided by (used in) discontinued operations 3,430 — (631 ) — 2,799 Effect of exchange rate changes on cash and cash equivalents — — 1,925 — 1,925 Net (decrease) increase in cash and cash equivalents (19,632 ) 1,783 (35,416 ) — (53,265 ) Cash and cash equivalents at the beginning of the period 49,523 1,757 305,881 — 357,161 Cash and cash equivalents at the end of the period $ 29,891 $ 3,540 $ 270,465 $ — $ 303,896 Six Months Ended July 1, 2018 Parent Guarantor Non-Guarantor Eliminations Condensed (Dollars in thousands) Net cash (used in) provided by operating activities from continuing operations $ (165,764 ) $ 254,769 $ 162,952 $ (70,373 ) $ 181,584 Cash flows from investing activities of continuing operations: Expenditures for property, plant and equipment (795 ) (16,602 ) (20,607 ) — (38,004 ) Proceeds from sale of assets 22,944 — — (22,944 ) — Payments for businesses and intangibles acquired, net of cash acquired — — (22,450 ) — (22,450 ) Net cash provided by (used in) investing activities from continuing operations 22,149 (16,602 ) (43,057 ) (22,944 ) (60,454 ) Cash flows from financing activities of continuing operations: Reduction in borrowings (18,500 ) — — — (18,500 ) Debt extinguishment, issuance and amendment fees (188 ) — — — (188 ) Net proceeds from share based compensation plans and the related tax impacts 9,800 — — — 9,800 Payments for contingent consideration — (170 ) (62,404 ) — (62,574 ) Dividends paid (30,938 ) — — — (30,938 ) Intercompany transactions 196,888 (234,304 ) 14,472 22,944 — Intercompany dividends paid — — (70,373 ) 70,373 — Net cash provided by (used in) financing activities from continuing operations 157,062 (234,474 ) (118,305 ) 93,317 (102,400 ) Cash flows from discontinued operations: Net cash used in operating activities (464 ) — — — (464 ) Net cash used in discontinued operations (464 ) — — — (464 ) Effect of exchange rate changes on cash and cash equivalents — — (5,520 ) — (5,520 ) Net increase (decrease) in cash and cash equivalents 12,983 3,693 (3,930 ) — 12,746 Cash and cash equivalents at the beginning of the period 37,803 8,933 286,822 — 333,558 Cash and cash equivalents at the end of the period $ 50,786 $ 12,626 $ 282,892 $ — $ 346,304 |
Recently issued accounting st_3
Recently issued accounting standards (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Jan. 01, 2019 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Operating lease assets | $ 107,543 | |
Operating lease liabilities | $ 116,652 | |
ASU 2016-02 | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Operating lease assets | $ 105,300 | |
Operating lease liabilities | $ 106,600 |
Net revenues (Details)
Net revenues (Details) - Sales Revenue, Net - Customer Concentration Risk | 6 Months Ended |
Jun. 30, 2019 | |
Hospitals And Healthcare Providers | |
Concentration Risk [Line Items] | |
Percentage of total revenue | 88.00% |
Other Medical Device Manufacturers | |
Concentration Risk [Line Items] | |
Percentage of total revenue | 10.00% |
Home Care Providers | |
Concentration Risk [Line Items] | |
Percentage of total revenue | 2.00% |
Net revenues Other revenues (De
Net revenues Other revenues (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | |
Revenue, Major Customer [Line Items] | ||||
Net revenues | $ 652,507 | $ 609,866 | $ 1,266,091 | $ 1,197,096 |
Vascular access | ||||
Revenue, Major Customer [Line Items] | ||||
Net revenues | 153,647 | 140,149 | 297,544 | 284,177 |
Anesthesia | ||||
Revenue, Major Customer [Line Items] | ||||
Net revenues | 85,723 | 89,311 | 165,975 | 174,233 |
Interventional | ||||
Revenue, Major Customer [Line Items] | ||||
Net revenues | 104,785 | 98,189 | 207,969 | 188,331 |
Surgical | ||||
Revenue, Major Customer [Line Items] | ||||
Net revenues | 95,570 | 90,517 | 182,289 | 176,138 |
Interventional urology | ||||
Revenue, Major Customer [Line Items] | ||||
Net revenues | 67,952 | 47,674 | 127,683 | 89,974 |
OEM | ||||
Revenue, Major Customer [Line Items] | ||||
Net revenues | 56,428 | 52,594 | 110,666 | 98,448 |
Other | ||||
Revenue, Major Customer [Line Items] | ||||
Net revenues | $ 88,402 | $ 91,432 | $ 173,965 | $ 185,795 |
Divestitures - Narrative (Detai
Divestitures - Narrative (Details) - USD ($) $ in Thousands | Feb. 04, 2019 | Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Gain (loss) on disposition of assets | $ 0 | $ 0 | $ 2,739 | $ 0 | |
Notes Receivable | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Receivable with imputed interest, face amount | $ 10,500 | ||||
Financing receivables, payments to be received in next twelve months | 2,100 | 2,100 | |||
Notes receivable, fair value disclosure | 7,600 | ||||
Financing receivable, net | 8,000 | 8,000 | |||
Financing receivables, payments to be received in year two | 2,100 | 2,100 | |||
Financing receivables, payments to be received in year three | 2,100 | 2,100 | |||
Financing receivables, payments to be received in year four | 2,100 | 2,100 | |||
Financing receivables, payments to be received in year five | 2,100 | 2,100 | |||
Notes Receivable | Accounts Receivable | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Financing receivable, net | 2,000 | 2,000 | |||
Notes Receivable | Other Assets | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Financing receivable, net | 6,000 | 6,000 | |||
Disposal Group, Disposed of by Sale, Not Discontinued Operations | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Disposal group, including discontinued operation, consideration | 12,600 | ||||
Gain (loss) on disposition of assets | $ 2,700 | ||||
Disposal group, including discontinued operation, assets | $ 9,700 | $ 9,700 |
Restructuring and impairment _3
Restructuring and impairment charges (credits) - Charges Recognized (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | |
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges (credits) | $ (2,196) | $ 53,488 | $ 12,169 | $ 56,551 |
Asset impairment charges | 3,881 | 1,865 | 6,911 | 1,865 |
Restructuring and impairment charges | 1,685 | 55,353 | 19,080 | 58,416 |
Termination benefits | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges (credits) | (2,672) | 52,919 | 10,866 | 55,576 |
Asset impairment charges | 0 | 0 | 0 | 0 |
Restructuring and impairment charges | (2,672) | 52,919 | 10,866 | 55,576 |
Other Restructuring costs | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges (credits) | 476 | 569 | 1,303 | 975 |
Asset impairment charges | 3,881 | 1,865 | 6,911 | 1,865 |
Restructuring and impairment charges | 4,357 | 2,434 | 8,214 | 2,840 |
2019 Footprint realignment plan | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges (credits) | (429) | 12,546 | ||
2019 Footprint realignment plan | Termination benefits | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges (credits) | (459) | 12,516 | ||
2019 Footprint realignment plan | Other Restructuring costs | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges (credits) | 30 | 30 | ||
2018 Footprint realignment plan | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges (credits) | (2,141) | 52,474 | (1,130) | 52,474 |
2018 Footprint realignment plan | Termination benefits | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges (credits) | (2,275) | 52,345 | (1,838) | 52,345 |
2018 Footprint realignment plan | Other Restructuring costs | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges (credits) | 134 | 129 | 708 | 129 |
Other restructuring programs | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges (credits) | 374 | 1,014 | 753 | 1,587 |
Other restructuring programs | Termination benefits | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges (credits) | 62 | 574 | 188 | 1,032 |
