release. growth you, be reference GAAP today will Thank sales to reconciliation numbers given is in numbers currency. The included I our All in Pat. constant press
we results website year an usual, the the our that our have the of financial guidance. and summarizes investor included As quarter, on deck
had XXXX XXXX. reminder, day a QX X QX more than As
of our quarter total For fourth sales increased X.X%. the XXXX,
U.S. For sales and X.X% international QX, X.X%. versus prior quarter, our our sales grew in year the increased the
U.S., grew the internationally, X.X% in Orthopedics Orthopedic sales worldwide Orthopedic grew Total the fourth sales increased X.X%. and X.X%, In quarter. sales
internationally, grew U.S. XX.X%. General Surgery worldwide sales X.X%, the increased General Total sales in increased sales X.X% while General Surgery quarter. Surgery
our full sales XXXX, X.X%. year of increased total the For
X.X% sales U.S. prior and versus the grew our year, full year. international the sales X.X%, For grew
the year for sales to we long. related worldwide year This below-market Total supply all increased full Orthopedic is disclosed have X.X% performance XXXX. challenges the
top-tier we help a a Pat to turn consulting weakness us into XXXX. As strength said, firm this have engaged in
General Total U.S., sales Surgery Orthopedic sales General General Surgery X.X% X.X%. increased internationally, and the sales increased grew while X.X% year in internationally, XXXX, Surgery full worldwide the increased In X.X% X.X%. Orthopedic sales for XXXX. U.S. grew sales
Now expense statement. income to side the let's of move the
full and excluding which press in the We detailed expenses fourth the items, our year, will discuss release. in and special quarter profitability are
quarter Adjusted for prior the improvement gross fourth which basis was XXX point XX.X%, quarter. year the over is margin a
For increase points XX.X%, reflects margin of margin XXX the was the gross full tailwind year, long-term it XXXX. an have our in mix in we are we basis adjusted portfolio. believe operations XXXX, Considering from with the gross in this challenges improvement, we and had pleased
quarter. Research being quarter the basis of the the to points sales the and and was reduction of quarter X.X% prior of development projects, highest was year. QX due XX for than the fourth expense year simply This sales, lower timing
full R&D For XXXX. of X.X% from the expense year XXXX, was change sales, no
drove sales XXX Fourth over basis year were adjusted SG&A improvement quarter. gained point expenses quarter the of on the sales. prior Leverage XX.X% the higher
than the points For year, full SG&A XX sales, adjusted lower XXXX. were basis expenses XX.X% of
operating improvement of over was we points year Adjusted an increase QX, XXX of for over basis margin XX.X%, the prior an adjusted XXXX. the XX.X%, full quarter. year of XXX delivered XXXX basis an points operating margin
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year-end million $X.X QX the due and rate basis, calculations quarter full On in million an fourth expense tax was items. XX.X% $XX.X interest in of to was the adjusted year. for adjusted tax effective The
rate effective in year, our For adjusted the line full XX.X%, tax expectations. was with
quarter GAAP to increase earnings year QX GAAP diluted net a ago. $X.XX was this over million, compared income X.X% share Fourth $XX.X $X.XX XXXX. a were per quarter
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of discussed to reported of XXXX. adjusted impact items fourth income earlier, the XX.X% net the $XX.X fourth we of million, special the compared an in Excluding of increase quarter, quarter
were Our of diluted an increase per prior year QX net adjusted share to the earnings quarter. compared XX.X% $X.XX,
million, compared increase For of the income year XXXX. full net reported to we XXXX, $XXX.X an of XX.X% of adjusted
prior increase compared Our per were year. diluted full an adjusted earnings year $X.XX, XX.X% to net of the share
balance the to sheet. Turning
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debt as million Long-term $XXX.X at September of versus the million end year the was $XXX.X XX. of
Our X.XXx. on XX leverage ratio was December
for mitigate compared was the to turned of where supply in we and Cash XX.X% full provided $XXX.X flow. This year fourth means million operations we XXXX EPS in XX.X% flow for from adjusted flow accomplished million into operations the was to quarter XXXX. the $XX.X the growth cash in year a year $XX.X in compared from issues. operating considerable provided in growth XXXX. built to growth million $XXX.X Cash inventory in was sales That X.X% million quarter our
strong, long-term have and tailwinds Our capital. our cash we engine to is working
Capital the quarter expenditures year $X.X compared fourth $X.X were to million million ago. a in
$XX.X year, were in For the capital full million compared million XXXX. to expenditures $XX.X
turn Now guidance. let's financial to
for potential basis, discussion, headline negotiations, of on what are Trump's like Trump this effect. the tariff uncertainty if us tariff annual At take around the the President the we that actually an threatened looks excludes today the guidance negotiations and impact. Given providing fail the math any provide I end numbers will
for revenue. start let's So excluding with that now,
provided with and ahead not In While in guidance aligning QX, we investor going gross our we is current the models including of saw we're portfolio revenue a slide where today, the ranges. expected for midterm ourselves growth some with encouraging signs of purpose investors get deck, today. to margins
financial we the into are margin not changing expectations ongoing more To and we of expectations. resetting purpose level level in be are product Rather, of for offering disclosures. revenue our detail clear, this the view detailed
the total Orthopedics will between along Surgery. company Going sales results, to forward, continue with we breakout and General disclose
we on have, as and relevant will provide course, certain always they as material. products we color commentary are Of
that move credibility range going the start of expect years. referenced X% over the low slide midterm. range That higher at that future growth revenue X% the within portfolio shows the we as of We're and XXXX, our to to end to to deliver I earn for potential in
X between XXXX, and QX more. currency headwind growth note, revenue For with approximately that billion. points. has between we $X.XXX the our full less and places revenue Together, QX than Of and range has $X.XXX year X%, day XXX constant currency between X basis and XXXX billion selling guidance X% XXXX, XXX reported expect
than between also headwind million. QX expect $XXX we $XXX year, Currency in reported in QX to so million little is sales a for the it is full stronger and be
