CNMD - Earnings call transcript Q4 2021

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Operator

0:02 Good day and thank you for standing by. And welcome to the Q4 Full Year ‘21 CONMED Earnings Conference Call. At this time, all participants are in a listen-only mode. [Operator Instructions]. 0:27 I would now like to hand the conference over to CONMED for a brief announcement. momentarily. standby Please

Julie Hall

everyone. afternoon, X:XX Good

cause refer materially those and objectives, the defined release from and its future of uncertainties uncertainties filings for required may are or Before the current The during Federal to results, and expectations. this Investors company's to remind that forward-looking applicable SEC plans let may under regarding involve may today's events, actual statements Securities risks obligation call any company's statements and actual Please under differ be call, X:XX during guarantees management be any uncertainties begins, discussed as disclaims and its press information more the this may by and in to materially. comments financial me represent update and that will disclosed are details forward-looking its risks other that any the not as the differ you company outlook Laws. as conference which forward-looking call be law. except statements that the results results cautioned well such terms are as risks forward-looking statements that performance on making

during management certain refer You will also hear non-GAAP this adjusted to measurements discussion.

credits announcements figures remarks, per earnings Executive other ongoing benchmarking the are CONMED’s figures and I outside adjusting the share, income will the quarter-to-quarter Hartman, not and for Mr. on Chief or special charges companies. measurements, to While year-to-year earnings in company's excluding are and GAAP over these posted and website. these the These call financial by turn be technology income operations. for company's Company's these are Board, against from to the performance measure required a Officer, regular President Adjusted Curt With items of aid uses adjusted considered the reconciliations X:XX of that opening to management of to its for substitute company, ongoing Chair in monitoring medical completed, a the net specified the company or normal supporting Hartman? releases the basis

Curt Hartman

we'll (ph). earnings X:XX thank me and XXXX overview With financial Vice joining Good call XXXX then Todd on afternoon year-over-year Thank of Executive in guidance. as After detailed increase provide were quarter for us and representing Financial Todd constant provide will highlights that, the for call full quarter fourth reported, the Julie brief full quarter results to of X.X% increase your X:XX CONMED’s total and financial questions. financial for more year. open for the analysis of call. the a discuss sales year a an fourth President and Today currency. and Officer. Garner, you, you $XXX [Justin] our million, and the a draw of and the our will X.X% performance operating Chief I fourth and is Turning

in constant revenue. first billion year, reached of the CONMED full increase as billion year-over-year a This reported representing the For is exceeded has that and in XX.X% year $X.XX sales currency. XX.X% $X

in operating our persistence its current proud goal environment. of Now attaining team this for in the

Our X:XX quarter. From billion. not to expectation another XX will perspective earnings is during the years achieve the an it take second fourth

compares $XX.X XXXX. to in of of income GAAP Our net totaled This the million quarter million. fourth net $XX.X income

of share year-over-year, per $XX.X adjusted and that million diluted items earnings of increased year-over-year. our our net XX.X% adjusted affected $X.XX XX.X% increased special Excluding comparability, income net

million income For of million compared our the $X.X to GAAP net totaled year, income XXXX. net in $XX.X full

as Though Overall, the backdrop, and XX.X% related of COVID diluted another our XXXX the analysis in while net year-over-year. our will people of earnings pursuing financial deliver impacted growth original logistics and and beyond unfold consistent affected a step of XX.X% by and increased growth by success With partners performance we cases, have will was and They and in elevating and interests executive in continues we Excluding guidance. all our commitment XXXX, company, team which journey. supply X:XX that more the strategy strategies, us that above global health They our expected, and employees special our items by and $XX.X financial of Against strategy. over our of discuss provide earnings. disruptions. ensuring be to who that to I'm with share and and committed earnings product our the committed turn their infrastructure, to our All in and the consider to remain best helped CONMED. $X.XX not environment on In surges in performance adjusted I Cash growth Todd net call detailed our was of ‘XX great what impressed persistence excellent – might year-over-year I'll revenue issues, in our had to X:XX and digital staying solid X:XX define our forecast. growth income year work focused all remaining the with to market and is increased financial innovation, comparability, honored and business our of we million financial year both per did an XXXX, and that, staffing Todd? drive advancing Overall, to of strength Generation. adjusted my