Other restructuring programs | Other Restructuring costs | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges (credits) | $ 312 | $ 440 | $ 565 | 555 |
2016 Footprint realignment plan | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges (credits) | 2,490 | |||
2016 Footprint realignment plan | Termination benefits | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges (credits) | 2,199 | |||
2016 Footprint realignment plan | Other Restructuring costs | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges (credits) | $ 291 |
Restructuring and impairment _4
Restructuring and impairment charges (credits) - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | May 01, 2018 | |
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring costs expected cash payment | $ 1 | $ 1 | |||
2019 Footprint realignment plan | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring costs expected cash payment | $ 1 | $ 1.7 | |||
Restructuring reserve | 11.8 | 11.8 | |||
2019 Footprint realignment plan | Minimum | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Expected restructuring charges | $ 56 | ||||
2019 Footprint realignment plan | Minimum | Accelerated Depreciation And Other Costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Expected restructuring charges | 36 | ||||
2019 Footprint realignment plan | Maximum | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Expected restructuring charges | 70 | ||||
2019 Footprint realignment plan | Maximum | Accelerated Depreciation And Other Costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Expected restructuring charges | $ 45 | ||||
2018 Footprint realignment plan | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring costs expected cash payment | 0.7 | 1.3 | |||
Restructuring reserve | 45 | 45 | |||
Aggregate restructuring charges incurred | 53.9 | 53.9 | |||
Restructuring expenses | 5.4 | ||||
2018 Footprint realignment plan | Minimum | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Expected restructuring charges | 102 | 102 | |||
2018 Footprint realignment plan | Maximum | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Expected restructuring charges | 133 | 133 | |||
2014 Footprint realignment plan | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring reserve | 3.8 | 3.8 | |||
Aggregate restructuring charges incurred | 12.8 | 12.8 | |||
Restructuring expenses | 30.5 | ||||
2014 Footprint realignment plan | Accelerated Depreciation And Other Costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring expenses | 0.7 | $ 0.6 | 1.3 | $ 1 | |
2014 Footprint realignment plan | Minimum | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Expected restructuring charges | 47 | 47 | |||
2014 Footprint realignment plan | Maximum | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Expected restructuring charges | $ 52 | $ 52 |
Restructuring and impairment _5
Restructuring and impairment charges (credits) - Cost Estimates By Major Type of Expense (Details) - 2019 Footprint realignment plan $ in Millions | May 01, 2018USD ($) |
Minimum | |
Restructuring Cost and Reserve [Line Items] | |
Expected restructuring charges | $ 56 |
Minimum | Termination benefits | |
Restructuring Cost and Reserve [Line Items] | |
Expected restructuring charges | 19 |
Minimum | Other exit costs | |
Restructuring Cost and Reserve [Line Items] | |
Expected restructuring charges | 1 |
Minimum | Special Termination Benefit And Other Restructuring | |
Restructuring Cost and Reserve [Line Items] | |
Expected restructuring charges | 20 |
Minimum | Accelerated Depreciation And Other Costs | |
Restructuring Cost and Reserve [Line Items] | |
Expected restructuring charges | 36 |
Maximum | |
Restructuring Cost and Reserve [Line Items] | |
Expected restructuring charges | 70 |
Maximum | Termination benefits | |
Restructuring Cost and Reserve [Line Items] | |
Expected restructuring charges | 23 |
Maximum | Other exit costs | |
Restructuring Cost and Reserve [Line Items] | |
Expected restructuring charges | 2 |
Maximum | Special Termination Benefit And Other Restructuring | |
Restructuring Cost and Reserve [Line Items] | |
Expected restructuring charges | 25 |
Maximum | Accelerated Depreciation And Other Costs | |
Restructuring Cost and Reserve [Line Items] | |
Expected restructuring charges | $ 45 |
Inventories, net (Detail)
Inventories, net (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 131,252 | $ 111,105 |
Work-in-process | 63,465 | 62,334 |
Finished goods | 266,603 | 254,339 |
Inventories, net | $ 461,320 | $ 427,778 |
Goodwill and other intangible_3
Goodwill and other intangible assets, net - Changes in carrying amount of goodwill, by reporting segment (Details) $ in Thousands | 6 Months Ended |
Jun. 30, 2019USD ($) | |
Goodwill [Roll Forward] | |
Goodwill, beginning balance | $ 2,246,579 |
Goodwill related to acquisitions | 725 |
Currency translation adjustment | 2,915 |
Goodwill, ending balance | 2,250,219 |
Americas | |
Goodwill [Roll Forward] | |
Goodwill, beginning balance | 1,549,534 |
Goodwill related to acquisitions | 174 |
Currency translation adjustment | 1,221 |
Goodwill, ending balance | 1,550,929 |
EMEA | |
Goodwill [Roll Forward] | |
Goodwill, beginning balance | 480,615 |
Goodwill related to acquisitions | 75 |
Currency translation adjustment | 196 |
Goodwill, ending balance | 480,886 |
Asia | |
Goodwill [Roll Forward] | |
Goodwill, beginning balance | 211,547 |
Goodwill related to acquisitions | 476 |
Currency translation adjustment | 1,498 |
Goodwill, ending balance | 213,521 |
OEM | |
Goodwill [Roll Forward] | |
Goodwill, beginning balance | 4,883 |
Goodwill related to acquisitions | 0 |
Currency translation adjustment | 0 |
Goodwill, ending balance | $ 4,883 |
Goodwill and other intangible_4
Goodwill and other intangible assets, net - Components of intangible assets (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross carrying amount | $ 3,025,666 | $ 3,033,706 |
Accumulated Amortization | (783,399) | (708,654) |
In-process research and development | ||
Finite-Lived Intangible Assets [Line Items] | ||
In-process research and development | 28,404 | 28,457 |
Accumulated Amortization | 0 | 0 |
Customer relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets | 1,025,516 | 1,030,194 |
Accumulated Amortization | (345,715) | (322,972) |
Intellectual property | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets | 1,359,876 | 1,363,516 |
Accumulated Amortization | (363,396) | (322,539) |
Distribution rights | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets | 23,455 | 23,465 |
Accumulated Amortization | (18,397) | (17,860) |
Trade names | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets | 565,434 | 565,070 |
Accumulated Amortization | (43,644) | (36,379) |
Non-compete agreements | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets | 22,981 | 23,004 |
Accumulated Amortization | $ (12,247) | $ (8,904) |
Leases - Narrative (Details)
Leases - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended |
Jun. 30, 2019 | Jun. 30, 2019 | |
Lessee, Lease, Description [Line Items] | ||
Lease, cost | $ 6.6 | $ 12.7 |
Minimum | ||
Lessee, Lease, Description [Line Items] | ||
Lessee, operating lease, option to terminate or extend | 1 year |
Leases - Maturities of lease li
Leases - Maturities of lease liabilities (Details) $ in Thousands | Jun. 30, 2019USD ($) |
Leases [Abstract] | |
2019 | $ 14,045 |
2020 | 23,992 |
2021 | 21,602 |
2022 | 19,924 |
2023 | 16,363 |
2024 and thereafter | 42,060 |
Total lease payments | 137,986 |
Less: interest | (21,334) |