and as calculates growing mix the the on That on basis product accretive be to have our on long-term also our XX the that margins We supply years our we're mix referenced also increase same based gross chain tailwind And slide growth in between establish rates bullish in XX points gross manufacturing of higher future fastest are tailwind gross doing remain we that revenue I and be to margin XXXX. margins. improvement families for savings. we're predictability work a supply cost will those as culture this continuous and confident
realized. a possible effort early is on before We're require those savings are too gaps the the are Closing the their on We're we in aware that of more that of processes, realize XXXX, and sophistication stages we competitors this margins magnitude quantify in larger our investment savings. expect. single the too Therefore, and drag dependent the and it it's that early supply. we to timing is the source process, can have savings may additional before in
in points for a level XXXX. currency sales were at basis and a be about percentage margins, the XXXX fact we gross of gross With is would margins to if that the as context headwind that year not in similar XX coming surprised a of
that for our I'd that the to started gross Before XX.X%. note calendar should costing gross margin X margins, at a a first XXXX, Mix up. in year, to history like continue drive system, our in in time standard I leave with for standard our number
our reduce from a sales, we're other manufacturing on strength. of turning cost to and weakness focused is a functions those variances task to Our and
We over long percentage continue the of to expect SG&A a sales term. decrease to as
sales can be and solidify top invest growth. to resources by We improve growing slower believe We expect than revenue. expenses accomplished grow to this line and continue to our the
XXXX. working line this so to on of SG&A is us our expect sales percentage against XXXX, also similar we to XXXX as currency a However, in be
expect XXXX in be We X.X% year and R&D sales. of to between full expense X.X%
to high for we that in make saw We land of range the at up XXXX. expect of the QX of QX to timing some end
interest adjusted Based between from current interest forecast expense banking expected in on $XX and rates XXXX. our of million we $XX.X be to partners, million
We effective in expect the rate in be adjusted range the tax XXXX. to mid-XX%
margin by growth than As recently of delivered I tailwind EPS expenses. That's mentioned our before, because revenue we've and responsible growth multiples of much adjusted even. higher management
of to more approximately and currency responsible on forward, is twice we believe grow EPS moving basis. As attractive growth going an the model on rate focus on adjusted offense constant at we a sales
expect. So longer would term, what that's we
adjusted I currency discussed throughout reported we consistent at adjusted to $X.XX. $X.XX specifically impact currency estimated XXXX, And relatively the for pause temporary As and potential between gross and be margins on the EPS between to given look be earlier, The headwind guidance XXXX on by appears EPS quarter $X.XX. we project EPS year. in $X.XX the is
for million XXXX. With the initiatives be flow $XX $XX expenditures putting full EBITDA million, expect have with $XXX project million million underway, between year for million $XXX free in $XXX range, and capital flow to year. the in cash $XXX between $XXX and we we million million operating We adjusted the XXXX around to cash
heavier year, for in of are our stay relatively ratio months X next XXXX. expect the requirements there below leverage end we drop X by cash year, of last so to the flat then and the the beginning to Similar
that which, as early on trade new from basis. no financial So increased declaration of the XXXX predicting Trump so the impact we're our international a in provide to business this administration. of initial for numeric simply to concludes We date, with exclusions excludes the at want be Trump's answer from outcomes don't annual guidance, negotiations going reminder, an tariffs any
this in be value of $XX the using The to here, For but piece $X.X the from ultimately assigned approximately approximately Mexico process of an and To into XX% XX% Canada, was the a total decrease very put even States, the tariff $XX current million. tariff Canadian in tariff in million border total. Mexico, value accounting additional and on the only demonstrate increase product is would our uncertainty liability the if would million United place small. to crossing added the
global Mexico to we U.S. in comes of theoretically, that customers, and of into take products into for by liability Georgia. would bringing sterilized implement. reduce could half are produced the time the around be revenue to States in globe Because United our everything that our center Today, course, from the U.S. shipped distribution approximately by but mix, only that
U.S. But have experienced have plants. in product also manufacturing takes and capacity that We course, the time. moving of lines also between
its tariffs Trump has China, The to tariffs are Trump implemented announced first XX%. the additional term For an exemptions. that XX% at existing existing with in no
Act products which the our from However, exempts China. Trade Section devices, XXX of certain medical includes
very So tariffs minimal we currently paying product on China. from are
the That the until exemption partners end the and expires XXXX, current at of our is expiration. the way May in will continue the worded, believe order exemption process
$XXX,XXX be So would month, products would month. the from to appears on about worst-case tariff scenario be assessed XX% beginning which China to per equate this that a
a here tariff time in basis per also If nothing the or which would take us $XXX,XXX costs. XX%, significant add regulated efforts changes, approximately rate June, in million would beginning roughly become could Mitigation an for month vendors, environment annual in June. potentially $XX.X finding which would substitute on be and require starting
it we maximum the understand potential impact today. That's as
frequency in will appropriate, but provide policy in updates, we changes our not as gain and public in other quarterly visibility as D.C., every of turn with certainty. or updates twist number calls the on and formats will we lately, we Given further and provide
our in As remain our in our Pat turning profitability above-market improving over rebuilding laser-focused driving innovation to long credibility. We weaknesses XXXX while deliver and and ability confident our are by customers on processes the our strengths said, term. into growth we to
call to it that, open back your With Latif. I'll to like questions, and to we'd the turn
