Cover Page
Cover Page - shares | 9 Months Ended | |
Oct. 01, 2023 | Oct. 31, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Oct. 01, 2023 | |
Document Transition Report | false | |
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 $1.00 per share | |
Trading Symbol | TFX | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Smaller Reporting Company | false | |
Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 46,992,664 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q3 | |
Entity Central Index Key | 0000096943 | |
Current Fiscal Year End Date | --12-31 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 01, 2023 | Sep. 25, 2022 | Oct. 01, 2023 | Sep. 25, 2022 | |
Income Statement [Abstract] | ||||
Net revenues | $ 746,389 | $ 686,788 | $ 2,200,580 | $ 2,033,045 |
Cost of goods sold | 330,078 | 312,833 | 985,066 | 924,024 |
Gross profit | 416,311 | 373,955 | 1,215,514 | 1,109,021 |
Selling, general and administrative expenses | 213,194 | 209,616 | 669,216 | 630,373 |
Research and development expenses | 37,576 | 37,770 | 118,493 | 111,064 |
Restructuring and impairment charges | 231 | 628 | 3,960 | 2,950 |
Gains on sale of asset and business | 0 | (6,504) | 0 | (6,504) |
Income from continuing operations before interest and taxes | 165,310 | 132,445 | 423,845 | 371,138 |
Interest expense | 23,192 | 13,375 | 59,291 | 35,212 |
Interest income | (7,487) | (126) | (9,486) | (577) |
Income from continuing operations before taxes | 149,605 | 119,196 | 374,040 | 336,503 |
Taxes on income from continuing operations | 11,935 | 17,315 | 47,651 | 51,700 |
Income from continuing operations | 137,670 | 101,881 | 326,389 | 284,803 |
Operating (loss) income from discontinued operations | (687) | 19 | (1,512) | (329) |
Tax (benefit) expense on operating loss from discontinued operations | (157) | 5 | (346) | (76) |
(Loss) income from discontinued operations | (530) | 14 | (1,166) | (253) |
Net income | $ 137,140 | $ 101,895 | $ 325,223 | $ 284,550 |
Basic: | ||||
Income from continuing operations (in dollars per share) | $ 2.93 | $ 2.17 | $ 6.95 | $ 6.07 |
Loss from discontinued operations (in dollars per share) | (0.01) | 0 | (0.03) | 0 |
Net income (in dollars per share) | 2.92 | 2.17 | 6.92 | 6.07 |
Diluted: | ||||
Income from continuing operations (in dollars per share) | 2.91 | 2.16 | 6.90 | 6.02 |
Loss from discontinued operations (in dollars per share) | (0.01) | 0 | (0.02) | (0.01) |
Net income (in dollars per share) | $ 2.90 | $ 2.16 | $ 6.88 | $ 6.01 |
Weighted average common shares outstanding | ||||
Basic (in shares) | 46,992 | 46,906 | 46,974 | 46,894 |
Diluted (in shares) | 47,299 | 47,263 | 47,304 | 47,337 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 01, 2023 | Sep. 25, 2022 | Oct. 01, 2023 | Sep. 25, 2022 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 137,140 | $ 101,895 | $ 325,223 | $ 284,550 |
Other comprehensive (loss) income, net of tax: | ||||
Foreign currency translation, net of tax of $(4,667), $(12,477), $(434), and $(20,300) for the three and nine months periods, respectively | (29,417) | (55,194) | (13,368) | (123,576) |
Pension and other postretirement benefit plans adjustment, net of tax of $(476), $(716), $(1,182), and $(1,862) for the three and nine months periods, respectively | 1,543 | 2,195 | 3,951 | 5,807 |
Derivatives qualifying as hedges, net of tax of $(116), $(196), $334, and $(330) for the three and nine months periods, respectively | (2,412) | 2,502 | 789 | 5,536 |
Other comprehensive (loss) income, net of tax: | (30,286) | (50,497) | (8,628) | (112,233) |
Comprehensive income | $ 106,854 | $ 51,398 | $ 316,595 | $ 172,317 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 01, 2023 | Sep. 25, 2022 | Oct. 01, 2023 | Sep. 25, 2022 | |
Statement of Comprehensive Income [Abstract] | ||||
Foreign currency translation, tax | $ (4,667) | $ (12,477) | $ (434) | $ (20,300) |
Pension and other postretirement benefits plans adjustment, tax | (476) | (716) | (1,182) | (1,862) |
Derivatives qualifying as hedges, tax | $ (116) | $ (196) | $ 334 | $ (330) |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Oct. 01, 2023 | Dec. 31, 2022 |
Current assets | ||
Cash and cash equivalents | $ 881,499 | $ 292,034 |
Accounts receivable, net | 425,194 | 408,834 |
Inventories | 625,075 | 578,507 |
Prepaid expenses and other current assets | 138,657 | 125,084 |
Prepaid taxes | 26,846 | 6,524 |
Total current assets | 2,097,271 | 1,410,983 |
Property, plant and equipment, net | 464,467 | 447,205 |
Operating lease assets | 123,604 | 131,211 |
Goodwill | 2,528,305 | 2,536,730 |
Intangible assets, net | 2,180,539 | 2,306,165 |
Deferred tax assets | 6,167 | 6,402 |
Other assets | 93,281 | 89,367 |
Total assets | 7,493,634 | 6,928,063 |
Current liabilities | ||
Current borrowings | 87,500 | 87,500 |
Accounts payable | 130,686 | 126,807 |
Accrued expenses | 133,067 | 140,644 |
Payroll and benefit-related liabilities | 127,101 | 133,092 |
Accrued interest | 17,428 | 5,332 |
Income taxes payable | 24,375 | 24,736 |
Other current liabilities | 65,265 | 63,381 |
Total current liabilities | 585,422 | 581,492 |
Long-term borrowings | 1,950,123 | 1,624,023 |
Deferred tax liabilities | 389,080 | 388,886 |
Pension and postretirement benefit liabilities | 30,051 | 31,394 |
Noncurrent liability for uncertain tax positions | 6,545 | 5,805 |
Noncurrent operating lease liabilities | 111,810 | 120,437 |
Other liabilities | 106,555 | 154,058 |
Total liabilities | 3,179,586 | 2,906,095 |
Commitments and contingencies | ||
Total shareholders' equity | 4,314,048 | 4,021,968 |
Total liabilities and shareholders' equity | $ 7,493,634 | $ 6,928,063 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 9 Months Ended | |
Oct. 01, 2023 | Sep. 25, 2022 | |
Cash flows from operating activities of continuing operations: | ||
Net income | $ 325,223 | $ 284,550 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Loss from discontinued operations | 1,166 | 253 |
Depreciation expense | 52,687 | 49,076 |
Intangible asset amortization expense | 125,230 | 121,904 |
Deferred financing costs and debt discount amortization expense | 2,547 | 3,150 |
Changes in contingent consideration | (24,482) | 237 |
Assets impairment charges | 0 | 1,497 |
Stock-based compensation | 22,135 | 19,804 |
Gain on sale of business | 0 | (6,504) |
Deferred income taxes, net | 2,076 | 63 |
Payments for contingent consideration | (289) | (2,983) |
Interest benefit on swaps designated as net investment hedges | (15,459) | (15,677) |
Other | 4,743 | (3,953) |
Changes in assets and liabilities, net of effects of acquisitions and disposals: | ||
Accounts receivable | (18,313) | (36,402) |
Inventories | (50,702) | (85,293) |
Prepaid expenses and other assets | 7,487 | 21,298 |
Accounts payable, accrued expenses and other liabilities | (16,674) | (26,726) |
Income taxes receivable and payable, net | (45,014) | (79,879) |
Net cash provided by operating activities from continuing operations | 372,361 | 244,415 |
Cash flows from investing activities of continuing operations: | ||
Expenditures for property, plant and equipment | (63,768) | (52,648) |
Proceeds from sale of business and assets | 0 | 12,434 |
Payments for businesses and intangibles acquired, net of cash acquired | (205) | (27,308) |
Net interest proceeds on swaps designated as net investment hedges | 10,275 | 10,314 |
Proceeds from sales of investments | 7,300 | 7,300 |
Purchase of investments | (11,300) | (7,300) |
Net cash used in investing activities from continuing operations | (57,698) | (57,208) |
Cash flows from financing activities of continuing operations: | ||
Proceeds from new borrowings | 646,000 | 0 |
Reduction in borrowings | (321,625) | (144,250) |
Net proceeds (payments) from share based compensation plans and related tax impacts | 534 | (4,398) |
Payments for contingent consideration | (949) | (3,885) |
Dividends paid | (47,919) | (47,840) |
Net cash provided by (used in) financing activities from continuing operations | 276,041 | (200,373) |
Cash flows from discontinued operations: | ||
Net cash used in operating activities | (579) | (482) |
Net cash used in discontinued operations | (579) | (482) |
Effect of exchange rate changes on cash and cash equivalents | (660) | (34,177) |
Net increase (decrease) in cash and cash equivalents | 589,465 | (47,825) |
Cash and cash equivalents at the beginning of the period | 292,034 | 445,084 |
Cash and cash equivalents at the end of the period | $ 881,499 | $ 397,259 |
CONDENSED CONSOLIDATED STATEM_5
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock | Additional Paid In Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Treasury Stock |
Common stock, shares, issued, beginning balance (in shares) at Dec. 31, 2021 | 47,929 | |||||
Beginning balance at Dec. 31, 2021 | $ 3,754,748 | $ 47,929 | $ 693,090 | $ 3,517,954 | $ (346,959) | $ (157,266) |
Treasury stock, common, shares beginning balance (in shares) at Dec. 31, 2021 | 1,069 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 77,141 | 77,141 | ||||
Cash dividends | (15,946) | (15,946) | ||||
Other comprehensive income (loss) | (21,286) | (21,286) | ||||
Shares issued under compensation plans (in shares) | 5 | 27 | ||||
Shares issued under compensation plans | (51) | $ 5 | (950) | $ 894 | ||
Deferred compensation | 928 | 100 | $ 828 | |||
Deferred compensation (in shares) | (5) | |||||
Common stock, shares, issued, ending balance (in shares) at Mar. 27, 2022 | 47,934 | |||||
Ending balance at Mar. 27, 2022 | 3,795,534 | $ 47,934 | 692,240 | 3,579,149 | (368,245) | $ (155,544) |
Treasury stock, common, shares ending balance (in shares) at Mar. 27, 2022 | 1,037 | |||||
Common stock, shares, issued, beginning balance (in shares) at Dec. 31, 2021 | 47,929 | |||||
Beginning balance at Dec. 31, 2021 | 3,754,748 | $ 47,929 | 693,090 | 3,517,954 | (346,959) | $ (157,266) |
Treasury stock, common, shares beginning balance (in shares) at Dec. 31, 2021 | 1,069 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 284,550 | |||||
Other comprehensive income (loss) | (112,233) | |||||
Common stock, shares, issued, ending balance (in shares) at Sep. 25, 2022 | 47,941 | |||||
Ending balance at Sep. 25, 2022 | 3,895,161 | $ 47,941 | 707,060 | 3,754,664 | (459,192) | $ (155,312) |
Treasury stock, common, shares ending balance (in shares) at Sep. 25, 2022 | 1,034 | |||||
Common stock, shares, issued, beginning balance (in shares) at Mar. 27, 2022 | 47,934 | |||||
Beginning balance at Mar. 27, 2022 | 3,795,534 | $ 47,934 | 692,240 | 3,579,149 | (368,245) | $ (155,544) |
Treasury stock, common, shares beginning balance (in shares) at Mar. 27, 2022 | 1,037 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 105,514 | 105,514 | ||||
Cash dividends | (15,946) | (15,946) | ||||
Other comprehensive income (loss) | (40,450) | (40,450) | ||||
Shares issued under compensation plans (in shares) | 6 | 2 | ||||
Shares issued under compensation plans | 8,075 | $ 6 | 7,918 | $ 151 | ||
Deferred compensation | 3 | (2) | 5 | |||
Common stock, shares, issued, ending balance (in shares) at Jun. 26, 2022 | 47,940 | |||||
Ending balance at Jun. 26, 2022 | 3,852,730 | $ 47,940 | 700,156 | 3,668,717 | (408,695) | $ (155,388) |
Treasury stock, common, shares ending balance (in shares) at Jun. 26, 2022 | 1,035 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 101,895 | 101,895 | ||||