Present value of lease liabilities | $ 116,652 |
Leases - Supplemental balance s
Leases - Supplemental balance sheet information (Details) $ in Thousands | 6 Months Ended |
Jun. 30, 2019USD ($) | |
Leases [Abstract] | |
Operating lease liabilities | $ 116,652 |
Cash paid for amounts included in the measurement of lease liabilities within operating cash flows | 12,636 |
Right of use assets obtained in exchange for operating lease obligations | $ 19,728 |
Weighted average remaining lease term | 6 years 9 months 18 days |
Weighted average discount rate | 4.40% |
Other current liabilities | |
Lessee, Lease, Description [Line Items] | |
Current operating lease liabilities | $ 20,100 |
Leases - Future minimum lease p
Leases - Future minimum lease payments under noncancelable operating leases (Details) $ in Thousands | Dec. 31, 2018USD ($) |
Leases [Abstract] | |
2019 | $ 25,294 |
2020 | 23,216 |
2021 | 21,419 |
2022 | 19,460 |
2023 | 17,403 |
2024 and thereafter | $ 41,368 |
Borrowings - Components of long
Borrowings - Components of long-term debt (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2019 | Dec. 31, 2018 | |
Debt Instrument [Line Items] | ||
Total borrowings | $ 2,149,000 | $ 2,176,500 |
Less: Unamortized debt issuance costs | (17,628) | (17,675) |
Total long-term debt | 2,131,372 | 2,158,825 |
Current borrowings | (50,000) | (86,625) |
Long-term borrowings | 2,081,372 | 2,072,200 |
Revolving Credit Facility | ||
Debt Instrument [Line Items] | ||
Senior Credit Facility: | $ 276,000 | 293,000 |
Line of credit facility interest rate | 3.90% | |
Term Loan | ||
Debt Instrument [Line Items] | ||
Senior Credit Facility: | $ 673,000 | 683,500 |
Line of credit facility interest rate | 3.90% | |
Senior Notes | 5.25% Senior Notes due 2024 | ||
Debt Instrument [Line Items] | ||
Senior Notes | $ 250,000 | 250,000 |
Debt instrument, stated interest rate | 5.25% | |
Senior Notes | 4.875% Senior Notes due 2026 | ||
Debt Instrument [Line Items] | ||
Senior Notes | $ 400,000 | 400,000 |
Debt instrument, stated interest rate | 4.875% | |
Senior Notes | 4.625% Senior Notes due 2027 | ||
Debt Instrument [Line Items] | ||
Senior Notes | $ 500,000 | 500,000 |
Debt instrument, stated interest rate | 4.625% | |
Securitization program | ||
Debt Instrument [Line Items] | ||
Securitization program, at a rate of 3.15% at June 30, 2019 | $ 50,000 | $ 50,000 |
Debt instrument, stated interest rate | 3.15% |
Borrowings - Additional Informa
Borrowings - Additional Information (Details) - Second Amended and Restated Credit Agreement | Apr. 05, 2019USD ($) |
Line of Credit Facility [Line Items] | |
Debt instrument, stated interest rate | 2.00% |
Maximum leverage ratio | 4.50 |
Minimum interest coverage ratio | 3.50 |
Capitalized transactions fees, including underwrites' discounts and commissions incurred | $ 3,900,000 |
London Interbank Offered Rate (LIBOR) | Minimum | |
Line of Credit Facility [Line Items] | |
Basis spread on variable rate | 1.125% |
London Interbank Offered Rate (LIBOR) | Maximum | |
Line of Credit Facility [Line Items] | |
Basis spread on variable rate | 2.00% |
Federal Funds Effective Swap Rate | |
Line of Credit Facility [Line Items] | |
Basis spread on variable rate | 0.50% |
Adjusted LIBOR | |
Line of Credit Facility [Line Items] | |
Basis spread on variable rate | 1.00% |
Adjusted LIBOR | Minimum | |
Line of Credit Facility [Line Items] | |
Basis spread on variable rate | 0.125% |
Adjusted LIBOR | Maximum | |
Line of Credit Facility [Line Items] | |
Basis spread on variable rate | 1.00% |
Revolving Credit Facility | |
Line of Credit Facility [Line Items] | |
Maximum borrowing capacity | $ 1,000,000,000 |
Term Loan | |
Line of Credit Facility [Line Items] | |
Maximum borrowing capacity | $ 700,000,000 |
Financial instruments - Additio
Financial instruments - Additional Information (Details) € in Millions | 3 Months Ended | 6 Months Ended | |||||||
Jun. 30, 2019USD ($) | Jul. 01, 2018USD ($) | Jun. 30, 2019USD ($) | Jul. 01, 2018USD ($) | Mar. 04, 2019USD ($)Financial_Institution_Counterparty | Mar. 04, 2019EUR (€)Financial_Institution_Counterparty | Dec. 31, 2018USD ($) | Oct. 04, 2018USD ($)Financial_Institution_Counterparty | Oct. 04, 2018EUR (€)Financial_Institution_Counterparty | |
Derivatives Fair Value [Line Items] | |||||||||
Foreign currency translation, continuing operations, adjustments, net of tax | $ 12,568,000 | $ (125,705,000) | $ 12,332,000 | $ (44,517,000) | |||||
Net revenues | 652,507,000 | 609,866,000 | 1,266,091,000 | 1,197,096,000 | |||||
Allowance for doubtful accounts receivable | 9,900,000 | 9,900,000 | $ 9,300,000 | ||||||
Allowance for doubtful accounts receivable, current | 5,200,000 | 5,200,000 | 4,400,000 | ||||||
Cash flow hedging | |||||||||
Derivatives Fair Value [Line Items] | |||||||||
Ineffectiveness related to derivatives | 0 | 0 | 0 | $ 0 | |||||
Foreign exchange contract | Designated as Hedging Instrument | Cash flow hedging | |||||||||
Derivatives Fair Value [Line Items] | |||||||||
Total notional amount for all open foreign currency forward contracts | 118,100,000 | 118,100,000 | 115,300,000 | ||||||
Foreign exchange contract | Not Designated as Hedging Instrument | |||||||||
Derivatives Fair Value [Line Items] | |||||||||
Gain related to currency forward contracts | 1,500,000 | $ 1,400,000 | 700,000 | ||||||
Loss related to currency forward contracts | 1,600,000 | ||||||||
Total notional amount for all open foreign currency forward contracts | 147,500,000 | 147,500,000 | $ 125,900,000 | ||||||
Cross-currency interest rate swap | Cash flow hedging | |||||||||
Derivatives Fair Value [Line Items] | |||||||||
Foreign currency translation, continuing operations, adjustments, net of tax | $ 700,000 | $ 9,800,000 | |||||||
Cross-currency interest rate swap | Designated as Hedging Instrument | |||||||||
Derivatives Fair Value [Line Items] | |||||||||
Total notional amount for all open foreign currency forward contracts | $ 250,000,000 | € 219.2 | $ 500,000,000 | € 433.9 | |||||
Derivative, number of instruments held | Financial_Institution_Counterparty | 5 | 5 | 6 | 6 | |||||
Derivative, fixed interest rate | 4.875% | 4.875% | 4.625% | 4.625% | |||||
Derivative, annual interest rate | 2.4595% | 2.4595% | 1.942% | 1.942% |
Financial instruments - Fair va
Financial instruments - Fair values of derivative instruments designated as hedging instruments (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Cash flow hedging | ||
Derivatives Fair Value [Line Items] | ||
Total asset derivatives | $ 22,659 | $ 16,050 |
Total liability derivatives | 7,275 | 8,581 |
Foreign exchange contract | Other liabilities | ||
Derivatives Fair Value [Line Items] | ||
Total liability derivatives | 6,152 | 7,793 |
Foreign exchange contract | Cash flow hedging | Prepaid expenses and other current assets | ||
Derivatives Fair Value [Line Items] | ||
Total asset derivatives | 22,659 | 16,050 |
Foreign exchange contract | Cash flow hedging | Other current liabilities | ||
Derivatives Fair Value [Line Items] | ||
Total liability derivatives | 1,123 | 788 |
Foreign exchange contract | Designated as Hedging Instrument | Cash flow hedging | Prepaid expenses and other current assets | ||
Derivatives Fair Value [Line Items] | ||
Total asset derivatives | 1,344 | 1,216 |
Foreign exchange contract | Designated as Hedging Instrument | Cash flow hedging | Other current liabilities | ||
Derivatives Fair Value [Line Items] | ||
Total liability derivatives | 992 | 524 |
Foreign exchange contract | Not Designated as Hedging Instrument | Cash flow hedging | Prepaid expenses and other current assets | ||
Derivatives Fair Value [Line Items] | ||