Todd Garner

The Curt. numbers will numbers included sales GAAP be release. constant I given referenced you, currency. is today in Thank our press in All growth reconciliation to X:XX

summarizes guidance. on our usual, the that investor results and quarter the of updated our As we have an included deck website

For little that's on to expected, the XXXX, the year increasing impact sales beginning our than prior good a quarter have and XXXX, continues procedures Well, X:XX It in move had lower December year. was sales expected over increased our total November growth X.X%. the Omicron and at on a the XXXX. a number quarter. fourth had we significant increased an variant the total the a larger we December Delta hospitals total and than of we hospital as had over new impact The XX.X% For of variant January. in impact through

the sales our increased the in versus quarter. year For US prior quarter X.X% the fourth

For the in our over sales US full XX.X% increased year, XXXX. the

General of XX.X% international X.X% General Our for the to Now, the orthopedic and fourth internationally prior XX.X% year XX.X%. Surgery increased X.X%. sales Total let's orthopedic to Surgery for our revenue the income General move compared quarter statement. US grew US the Worldwide X:XX grew full sales XXXX. increased X.X% sales revenue Surgery orthopedics revenue and in and the the quarter, over Worldwide revenue year, the X.X% increased sales grew XX.X% in the expense international quarter. side In grew grew Internationally

charges which debt of items amortization discuss We will expenses fees the discount profitability integrations. restructurings, tax. fourth related of quarter, and excluding intangible acquisitions to in net of financing assets and and and special include deferred amortization

will QX the to an quarter. quarter the those Adjusted well comparisons as points manufacturing basis XXXX. of Gross costs and year prior over full the underutilization height Our XXX margin exclude pandemic as of plant XX.X%, year increase was the consolidation for rationalization fourth X:XX of in items from product the

the was For points of an prior XX.X%, basis increase the gross year full year. over margin adjusted XX

Development our than margin, drive As of improvement was prior we expense lower a supply the total expected, points continue in sales year challenging product X.X% despite quarter mix to and for gross our Research basis quarter. XX inflationary environment. and channel fourth the and X:XX

adjusted an additional lower XX.X% The share the resolution XXXX. net audits. GAAP points totaled an the in basis plans $XX.X quarter expense benefit XX diluted sales, Fourth of the on of invested from an from QX declined of benefit to We level and sales. dollars full For XX over the year, actually X.X% that of same SG&A The expansion ratio basis income by prior tax convertible was sales, XXXX was year-over-year, full from was X.X% adjusted the not this and recent excess fourth $X.XX $X.X but total year million higher increase SG&A was research XXXX. XX.X% basis million, do adjusted of quarter. For basis up the QX expense year. in due quarter full our XXXX. XX:XX quarter increase interest full sales, expenses $XX.X year tax lower count notes. XX.X% development share and points sales an QX of were the the benefited full force. expect in year. But than basis effective to than The to were basis the X:XX the from earnings Fourth largely from quarter year and million of an XXXX. which the was on adjusted X.X% XX are XXXX, due we the of for Throughout expenses points the for our rate XX.X% per of on On stock of $X.XX

Excluding special net items XX.X% compared XXXX. of $XX.X the quarter to impact of fourth of an income adjusted earlier. reported discussed million, increase We the of

$XX.X per million the $X.XX For GAAP $X.XX, XXXX. per significantly adjusted full compared income the fourth year, net quarter than XXXX Our XX:XX to of was better earnings an compared full diluted share the increase $X.X year GAAP quarter. of The to was share just million, prior diluted XX.X% for net in earnings $X.XX totaled of XXXX.

