Teleflex Reports Year-End 2000 Results; Net Income Up 15%; Revenues Up 10%
PLYMOUTH MEETING, Pa.--Feb. 14, 2001--Teleflex Incorporated today reported that revenues for the year ended December 31, 2000 increased 10% to $1.76 billion compared to $1.60 billion in 1999. Net income increased 15% to $109.2 million from $95.2 million the prior year. Diluted earnings per share increased to $2.83 in 2000 compared to $2.47 in 1999.In the fourth quarter, revenues increased 10% to $450.9 million from $410.4 million in 1999. Net income increased 15% to $31.4 million. Diluted earnings per share were $.81 in 2000 compared to $.71 in 1999. Earnings were aided by a reduction in the German statutory tax rate enacted in the fourth quarter.
"Teleflex had a good year in 2000, with top line growth balanced between core growth and acquisitions," said chairman Lennox K. Black. "We achieved our goal of 15% growth in net income, and it was the seventh straight year of 15% or better increases. We continue to invest in our businesses to strengthen and expand them so we can introduce new products and provide innovative solutions and value for our customers. At the same time, we are concentrating on internal efficiencies that will enable Teleflex to be a competitive supplier on a global basis."
The Commercial Segment, which contributed 49% of total revenues for the year 2000, increased sales 14%. Automotive, Marine and Industrial product lines all contributed to the sales increase. New products such as the adjustable pedal system were key contributors to sales growth. Operating profit jumped 15% in 2000.
The Medical Segment accounted for 23% of total revenues in 2000. Sales increased 11% largely as a result of acquisitions. Both Hospital Supply and Surgical Devices achieved higher operating profits and operating margins in large part due to improved product mix.
The Aerospace Segment contributed 28% of total 2000 revenues. Sales rose 5% despite cyclical weakness in aircraft production. Increased sales in cargo, repairs and industrial turbine services offset a decline in component manufacturing. Operating profits remained essentially flat with the prior year as a result of lower volumes in component manufacturing. The figures are as follows:
COMPARATIVE SUMMARY OF REVENUES AND EARNINGS
Percent
Three Months Ended Dec. 31, 2000 Dec. 26, 1999 Change
Revenues $ 450,934,000 $ 410,362,000 10%
Operating profit $ 52,200,000 $ 48,920,000 7%
Income before taxes $ 42,499,000 $ 40,038,000 6%
Net income $ 31,364,000 $ 27,326,000 15%
Earnings per share
Basic $ .82 $ .72 14%
Diluted $ .81 $ .71 14%
Average shares outstanding
Basic 38,295,000 38,098,000
Diluted 38,780,000 38,561,000
Percent
Year Ended Dec. 31, 2000 Dec. 26, 1999 Change
Revenues $1,764,482,000 $1,601,069,000 10%
Operating profit $ 196,509,000 $ 178,314,000 10%
Income before taxes $ 158,214,000 $ 142,756,000 11%
Net income $ 109,224,000 $ 95,220,000 15%
Earnings per share
Basic $ 2.86 $ 2.52 13%
Diluted $ 2.83 $ 2.47 15%
Average shares outstanding
Basic 38,203,000 37,857,000
Diluted 38,633,000 38,525,000
BUSINESS SEGMENT INFORMATION
Percent
Three Months Ended Dec. 31, 2000 Dec. 26, 1999 Change
Sales
Commercial Products $ 205,809,000 $ 199,868,000 3%
Medical Products 106,515,000 97,916,000 9%
Aerospace Products 138,610,000 112,578,000 23%
-------------- --------------
$ 450,934,000 $ 410,362,000 10%
Operating Profit
Commercial Products $ 21,787,000 $ 22,050,000 -1%
Medical Products 15,287,000 14,210,000 8%
Aerospace Products 15,126,000 12,660,000 19%
-------------- --------------
$ 52,200,000 $ 48,920,000 7%
Percent
Year Ended Dec. 31, 2000 Dec. 26, 1999 Change
Sales
Commercial Products $ 860,201,000 $ 757,720,000 14%
Medical Products 411,815,000 372,282,000 11%
Aerospace Products 492,466,000 471,067,000 5%
-------------- --------------
$1,764,482,000 $1,601,069,000 10%
Operating Profit
Commercial Products $ 86,911,000 $ 75,823,000 15%
Medical Products 56,483,000 49,551,000 14%
Aerospace Products 53,115,000 52,940,000 -%
-------------- --------------
$ 196,509,000 $ 178,314,000 10%
CONDENSED CONSOLIDATED BALANCE SHEET
Dec. 31, 2000 Dec. 26, 1999
Assets
Current assets $ 662,000,000 $ 605,000,000
Property, plant and
equipment, net 489,000,000 466,000,000
Other assets and investments 250,000,000 192,000,000
-------------- --------------
$1,401,000,000 $1,263,000,000
Liabilities and shareholders'
equity
Current liabilities $ 384,000,000 $ 329,000,000
Long-term borrowings 221,000,000 246,000,000
Other liabilities 106,000,000 86,000,000
-------------- --------------
711,000,000 661,000,000
Shareholders' equity 690,000,000 602,000,000
-------------- --------------
$1,401,000,000 $1,263,000,000
ABOUT TELEFLEX INCORPORATED:
Teleflex is a diversified industrial company with annual sales of nearly $1.8 billion. The company designs, manufactures and distributes quality engineered products and services for the automotive, marine, industrial, medical and aerospace markets worldwide. Teleflex has more than 80 business units worldwide that focus on providing innovative solutions for customers. Additional information about Teleflex can be obtained from the company's Web site on the Internet at www.teleflex.com.
Forward-looking information:
Statements in this news release, other than historical data, are considered forward-looking statements under the Private Securities Litigation Reform Act of 1995. These statements are subject to various risks and uncertainties that could cause actual results to differ from those contemplated in the statements. These factors are discussed in the company's Securities and Exchange Commission filings.