Total asset derivatives | 159 | 106 |
Foreign exchange contract | Not Designated as Hedging Instrument | Cash flow hedging | Other current liabilities | ||
Derivatives Fair Value [Line Items] | ||
Total liability derivatives | 131 | 264 |
Cross-currency interest rate swap | Cash flow hedging | Prepaid expenses and other current assets | ||
Derivatives Fair Value [Line Items] | ||
Total asset derivatives | 21,156 | 14,728 |
Cross-currency interest rate swap | Cash flow hedging | Other liabilities | ||
Derivatives Fair Value [Line Items] | ||
Total liability derivatives | $ 6,152 | $ 7,793 |
Fair value measurement - Financ
Fair value measurement - Financial assets and liabilities carried at fair value measured on recurring basis (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items] | ||
Investments in marketable securities | $ 10,034 | $ 8,671 |
Derivative assets | 22,659 | 16,050 |
Derivative liabilities | 7,275 | 8,581 |
Contingent consideration liabilities | 191,671 | 304,248 |
Quoted prices in active markets (Level 1) | ||
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items] | ||
Investments in marketable securities | 10,034 | 8,671 |
Derivative assets | 0 | 0 |
Derivative liabilities | 0 | 0 |
Contingent consideration liabilities | 0 | 0 |
Significant other observable Inputs (Level 2) | ||
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items] | ||
Investments in marketable securities | 0 | 0 |
Derivative assets | 22,659 | 16,050 |
Derivative liabilities | 7,275 | 8,581 |
Contingent consideration liabilities | 0 | 0 |
Significant unobservable Inputs (Level 3) | ||
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items] | ||
Investments in marketable securities | 0 | 0 |
Derivative assets | 0 | 0 |
Derivative liabilities | 0 | 0 |
Contingent consideration liabilities | $ 191,671 | $ 304,248 |
Fair value measurement - Narrat
Fair value measurement - Narrative (Details) $ in Millions | 3 Months Ended |
Jun. 30, 2019USD ($) | |
NeoTract | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Milestone payment | $ 106.8 |
Essential Medical, Inc. | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Milestone payment | $ 30 |
Fair value measurement - Valuat
Fair value measurement - Valuation technique and inputs used in determining the fair value of contingent consideration (Details) | Jun. 30, 2019 |
Milestone-based payments | Minimum | Discounted cash flow | Discount rate | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Business combination, contingent consideration, liability, measurement input | 0.037 |
Milestone-based payments | Maximum | Discounted cash flow | Discount rate | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Business combination, contingent consideration, liability, measurement input | 0.043 |
Revenue-based payments | Discounted cash flow | Discount rate | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Business combination, contingent consideration, liability, measurement input | 0.100 |
Revenue-based payments | Minimum | Monte Carlo simulation | Revenue volatility | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Business combination, contingent consideration, liability, measurement input | 0.190 |
Revenue-based payments | Maximum | Monte Carlo simulation | Revenue volatility | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Business combination, contingent consideration, liability, measurement input | 0.243 |
Fair value measurement - Reconc
Fair value measurement - Reconciliation of changes in financial liabilities measured on recurring basis (Details) $ in Thousands | 6 Months Ended |
Jun. 30, 2019USD ($) | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Beginning balance | $ 304,248 |
Payments | (138,020) |
Revaluations | 25,456 |
Translation adjustment | (13) |
Ending balance | $ 191,671 |
Shareholders' equity - Addition
Shareholders' equity - Additional Information (Details) - shares shares in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | |
Shareholders Equity [Line Items] | ||||
Weighted average antidilutive shares which were not included in the calculation of earnings per share | 1.2 | |||
Equity Option | ||||
Shareholders Equity [Line Items] | ||||
Weighted average antidilutive shares which were not included in the calculation of earnings per share | 0.2 | 2 | 0.2 | 0.7 |
Shareholders' equity - Reconcil
Shareholders' equity - Reconciliation of basic to diluted weighted average common shares outstanding (Details) - shares shares in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | |
Equity [Abstract] | ||||
Basic (in shares) | 46,172 | 45,581 | 46,111 | 45,455 |
Dilutive effect of share-based awards (in shares) | 864 | 0 | 878 | 1,052 |
Dilutive effect of convertible notes and warrants (in shares) | 0 | 0 | 0 | 264 |
Diluted (in shares) | 47,036 | 45,581 | 46,989 | 46,771 |
Shareholders' equity - Change i
Shareholders' equity - Change in accumulated other comprehensive income, net of tax (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning Balance | $ 2,569,878 | $ 2,561,466 | $ 2,539,978 | $ 2,430,531 |
Amounts reclassified from accumulated other comprehensive income | (2,564) | 1,258 | (4,329) | 1,897 |
Ending Balance | 2,664,844 | 2,433,981 | 2,664,844 | 2,433,981 |
Cash Flow Hedges | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning Balance | 807 | 340 | ||
Other comprehensive income (loss) before reclassifications | 429 | 1,103 | ||
Amounts reclassified from accumulated other comprehensive income | (271) | (811) | ||
Net current-period other comprehensive income (loss) | 158 | 292 | ||
Ending Balance | 965 | 632 | 965 | 632 |
Pension and Other Postretirement Benefit Plans | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning Balance | (131,380) | (138,808) | ||
Other comprehensive income (loss) before reclassifications | (13) | 188 | ||
Amounts reclassified from accumulated other comprehensive income | 1,350 | 1,349 | 2,701 | 2,708 |
Net current-period other comprehensive income (loss) | 2,688 | 2,896 | ||
Ending Balance | (128,692) | (135,912) | (128,692) | (135,912) |
Foreign Currency Translation Adjustment | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning Balance | (210,512) | (126,623) | ||
Other comprehensive income (loss) before reclassifications | 12,332 | (44,517) | ||
Amounts reclassified from accumulated other comprehensive income | 0 | 0 | ||
Net current-period other comprehensive income (loss) | 12,332 | (44,517) | ||
Ending Balance | (198,180) | (171,140) | (198,180) | (171,140) |
Accumulated Other Comprehensive (Loss) Income | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning Balance | (340,689) | (182,401) | (341,085) | (265,091) |
Other comprehensive income (loss) before reclassifications | 12,748 | (43,226) | ||
Amounts reclassified from accumulated other comprehensive income | 2,430 | 1,897 | ||
Net current-period other comprehensive income (loss) | 15,178 | (41,329) | ||
Ending Balance | $ (325,907) | $ (306,420) | $ (325,907) | $ (306,420) |
Shareholders' equity - Accumula
Shareholders' equity - Accumulated other comprehensive income into income expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Cost of goods sold | $ 279,583 | $ 265,088 | $ 548,425 | $ 521,048 |
Total before tax | (87,172) | (7,024) | (140,062) | (68,197) |
Taxes on income from continuing operations | (3,844) | (9,576) | (14,816) | (15,818) |
Net of tax | (83,328) | 2,552 | (125,246) | (52,379) |
Interest expense | 20,758 | 26,649 | 43,450 | 52,592 |
Total reclassifications, net of tax | (2,564) | 1,258 | (4,329) | 1,897 |