to the of special million items, $XX.X increase net for an of the reported adjusted income Excluding we year, impact of compared full XX.X% XXXX.

the XX.X% diluted XX the Accounts compared XX Inventory adjusted than was the XXXX. to year were of were the the from of share $XX.X September was QX. days, days net per quarter was XX the sheet, of to days improvement which million, XX, at XXX full September end of prior December at year. cash at with an XXXX. better of end quarter as XXX, compared to end balance an days million end XX, consistent days Turning increase of $X.XX, our receivable as the Our balance and at XX:XX earnings the $XX.X

of from year $XXX the are chain inventory a million versus than focused at XX:XX supply more holding XX Long-term December, we XXX are $XXX challenges million $XXX we as days serve the debt last was ago. million and quarter mitigating customers. our end September to on at However,

million $XX.X a was XX:XX for provided compared ratio was quarter $XX.X expenditures in X.X $XX.X a December on in XXXX. year QX X.X to a of record record to is the million of the capital million. million times from and Cash fourth capital year $XX.X quarter full the operations leverage ago. times, a for $XXX.X year from expenditures compared in XXXX, million was Adjusted $XX.X $X.X which XXXX. And provided XX, to Flow XXXX. in operations the QX Cash Our EBITDA were flow for million $XX.X was million from were compared in million, reduction XXXX,

adjusted full XXXX. compared was $XXX.X year, in million, For million the EBITDA $XXX.X to

for XX.X%, in the of We're and of percentage XX:XX guidance. week would full guiding the our XX.X% to A COVID the than EBITDA a will seems on situation for As very ago, familiar. revenue QX, normal year away financial margin play But approach adjusted this still turn Day. year Groundhog full a guidance. let's current year our we year full again a was year today. framed provided a XXXX. in out range of Now and the surge our how wider midst be assumptions That from

$XXX guided and revenue I how constructive had year think EPS, XXXX anticipated impacted between $X.XX. prolonged we sequential the $X.XX XX:XX that we XXXX, and to full the January. and being a to management turned our a And testament of compared guided storm, We as million an year, by – out to guidance adjusted (ph). review business less quarter last cash our identified transition each virus. it's with between to and $X.XX framework, be billion to With during

much have the us at delivered In than adjusted impact Of was the we cash navigated which a end delivered guidance, in above well pleased with guidance. teams original of of year. XX:XX $X.XX are yet which our larger and We on our this was course, anticipated, very had billion virus challenging EPS, way any revenue, high and we $X.XX XXXX the

with positioning look our we are we future, customers. of by As strength business and the encouraged our our to the

guidance and billion. $X.XXX the between XXXX, are billion for be $X.XXX We full revenue projecting to year

convertible in We expecting to the growth revenue year notes. expect $X.XX cash in higher digits expect XXXX. count immaterial the accounting expect compared rule been we currency double what share to between EPS, we XXXX to be XXXX. EPS That to change, the full XX:XX be guidance due and high to inclusive is For means we single new be $X.XX would are $X.XX. for this to XXXX, digits have of adjusted to cash adjusted to $X.XX a rules higher. This Without our

of be earlier, minimum the a not is and significant projecting despite headwind our are we tax XXXX benefits between to tax tax project rate As I in we EPS. XX%. in and And of growth basis, be XX% a organic in an XXXX on So between in level we are assuming will cash XX:XX we explained that the what adjusted XXXX. do same XXXX, XX% effective and saw rate expect adjusted

margin Beyond we individual environment, the agile we income that, shareholders. last again of commitments pandemic, guiding will to more the believe year, the our like and as and increased will XX:XX your we've responsive to believe questions, and to reward plan to did we the transition to statement I'll XX:XX be the hand to today, the and customers business macroenvironment will our that we call profile continue appropriately, partners become customers market doing won't be with open we to been With the the trust And obvious. actions the on meet back as of out we the As as share. clearer lines to to serve for it stabilizes, work strengthen long-term valued and as Justin. our we'd