Cash dividends | (15,948) | (15,948) | ||||
Other comprehensive income (loss) | (50,497) | (50,497) | ||||
Shares issued under compensation plans (in shares) | 1 | 1 | ||||
Shares issued under compensation plans | 6,981 | $ 1 | 6,904 | $ 76 | ||
Common stock, shares, issued, ending balance (in shares) at Sep. 25, 2022 | 47,941 | |||||
Ending balance at Sep. 25, 2022 | 3,895,161 | $ 47,941 | 707,060 | 3,754,664 | (459,192) | $ (155,312) |
Treasury stock, common, shares ending balance (in shares) at Sep. 25, 2022 | 1,034 | |||||
Common stock, shares, issued, beginning balance (in shares) at Dec. 31, 2022 | 47,957 | |||||
Beginning balance at Dec. 31, 2022 | 4,021,968 | $ 47,957 | 715,118 | 3,817,304 | (403,522) | $ (154,889) |
Treasury stock, common, shares beginning balance (in shares) at Dec. 31, 2022 | 1,032 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 76,748 | 76,748 | ||||
Cash dividends | (15,969) | (15,969) | ||||
Other comprehensive income (loss) | 22,191 | 22,191 | ||||
Shares issued under compensation plans (in shares) | 18 | 19 | ||||
Shares issued under compensation plans | 4,990 | $ 18 | 2,333 | $ 2,639 | ||
Deferred compensation | 325 | 324 | $ 1 | |||
Deferred compensation (in shares) | (6) | |||||
Common stock, shares, issued, ending balance (in shares) at Apr. 02, 2023 | 47,975 | |||||
Ending balance at Apr. 02, 2023 | 4,110,253 | $ 47,975 | 717,775 | 3,878,083 | (381,331) | $ (152,249) |
Treasury stock, common, shares ending balance (in shares) at Apr. 02, 2023 | 1,007 | |||||
Common stock, shares, issued, beginning balance (in shares) at Dec. 31, 2022 | 47,957 | |||||
Beginning balance at Dec. 31, 2022 | 4,021,968 | $ 47,957 | 715,118 | 3,817,304 | (403,522) | $ (154,889) |
Treasury stock, common, shares beginning balance (in shares) at Dec. 31, 2022 | 1,032 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 325,223 | |||||
Other comprehensive income (loss) | (8,628) | |||||
Common stock, shares, issued, ending balance (in shares) at Oct. 01, 2023 | 47,999 | |||||
Ending balance at Oct. 01, 2023 | 4,314,048 | $ 47,999 | 735,752 | 4,094,608 | (412,150) | $ (152,161) |
Treasury stock, common, shares ending balance (in shares) at Oct. 01, 2023 | 1,006 | |||||
Common stock, shares, issued, beginning balance (in shares) at Apr. 02, 2023 | 47,975 | |||||
Beginning balance at Apr. 02, 2023 | 4,110,253 | $ 47,975 | 717,775 | 3,878,083 | (381,331) | $ (152,249) |
Treasury stock, common, shares beginning balance (in shares) at Apr. 02, 2023 | 1,007 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 111,335 | 111,335 | ||||
Cash dividends | (15,972) | (15,972) | ||||
Other comprehensive income (loss) | (533) | (533) | ||||
Shares issued under compensation plans (in shares) | 23 | |||||
Shares issued under compensation plans | 10,009 | $ 23 | 9,920 | $ 66 | ||
Common stock, shares, issued, ending balance (in shares) at Jul. 02, 2023 | 47,998 | |||||
Ending balance at Jul. 02, 2023 | 4,215,092 | $ 47,998 | 727,695 | 3,973,446 | (381,864) | $ (152,183) |
Treasury stock, common, shares ending balance (in shares) at Jul. 02, 2023 | 1,007 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 137,140 | 137,140 | ||||
Cash dividends | (15,978) | (15,978) | ||||
Other comprehensive income (loss) | (30,286) | (30,286) | ||||
Shares issued under compensation plans (in shares) | 1 | 1 | ||||
Shares issued under compensation plans | 8,080 | $ 1 | 8,057 | $ 22 | ||
Common stock, shares, issued, ending balance (in shares) at Oct. 01, 2023 | 47,999 | |||||
Ending balance at Oct. 01, 2023 | $ 4,314,048 | $ 47,999 | $ 735,752 | $ 4,094,608 | $ (412,150) | $ (152,161) |
Treasury stock, common, shares ending balance (in shares) at Oct. 01, 2023 | 1,006 |
CONDENSED CONSOLIDATED STATEM_6
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (Parenthetical) - $ / shares | 3 Months Ended | |||||
Oct. 01, 2023 | Jul. 02, 2023 | Apr. 02, 2023 | Sep. 25, 2022 | Jun. 26, 2022 | Mar. 27, 2022 | |
Statement of Stockholders' Equity [Abstract] | ||||||
Dividends per share (in dollars per share) | $ 0.34 | $ 0.34 | $ 0.34 | $ 0.34 | $ 0.34 | $ 0.34 |
Basis of presentation
Basis of presentation | 9 Months Ended |
Oct. 01, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of presentation | Basis of presentation The accompanying unaudited condensed consolidated financial statements of Teleflex Incorporated and its subsidiaries (“we,” “us,” “our" and “Teleflex”) 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 statement of the 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 our annual consolidated financial statements. Therefore, our quarterly condensed consolidated financial statements should be read in conjunction with our consolidated financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2022. |
Recently issued accounting stan
Recently issued accounting standards | 9 Months Ended |
Oct. 01, 2023 | |
Accounting Standards Update and Change in Accounting Principle [Abstract] | |
Recently issued accounting standards | Recently issued accounting standardsFrom time to time, new accounting guidance is issued by the FASB or other standard setting bodies that is adopted by us as of the effective date or, in some cases where early adoption is permitted, in advance of the effective date. We have assessed the recently issued guidance that is not yet effective and believe the new guidance will not have a material impact on the consolidated results of operations, cash flows or financial position. |
Net revenues
Net revenues | 9 Months Ended |
Oct. 01, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Net revenues | Net revenuesWe primarily generate 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 our 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 our products are shipped from the manufacturing or distribution facility. For our 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 we have an enforceable right to payment to the extent that performance has been completed. We market and sell products through our 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, which constituted 87%, 11% and 2% of consolidated net revenues, respectively, for the nine months ended October 1, 2023. Revenue is measured as the amount of consideration we expect 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 nine months ended October 1, 2023 and September 25, 2022. Three Months Ended Nine Months Ended October 1, 2023 September 25, 2022 October 1, 2023 September 25, 2022 Vascular access $ 169,919 $ 167,147 $ 521,356 $ 497,188 Anesthesia 97,612 97,608 291,786 289,260 Interventional 134,089 108,738 375,766 319,939 Surgical 112,805 93,124 317,781 282,468 Interventional urology 73,622 78,969 226,819 233,682 OEM 82,309 71,288 243,434 198,947 Other (1) 76,033 69,914 223,638 211,561 Net revenues (2) $ 746,389 $ 686,788 $ 2,200,580 $ 2,033,045 (1) Includes revenues generated from sales of our respiratory and urology products (other than interventional urology products). (2) The product categories listed above are presented on a global basis, while each of our reportable segments other than the OEM reportable segment are defined based on the geographic location of its operations; the OEM reportable segment operates globally. Each of the geographically based reportable segments includes net revenues from each of the non-OEM product categories listed above. |
Acquisitions and Divestiture
Acquisitions and Divestiture | 9 Months Ended |
Oct. 01, 2023 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Acquisitions and Divestiture | Acquisitions and Divestiture 2023 acquisition On July 25, 2023, we executed a definitive agreement to acquire Palette Life Sciences AB (“Palette”), a privately held medical device company that sells a portfolio of hyaluronic acid gel-based products primarily utilized in the treatment of urology diseases including a rectal spacing product used in connection with radiation therapy treatment of prostate cancer. The acquisition will complement our interventional urology product portfolio. On October 10, 2023, we completed the acquisition of Palette using borrowings under our revolving credit facility and cash on hand. Under the terms of the agreement, we acquired Palette for an initial cash payment of $600 million, with additional consideration of up to $50 million payable upon the achievement of certain commercial milestones. 2022 acquisition In the fourth quarter of 2022, we completed the acquisition of Standard Bariatrics, Inc. (“Standard Bariatrics”), a privately-held medical device company that commercialized a powered stapling technology for bariatric surgery that complements our surgical product portfolio. Under the terms of the agreement, we acquired Standard Bariatrics for cash payments of $173 million, with the potential to make three milestone payments up to $130 million in the aggregate if certain commercial milestones are met. Divestiture On May 15, 2021, we entered into a definitive agreement to sell certain product lines within our global respiratory product portfolio (the "Divested respiratory business") to Medline Industries, Inc. (“Medline”) for consideration of $286.0 million, reduced by $12 million in working capital not transferring to Medline, which is subject to customary post close adjustments (the "Respiratory business divestiture"). In connection with the Respiratory business divestiture, we also entered into several ancillary agreements with Medline to help facilitate the transfer of the business, which provide for transition support, quality, supply and manufacturing services, including a manufacturing and supply transition agreement (the "MSTA"). On June 28, 2021, the first day of the third quarter of 2021, we completed the initial phase of the Respiratory business divestiture, pursuant to which we received cash proceeds of $259 million. The second phase of the Respiratory business divestiture will occur once we transfer certain additional manufacturing assets to Medline and is expected to occur prior to the end of 2023. We plan to recognize the remaining consideration, and any gain on sale resulting from the completion of the second phase of the divestiture, when it becomes realizable. |
Restructuring and impairment ch
Restructuring and impairment charges | 9 Months Ended |