Actuarial losses | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Total before tax | 1,738 | 1,734 | 3,478 | 3,480 |
Prior-service costs | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Total before tax | 22 | 23 | 44 | 47 |
Pension and Other Postretirement Benefits Plans | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Total before tax | 1,760 | 1,757 | 3,522 | 3,527 |
Tax benefit | (410) | (408) | (821) | (819) |
Total reclassifications, net of tax | 1,350 | 1,349 | 2,701 | 2,708 |
Reclassification out of Accumulated Other Comprehensive Income | Foreign exchange contract | Cash Flow Hedges | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Cost of goods sold | (179) | (118) | (365) | (951) |
Total before tax | (179) | (118) | (365) | (951) |
Taxes on income from continuing operations | (71) | (27) | (94) | (140) |
Net of tax | (108) | (91) | (271) | (811) |
Reclassification out of Accumulated Other Comprehensive Income | Cross-currency interest rate swap | Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Total before tax | 4,917 | 0 | 8,799 | 0 |
Taxes on income from continuing operations | 1,111 | 0 | 2,040 | 0 |
Net of tax | (3,806) | 0 | (6,759) | 0 |
Interest expense | $ (4,917) | $ 0 | $ (8,799) | $ 0 |
Taxes on income from continui_3
Taxes on income from continuing operations (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | Jul. 03, 2020 | |
Income Tax Examination [Line Items] | |||||
Effective income tax rate | 4.40% | 136.30% | 10.60% | 23.20% | |
Forecast | |||||
Income Tax Examination [Line Items] | |||||
Increase (decrease) in deferred tax liability due to merger Of foreign subsidiaries | $ (130) |
Commitments and contingent li_2
Commitments and contingent liabilities (Detail) $ in Millions | 6 Months Ended |
Jun. 30, 2019USD ($) | |
Loss Contingencies [Line Items] | |
Estimated litigation liability | $ 0.2 |
Minimum | |
Loss Contingencies [Line Items] | |
Estimated time fram over which accrued amounts may be paid out | 10 years |
Maximum | |
Loss Contingencies [Line Items] | |
Estimated time fram over which accrued amounts may be paid out | 15 years |
Accrued Liabilities | |
Loss Contingencies [Line Items] | |
Accrual for environmental loss contingencies | $ 0.9 |
Other Liability | |
Loss Contingencies [Line Items] | |
Accrual for environmental loss contingencies | $ 6.4 |
Segment information (Details)
Segment information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Net revenues | $ 652,507 | $ 609,866 | $ 1,266,091 | $ 1,197,096 |
Operating profit | 107,458 | 33,490 | 182,701 | 120,333 |
Operating Segments | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Operating profit | 136,480 | 108,148 | 252,402 | 221,192 |
Unallocated expenses | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Operating profit | (29,022) | (74,658) | (69,701) | (100,859) |
Americas | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Net revenues | 373,804 | 331,444 | 717,828 | 654,706 |
Americas | Operating Segments | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Operating profit | 82,509 | 47,315 | 148,108 | 106,205 |
EMEA | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Net revenues | 147,047 | 153,415 | 301,592 | 313,285 |
EMEA | Operating Segments | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Operating profit | 20,827 | 26,535 | 47,850 | 58,305 |
Asia | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Net revenues | 75,228 | 72,413 | 136,005 | 130,657 |
Asia | Operating Segments | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Operating profit | 19,260 | 20,746 | 29,239 | 34,114 |
OEM | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Net revenues | 56,428 | 52,594 | 110,666 | 98,448 |
OEM | Operating Segments | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Operating profit | $ 13,884 | $ 13,552 | $ 27,205 | $ 22,568 |
Condensed consolidating guara_3
Condensed consolidating guarantor financial information - Additional Information (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Debt Instrument [Line Items] | ||
Ownership percentage | 100.00% | |
Senior Notes | 5.25% Senior Notes due 2024 | ||
Debt Instrument [Line Items] | ||
Senior Notes | $ 250,000 | $ 250,000 |
Debt instrument, stated interest rate | 5.25% | |
Senior Notes | 4.875% Senior Notes due 2026 | ||
Debt Instrument [Line Items] | ||
Senior Notes | $ 400,000 | 400,000 |
Debt instrument, stated interest rate | 4.875% | |
Senior Notes | 4.625% Senior Notes due 2027 | ||
Debt Instrument [Line Items] | ||
Senior Notes | $ 500,000 | $ 500,000 |
Debt instrument, stated interest rate | 4.625% |
Condensed consolidating guara_4
Condensed consolidating guarantor financial information - Income and Comprehensive Income (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2019 | Mar. 31, 2019 | Jul. 01, 2018 | Apr. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | |
Condensed Income Statements, Captions [Line Items] | ||||||
Net revenues | $ 652,507 | $ 609,866 | $ 1,266,091 | $ 1,197,096 | ||
Cost of goods sold | 279,583 | 265,088 | 548,425 | 521,048 | ||
Gross profit | 372,924 | 344,778 | 717,666 | 676,048 | ||
Selling, general and administrative expenses | 236,186 | 229,917 | 463,879 | 445,254 | ||
Research and development expenses | 27,595 | 26,018 | 54,745 | 52,045 | ||
Restructuring and impairment charges | 1,685 | 55,353 | 19,080 | 58,416 | ||
Gain on sale of assets | 0 | 0 | (2,739) | 0 | ||
Income from continuing operations before interest and taxes | 107,458 | 33,490 | 182,701 | 120,333 | ||
Interest, net | 20,286 | 26,466 | 42,639 | 52,136 | ||
Income from continuing operations before taxes | 87,172 | 7,024 | 140,062 | 68,197 | ||
(Benefit) taxes on (loss) income from continuing operations | 3,844 | 9,576 | 14,816 | 15,818 | ||
Equity in net income of consolidated subsidiaries | 0 | 0 | 0 | 0 | ||
Income from continuing operations | 83,328 | (2,552) | 125,246 | 52,379 | ||
Operating loss from discontinued operations | 61 | 94 | (1,282) | 1,329 | ||
Benefit on loss from discontinued operations | 14 | 38 | (308) | 20 | ||
Income (loss) from discontinued operations | 47 | 56 | (974) | 1,309 | ||
Net income (loss) | 83,375 | $ 40,897 | (2,496) | $ 56,184 | 124,272 | 53,688 |
Other comprehensive income | 14,782 | (124,019) | 15,178 | (41,329) | ||
Comprehensive income | 98,157 | (126,515) | 139,450 | 12,359 | ||
Eliminations | ||||||
Condensed Income Statements, Captions [Line Items] | ||||||
Net revenues | (114,578) | (107,717) | (237,130) | (219,915) | ||
Cost of goods sold | (116,796) | (109,931) | (230,028) | (213,583) | ||
Gross profit | 2,218 | 2,214 | (7,102) | (6,332) | ||
Selling, general and administrative expenses | (266) | 199 | 92 | (330) | ||
Research and development expenses | 0 | 0 | 0 | 0 | ||
Restructuring and impairment charges | 0 | 0 | 0 | 0 | ||
Gain on sale of assets | 0 | |||||
Income from continuing operations before interest and taxes | 2,484 | 2,015 | (7,194) | (6,002) | ||
Interest, net | 0 | 0 | 0 | 0 | ||
Income from continuing operations before taxes | 2,484 | 2,015 | (7,194) | (6,002) | ||
(Benefit) taxes on (loss) income from continuing operations | 202 | 63 | (1,233) | (1,103) | ||
Equity in net income of consolidated subsidiaries | (166,018) | (35,462) | (262,826) | (175,746) | ||
Income from continuing operations | (163,736) | (33,510) | (268,787) | (180,645) | ||
Operating loss from discontinued operations | 0 | 0 | 0 | 0 | ||
Benefit on loss from discontinued operations | 0 | 0 | 0 | 0 | ||
Income (loss) from discontinued operations | 0 | 0 | 0 | 0 | ||
Net income (loss) | (163,736) | (33,510) | (268,787) | (180,645) | ||
Other comprehensive income | (36,564) | 245,642 | (30,069) | 88,296 | ||