Operator

our And from Instructions] question from Wise Stifel. [Operator comes first you. Thank XX:XX Rick

open. now is line Your

Rick Wise

the more I heard encourage It's But little XX:XX Europe. in yet? bit Northeast peak out if January not end and the you starting seeing late down like are in I feel question. – to questioner sure afternoon not I be and Todd, ask to tunnel you're first signs, seems world to of around to field geographically or like how as here. December that like the I'm you're the correctly. the light in no do yet hard continued to you All of it have parts about right, the mean, both. there sounds what trends it any and read not any significantly seeing you ask newspapers, at a cases good the detail the

Todd Garner

markets a tough it at time. good is point across Globe. good, some varied around Yeah, it's are pretty moved different still that question, the Omicron this up XX:XX geographies, as Rick, question, locked are because in has There

are more the operating recently recovery. other much bit I As seeing we're think to looking morning, at a we're, that late excited conversations I that that on occurred, relative downward on little are – latitude, this like you're thing earlier, to return. more how where should parts that this down I, guess. of for starting that foolish here. most would to peak little don't as start trends January, there some cadence COVID But a week average. faster in some me month data was And as think a it showed bit and things by this case we'd some in seven-day to I long a on a projecting be see those seven-day from folks trending takes there, hospitalizations this There's slope are recent average,

Rick Wise

the impact a in I've terms thinking year ortho receive, been we know, more somebody the of maybe going past you you a about times, I'm as number have initiatives, you want expect or business COVID come expanded think the you've separate force these pipeline about sure revamped the whatever they're is products sales But are the about all you as their help think that on launching, which and the you've the have still But talk up COVID. let's launched kind COVID, launching, to impact, recover times. the initiatives several offering do And, as you to impact Or idle to you've – the to up it. have sure now, about you How the heard, future, these are to in the a would recovers, of as new about during – us leader, talk maybe happens haven't Yeah. XX:XX of potentially faster? upper – of even grow single you you sort Curt, from there, so performance? to as has environment of setting think it? digit pre-COVID, at return I'm

Curt Hartman

question. up in X.X%, Todd's of the that XX:XX probably represents the that I XX.X%. range There's the low to lot guide start with revenue Rick, in guide a a represents, comments

things is in work to company this these ramp reflects XX.X% into back that over right. is let's fatigued, end I we've point put kind the short themselves, a wave care be play. recent on not think last really that year, higher just in years facility to leading say not condition. the has to COVID would of the Friday, down COVID on So to out while staffed, build the clearly slowed added delivery They're the as to in they're tomorrow, another that up just called health On there's that the XXX%. but all get the dynamic they're only at back I as that's if healthcare on and worker. occur still and XX:XX going normal to get up setting. there's most gonna Monday, things has care that health And And

to has and happens and the lot occurs. would positioned that as environment to have factors done a is wherever going go doesn't like that patient the what I be making we've believe capitalize to all well that that on into of prove. work statement. recovery just watch we're And But there's So to whenever

Rick Wise

XX:XX much. you Thank very Yes.

only there. much. you to Thank very get said You

Curt Hartman

XX:XX Rick. Thanks,

Operator

Marcus XX:XX And our And thank JPMorgan. next Robbie comes from you. question from

Robbie Marcus

implies for under XX:XX margin Thanks just Great. Maybe question. XXX first like XXXX. operating taking Seems basis the for expansion. on guidance of like something margins points

healthy, do are where that it's is think right? from? we about question, pretty First improvement how coming second, And areas those

Todd Garner

we lot We've not did of got challenges. top It's I bottom. I sure, this you how there's supply question. want the last there. to out just on chain a We're exactly out. plays we're year, granularity this uncertainty And – like the appreciate P&L, Robbie, and do guys Yeah, and more XX:XX year, know start going

we're nimble going kind the at so just of we're P&L responsive. this And and the on pieces different gonna to agile get and stay of not granular more And point.