Oct. 01, 2023 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and impairment charges | Restructuring and impairment charges Restructuring and impairment charges recognized for the three and nine months ended October 1, 2023 and September 25, 2022 consisted of the following: Three Months Ended October 1, 2023 Termination Benefits Other Costs (1) Total 2023 Footprint realignment plan $ 1,296 $ — $ 1,296 2022 Restructuring plan 244 102 346 Respiratory divestiture plan (851) 5 (846) Other restructuring programs (2) (612) 47 (565) Restructuring charges $ 77 $ 154 $ 231 Three Months Ended September 25, 2022 Termination Benefits Other Costs (1) Total Respiratory divestiture plan $ 123 $ 22 $ 145 2019 Footprint realignment plan (50) 16 (34) 2018 Footprint realignment plan 203 252 455 Other restructuring programs (3) 24 38 62 Restructuring charges $ 300 $ 328 $ 628 Nine Months Ended October 1, 2023 Termination Benefits Other Costs (1) Total 2023 Footprint realignment plan $ 1,296 $ — $ 1,296 2022 Restructuring plan 3,361 313 3,674 Respiratory divestiture plan (596) 17 (579) Other restructuring programs (2) (853) 422 (431) Restructuring charges $ 3,208 $ 752 $ 3,960 Nine Months Ended September 25, 2022 Termination Benefits Other Costs (1) Total Respiratory divestiture plan $ 358 $ 67 $ 425 2019 Footprint realignment plan (1,120) 61 (1,059) 2018 Footprint realignment plan 514 547 1,061 Other restructuring programs (3) 750 276 1,026 Restructuring charges 502 951 1,453 Asset impairment charges — 1,497 1,497 Restructuring and impairment charges $ 502 $ 2,448 $ 2,950 (1) Other costs include facility closure, contract termination and other exit costs. (2) Includes activity primarily related to a restructuring plan initiated in the first quarter of 2022 that is designed to relocate manufacturing operations at certain of our facilities (the "2022 Manufacturing relocation plan") and our 2014, 2018, and 2019 Footprint realignment plans. (3) Includes activity primarily related to the 2022 Manufacturing relocation plan, the 2021 Restructuring plan and the 2014 Footprint realignment plan. 2023 Footprint Realignment plan In September 2023, we initiated a restructuring plan primarily involving the relocation of certain manufacturing operations to existing lower-cost locations, the outsourcing of certain manufacturing processes and related workforce reductions (the "2023 Footprint realignment plan"). These actions are expected to be substantially completed by the end of 2027. The following table provides a summary of our estimates of restructuring and restructuring related charges by major type of expense associated with the 2023 Footprint realignment plan: Total estimated amount expected to be incurred Plan expense estimates: (Dollars in millions) Restructuring charges (1) $4 million to $6 million Restructuring related charges (2) $7 million to $9 million Total restructuring and restructuring related charges $11 million to $15 million (1) Substantially all of the charges consist of employee termination benefit costs. (2) Restructuring related charges represent costs that are directly related to the 2023 Footprint realignment plan and principally constitute costs to transfer manufacturing operations to existing lower-cost locations and project management costs. Substantially all of these charges are expected to be recognized within cost of goods sold. We expect substantially all of the restructuring and restructuring related charges will result in future cash outlays, the majority of which will be made between 2024 and 2025. Additionally, we expect to incur $2 million to $3 million in aggregate capital expenditures under the plan, which are expected to be incurred mostly in 2024. As of October 1, 2023, we maintain a restructuring reserve of $1.3 million in connection with this plan, all of which relate to termination benefits. Respiratory divestiture plan During 2021, in connection with the Respiratory business divestiture, we committed to a restructuring plan designed to separate the manufacturing operations to be transferred to Medline from those that will remain with Teleflex, which includes related workforce reductions (the “Respiratory divestiture plan”). The plan includes expanding certain of our existing locations to accommodate the transfer of capacity from the sites being transferred to Medline and replicating the manufacturing processes at alternate existing locations. We expect this plan will be substantially completed by the end of 2023. The following table provides a summary of our cost estimates by major type of expense associated with the Respiratory divestiture plan: Total estimated amount expected to be incurred Plan expense estimates: (Dollars in millions) Restructuring charges (1) $3 million to $3 million Restructuring related charges (2) $19 million to $21 million Total restructuring and restructuring related charges $22 million to $24 million (1) Substantially all of the charges consist of employee termination benefit costs. (2) Consist of charges that are directly related to the Respiratory divestiture plan and principally constitute costs to transfer manufacturing operations to other locations and project management costs. Substantially all of the charges are expected to be recognized within costs of goods sold. We expect substantially all of the restructuring and restructuring related charges will result in future cash outlays, and we expect to incur $22 million to $24 million in aggregate capital expenditures under the plan. We recorded restructuring related charges with respect to the Respiratory divestiture plan of $1.6 million and $5.6 million for the three and nine months ended October 1, 2023, respectively, and $2.1 million and $6.5 million for the three and nine months ended September 25, 2022, respectively. The restructuring related charges were included within cost of goods sold. As of October 1, 2023, we have incurred net aggregate restructuring expenses related to the Respiratory divestiture plan of $2.7 million. Additionally, as of October 1, 2023, we have incurred net aggregate restructuring related charges in connection with the Respiratory divestiture plan of $17.9 million, which were primarily included in cost of goods sold. As of October 1, 2023, we have a restructuring reserve of $2.5 million in connection with this plan. 2022 Restructuring plan In November 2022, we initiated a strategic restructuring plan designed to improve operating performance and position the organization to deliver long-term durable growth by creating efficiencies that align with our high growth strategic objectives (the “2022 Restructuring plan”). The plan is substantially complete and as a result, we expect future restructuring expenses associated with the plan, if any, to be immaterial. |
Inventories
Inventories | 9 Months Ended |
Oct. 01, 2023 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories Inventories as of October 1, 2023 and December 31, 2022 consisted of the following: October 1, 2023 December 31, 2022 Raw materials $ 186,216 $ 186,641 Work-in-process 111,371 98,993 Finished goods 327,488 292,873 Inventories $ 625,075 $ 578,507 |
Goodwill and other intangible a
Goodwill and other intangible assets | 9 Months Ended |
Oct. 01, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and other intangible assets | Goodwill and other intangible assets The following table provides information relating to changes in the carrying amount of goodwill by reportable operating segment for the nine months ended October 1, 2023: Americas EMEA Asia OEM Total December 31, 2022 $ 1,731,093 $ 468,524 $ 225,103 $ 112,010 $ 2,536,730 Currency translation adjustment 2,608 (4,011) (7,022) — (8,425) October 1, 2023 $ 1,733,701 $ 464,513 $ 218,081 $ 112,010 $ 2,528,305 The gross carrying amount of, and accumulated amortization relating to, intangible assets as of October 1, 2023 and December 31, 2022 were as follows: Gross Carrying Amount Accumulated Amortization October 1, 2023 December 31, 2022 October 1, 2023 December 31, 2022 Customer relationships $ 1,326,706 $ 1,328,539 $ (542,216) $ (497,335) In-process research and development 26,979 27,075 — — Intellectual property 1,600,259 1,599,355 (714,308) (646,643) Distribution rights 23,087 23,115 (21,643) (21,090) Trade names 562,461 564,023 (80,787) (71,128) Non-compete agreements 21,311 21,429 (21,310) (21,175) $ 3,560,803 $ 3,563,536 $ (1,380,264) $ (1,257,371) |
Borrowings
Borrowings | 9 Months Ended |
Oct. 01, 2023 | |
Debt Disclosure [Abstract] | |
Borrowings | Borrowings Our borrowings at October 1, 2023 and December 31, 2022 were as follows: October 1, 2023 December 31, 2022 Senior Credit Facility: Revolving credit facility, at a rate of 6.67% at October 1, 2023, due 2027 $ 482,000 $ 148,250 Term loan facility, at a rate of 6.67% at October 1, 2023, due 2027 490,625 500,000 4.625% Senior Notes due 2027 500,000 500,000 4.25% Senior Notes due 2028 500,000 500,000 Securitization program, at a rate of 6.29% at October 1, 2023 75,000 75,000 2,047,625 1,723,250 Less: Unamortized debt issuance costs (10,002) (11,727) 2,037,623 1,711,523 Current borrowings (87,500) (87,500) Long-term borrowings $ 1,950,123 $ 1,624,023 |
Financial instruments
Financial instruments | 9 Months Ended |
Oct. 01, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Financial instruments | Financial instruments Foreign currency forward contracts We use derivative instruments for risk management purposes. Foreign currency forward contracts designated as cash flow hedges are used to manage foreign currency transaction exposure. 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. We enter into the non-designated foreign currency forward contracts for periods consistent with our currency translation exposures, which generally approximate one month. For the three and nine months ended October 1, 2023, we recognized a loss of $1.0 million and a gain of $1.0 million, respectively, related to non-designated foreign currency forward contracts. For the three and nine months ended September 25, 2022, we recognized losses of $1.0 million and $4.2 million, respectively, related to non-designated foreign currency forward contracts. The total notional amount for all open foreign currency forward contracts designated as cash flow hedges as of October 1, 2023 and December 31, 2022 was $238.1 million and $184.8 million, respectively. The total notional amount for all open non-designated foreign currency forward contracts as of October 1, 2023 and December 31, 2022 was $140.3 million and $152.9 million, respectively. All open foreign currency forward contracts as of October 1, 2023 have durations of 12 months or less. Cross-currency interest rate swaps During 2019, we 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, we have notionally exchanged $250 million at an annual interest rate of 4.88% for €219.2 million at an annual interest rate of 2.46%. The swap agreements are designed as net investment hedges and expire on March 4, 2024. During 2018, we 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 (the "2018 Cross-currency swap"). Under the terms of the cross-currency swap agreements, we have notionally exchanged $500 million at an annual interest rate of 4.63% for €433.9 million at an annual interest rate of 1.94%. The swap agreements are designed as net investment hedges. For further discussion related to the 2018 Cross-currency swap refer to subsequent event section below. 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"). The following table summarizes the foreign exchange gains and losses recognized within AOCI and the interest benefit recognized within interest expense related to cross currency swap for the three and nine months ended October 1, 2023 and September 25, 2022: Three Months Ended Nine Months Ended October 1, 2023 September 25, 2022 October 1, 2023 September 25, 2022 Foreign exchange gain $ 15,756 $ 42,189 $ 1,466 $ 68,643 Interest benefit 5,171 5,531 15,459 15,677 Subsequent event On October 4, 2023, the third day of our fourth quarter, the agreements related to our 2018 Cross-currency swap matured resulting in $43.0 million in cash settlement proceeds. On October 2, 2023, we executed new 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, we have notionally exchanged $500 million at an annual interest rate of 4.63% for €474.7 million at an annual interest rate of 3.05%. The swap agreements are designated as net investment hedges and expire on October 4, 2025. Balance sheet presentation The following table presents the locations in the condensed consolidated balance sheet and fair value of derivative financial instruments as of October 1, 2023 and December 31, 2022: October 1, 2023 December 31, 2022 Fair Value Asset derivatives: Designated foreign currency forward contracts $ 4,288 $ 3,154 Non-designated foreign currency forward contracts 158 41 Cross-currency interest rate swaps 67,500 48,503 Prepaid expenses and other current assets 71,946 51,698 Cross-currency interest rate swaps — 11,912 Other assets — 11,912 Total asset derivatives $ 71,946 $ 63,610 Liability derivatives: Designated foreign currency forward contracts $ 2,819 $ 983 Non-designated foreign currency forward contracts 422 477 Other current liabilities 3,241 1,460 Total liability derivatives $ 3,241 $ 1,460 See Note 11 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 our cash flow hedges during the three and nine months ended October 1, 2023 and September 25, 2022. Trade receivables |