Comprehensive income | (200,300) | 212,132 | (298,856) | (92,349) | ||
Parent Company | ||||||
Condensed Income Statements, Captions [Line Items] | ||||||
Net revenues | 0 | 0 | 0 | 0 | ||
Cost of goods sold | 0 | 0 | 0 | 0 | ||
Gross profit | 0 | 0 | 0 | 0 | ||
Selling, general and administrative expenses | 14,312 | 12,430 | 30,479 | 21,611 | ||
Research and development expenses | 596 | 489 | 1,080 | 716 | ||
Restructuring and impairment charges | 0 | 0 | 0 | 0 | ||
Gain on sale of assets | 0 | |||||
Income from continuing operations before interest and taxes | (14,908) | (12,919) | (31,559) | (22,327) | ||
Interest, net | 29,350 | 24,788 | 33,415 | 46,929 | ||
Income from continuing operations before taxes | (44,258) | (37,707) | (64,974) | (69,256) | ||
(Benefit) taxes on (loss) income from continuing operations | (19,519) | (13,218) | (28,391) | (26,410) | ||
Equity in net income of consolidated subsidiaries | 108,067 | 21,937 | 161,829 | 96,504 | ||
Income from continuing operations | 83,328 | (2,552) | 125,246 | 53,658 | ||
Operating loss from discontinued operations | 61 | 94 | (1,282) | 50 | ||
Benefit on loss from discontinued operations | 14 | 38 | (308) | 20 | ||
Income (loss) from discontinued operations | 47 | 56 | (974) | 30 | ||
Net income (loss) | 83,375 | (2,496) | 124,272 | 53,688 | ||
Other comprehensive income | 14,782 | (124,019) | 15,178 | (41,329) | ||
Comprehensive income | 98,157 | (126,515) | 139,450 | 12,359 | ||
Guarantor Subsidiaries | ||||||
Condensed Income Statements, Captions [Line Items] | ||||||
Net revenues | 439,489 | 391,304 | 854,632 | 770,723 | ||
Cost of goods sold | 244,956 | 231,487 | 479,173 | 449,091 | ||
Gross profit | 194,533 | 159,817 | 375,459 | 321,632 | ||
Selling, general and administrative expenses | 141,628 | 139,549 | 273,327 | 270,218 | ||
Research and development expenses | 20,331 | 18,818 | 40,452 | 38,186 | ||
Restructuring and impairment charges | 108 | 2,545 | 6,081 | 3,453 | ||
Gain on sale of assets | 0 | |||||
Income from continuing operations before interest and taxes | 32,466 | (1,095) | 55,599 | 9,775 | ||
Interest, net | (23,439) | (13,966) | (21,845) | (26,015) | ||
Income from continuing operations before taxes | 55,905 | 12,871 | 77,444 | 35,790 | ||
(Benefit) taxes on (loss) income from continuing operations | 15,681 | 11,272 | 27,250 | 21,468 | ||
Equity in net income of consolidated subsidiaries | 57,951 | 13,183 | 100,997 | 78,607 | ||
Income from continuing operations | 98,175 | 14,782 | 151,191 | 92,929 | ||
Operating loss from discontinued operations | 0 | 0 | 0 | 0 | ||
Benefit on loss from discontinued operations | 0 | 0 | 0 | 0 | ||
Income (loss) from discontinued operations | 0 | 0 | 0 | 0 | ||
Net income (loss) | 98,175 | 14,782 | 151,191 | 92,929 | ||
Other comprehensive income | 17,107 | (114,917) | 15,606 | (44,798) | ||
Comprehensive income | 115,282 | (100,135) | 166,797 | 48,131 | ||
Non-Guarantor Subsidiaries | ||||||
Condensed Income Statements, Captions [Line Items] | ||||||
Net revenues | 327,596 | 326,279 | 648,589 | 646,288 | ||
Cost of goods sold | 151,423 | 143,532 | 299,280 | 285,540 | ||
Gross profit | 176,173 | 182,747 | 349,309 | 360,748 | ||
Selling, general and administrative expenses | 80,512 | 77,739 | 159,981 | 153,755 | ||
Research and development expenses | 6,668 | 6,711 | 13,213 | 13,143 | ||
Restructuring and impairment charges | 1,577 | 52,808 | 12,999 | 54,963 | ||
Gain on sale of assets | (2,739) | |||||
Income from continuing operations before interest and taxes | 87,416 | 45,489 | 165,855 | 138,887 | ||
Interest, net | 14,375 | 15,644 | 31,069 | 31,222 | ||
Income from continuing operations before taxes | 73,041 | 29,845 | 134,786 | 107,665 | ||
(Benefit) taxes on (loss) income from continuing operations | 7,480 | 11,459 | 17,190 | 21,863 | ||
Equity in net income of consolidated subsidiaries | 0 | 342 | 0 | 635 | ||
Income from continuing operations | 65,561 | 18,728 | 117,596 | 86,437 | ||
Operating loss from discontinued operations | 0 | 0 | 0 | 1,279 | ||
Benefit on loss from discontinued operations | 0 | 0 | 0 | 0 | ||
Income (loss) from discontinued operations | 0 | 0 | 0 | 1,279 | ||
Net income (loss) | 65,561 | 18,728 | 117,596 | 87,716 | ||
Other comprehensive income | 19,457 | (130,725) | 14,463 | (43,498) | ||
Comprehensive income | $ 85,018 | $ (111,997) | $ 132,059 | $ 44,218 |
Condensed consolidating guara_5
Condensed consolidating guarantor financial information - Balance Sheets (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Current assets | ||
Cash and cash equivalents | $ 303,896 | $ 357,161 |
Accounts receivable, net | 382,142 | 366,286 |
Accounts receivable from consolidated subsidiaries | 0 | 0 |
Inventories, net | 461,320 | 427,778 |
Prepaid expenses and other current assets | 78,477 | 72,481 |
Prepaid taxes | 19,306 | 12,463 |
Total current assets | 1,245,141 | 1,236,169 |
Property, plant and equipment, net | 425,475 | 432,766 |
Operating lease assets | 107,543 | |
Goodwill | 2,250,219 | 2,246,579 |
Intangible assets, net | 2,242,267 | 2,325,052 |
Investments in affiliates | 0 | 0 |
Deferred tax assets | 3,056 | 2,446 |
Notes receivable and other amounts due from consolidated subsidiaries | 0 | 0 |
Other assets | 40,709 | 34,979 |
Total assets | 6,314,410 | 6,277,991 |
Current liabilities | ||
Current borrowings | 50,000 | 86,625 |
Accounts payable | 108,059 | 106,709 |
Accounts payable to consolidated subsidiaries | 0 | 0 |
Accrued expenses | 87,698 | 97,551 |
Current portion of contingent consideration | 119,706 | 136,877 |
Payroll and benefit-related liabilities | 88,888 | 104,670 |
Accrued interest | 6,009 | 6,031 |
Income taxes payable | 4,448 | 5,943 |
Other current liabilities | 29,084 | 38,050 |
Total current liabilities | 493,892 | 582,456 |
Long-term borrowings | 2,081,372 | 2,072,200 |
Deferred tax liabilities | 604,856 | 608,221 |
Pension and postretirement benefit liabilities | 86,149 | 92,914 |
Noncurrent liability for uncertain tax positions | 11,029 | 10,718 |
Notes payable and other amounts due to consolidated subsidiaries | 0 | 0 |
Noncurrent contingent consideration | 71,965 | 167,370 |
Noncurrent operating lease liabilities | 96,502 | |
Other liabilities | 203,801 | 204,134 |
Total liabilities | 3,649,566 | 3,738,013 |
Total shareholders' equity | 2,664,844 | 2,539,978 |
Total liabilities and shareholders' equity | 6,314,410 | 6,277,991 |
Eliminations | ||
Current assets | ||
Cash and cash equivalents | 0 | 0 |
Accounts receivable, net | 5,242 | 5,334 |
Accounts receivable from consolidated subsidiaries | (793,894) | (1,520,176) |
Inventories, net | (38,044) | (30,954) |
Prepaid expenses and other current assets | 4,113 | 4,113 |
Prepaid taxes | 0 | 0 |
Total current assets | (822,583) | (1,541,683) |
Property, plant and equipment, net | 0 | 0 |
Operating lease assets | 0 | |
Goodwill | 0 | 0 |
Intangible assets, net | 0 | 0 |
Investments in affiliates | (8,684,236) | (8,447,929) |
Deferred tax assets | (16,927) | (2,376) |
Notes receivable and other amounts due from consolidated subsidiaries | (5,372,502) | (5,698,794) |
Other assets | 0 | 0 |
Total assets | (14,896,248) | (15,690,782) |
Current liabilities | ||
Current borrowings | 0 | 0 |
Accounts payable | 0 | 0 |
Accounts payable to consolidated subsidiaries | (793,894) | (1,520,176) |
Accrued expenses | 0 | 0 |
Current portion of contingent consideration | 0 | 0 |
Payroll and benefit-related liabilities | 0 | 0 |
Accrued interest | 0 | 0 |
Income taxes payable | (1,233) | 0 |
Other current liabilities | 0 | 0 |
Total current liabilities | (795,127) | (1,520,176) |