Robbie Marcus

XX:XX Is The aware another there Well, a because bit sounds and it do going like non-operating components, be top taxes let non-operating, me significant stepping way. from other to to from the bottom? we could ‘XX? should that only be of it ask anything we are one math some up

Todd Garner

rate, Yes, tax interest interest gave headwind, a is quarterly expense. you the XX:XX I

and balance, hikes there's that run in QX that a course, that's projecting rate ballpark gets think the but think I the of that, debt not I interest good going expense that quarterly pretty affect course, run rate would we're forward, if of the of rate. you

So other non-operational of big than any that, I can't think issues.

Robbie Marcus

Got Okay. think, sales. Filter, I then, it of And how was you has quick on it? XX:XX that just ago, that XX% trending? follow a to weeks two been XX% up Buffalo said about

slower growing rest in of much any about, that impacted just So faster procedure runway by than think Thanks. and How business XXXX can in there see ‘XX? beyond? use should you we are usage? the backing here? still rules How markets legislative the the the in tailwind that And is where

Todd Garner

in of AirSeal there is our Filter opportunity together. change in our view and no Buffalo Yeah, the for XX:XX bullish

chart end rest that's we XX% in a investor the the than the that of little on your obviously, company's is it's XXXX So, the of see you the portfolio. year revenue update full by the it year, you that protractor of did deck chart, than faster, and the can out, the growing and if get better

products we should to together impacted on greater continue QX. So procedural It QX, that increase. that – bullish again grow growth. we in remain that XX%. basis, saw that in than they those yes, are will annual And, by saw We two an

north feel in. you we can you you products look a annually, XX%, of if we and have flows. confident broader some those and pretty So, But look ebbs growing some, believe, take

Robbie Marcus

thanks the for Great, XX:XX questions. taking

Operator

Matthew our thank you. question O'Brien from from next Piper XX:XX And comes And Sandler.

line Your now open. is

Matthew O’Brien

in missed getting afternoon, billion welcome thinking the conference, of – on I I certainly XX:XX the versus the in you've maybe for little but threshold Good top question. today people I'm see, are the some Curt, range what thanks to streets given a ‘XX. line. of cut to commentary, modeling the the guess, dollar on were you're line for recent the taking And think congrats you the guiding on provided what results the X% top just a – range bit, –

reps in Omicron the pretty faster? what the adding Are despite around improvements. quicker, What, outside labor market even you clearly, specific you it's you're sales had headwinds good up Are seeing seeing that of that So that are surface real underneath the results, allowing Where accounts from? shortages all you're seeing globe? the the are still some that in a you coming impacts, coming you're you those put past? and the to taking share

Curt Hartman

markets completed not the are obviously that's, and When number commented and billion Number on you diversified We done have and pretty of if year XX% for growth got strong for to COVID you any couple teams gets both to clinical look that's we've the US, orthopedic which can just it's I have patients if time make products, growing. couple of at start as very as Matt, have general XX:XX has obviously one, good thanks, dollars. getting COVID open important. we year, new new long show innovation those great we've is, Globe, platforms great and evaluations it's, finish, time to last were that a their much that helpful. one revenue, close, and a It's business, bigger the that the those pin but that to up and on side, And sales don't you running I attention cases had talk customers it XX:XX and in Surgery And side our of very some get there. into very some, windows flows focused factors a which some and products. have of think in the got ebb the sales – are are to new it's General over flow surgery, with, there calendar ebbs comment happened, of bigger thing. the when reps go now, see businesses on business a and historical international some a that capacity the the years, And We those international would COVID a customers, products were our force able on expansions. launch We rate. a out got and in around there remains did north

So work little and it's of over last a accumulated bit several a of lot the that has everything years. the

I probably leave it think there. that's where I'd

Matthew O’Brien

given Okay, to here inflationary new that. pressures. XX:XX a I some the to an you perspective of versus reps in you're about think all is you Robbie's little ‘XX? impressive bit push guidance that the And just expecting, on line inflationary more expecting plus Because, that adding you're little appreciate again had. just sales Todd, the we point, bit a were the what margin question Can bottom that the from pressures talk

head So into in elapse what other as year pressures this are SG&A that hopefully we ‘XX. will somewhat you seeing, that, elsewhere or