Fair value measurement
Fair value measurement | 9 Months Ended |
Oct. 01, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair value measurement | Fair value measurement The following tables provide information regarding our financial assets and liabilities measured at fair value on a recurring basis as of October 1, 2023 and December 31, 2022: Total carrying value at October 1, 2023 Quoted prices in active Significant other Significant Investments in marketable securities $ 4,761 $ 4,761 $ — $ — Derivative assets 71,946 — 71,946 — Derivative liabilities 3,241 — 3,241 — Contingent consideration liabilities 18,302 — — 18,302 Total carrying Quoted prices in active Significant other Significant Investments in marketable securities $ 10,097 $ 10,097 $ — $ — Derivative assets 63,610 — 63,610 — Derivative liabilities 1,460 — 1,460 — Contingent consideration liabilities 44,022 — — 44,022 Valuation Techniques Our 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 our benefit plans and other arrangements. The investment assets of the trust are valued using quoted market prices. Our financial assets and liabilities valued based upon Level 2 inputs are comprised of foreign currency forward contracts and cross-currency interest rate swap agreements. We use foreign currency forwards and cross-currency interest rate swaps to manage foreign currency transaction exposure, as well as exposure to foreign currency denominated monetary assets and liabilities. We measure the fair value of the foreign currency forwards and cross-currency swaps 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. Our financial liabilities valued based upon Level 3 inputs (inputs that are not observable in the market) are comprised of contingent consideration arrangements pertaining to our acquisitions. Contingent consideration Contingent consideration liabilities, which primarily consist of payment obligations that are contingent upon the achievement of revenue-based goals, but also can be based on other milestones such as regulatory approvals, 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. We determine the fair value of certain 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 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 our significant contingent consideration liabilities. Contingent Consideration Liability Valuation Technique Unobservable Input Revenue-based Monte Carlo simulation Revenue volatility 30.6 % Risk free rate Cost of debt structure Projected year of payment 2024 - 2026 The following table provides information regarding changes in our contingent consideration liabilities for the three and nine months ended October 1, 2023: Contingent consideration Balance – December 31, 2022 $ 44,022 Payments (1,238) Revaluations (24,482) Balance – October 1, 2023 $ 18,302 |
Shareholders' equity
Shareholders' equity | 9 Months Ended |
Oct. 01, 2023 | |
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 Nine Months Ended October 1, 2023 September 25, 2022 October 1, 2023 September 25, 2022 Basic 46,992 46,906 46,974 46,894 Dilutive effect of share-based awards 307 357 330 443 Diluted 47,299 47,263 47,304 47,337 The weighted average number of shares that were antidilutive and therefore excluded from the calculation of earnings per share were 0.8 million and 0.7 million for the three and nine months ended October 1, 2023, respectively, and 0.7 million and 0.5 million for the three and nine months ended September 25, 2022, respectively. The following tables provide information relating to the changes in accumulated other comprehensive loss, net of tax, for the nine months ended October 1, 2023 and September 25, 2022: Cash Flow Hedges Pension and Other Postretirement Benefit Plans Foreign Currency Translation Adjustment Accumulated Other Comprehensive (Loss) Income Balance as of December 31, 2022 $ 4,931 $ (135,799) $ (272,654) $ (403,522) Other comprehensive income (loss) before reclassifications 9,109 (76) (13,368) (4,335) Amounts reclassified from accumulated other comprehensive (loss) income (8,320) 4,027 — (4,293) Net current-period other comprehensive income (loss) 789 3,951 (13,368) (8,628) Balance as of October 1, 2023 $ 5,720 $ (131,848) $ (286,022) $ (412,150) Cash Flow Hedges Pension and Other Postretirement Benefit Plans Foreign Currency Translation Adjustment Accumulated Other Comprehensive (Loss) Income Balance as of December 31, 2021 $ 1,081 $ (138,290) $ (209,750) $ (346,959) Other comprehensive income (loss) before reclassifications 6,871 1,980 (123,576) (114,725) Amounts reclassified from accumulated other comprehensive (loss) income (1,335) 3,827 — 2,492 Net current-period other comprehensive income (loss) 5,536 5,807 (123,576) (112,233) Balance as of September 25, 2022 $ 6,617 $ (132,483) $ (333,326) $ (459,192) 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 (income) expense, net of tax, for the three and nine months ended October 1, 2023 and September 25, 2022: Three Months Ended Nine Months Ended October 1, 2023 September 25, 2022 October 1, 2023 September 25, 2022 (Gains) Loss on foreign exchange contracts: Cost of goods sold $ (3,499) $ (1,614) $ (8,734) $ (1,445) Total before tax (3,499) (1,614) (8,734) (1,445) Taxes 34 84 414 110 Net of tax (3,465) (1,530) (8,320) (1,335) Amortization of pension and other postretirement benefit items (1) : Actuarial losses 1,851 1,758 5,986 5,747 Prior-service costs (252) (252) (756) (756) Total before tax 1,599 1,506 5,230 4,991 Tax benefit (368) (352) (1,203) (1,164) Net of tax 1,231 1,154 4,027 3,827 Total reclassifications, net of tax $ (2,234) $ (376) $ (4,293) $ 2,492 (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 | 9 Months Ended |
Oct. 01, 2023 | |
Income Tax Disclosure [Abstract] | |
Taxes on income from continuing operations | Taxes on income from continuing operations Three Months Ended Nine Months Ended October 1, 2023 September 25, 2022 October 1, 2023 September 25, 2022 Effective income tax rate 8.0% 14.5% 12.7% 15.4% |
Commitments and contingent liab
Commitments and contingent liabilities | 9 Months Ended |
Oct. 01, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and contingent liabilities | Commitments and contingent liabilities Environmental: We are subject to contingencies as a result of environmental laws and regulations that in the future may require us to take further action to correct the effects on the environment of prior disposal practices or releases of chemical or petroleum substances by us 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 us to undertake certain investigative and remedial activities at sites where we conduct 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 October 1, 2023, we have recorded $2.5 million and $4.1 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 October 1, 2023. The time frame over which the accrued amounts may be paid out, based on past history, is estimated to be 10-15 years. Legal matters: We are 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 October 1, 2023, we have recorded accrued liabilities of $0.6 million in connection with such contingencies, representing our 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, we do not believe that the outcome of any outstanding litigation and claims is likely to be, individually or in the aggregate, material to our 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 our 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. Other: In 2015, the Italian parliament enacted legislation that, among other things, imposed a “payback” measure on medical device companies that supply goods and services to the Italian National Healthcare System. Under the measure, companies are required to make payments to the Italian government if medical device expenditures in a given year exceed regional expenditure ceilings established for that year. The payment amounts are calculated based on the amount by which the regional ceilings for the given year were exceeded. Considerable uncertainty exists related to the enforceability of and implementation process for the payback law. In response to decrees issued by the Italian Ministry of Health, the various Italian regions issued invoices to medical device companies, including Teleflex, under the payback measure in the fourth quarter of 2022 seeking payment with respect to excess expenditures for the years 2015 through 2018. Following the issuance of the invoices, we and numerous other medical device companies filed appeals with the Italian administrative courts challenging the enforceability of the payback measure, which appeals remain pending. As of October 1, 2023, our reserve for this matter was $12.9 million, of which $2.2 million was recorded as a reduction of revenue in 2023. If the payback was to ultimately be enforced in its existing form, we estimate that we would be required to remit payments in excess of our current reserve of up to $18.6 million. On April 4, 2023, one of our Mexican subsidiaries received a notification from the Mexican Federal Tax Administration Service (“SAT”) setting forth its preliminary findings with respect to a foreign trade operations audit carried out by SAT for the period from July 1, 2017 to June 6, 2019. The preliminary findings stated that our Mexican subsidiary did not evidence the export of goods temporarily imported under Mexico’s Manufacturing, Maquila and Export Services Industries Program (“IMMEX Program”), therefore triggering the potential obligation for payment of import duties, value added tax, customs processing fees and other fines and penalties. In response to the notification, our Mexican subsidiary has requested that the matter be referred to the Procuraduría de la Defensa del Contribuyente, or “PRODECON,” (local tax ombudsperson) to help facilitate the process. In June, SAT was provided with the appropriate documentation evidencing the export of the goods in accordance with the requirements of the IMMEX Program. While we cannot predict with certainty the outcome of this audit, based on currently known information, we do not believe a loss is either probable or estimable. Accordingly, no loss contingency has been recorded in our financial statements as of October 1, 2023 related to this matter. However, if the final resolution of the matter is not favorable to us, our Mexican subsidiary may be required to make payment of certain import duties, fines and surcharges, which could be material. Tax audits and examinations: We are routinely subject to tax examinations by various tax authorities. As of October 1, 2023, the most significant tax examinations in process were in Ireland and Germany. We may establish reserves with respect to our uncertain tax positions, after we adjust the reserves to address developments with respect to our uncertain tax positions, including developments in these tax examinations. Accordingly, developments in tax audits and examinations, including resolution of uncertain tax positions, could result in increases or decreases to our recorded tax liabilities, which could impact our financial results. |