Long-term borrowings | 0 | 0 |
Deferred tax liabilities | (16,927) | (2,376) |
Pension and postretirement benefit liabilities | 0 | 0 |
Noncurrent liability for uncertain tax positions | 0 | 0 |
Notes payable and other amounts due to consolidated subsidiaries | (5,372,502) | (5,698,794) |
Noncurrent contingent consideration | 0 | 0 |
Noncurrent operating lease liabilities | 0 | |
Other liabilities | 0 | |
Total liabilities | (6,184,556) | (7,221,346) |
Total shareholders' equity | (8,711,692) | (8,469,436) |
Total liabilities and shareholders' equity | (14,896,248) | (15,690,782) |
Parent Company | ||
Current assets | ||
Cash and cash equivalents | 29,891 | 49,523 |
Accounts receivable, net | 1,779 | 5,885 |
Accounts receivable from consolidated subsidiaries | 32,698 | 32,036 |
Inventories, net | 0 | 0 |
Prepaid expenses and other current assets | 36,874 | 30,458 |
Prepaid taxes | 11,489 | 7,029 |
Total current assets | 112,731 | 124,931 |
Property, plant and equipment, net | 3,098 | 3,385 |
Operating lease assets | 13,912 | |
Goodwill | 0 | 0 |
Intangible assets, net | 80 | 90 |
Investments in affiliates | 5,632,043 | 5,984,566 |
Deferred tax assets | 14,543 | 0 |
Notes receivable and other amounts due from consolidated subsidiaries | 1,892,369 | 2,337,737 |
Other assets | 19,039 | 17,180 |
Total assets | 7,687,815 | 8,467,889 |
Current liabilities | ||
Current borrowings | 0 | 36,625 |
Accounts payable | 3,972 | 3,448 |
Accounts payable to consolidated subsidiaries | 259,906 | 1,058,008 |
Accrued expenses | 6,376 | 5,659 |
Current portion of contingent consideration | 0 | 0 |
Payroll and benefit-related liabilities | 16,365 | 17,156 |
Accrued interest | 5,978 | 5,995 |
Income taxes payable | 0 | 0 |
Other current liabilities | 3,988 | 843 |
Total current liabilities | 296,585 | 1,127,734 |
Long-term borrowings | 2,081,372 | 2,072,200 |
Deferred tax liabilities | 0 | 87,671 |
Pension and postretirement benefit liabilities | 43,250 | 49,290 |
Noncurrent liability for uncertain tax positions | 1,042 | 801 |
Notes payable and other amounts due to consolidated subsidiaries | 2,458,281 | 2,451,784 |
Noncurrent contingent consideration | 0 | 0 |
Noncurrent operating lease liabilities | 11,421 | |
Other liabilities | 131,020 | 138,431 |
Total liabilities | 5,022,971 | 5,927,911 |
Total shareholders' equity | 2,664,844 | 2,539,978 |
Total liabilities and shareholders' equity | 7,687,815 | 8,467,889 |
Guarantor Subsidiaries | ||
Current assets | ||
Cash and cash equivalents | 3,540 | 1,701 |
Accounts receivable, net | 62,569 | 54,013 |
Accounts receivable from consolidated subsidiaries | 353,336 | 1,122,107 |
Inventories, net | 276,761 | 266,073 |
Prepaid expenses and other current assets | 9,477 | 9,673 |
Prepaid taxes | 0 | 0 |
Total current assets | 705,683 | 1,453,567 |
Property, plant and equipment, net | 239,415 | 253,037 |
Operating lease assets | 59,711 | |
Goodwill | 1,255,536 | 1,254,848 |
Intangible assets, net | 1,235,058 | 1,277,462 |
Investments in affiliates | 2,127,743 | 1,625,464 |
Deferred tax assets | 0 | 0 |
Notes receivable and other amounts due from consolidated subsidiaries | 3,192,420 | 3,347,815 |
Other assets | 11,802 | 5,776 |
Total assets | 8,827,368 | 9,217,969 |
Current liabilities | ||
Current borrowings | 0 | 0 |
Accounts payable | 62,664 | 62,764 |
Accounts payable to consolidated subsidiaries | 328,596 | 292,093 |
Accrued expenses | 33,982 | 41,873 |
Current portion of contingent consideration | 112,329 | 106,514 |
Payroll and benefit-related liabilities | 31,763 | 44,982 |
Accrued interest | 0 | 0 |
Income taxes payable | 0 | 0 |
Other current liabilities | 13,561 | 34,916 |
Total current liabilities | 582,895 | 583,142 |
Long-term borrowings | 0 | 0 |
Deferred tax liabilities | 354,208 | 257,522 |
Pension and postretirement benefit liabilities | 26,800 | 27,454 |
Noncurrent liability for uncertain tax positions | 7,329 | 7,212 |
Notes payable and other amounts due to consolidated subsidiaries | 1,800,913 | 2,222,580 |
Noncurrent contingent consideration | 42,647 | 131,563 |
Noncurrent operating lease liabilities | 59,065 | |
Other liabilities | 9,341 | 8,204 |
Total liabilities | 2,883,198 | 3,237,677 |
Total shareholders' equity | 5,944,170 | 5,980,292 |
Total liabilities and shareholders' equity | 8,827,368 | 9,217,969 |
Non-Guarantor Subsidiaries | ||
Current assets | ||
Cash and cash equivalents | 270,465 | 305,937 |
Accounts receivable, net | 312,552 | 301,054 |
Accounts receivable from consolidated subsidiaries | 407,860 | 366,033 |
Inventories, net | 222,603 | 192,659 |
Prepaid expenses and other current assets | 28,013 | 28,237 |
Prepaid taxes | 7,817 | 5,434 |
Total current assets | 1,249,310 | 1,199,354 |
Property, plant and equipment, net | 182,962 | 176,344 |
Operating lease assets | 33,920 | |
Goodwill | 994,683 | 991,731 |
Intangible assets, net | 1,007,129 | 1,047,500 |
Investments in affiliates | 924,450 | 837,899 |
Deferred tax assets | 5,440 | 4,822 |
Notes receivable and other amounts due from consolidated subsidiaries | 287,713 | 13,242 |
Other assets | 9,868 | 12,023 |
Total assets | 4,695,475 | 4,282,915 |
Current liabilities | ||
Current borrowings | 50,000 | 50,000 |
Accounts payable | 41,423 | 40,497 |
Accounts payable to consolidated subsidiaries | 205,392 | 170,075 |
Accrued expenses | 47,340 | 50,019 |
Current portion of contingent consideration | 7,377 | 30,363 |
Payroll and benefit-related liabilities | 40,760 | 42,532 |
Accrued interest | 31 | 36 |
Income taxes payable | 5,681 | 5,943 |
Other current liabilities | 11,535 | 2,291 |
Total current liabilities | 409,539 | 391,756 |
Long-term borrowings | 0 | 0 |
Deferred tax liabilities | 267,575 | 265,404 |
Pension and postretirement benefit liabilities | 16,099 | 16,170 |
Noncurrent liability for uncertain tax positions | 2,658 | 2,705 |
Notes payable and other amounts due to consolidated subsidiaries | 1,113,308 | 1,024,430 |
Noncurrent contingent consideration | 29,318 | 35,807 |
Noncurrent operating lease liabilities | 26,016 | |
Other liabilities | 63,440 | 57,499 |
Total liabilities | 1,927,953 | 1,793,771 |
Total shareholders' equity | 2,767,522 | 2,489,144 |
Total liabilities and shareholders' equity | $ 4,695,475 | $ 4,282,915 |
Condensed consolidating guara_6
Condensed consolidating guarantor financial information - Cash Flows (Details) - USD ($) $ in Thousands | 6 Months Ended | 9 Months Ended | |
Jun. 30, 2019 | Jul. 01, 2018 | Sep. 27, 2015 | |
Condensed Cash Flow Statements, Captions [Line Items] | |||
Net cash (used in) provided by operating activities from continuing operations | $ 157,284 | $ 181,584 | |
Cash flows from investing activities of continuing operations: | |||
Expenditures for property, plant and equipment | (56,107) | (38,004) | |
Proceeds from sale of assets and investments | 1,178 | 0 | |
Payments for businesses and intangibles acquired, net of cash acquired | (1,025) | (22,450) | |
Net interest proceeds on swaps designated as net investment hedges | 8,330 | $ 0 | |
Net cash used in investing activities from continuing operations | (47,624) | (60,454) | |
Cash flows from financing activities of continuing operations: | |||
Proceeds from new borrowings | 25,000 | 0 | |
Reduction in borrowings | (52,500) | (18,500) | |
Debt extinguishment, issuance and amendment fees | (4,703) | (188) | |
Net proceeds from share based compensation plans and the related tax impacts | 7,829 | 9,800 | |
Payments for contingent consideration | (111,928) | (62,574) | |
Dividends paid | (31,347) | (30,938) | |
Intercompany transactions | 0 | 0 | |
Intercompany dividends paid | 0 | 0 | |