Todd Garner

which remains infrastructure, rate at infrastructure revenue base. higher can a also support certainly this of the know, tailwinds And that our our kind built that in two right. growing products our is that it foundational I've but are grow And mix, obviously, then years, faster, going build slower we're have in a to to infrastructure, margin, our saying that true. you Yeah, a much accretive. still revenue. goes XX:XX than we few our are we favor, for And, been continue

there's not inherent uncertainty easing areas what chain positive, couple would, just on pressure knows, there's guiding the a we because, ‘XX freight play so of was duration to of we these along how a margin favorable everybody right of not timing. exactly us I the significant sure, improve not out As on. think there, to We is expect have there's, are kind So be margins. are if the business gross minute, chain ago to XX:XX in we model challenges. expect, the specific We're the we're characteristics gross of lines, And, over Powell supply years the concerned. both definitely enough in now, ‘XX definitely expect do out supply so of do it I in tightness and that what multiples the despite pieces those and we're the again, with margin or most those focus goes as the some today, there's year I for XX:XX that to Chairman expect, a guiding

that becomes tell seasonality bit prior a seasonality to But be true. margin plays right. cadence expect do but so we the sequentially, our growth folks, not our a we hopefully That's each and over of have year quarter. I that's it would how I or not But so quarter's So to it. growth so little out usually gross and

Matt. that's help as much I today, as can think I give you

Matthew O’Brien

XX:XX Okay. Appreciate that. Thank you.

Operator

And from question you. Yong next our Li Thank comes UBS. from XX:XX

Your line is open. now

Young Li

things wanted to a more a on the guidance questions. moving and XX:XX taking just and some hear and of All you There's right, following up little bit you lot setting guidance obviously thinking great. for Hey, parts Curt Todd, thanks I approach a about year. control. for our about questions. can't of how just Maybe the of lot

the pandemic. conservative been of have views management your the about with You teams one more

maybe quarterly on about, progresses? help cadence thoughts year the seasonality your understand can and bit comment little how more on you you can a we So can. us Maybe

Curt Hartman

young, And understood I XX:XX looking you were everything for except what financial guidance at? said you specific

Young Li

XX:XX line. top The

Todd Garner

Curt XXXX XX:XX in as here in We're okay. outlined our today. a actually providing phasing Obviously, are the XXXX, were not quarterly starting place year, The they than right. worse revenue guidance, customers

think flattish we get that plays good actually, out, better, of a we things be the for throughout would get growth be the with we that's to we're – seasonality year, going that going not to responsive at expect good don't move of current do improving customers, of this expect to obviously, can how disruption at you as I quarter-over-quarter kind do go expect wouldn't when I good start. been We kind know, to as if again, has to partners. better January surprised should business, hospitals And as probably recedes. surge do we the QX, storm see year. we're that persist. we normal look level of we our you. So, through last that's to our But don't expect year, And But this remain on depending and the

Young Li

end Okay, the, a that's bit well, terms wider the of obviously contribution you follow guess, some guidance. The providing suggests about, high XX:XX I QX for that of little with rest maybe, range, helpful talk are in to gets from end? little but variables guidance up what the the that you if great. the, bit the appreciate can Yeah, what as you the the a to healthy hires, on I year. gets maybe a the of new brands the wondering of on to color. higher flattish was some very you

Todd Garner

the it's the XX:XX persistent, more If Young. kind that And impactful, that's waves simple. impactful of pandemic less range that the has that's it's simple, It's more a where of virus as if the it, truly are range. that's, we if end into and environment, we higher goes play. of to lower and get see the where comes pretty Well, is more end year the out, post then