Segment information
Segment information | 9 Months Ended |
Oct. 01, 2023 | |
Segment Reporting [Abstract] | |
Segment information | Segment information The following tables present our segment results for the three and nine months ended October 1, 2023 and September 25, 2022: Three Months Ended Nine Months Ended October 1, 2023 September 25, 2022 October 1, 2023 September 25, 2022 Americas $ 428,206 $ 405,038 $ 1,264,714 $ 1,195,739 EMEA 142,723 128,437 433,872 410,535 Asia 93,151 82,025 258,560 227,824 OEM 82,309 71,288 243,434 198,947 Net revenues $ 746,389 $ 686,788 $ 2,200,580 $ 2,033,045 Three Months Ended Nine Months Ended October 1, 2023 September 25, 2022 October 1, 2023 September 25, 2022 Americas $ 126,340 $ 107,180 $ 341,261 $ 318,548 EMEA 17,876 7,472 43,744 29,291 Asia 25,978 22,885 70,126 61,796 OEM 23,491 18,438 67,307 47,197 Total segment operating profit (1) 193,685 155,975 522,438 456,832 Unallocated expenses (2) (28,375) (23,530) (98,593) (85,694) Income from continuing operations before interest and taxes $ 165,310 $ 132,445 $ 423,845 $ 371,138 (1) Segment operating profit includes segment net revenues from external customers reduced by its 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. (2) Unallocated expenses primarily include manufacturing variances other than fixed manufacturing cost absorption variances and restructuring and impairment charges. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Oct. 01, 2023 | Jul. 02, 2023 | Apr. 02, 2023 | Sep. 25, 2022 | Jun. 26, 2022 | Mar. 27, 2022 | Oct. 01, 2023 | Sep. 25, 2022 | |
Pay vs Performance Disclosure | ||||||||
Net income | $ 137,140 | $ 111,335 | $ 76,748 | $ 101,895 | $ 105,514 | $ 77,141 | $ 325,223 | $ 284,550 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Oct. 01, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Recently issued accounting st_2
Recently issued accounting standards (Policies) | 9 Months Ended |
Oct. 01, 2023 | |
Accounting Standards Update and Change in Accounting Principle [Abstract] | |
Basis of presentation | Basis of presentation The accompanying unaudited condensed consolidated financial statements of Teleflex Incorporated and its subsidiaries (“we,” “us,” “our" and “Teleflex”) 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 statement of the 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 our annual consolidated financial statements. Therefore, our quarterly condensed consolidated financial statements should be read in conjunction with our consolidated financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2022. |
Recently issued accounting standards | Recently issued accounting standardsFrom time to time, new accounting guidance is issued by the FASB or other standard setting bodies that is adopted by us as of the effective date or, in some cases where early adoption is permitted, in advance of the effective date. We have assessed the recently issued guidance that is not yet effective and believe the new guidance will not have a material impact on the consolidated results of operations, cash flows or financial position. |
Net revenues (Tables)
Net revenues (Tables) | 9 Months Ended |
Oct. 01, 2023 | |
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 nine months ended October 1, 2023 and September 25, 2022. Three Months Ended Nine Months Ended October 1, 2023 September 25, 2022 October 1, 2023 September 25, 2022 Vascular access $ 169,919 $ 167,147 $ 521,356 $ 497,188 Anesthesia 97,612 97,608 291,786 289,260 Interventional 134,089 108,738 375,766 319,939 Surgical 112,805 93,124 317,781 282,468 Interventional urology 73,622 78,969 226,819 233,682 OEM 82,309 71,288 243,434 198,947 Other (1) 76,033 69,914 223,638 211,561 Net revenues (2) $ 746,389 $ 686,788 $ 2,200,580 $ 2,033,045 (1) Includes revenues generated from sales of our respiratory and urology products (other than interventional urology products). (2) The product categories listed above are presented on a global basis, while each of our reportable segments other than the OEM reportable segment are defined based on the geographic location of its operations; the OEM reportable segment operates globally. Each of the geographically based reportable segments includes net revenues from each of the non-OEM product categories listed above. |
Restructuring and impairment _2
Restructuring and impairment charges (Tables) | 9 Months Ended |
Oct. 01, 2023 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Other Impairment Charges | Restructuring and impairment charges recognized for the three and nine months ended October 1, 2023 and September 25, 2022 consisted of the following: Three Months Ended October 1, 2023 Termination Benefits Other Costs (1) Total 2023 Footprint realignment plan $ 1,296 $ — $ 1,296 2022 Restructuring plan 244 102 346 Respiratory divestiture plan (851) 5 (846) Other restructuring programs (2) (612) 47 (565) Restructuring charges $ 77 $ 154 $ 231 Three Months Ended September 25, 2022 Termination Benefits Other Costs (1) Total Respiratory divestiture plan $ 123 $ 22 $ 145 2019 Footprint realignment plan (50) 16 (34) 2018 Footprint realignment plan 203 252 455 Other restructuring programs (3) 24 38 62 Restructuring charges $ 300 $ 328 $ 628 Nine Months Ended October 1, 2023 Termination Benefits Other Costs (1) Total 2023 Footprint realignment plan $ 1,296 $ — $ 1,296 2022 Restructuring plan 3,361 313 3,674 Respiratory divestiture plan (596) 17 (579) Other restructuring programs (2) (853) 422 (431) Restructuring charges $ 3,208 $ 752 $ 3,960 Nine Months Ended September 25, 2022 Termination Benefits Other Costs (1) Total Respiratory divestiture plan $ 358 $ 67 $ 425 2019 Footprint realignment plan (1,120) 61 (1,059) 2018 Footprint realignment plan 514 547 1,061 Other restructuring programs (3) 750 276 1,026 Restructuring charges 502 951 1,453 Asset impairment charges — 1,497 1,497 Restructuring and impairment charges $ 502 $ 2,448 $ 2,950 (1) Other costs include facility closure, contract termination and other exit costs. (2) Includes activity primarily related to a restructuring plan initiated in the first quarter of 2022 that is designed to relocate manufacturing operations at certain of our facilities (the "2022 Manufacturing relocation plan") and our 2014, 2018, and 2019 Footprint realignment plans. (3) Includes activity primarily related to the 2022 Manufacturing relocation plan, the 2021 Restructuring plan and the 2014 Footprint realignment plan. |
Summary Of Current Cost Estimates By Major Type Of Cost Table | The following table provides a summary of our estimates of restructuring and restructuring related charges by major type of expense associated with the 2023 Footprint realignment plan: Total estimated amount expected to be incurred Plan expense estimates: (Dollars in millions) Restructuring charges (1) $4 million to $6 million Restructuring related charges (2) $7 million to $9 million Total restructuring and restructuring related charges $11 million to $15 million (1) Substantially all of the charges consist of employee termination benefit costs. (2) Restructuring related charges represent costs that are directly related to the 2023 Footprint realignment plan and principally constitute costs to transfer manufacturing operations to existing lower-cost locations and project management costs. Substantially all of these charges are expected to be recognized within cost of goods sold. Total estimated amount expected to be incurred Plan expense estimates: (Dollars in millions) Restructuring charges (1) $3 million to $3 million Restructuring related charges (2) $19 million to $21 million Total restructuring and restructuring related charges $22 million to $24 million (1) Substantially all of the charges consist of employee termination benefit costs. (2) Consist of charges that are directly related to the Respiratory divestiture plan and principally constitute costs to transfer manufacturing operations to other locations and project management costs. Substantially all of the charges are expected to be recognized within costs of goods sold. |
Inventories (Tables)
Inventories (Tables) | 9 Months Ended |
Oct. 01, 2023 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory | Inventories as of October 1, 2023 and December 31, 2022 consisted of the following: October 1, 2023 December 31, 2022 Raw materials $ 186,216 $ 186,641 Work-in-process 111,371 98,993 Finished goods 327,488 292,873 Inventories $ 625,075 $ 578,507 |
Goodwill and other intangible_2
Goodwill and other intangible assets, net (Tables) | 9 Months Ended |
Oct. 01, 2023 | |
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 nine months ended October 1, 2023: Americas EMEA Asia OEM Total December 31, 2022 $ 1,731,093 $ 468,524 $ 225,103 $ 112,010 $ 2,536,730 Currency translation adjustment 2,608 (4,011) (7,022) — (8,425) October 1, 2023 $ 1,733,701 $ 464,513 $ 218,081 $ 112,010 $ 2,528,305 |
Schedule of Finite-Lived Intangible Assets | The gross carrying amount of, and accumulated amortization relating to, intangible assets as of October 1, 2023 and December 31, 2022 were as follows: Gross Carrying Amount Accumulated Amortization October 1, 2023 December 31, 2022 October 1, 2023 December 31, 2022 Customer relationships $ 1,326,706 $ 1,328,539 $ (542,216) $ (497,335) In-process research and development 26,979 27,075 — — Intellectual property 1,600,259 1,599,355 (714,308) (646,643) Distribution rights 23,087 23,115 (21,643) (21,090) Trade names 562,461 564,023 (80,787) (71,128) Non-compete agreements 21,311 21,429 (21,310) (21,175) $ 3,560,803 $ 3,563,536 $ (1,380,264) $ (1,257,371) |
Borrowings (Tables)
Borrowings (Tables) | 9 Months Ended |
Oct. 01, 2023 | |
Debt Disclosure [Abstract] | |
Components of Long-Term Debt | Our borrowings at October 1, 2023 and December 31, 2022 were as follows: October 1, 2023 December 31, 2022 Senior Credit Facility: Revolving credit facility, at a rate of 6.67% at October 1, 2023, due 2027 $ 482,000 $ 148,250 Term loan facility, at a rate of 6.67% at October 1, 2023, due 2027 490,625 500,000 4.625% Senior Notes due 2027 500,000 500,000 4.25% Senior Notes due 2028 500,000 500,000 Securitization program, at a rate of 6.29% at October 1, 2023 75,000 75,000 2,047,625 1,723,250 Less: Unamortized debt issuance costs (10,002) (11,727) 2,037,623 1,711,523 Current borrowings (87,500) (87,500) Long-term borrowings $ 1,950,123 $ 1,624,023 |
Financial instruments (Tables)