Net cash used in financing activities from continuing operations | (167,649) | (102,400) | |
Cash flows from discontinued operations: | |||
Net cash provided by (used in) operating activities | 2,799 | (464) | |
Net cash provided by (used in) discontinued operations | 2,799 | (464) | |
Effect of exchange rate changes on cash and cash equivalents | 1,925 | (5,520) | |
Net (decrease) increase in cash and cash equivalents | (53,265) | 12,746 | |
Cash and cash equivalents at the beginning of the period | 357,161 | 333,558 | |
Cash and cash equivalents at the end of the period | 303,896 | 346,304 | |
Eliminations | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Net cash (used in) provided by operating activities from continuing operations | (92,455) | (70,373) | |
Cash flows from investing activities of continuing operations: | |||
Expenditures for property, plant and equipment | 0 | 0 | |
Proceeds from sale of assets and investments | (2,362) | (22,944) | |
Payments for businesses and intangibles acquired, net of cash acquired | 0 | 0 | |
Net interest proceeds on swaps designated as net investment hedges | 0 | ||
Net cash used in investing activities from continuing operations | (2,362) | (22,944) | |
Cash flows from financing activities of continuing operations: | |||
Proceeds from new borrowings | 0 | ||
Reduction in borrowings | 0 | 0 | |
Debt extinguishment, issuance and amendment fees | 0 | 0 | |
Net proceeds from share based compensation plans and the related tax impacts | 0 | 0 | |
Payments for contingent consideration | 0 | 0 | |
Dividends paid | 0 | 0 | |
Intercompany transactions | 2,362 | 22,944 | |
Intercompany dividends paid | 92,455 | 70,373 | |
Net cash used in financing activities from continuing operations | 94,817 | 93,317 | |
Cash flows from discontinued operations: | |||
Net cash provided by (used in) operating activities | 0 | 0 | |
Net cash provided by (used in) discontinued operations | 0 | 0 | |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | |
Net (decrease) increase in cash and cash equivalents | 0 | 0 | |
Cash and cash equivalents at the beginning of the period | 0 | 0 | |
Cash and cash equivalents at the end of the period | 0 | 0 | |
Parent Company | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Net cash (used in) provided by operating activities from continuing operations | (60,841) | (165,764) | |
Cash flows from investing activities of continuing operations: | |||
Expenditures for property, plant and equipment | (327) | (795) | |
Proceeds from sale of assets and investments | 2,362 | 22,944 | |
Payments for businesses and intangibles acquired, net of cash acquired | 0 | 0 | |
Net interest proceeds on swaps designated as net investment hedges | 8,330 | ||
Net cash used in investing activities from continuing operations | 10,365 | 22,149 | |
Cash flows from financing activities of continuing operations: | |||
Proceeds from new borrowings | 25,000 | ||
Reduction in borrowings | (52,500) | (18,500) | |
Debt extinguishment, issuance and amendment fees | (4,703) | (188) | |
Net proceeds from share based compensation plans and the related tax impacts | 7,829 | 9,800 | |
Payments for contingent consideration | 0 | 0 | |
Dividends paid | (31,347) | (30,938) | |
Intercompany transactions | 83,135 | 196,888 | |
Intercompany dividends paid | 0 | 0 | |
Net cash used in financing activities from continuing operations | 27,414 | 157,062 | |
Cash flows from discontinued operations: | |||
Net cash provided by (used in) operating activities | 3,430 | (464) | |
Net cash provided by (used in) discontinued operations | 3,430 | (464) | |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | |
Net (decrease) increase in cash and cash equivalents | (19,632) | 12,983 | |
Cash and cash equivalents at the beginning of the period | 49,523 | 37,803 | |
Cash and cash equivalents at the end of the period | 29,891 | 50,786 | |
Guarantor Subsidiaries | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Net cash (used in) provided by operating activities from continuing operations | 180,717 | 254,769 | |
Cash flows from investing activities of continuing operations: | |||
Expenditures for property, plant and equipment | (37,981) | (16,602) | |
Proceeds from sale of assets and investments | 1,178 | 0 | |
Payments for businesses and intangibles acquired, net of cash acquired | (1,025) | 0 | |
Net interest proceeds on swaps designated as net investment hedges | 0 | ||
Net cash used in investing activities from continuing operations | (37,828) | (16,602) | |
Cash flows from financing activities of continuing operations: | |||
Proceeds from new borrowings | 0 | ||
Reduction in borrowings | 0 | 0 | |
Debt extinguishment, issuance and amendment fees | 0 | 0 | |
Net proceeds from share based compensation plans and the related tax impacts | 0 | 0 | |
Payments for contingent consideration | (15,044) | (170) | |
Dividends paid | 0 | 0 | |
Intercompany transactions | (126,062) | (234,304) | |
Intercompany dividends paid | 0 | 0 | |
Net cash used in financing activities from continuing operations | (141,106) | (234,474) | |
Cash flows from discontinued operations: | |||
Net cash provided by (used in) operating activities | 0 | 0 | |
Net cash provided by (used in) discontinued operations | 0 | 0 | |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | |
Net (decrease) increase in cash and cash equivalents | 1,783 | 3,693 | |
Cash and cash equivalents at the beginning of the period | 1,757 | 8,933 | |
Cash and cash equivalents at the end of the period | 3,540 | 12,626 | |
Non-Guarantor Subsidiaries | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Net cash (used in) provided by operating activities from continuing operations | 129,863 | 162,952 | |
Cash flows from investing activities of continuing operations: | |||
Expenditures for property, plant and equipment | (17,799) | (20,607) | |
Proceeds from sale of assets and investments | 0 | 0 | |
Payments for businesses and intangibles acquired, net of cash acquired | 0 | (22,450) | |
Net interest proceeds on swaps designated as net investment hedges | 0 | ||
Net cash used in investing activities from continuing operations | (17,799) | (43,057) | |
Cash flows from financing activities of continuing operations: | |||
Proceeds from new borrowings | 0 | ||
Reduction in borrowings | 0 | 0 | |
Debt extinguishment, issuance and amendment fees | 0 | 0 | |
Net proceeds from share based compensation plans and the related tax impacts | 0 | 0 | |
Payments for contingent consideration | (96,884) | (62,404) | |
Dividends paid | 0 | 0 | |
Intercompany transactions | 40,565 | 14,472 | |
Intercompany dividends paid | (92,455) | (70,373) | |
Net cash used in financing activities from continuing operations | (148,774) | (118,305) | |
Cash flows from discontinued operations: | |||
Net cash provided by (used in) operating activities | (631) | 0 | |
Net cash provided by (used in) discontinued operations | (631) | 0 | |
Effect of exchange rate changes on cash and cash equivalents | 1,925 | (5,520) | |
Net (decrease) increase in cash and cash equivalents | (35,416) | (3,930) | |
Cash and cash equivalents at the beginning of the period | 305,881 | 286,822 | |
Cash and cash equivalents at the end of the period | $ 270,465 | $ 282,892 |
Uncategorized Items - tfx-20196
Label | Element | Value |
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | $ (1,321,000) |
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | 3,076,000 |
Retained Earnings [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | (1,321,000) |
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | $ 3,076,000 |