Curt Hartman

sitting all the expansion, individually those would would that end add of you to obviously, say start the how in, seeing yourself to range, of plus other end But I range. difficult Todd's And today, would you those force sales it of high each that closer here new one to much it's I of contribute. factors add message, contribute, very those – higher products, on XX:XX

Young Li

Yeah. the thought. Appreciate great. Okay, XX:XX

Operator

question Mishan comes our from you. KeyBanc. Thank from XX:XX And Matthew next

Your line is open. now

Matthew Mishan

thank and for afternoon Good the you. questions. you Thank taking XX:XX

what product year You kind driver, been able like could about? and to launch by might that launched call the guys new in about ‘XX you innovation a talk you're you'd be going you think anything macro launch have And maybe just the to in you're of ‘XX. out what talk as two over you cadence, excited or that about last masked,

Curt Hartman

have full XX:XX front of me. it's I, Matt. I great in Yeah, a list question, don't the

memory. introduced We So, system first those from bone a I'll And a of a endoscopic some tool quarter platform. with power on the I our been on But best large and second pleased business. the in do new advanced we middle a of of year, try this XXXX, to launching can video quarter, new kind basis. products we've of in as global started both

and now collaboration You surgical may in market get real media. we've in Buffalo AirSeal social that on far And other in us into well for good the those with have homerun those. the reception single that use that a that think products reside. and categories. advanced the within Filter some intuitive we've launched We sterility a seen They and product business. as some clean, doorstep had the where port of And new market and got agreed on with so folks at some, right are on has is AirSeal, we

Academy year we've new at if the that in stuff some a shows, new some year and are surgery people cadence, this see at good new cadence in the So and see will you continue as had general stuff of well. trade academy, some might you other probably

going customers everything that to really they some new right makes at to you So, candidly more until look hard a environment longer not, little just I their purchasing and where predict, customers products. to external the steady have dollars out would of with because homerun, XX:XX drug products the could capacity because what's ‘XX as and what's of others there's had a be a new most periods just stream. now vote COVID have on don't know and going that It's it there's periods look at of they've don't got for free call

an the from teams, attention very the just we and said we pieces their commercial that not Todd is marketing these get it And going or force let focus We and decentralized. and work And we keep So is saying, it and what's needed running was one standpoint. we out bits offense. with manner that to go and and I’ve into geographies customers. in it want a where to our you just sense their for thought be? where deliver going it R&D makes what pipeline teams force Figure to kind put sales this of from global a is the us taken sales around the

Matthew Mishan

then currencies FX to that hedging your the just I program of and Is immaterial And that little mix be just Okay. said or a this was follow-up was way out came you that XX:XX intact? year. still a Todd, for the going it surprised

Todd Garner

XX:XX Yeah.

So both, right.

combined As to where at hedging It and now, given impacts. stay looks calculate reported very revenue revenue But we they it always same our of immaterial XXXX, stay see us, currencies are. constant the There's the are way how difference in mix a if where look forecasting with currency and we've which those rates weight program. good we at of pretty they course those, we little F. and between rates is been our the and if big

Matthew Mishan

Thank Okay. you. XX:XX

Operator

Mike XX:XX you. our thank next Company. comes question And from Needham from and And Matson

Your line now is open.

Mike Matson

in I for Asked up Was you like the those year. then And expansion, add looks about wanted of but new XX:XX more part think get to XXXX reps of update for it curve? gone given going the an are that in there really the think it’s, is just you're the terms of these the force productivity Yeah, of XXXX? in forward questions. you getting things you the my plan well, where what in results, because thanks has do sales pull XXXX, What the just XXXX? terms just early Are even a normally

Todd Garner

XX:XX Yes.

and let about it's running with environment So and to our and start the ground of progress folks fresh ‘XX. hit really we talk pleased but access did ebbs excited and been with with where open. those the what the flows straight to year normal have kind geographies account line Obviously, interesting see you've of as pleased as a kind these as had offer progress. in is We're not would

more that It's seeing see little had longer, are a to a or hit traction where would expansion that it's good We in but a and us little we taken hope we're that. miss. we bit with been pleased ’XX,

will modest year a our ‘XX. more that's been. that's be want did of start is we we would to modest, what might be to underway, current We year-over-year But force than I of normal we environment. going the And As already more gate sales in cadence expansion again, reflection it have a but digest what the do ‘XX, think out I this some sales will here. say force expansion