Financial instruments (Tables) | 9 Months Ended |
Oct. 01, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of foreign exchange gains and losses recognized within AOCI and the interest benefit recognized within interest expense | The following table summarizes the foreign exchange gains and losses recognized within AOCI and the interest benefit recognized within interest expense related to cross currency swap for the three and nine months ended October 1, 2023 and September 25, 2022: Three Months Ended Nine Months Ended October 1, 2023 September 25, 2022 October 1, 2023 September 25, 2022 Foreign exchange gain $ 15,756 $ 42,189 $ 1,466 $ 68,643 Interest benefit 5,171 5,531 15,459 15,677 |
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 October 1, 2023 and December 31, 2022: October 1, 2023 December 31, 2022 Fair Value Asset derivatives: Designated foreign currency forward contracts $ 4,288 $ 3,154 Non-designated foreign currency forward contracts 158 41 Cross-currency interest rate swaps 67,500 48,503 Prepaid expenses and other current assets 71,946 51,698 Cross-currency interest rate swaps — 11,912 Other assets — 11,912 Total asset derivatives $ 71,946 $ 63,610 Liability derivatives: Designated foreign currency forward contracts $ 2,819 $ 983 Non-designated foreign currency forward contracts 422 477 Other current liabilities 3,241 1,460 Total liability derivatives $ 3,241 $ 1,460 |
Fair value measurement (Tables)
Fair value measurement (Tables) | 9 Months Ended |
Oct. 01, 2023 | |
Fair Value Disclosures [Abstract] | |
Financial assets and liabilities carried at fair value measured on recurring basis | The following tables provide information regarding our financial assets and liabilities measured at fair value on a recurring basis as of October 1, 2023 and December 31, 2022: Total carrying value at October 1, 2023 Quoted prices in active Significant other Significant Investments in marketable securities $ 4,761 $ 4,761 $ — $ — Derivative assets 71,946 — 71,946 — Derivative liabilities 3,241 — 3,241 — Contingent consideration liabilities 18,302 — — 18,302 Total carrying Quoted prices in active Significant other Significant Investments in marketable securities $ 10,097 $ 10,097 $ — $ — Derivative assets 63,610 — 63,610 — Derivative liabilities 1,460 — 1,460 — Contingent consideration liabilities 44,022 — — 44,022 |
Schedule of Valuation Techniques | The table below provides additional information regarding the valuation technique and inputs used in determining the fair value of our significant contingent consideration liabilities. Contingent Consideration Liability Valuation Technique Unobservable Input Revenue-based Monte Carlo simulation Revenue volatility 30.6 % Risk free rate Cost of debt structure Projected year of payment 2024 - 2026 |
Reconciliation of Changes in Level 3 Financial Liabilities Measured at Fair Value on Recurring Basis | The following table provides information regarding changes in our contingent consideration liabilities for the three and nine months ended October 1, 2023: Contingent consideration Balance – December 31, 2022 $ 44,022 Payments (1,238) Revaluations (24,482) Balance – October 1, 2023 $ 18,302 |
Shareholders' equity (Tables)
Shareholders' equity (Tables) | 9 Months Ended |
Oct. 01, 2023 | |
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 Nine Months Ended October 1, 2023 September 25, 2022 October 1, 2023 September 25, 2022 Basic 46,992 46,906 46,974 46,894 Dilutive effect of share-based awards 307 357 330 443 Diluted 47,299 47,263 47,304 47,337 |
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 nine months ended October 1, 2023 and September 25, 2022: Cash Flow Hedges Pension and Other Postretirement Benefit Plans Foreign Currency Translation Adjustment Accumulated Other Comprehensive (Loss) Income Balance as of December 31, 2022 $ 4,931 $ (135,799) $ (272,654) $ (403,522) Other comprehensive income (loss) before reclassifications 9,109 (76) (13,368) (4,335) Amounts reclassified from accumulated other comprehensive (loss) income (8,320) 4,027 — (4,293) Net current-period other comprehensive income (loss) 789 3,951 (13,368) (8,628) Balance as of October 1, 2023 $ 5,720 $ (131,848) $ (286,022) $ (412,150) Cash Flow Hedges Pension and Other Postretirement Benefit Plans Foreign Currency Translation Adjustment Accumulated Other Comprehensive (Loss) Income Balance as of December 31, 2021 $ 1,081 $ (138,290) $ (209,750) $ (346,959) Other comprehensive income (loss) before reclassifications 6,871 1,980 (123,576) (114,725) Amounts reclassified from accumulated other comprehensive (loss) income (1,335) 3,827 — 2,492 Net current-period other comprehensive income (loss) 5,536 5,807 (123,576) (112,233) Balance as of September 25, 2022 $ 6,617 $ (132,483) $ (333,326) $ (459,192) |
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 (income) expense, net of tax, for the three and nine months ended October 1, 2023 and September 25, 2022: Three Months Ended Nine Months Ended October 1, 2023 September 25, 2022 October 1, 2023 September 25, 2022 (Gains) Loss on foreign exchange contracts: Cost of goods sold $ (3,499) $ (1,614) $ (8,734) $ (1,445) Total before tax (3,499) (1,614) (8,734) (1,445) Taxes 34 84 414 110 Net of tax (3,465) (1,530) (8,320) (1,335) Amortization of pension and other postretirement benefit items (1) : Actuarial losses 1,851 1,758 5,986 5,747 Prior-service costs (252) (252) (756) (756) Total before tax 1,599 1,506 5,230 4,991 Tax benefit (368) (352) (1,203) (1,164) Net of tax 1,231 1,154 4,027 3,827 Total reclassifications, net of tax $ (2,234) $ (376) $ (4,293) $ 2,492 (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) | 9 Months Ended |
Oct. 01, 2023 | |
Income Tax Disclosure [Abstract] | |
Effective Income Tax Rate | Three Months Ended Nine Months Ended October 1, 2023 September 25, 2022 October 1, 2023 September 25, 2022 Effective income tax rate 8.0% 14.5% 12.7% 15.4% |
Segment information (Tables)
Segment information (Tables) | 9 Months Ended |
Oct. 01, 2023 | |
Segment Reporting [Abstract] | |
Segment Results | The following tables present our segment results for the three and nine months ended October 1, 2023 and September 25, 2022: Three Months Ended Nine Months Ended October 1, 2023 September 25, 2022 October 1, 2023 September 25, 2022 Americas $ 428,206 $ 405,038 $ 1,264,714 $ 1,195,739 EMEA 142,723 128,437 433,872 410,535 Asia 93,151 82,025 258,560 227,824 OEM 82,309 71,288 243,434 198,947 Net revenues $ 746,389 $ 686,788 $ 2,200,580 $ 2,033,045 Three Months Ended Nine Months Ended October 1, 2023 September 25, 2022 October 1, 2023 September 25, 2022 Americas $ 126,340 $ 107,180 $ 341,261 $ 318,548 EMEA 17,876 7,472 43,744 29,291 Asia 25,978 22,885 70,126 61,796 OEM 23,491 18,438 67,307 47,197 Total segment operating profit (1) 193,685 155,975 522,438 456,832 Unallocated expenses (2) (28,375) (23,530) (98,593) (85,694) Income from continuing operations before interest and taxes $ 165,310 $ 132,445 $ 423,845 $ 371,138 (1) Segment operating profit includes segment net revenues from external customers reduced by its 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. (2) Unallocated expenses primarily include manufacturing variances other than fixed manufacturing cost absorption variances and restructuring and impairment charges. |
Net revenues (Details)
Net revenues (Details) - Sales revenue, net - Customer concentration risk | 9 Months Ended |
Oct. 01, 2023 | |
Hospitals And Healthcare Providers | |
Concentration Risk [Line Items] | |
Percentage of total revenue | 87% |
Other Medical Device Manufacturers | |
Concentration Risk [Line Items] | |
Percentage of total revenue | 11% |
Home Care Providers | |
Concentration Risk [Line Items] | |
Percentage of total revenue | 2% |
Net revenues - Other revenues (
Net revenues - Other revenues (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 01, 2023 | Sep. 25, 2022 | Oct. 01, 2023 | Sep. 25, 2022 | |
Revenue, Major Customer [Line Items] | ||||
Net revenues | $ 746,389 | $ 686,788 | $ 2,200,580 | $ 2,033,045 |
Vascular access | ||||
Revenue, Major Customer [Line Items] | ||||
Net revenues | 169,919 | 167,147 | 521,356 | 497,188 |
Anesthesia | ||||
Revenue, Major Customer [Line Items] | ||||
Net revenues | 97,612 | 97,608 | 291,786 | 289,260 |
Interventional | ||||
Revenue, Major Customer [Line Items] | ||||
Net revenues | 134,089 | 108,738 | 375,766 | 319,939 |
Surgical | ||||
Revenue, Major Customer [Line Items] | ||||
Net revenues | 112,805 | 93,124 | 317,781 | 282,468 |
Interventional urology | ||||
Revenue, Major Customer [Line Items] | ||||
Net revenues | 73,622 | 78,969 | 226,819 | 233,682 |
OEM | ||||
Revenue, Major Customer [Line Items] | ||||
Net revenues | 82,309 | 71,288 | 243,434 | 198,947 |
Other | ||||
Revenue, Major Customer [Line Items] | ||||
Net revenues | $ 76,033 | $ 69,914 | $ 223,638 | $ 211,561 |
Acquisitions and Divestiture (D
Acquisitions and Divestiture (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Jul. 25, 2023 USD ($) | Jun. 28, 2021 USD ($) | Oct. 01, 2023 USD ($) | Dec. 31, 2022 USD ($) payment | Sep. 25, 2022 USD ($) | Oct. 01, 2023 USD ($) | Sep. 25, 2022 USD ($) | May 15, 2021 USD ($) | |
Business Acquisition [Line Items] | ||||||||
Net revenues | $ 746,389 | $ 686,788 | $ 2,200,580 | $ 2,033,045 | ||||
Standard Bariatrics | ||||||||
Business Acquisition [Line Items] | ||||||||
Consideration transferred | $ 173,000 | |||||||
Number of milestone payments | payment | 3 | |||||||
Maximum additional payment upon completion of certain milestones | $ 130,000 | |||||||
Palette Life Sciences AB | ||||||||
Business Acquisition [Line Items] | ||||||||
Consideration transferred | $ 600,000 | |||||||
Maximum additional payment upon completion of certain milestones | $ 50,000 | |||||||
Disposal group, held-for-sale, not discontinued operations | Medline Manufacturing And Supply Transition Agreement | ||||||||
Business Acquisition [Line Items] | ||||||||
Net revenues | $ 21,700 | $ 19,100 | $ 62,700 | $ 60,500 | ||||
Respiratory Business | Disposal group, held-for-sale, not discontinued operations | ||||||||
Business Acquisition [Line Items] | ||||||||
Disposal group, including discontinued operation, consideration | $ 286,000 | |||||||
Disposal group, including discontinued operation, working capital | $ 12,000 | |||||||
Proceeds from divestiture of businesses | $ 259,000 |
Restructuring and impairment _3
Restructuring and impairment charges - Charges recognized (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 01, 2023 | Sep. 25, 2022 | Oct. 01, 2023 | Sep. 25, 2022 | |
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | $ 231 | $ 628 | $ 3,960 | $ 1,453 |
Asset impairment charges | 0 | 1,497 | ||
Restructuring and impairment charges | 231 | 628 | 3,960 | 2,950 |
Termination Benefits | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | 77 | 300 | 3,208 | 502 |
Asset impairment charges | 0 | |||
Restructuring and impairment charges | 502 | |||
Other restructuring costs | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | 154 | 328 | 752 | 951 |
Asset impairment charges | 1,497 | |||
Restructuring and impairment charges | 2,448 | |||
2023 Footprint Realignment Plan | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | 1,296 | 1,296 | ||
2023 Footprint Realignment Plan | Termination Benefits | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | 1,296 | 1,296 | ||
2023 Footprint Realignment Plan | Other restructuring costs | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | 0 | 0 | ||
2022 Restructuring Plan | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | 346 | 3,674 | ||
2022 Restructuring Plan | Termination Benefits | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | 244 | 3,361 | ||
2022 Restructuring Plan | Other restructuring costs | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | 102 | 313 | ||
Respiratory divestiture plan | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | (846) | 145 | (579) | 425 |
Respiratory divestiture plan | Termination Benefits | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | (851) | 123 | (596) | 358 |
Respiratory divestiture plan | Other restructuring costs | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | 5 | 22 | 17 | 67 |
2019 Footprint realignment plan | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | (34) | (1,059) | ||
2019 Footprint realignment plan | Termination Benefits | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | (50) | (1,120) | ||
2019 Footprint realignment plan | Other restructuring costs | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | 16 | 61 | ||
2018 Footprint realignment plan | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | 455 | 1,061 | ||
2018 Footprint realignment plan | Termination Benefits | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | 203 | 514 | ||
2018 Footprint realignment plan | Other restructuring costs | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | 252 | 547 | ||
Other restructuring programs | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | (565) | 62 | (431) | 1,026 |
Other restructuring programs | Termination Benefits | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | (612) | 24 | (853) | 750 |
Other restructuring programs | Other restructuring costs | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | $ 47 | $ 38 | $ 422 | $ 276 |
Restructuring and impairment _4
Restructuring and impairment charges - Expected costs to be incurred (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Oct. 01, 2023 | Sep. 25, 2022 | Oct. 01, 2023 | Sep. 25, 2022 | |
2023 Footprint Realignment Plan | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring reserve | $ 1.3 | $ 1.3 | ||
2023 Footprint Realignment Plan | Minimum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Expected restructuring charges | 11 | 11 | ||
Restructuring and Related Cost, Expected Cash Outlays | 2 | 2 | ||
2023 Footprint Realignment Plan | Maximum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Expected restructuring charges | 15 | 15 | ||
Restructuring and Related Cost, Expected Cash Outlays | 3 | 3 | ||
Respiratory divestiture plan | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring expenses | 1.6 | $ 2.1 | 5.6 | $ 6.5 |
Aggregate restructuring charges | 2.7 | |||
Restructuring costs | 17.9 | |||
Restructuring reserve | 2.5 | 2.5 | ||
Respiratory divestiture plan | Minimum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Expected restructuring charges | 22 | 22 | ||
Restructuring and Related Cost, Expected Cash Outlays | 22 | 22 | ||
Respiratory divestiture plan | Maximum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Expected restructuring charges | 24 | 24 | ||
Restructuring and Related Cost, Expected Cash Outlays | 24 | 24 | ||
Special Termination Benefit And Other Restructuring | 2023 Footprint Realignment Plan | Minimum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Expected restructuring charges | 4 | 4 | ||
Special Termination Benefit And Other Restructuring | 2023 Footprint Realignment Plan | Maximum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Expected restructuring charges | 6 | 6 | ||
Special Termination Benefit And Other Restructuring | Respiratory divestiture plan | Minimum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Expected restructuring charges | 3 | 3 | ||
Special Termination Benefit And Other Restructuring | Respiratory divestiture plan | Maximum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Expected restructuring charges | 3 | 3 | ||
Accelerated Depreciation And Other Costs | 2023 Footprint Realignment Plan | Minimum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Expected restructuring charges | 7 | 7 | ||
Accelerated Depreciation And Other Costs | 2023 Footprint Realignment Plan | Maximum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Expected restructuring charges | 9 | 9 | ||
Accelerated Depreciation And Other Costs | Respiratory divestiture plan | Minimum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Expected restructuring charges | 19 | 19 | ||
Accelerated Depreciation And Other Costs | Respiratory divestiture plan | Maximum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Expected restructuring charges | $ 21 | $ 21 |
Inventories (Detail)
Inventories (Detail) - USD ($) $ in Thousands | Oct. 01, 2023 | Dec. 31, 2022 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 186,216 | $ 186,641 |
Work-in-process | 111,371 | 98,993 |
Finished goods | 327,488 | 292,873 |
Inventories | $ 625,075 | $ 578,507 |
Goodwill and other intangible_3
Goodwill and other intangible assets, net - Changes in carrying amount of goodwill, by reporting segment (Details) $ in Thousands | 9 Months Ended |
Oct. 01, 2023 USD ($) | |
Goodwill [Roll Forward] | |
Goodwill, beginning balance | $ 2,536,730 |
Currency translation adjustment | (8,425) |
Goodwill, ending balance | 2,528,305 |
Americas | |
Goodwill [Roll Forward] | |
Goodwill, beginning balance | 1,731,093 |
Currency translation adjustment | 2,608 |
Goodwill, ending balance | 1,733,701 |
EMEA | |
Goodwill [Roll Forward] | |
Goodwill, beginning balance | 468,524 |
Currency translation adjustment | (4,011) |
Goodwill, ending balance | 464,513 |
Asia | |
Goodwill [Roll Forward] | |
Goodwill, beginning balance | 225,103 |
Currency translation adjustment | (7,022) |
Goodwill, ending balance | 218,081 |
OEM | |
Goodwill [Roll Forward] | |
Goodwill, beginning balance | 112,010 |
Currency translation adjustment | 0 |
Goodwill, ending balance | $ 112,010 |
Goodwill and other intangible_4
Goodwill and other intangible assets, net - Components of intangible assets (Details) - USD ($) $ in Thousands | Oct. 01, 2023 | Dec. 31, 2022 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross carrying amount | $ 3,560,803 | $ 3,563,536 |
Accumulated Amortization | (1,380,264) | (1,257,371) |
In-process research and development | ||
Finite-Lived Intangible Assets [Line Items] | ||
Indefinite-lived intangible assets | 26,979 | 27,075 |
Customer relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets | 1,326,706 | 1,328,539 |
Accumulated Amortization | (542,216) | (497,335) |
Intellectual property | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets | 1,600,259 | 1,599,355 |
Accumulated Amortization | (714,308) | (646,643) |
Distribution rights | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets | 23,087 | 23,115 |
Accumulated Amortization | (21,643) | (21,090) |
Trade names | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets | 562,461 | 564,023 |
Accumulated Amortization | (80,787) | (71,128) |
Non-compete agreements | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets | 21,311 | 21,429 |
Accumulated Amortization | $ (21,310) | $ (21,175) |
Borrowings - Components of long
Borrowings - Components of long-term debt (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Oct. 01, 2023 | Dec. 31, 2022 | |
Debt Instrument [Line Items] | ||
Long-term debt, gross | $ 2,047,625 | $ 1,723,250 |
Less: Unamortized debt issuance costs | (10,002) | (11,727) |
Total long-term debt | 2,037,623 | 1,711,523 |
Current borrowings | (87,500) | (87,500) |
Long-term borrowings | $ 1,950,123 | 1,624,023 |
Revolving Credit Facility | ||
Debt Instrument [Line Items] | ||
Line of credit facility interest rate | 6.67% | |
Long-term line of credit | $ 482,000 | 148,250 |
Term Loan | ||
Debt Instrument [Line Items] | ||
Line of credit facility interest rate | 6.67% | |
Long-term line of credit | $ 490,625 | 500,000 |
Senior Notes | 4.625% Senior Notes due 2027 | ||
Debt Instrument [Line Items] | ||
Debt instrument, stated interest rate | 4.625% | |
Senior notes | $ 500,000 | 500,000 |
Senior Notes | 4.25% Senior Notes due 2028 | ||
Debt Instrument [Line Items] | ||
Debt instrument, stated interest rate | 4.25% | |
Senior notes | $ 500,000 | 500,000 |
Securitization program | ||
Debt Instrument [Line Items] | ||
Debt instrument, stated interest rate | 6.29% | |
Securitization program | $ 75,000 | $ 75,000 |
Financial instruments - Additio
Financial instruments - Additional information (Details) € in Millions | 3 Months Ended | 9 Months Ended | ||||||||||
Oct. 04, 2023 USD ($) | Oct. 01, 2023 USD ($) | Sep. 25, 2022 USD ($) | Oct. 01, 2023 USD ($) | Sep. 25, 2022 USD ($) | Oct. 02, 2023 USD ($) counterparty | Oct. 02, 2023 EUR (€) counterparty | Dec. 31, 2022 USD ($) | Dec. 31, 2019 USD ($) counterparty | Dec. 31, 2019 EUR (€) counterparty | Dec. 31, 2018 USD ($) counterparty | Dec. 31, 2018 EUR (€) counterparty | |
Derivatives Fair Value [Line Items] | ||||||||||||
Allowance for credit losses | $ 9,100,000 | $ 9,100,000 | $ 8,600,000 | |||||||||
Allowance for credit losses, current | 5,200,000 | 5,200,000 | 4,900,000 | |||||||||
Cash flow hedging | ||||||||||||
Derivatives Fair Value [Line Items] | ||||||||||||
Ineffectiveness related to derivatives | 0 | $ 0 | ||||||||||
Foreign exchange contract | Not designated as hedging instrument | ||||||||||||
Derivatives Fair Value [Line Items] | ||||||||||||
Gains (losses) on derivatives | (1,000,000) | $ (1,000,000) | 1,000,000 | $ (4,200,000) | ||||||||
Total notional amount for all open foreign currency forward contracts | 140,300,000 | $ 140,300,000 | 152,900,000 | |||||||||
Derivative, term of contract | 12 months | |||||||||||
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 | $ 238,100,000 | $ 238,100,000 | $ 184,800,000 | |||||||||
Cross-currency interest rate swaps | 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 | counterparty | 5 | 5 | 6 | 6 | ||||||||
Derivative, fixed interest rate | 4.88% | 4.88% | 4.63% | 4.63% | ||||||||
Derivative, annual interest rate | 2.46% | 2.46% | 1.94% | 1.94% | ||||||||
Cross-currency interest rate swaps | Designated as hedging instrument | Subsequent event | ||||||||||||
Derivatives Fair Value [Line Items] | ||||||||||||
Total notional amount for all open foreign currency forward contracts | $ 500,000,000 | € 474.7 | ||||||||||
Derivative, number of instruments held | counterparty | 6 | 6 | ||||||||||
Derivative, fixed interest rate | 4.63% | 4.63% | ||||||||||
Derivative, annual interest rate | 3.05% | 3.05% | ||||||||||
Proceeds from derivative instrument, investing activities | $ 43,000,000 |
Financial instruments - Foreign
Financial instruments - Foreign exchange gains and losses recognized within AOCI and the interest benefit recognized within interest expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 01, 2023 | Sep. 25, 2022 | Oct. 01, 2023 | Sep. 25, 2022 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Foreign exchange gain | $ (29,417) | $ (55,194) | $ (13,368) | $ (123,576) |