Mike Matson

then the debt. your – on XX:XX question And it. Okay, just got

going, you, So that, mean I mean do what to the because I and guidance rates are variable your so, clearly of how – that much going interest headwind the is a up rate gave. much you year that how ranges you going would in here, so be expense? could I was mean, rate this to that your of was a have debt has did assume

Curt Hartman

question Mike. Yes, great XX:XX

at we rate. that $XXX year of scenarios convert, the million the published – is bottom and assumed line guidance. we've fixed So, scenarios published rate long-term in And ended a and of with of so the which debt, the that $XXX the variable is rest at is range the our

Mike Matson

Meaning, fed or Okay. of kind the guidance XX:XX whatever?

Curt Hartman

XX:XX Right?

Mike Matson

That's Yeah, all you. Thank XX:XX have. okay. All I right.

Operator

you. O’Brien XX:XX from Thank we Piper And a Sandler. question have Matthew follow-up from

Your line is sir. open now

Matthew O’Brien

XX:XX appreciate it. Yes,

like QX, seems possibility. the Just wanted to big know with you year. the but And and be sales to of of if it's situation, say QX flat, higher it's a midpoint flat about in Curt Todd pretty the a fluid get a the guys follow-up. Maybe range, to that last comment range over pickup versus I the are

but of of of you're think in of some why other considering direct those kind be the end you. I clarity towards range. Thank kind the the the QX there's range, points, end pressures low are on versus backlog don't or it here would people given mid-to-upper more if I So, of helpful? not seeing any the things, just you know

Todd Garner

pressure a be we're they And operating predicting XX:XX of I January. not are last having the a tougher just said, that Yes. our guidance in under business and more of customers environment. changes. it's when in January This today. give you to to Matt, And function week-by-week like are were than going

said surprised it if was I be wouldn't I up there. what ended So

QX but to out, growth. have there, more true, obviously that it up right? me then if wait We I would certainly and plays if doesn't surprise hope did. how that wouldn't were then require end it see it And

on same you But If we revenue you a to the for outcomes gave want hit of line. that's why number, right, range the

macro back the is I guess we'll XXXX the behind softer Omicron the have was how XX:XX softer should surge than and so, be. little the the that, issues year And of news, Delta out. was there and then to of good a see it half plays a And because

looking those period predict those XX:XX XXXX we're a because comps. January uncertainty pretty the don't easy XXXX. half if how approach quarterly year high then versus a And came in of out. characteristics So plays But took can cannot same this We not you've of last providing out good similar we of anybody ranges. exactly repeat back some I guidance to got think in

year taking our we're We're year. this the nimble, so, to agile, plays going customers to out. and how And stay same we'll approach responsive see the

Matthew O’Brien

to things were XX:XX versus to and I'm so comfortable in QX there's can if to you the fundamental Even flat sorry much Okay think you last get coming March. underlying that the if feel if year, still asking happen? getting keep you of the, to business, questions, strength but out midpoint basically stabilized the is range of

Todd Garner

don't give with. We Yes. we're comfortable not ranges, XX:XX you

Matthew O’Brien

Okay. XX:XX

much. so Okay. Thank you

Operator

XX:XX to Mr. And to remarks, further would for any I turn questions. closing now I back And you. like no thank call over showing Mr. Hartman am the Hartman?

Curt Hartman

good your we speaking everybody for Thank you, to you our you Thank XX:XX next during with look Justin. today, forward call. time night. earnings and Thank and you,

Operator

call. you. for This concludes you XX:XX today's participating. conference Thank Thank

may You now disconnect.

CONMED (CNMD) 27 Jan 222021 Q4 Earnings call transcript