Interest benefit | 15,459 | 15,677 | ||
Cross-currency interest rate swaps | Not designated as hedging instrument | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Interest benefit | 5,171 | 5,531 | 15,459 | 15,677 |
Cross-currency interest rate swaps | Cash flow hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Foreign exchange gain | $ 15,756 | $ 42,189 | $ 1,466 | $ 68,643 |
Financial instruments - Fair va
Financial instruments - Fair values of derivative instruments designated as hedging instruments (Details) - Cash flow hedging - USD ($) $ in Thousands | Oct. 01, 2023 | Dec. 31, 2022 |
Derivatives Fair Value [Line Items] | ||
Total asset derivatives | $ 71,946 | $ 63,610 |
Total liability derivatives | 3,241 | 1,460 |
Other assets | ||
Derivatives Fair Value [Line Items] | ||
Total asset derivatives | 0 | 11,912 |
Foreign exchange contract | Prepaid expenses and other current assets | ||
Derivatives Fair Value [Line Items] | ||
Total asset derivatives | 71,946 | 51,698 |
Foreign exchange contract | Other current liabilities | ||
Derivatives Fair Value [Line Items] | ||
Total liability derivatives | 3,241 | 1,460 |
Foreign exchange contract | Designated as hedging instrument | Prepaid expenses and other current assets | ||
Derivatives Fair Value [Line Items] | ||
Total asset derivatives | 4,288 | 3,154 |
Foreign exchange contract | Designated as hedging instrument | Other current liabilities | ||
Derivatives Fair Value [Line Items] | ||
Total liability derivatives | 2,819 | 983 |
Foreign exchange contract | Not designated as hedging instrument | Prepaid expenses and other current assets | ||
Derivatives Fair Value [Line Items] | ||
Total asset derivatives | 158 | 41 |
Foreign exchange contract | Not designated as hedging instrument | Other current liabilities | ||
Derivatives Fair Value [Line Items] | ||
Total liability derivatives | 422 | 477 |
Cross-currency interest rate swaps | Not designated as hedging instrument | Prepaid expenses and other current assets | ||
Derivatives Fair Value [Line Items] | ||
Total asset derivatives | 67,500 | 48,503 |
Cross-currency interest rate swaps | Not designated as hedging instrument | Other assets | ||
Derivatives Fair Value [Line Items] | ||
Total asset derivatives | $ 0 | $ 11,912 |
Fair value measurement - Financ
Fair value measurement - Financial assets and liabilities carried at fair value measured on recurring basis (Details) - USD ($) $ in Thousands | Oct. 01, 2023 | Dec. 31, 2022 |
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items] | ||
Investments in marketable securities | $ 4,761 | $ 10,097 |
Derivative assets | 71,946 | 63,610 |
Derivative liabilities | 3,241 | 1,460 |
Contingent consideration liabilities | 18,302 | 44,022 |
Quoted prices in active markets (Level 1) | ||
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items] | ||
Investments in marketable securities | 4,761 | 10,097 |
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 | 71,946 | 63,610 |
Derivative liabilities | 3,241 | 1,460 |
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 | $ 18,302 | $ 44,022 |
Fair value measurement - Valuat
Fair value measurement - Valuation technique and inputs used in determining the fair value of contingent consideration (Details) | Oct. 01, 2023 |
Revenue-based Payment | Monte Carlo simulation | Measurement Input, Revenue Volatility | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Business combination, contingent consideration, liability, measurement input | 0.306 |
Fair value measurement - Reconc
Fair value measurement - Reconciliation of changes in financial liabilities measured on recurring basis (Details) $ in Thousands | 9 Months Ended |
Oct. 01, 2023 USD ($) | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Beginning balance | $ 44,022 |
Payments | (1,238) |
Revaluations | (24,482) |
Ending balance | $ 18,302 |
Shareholders' equity - Reconcil
Shareholders' equity - Reconciliation of basic to diluted weighted average common shares outstanding (Details) - shares shares in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 01, 2023 | Sep. 25, 2022 | Oct. 01, 2023 | Sep. 25, 2022 | |
Equity [Abstract] | ||||
Basic (in shares) | 46,992 | 46,906 | 46,974 | 46,894 |
Dilutive effect of share-based awards (in shares) | 307 | 357 | 330 | 443 |
Diluted (in shares) | 47,299 | 47,263 | 47,304 | 47,337 |
Shareholders' equity - Addition
Shareholders' equity - Additional information (Details) - shares shares in Millions | 3 Months Ended | 9 Months Ended | ||
Oct. 01, 2023 | Sep. 25, 2022 | Oct. 01, 2023 | Sep. 25, 2022 | |
Equity [Abstract] | ||||
Weighted average antidilutive shares which were not included in the calculation of earnings per share | 0.8 | 0.7 | 0.7 | 0.5 |
Shareholders' equity - Change i
Shareholders' equity - Change in accumulated other comprehensive income, net of tax (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Oct. 01, 2023 | Sep. 25, 2022 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning balance | $ 4,021,968 | $ 3,754,748 |
Other comprehensive income (loss) before reclassifications | (4,335) | (114,725) |
Amounts reclassified from accumulated other comprehensive (loss) income | (4,293) | 2,492 |
Net current-period other comprehensive income (loss) | (8,628) | (112,233) |
Ending balance | 4,314,048 | 3,895,161 |
Cash Flow Hedges | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning balance | 4,931 | 1,081 |
Other comprehensive income (loss) before reclassifications | 9,109 | 6,871 |
Amounts reclassified from accumulated other comprehensive (loss) income | (8,320) | (1,335) |
Net current-period other comprehensive income (loss) | 789 | 5,536 |
Ending balance | 5,720 | 6,617 |
Pension and Other Postretirement Benefit Plans | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning balance | (135,799) | (138,290) |
Other comprehensive income (loss) before reclassifications | (76) | 1,980 |
Amounts reclassified from accumulated other comprehensive (loss) income | 4,027 | 3,827 |
Net current-period other comprehensive income (loss) | 3,951 | 5,807 |
Ending balance | (131,848) | (132,483) |
Foreign Currency Translation Adjustment | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning balance | (272,654) | (209,750) |
Other comprehensive income (loss) before reclassifications | (13,368) | (123,576) |
Amounts reclassified from accumulated other comprehensive (loss) income | 0 | 0 |
Net current-period other comprehensive income (loss) | (13,368) | (123,576) |
Ending balance | (286,022) | (333,326) |
Accumulated Other Comprehensive (Loss) Income | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning balance | (403,522) | (346,959) |
Ending balance | $ (412,150) | $ (459,192) |
Shareholders' equity - Accumula
Shareholders' equity - Accumulated other comprehensive income into income expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 01, 2023 | Sep. 25, 2022 | Oct. 01, 2023 | Sep. 25, 2022 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Cost of goods sold | $ 330,078 | $ 312,833 | $ 985,066 | $ 924,024 |
Total before tax | 149,605 | 119,196 | 374,040 | 336,503 |
(Benefit) tax | (11,935) | (17,315) | (47,651) | (51,700) |
Income from continuing operations | 137,670 | 101,881 | 326,389 | 284,803 |
Reclassification out of accumulated other comprehensive income | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Total reclassifications, net of tax | (2,234) | (376) | (4,293) | 2,492 |
Reclassification out of accumulated other comprehensive income | Actuarial losses | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Total before tax | 1,851 | 1,758 | 5,986 | 5,747 |
Reclassification out of accumulated other comprehensive income | Prior-service costs | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Total before tax | (252) | (252) | (756) | (756) |
Reclassification out of accumulated other comprehensive income | Pension and Other Postretirement Benefits Plans | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Total before tax | 1,599 | 1,506 | 5,230 | 4,991 |
(Benefit) tax | (368) | (352) | (1,203) | (1,164) |
Income from continuing operations | 1,231 | 1,154 | 4,027 | 3,827 |
Reclassification out of accumulated other comprehensive income | Foreign exchange contract | Cash Flow Hedges | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Cost of goods sold | (3,499) | (1,614) | (8,734) | (1,445) |
Total before tax | (3,499) | (1,614) | (8,734) | (1,445) |
(Benefit) tax | 34 | 84 | 414 | 110 |
Income from continuing operations | $ (3,465) | $ (1,530) | $ (8,320) | $ (1,335) |
Taxes on income from continui_3
Taxes on income from continuing operations (Details) | 3 Months Ended | 9 Months Ended | ||
Oct. 01, 2023 | Sep. 25, 2022 | Oct. 01, 2023 | Sep. 25, 2022 | |
Income Tax Disclosure [Abstract] | ||||
Effective income tax rate | 8% | 14.50% | 12.70% | 15.40% |
Commitments and contingent li_2
Commitments and contingent liabilities (Detail) $ in Millions | 9 Months Ended |
Oct. 01, 2023 USD ($) | |
Loss Contingencies [Line Items] | |
Estimated litigation liability | $ 0.6 |
Italian Parliament Legislation | |
Loss Contingencies [Line Items] | |
Loss contingency accrual | 12.9 |
Loss contingency, loss in period | 2.2 |
Loss contingency, estimate of possible loss | $ 18.6 |
Minimum | |
Loss Contingencies [Line Items] | |
Estimated time frame over which accrued amounts may be paid out | 10 years |
Maximum | |
Loss Contingencies [Line Items] | |
Estimated time frame over which accrued amounts may be paid out | 15 years |
Accrued liabilities | |
Loss Contingencies [Line Items] | |
Accrual for environmental loss contingencies | $ 2.5 |
Other liability | |
Loss Contingencies [Line Items] | |
Accrual for environmental loss contingencies | $ 4.1 |
Segment information (Details)
Segment information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 01, 2023 | Sep. 25, 2022 | Oct. 01, 2023 | Sep. 25, 2022 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Net revenues | $ 746,389 | $ 686,788 | $ 2,200,580 | $ 2,033,045 |
Operating profit | 165,310 | 132,445 | 423,845 | 371,138 |
Operating segments | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Operating profit | 193,685 | 155,975 | 522,438 | 456,832 |
Unallocated expenses | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Operating profit | (28,375) | (23,530) | (98,593) | (85,694) |
Americas | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Net revenues | 428,206 | 405,038 | 1,264,714 | 1,195,739 |
Americas | Operating segments | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Operating profit | 126,340 | 107,180 | 341,261 | 318,548 |
EMEA | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Net revenues | 142,723 | 128,437 | 433,872 | 410,535 |
EMEA | Operating segments | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Operating profit | 17,876 | 7,472 | 43,744 | 29,291 |
Asia | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Net revenues | 93,151 | 82,025 | 258,560 | 227,824 |
Asia | Operating segments | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Operating profit | 25,978 | 22,885 | 70,126 | 61,796 |
OEM | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Net revenues | 82,309 | 71,288 | 243,434 | 198,947 |
OEM | Operating segments | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Operating profit | $ 23,491 | $ 18,438 | $ 67,307 | $ 47,197 |