Zimmer Holdings, Inc. Reports Unaudited Consolidated Earnings Results for the Fourth Quarter and Year Ended December 31, 2012; Reports Goodwill Impairment Charges for the Fourth Quarter; Provides Earnings Guidance for 2013
January 31, 2013 at 05:31 pm IST
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Zimmer Holdings, Inc. reported unaudited consolidated earnings results for the fourth quarter and year ended December 31, 2012. For the quarter, the company reported net earnings of $152.8 million or $0.88 diluted earnings per share on net sales of $1,180.5 million against net earnings of $156.6 million or $0.87 diluted earnings per share on net sales of $1,167.3 million a year ago. Operating profit was $200.5 million and earnings before income taxes was $186.5 million against operating profit of $201.2 million and earnings before income taxes of $188.5 million a year ago. Adjusted diluted EPS was $1.51 per share against $1.36 per share a year ago.
For the year, the company reported net earnings of $755 million or $4.29 diluted earnings per share on net sales of $4,471.7 million against net earnings of $760.8 million or $4.03 diluted earnings per share on net sales of $4,451.8 million a year ago. Operating profit was $1,047.4 million and earnings before income taxes was $990.1 million against operating profit of $1,024.1 million and earnings before income taxes of $978.9 million a year ago. Net cash provided by operating activities was $1,151.9 million, additions to other property, plant and equipment was $114.7 million and purchases of investments was $1,130.1 million against net cash provided by operating activities of $1,176.9 million, additions to other property, plant and equipment of $113.8 million and purchases of investments of $662.1 million a year ago. Adjusted diluted EPS was $5.30 per share against $4.80 per share a year ago.
For the quarter, the company reported goodwill impairment was $96.0 million.
For 2013, the company expects revenues to increase between 2.5% and 4.5% on a constant currency basis. The Company estimates that foreign currency translation will decrease revenues by approximately 0.5% for the full year 2013, resulting in reported revenue growth between 2% and 4%. Full-year 2013 diluted earnings per share are projected to be in a range of $5.05 to $5.25 on a reported basis and $5.65 to $5.85 on an adjusted basis.
Zimmer Biomet Holdings, Inc. specializes in designing, manufacturing, and selling orthopedic and dental reconstruction implants, spinal implants, and traumatology products. Net sales break down by family of products as follows:
- reconstruction implants (57.5%): knees replacement (58.8% of net sales), hips replacement (41.2%);
- surgical products and traumatology equipment (22.1%);
- dental, spinal and craniomaxillofacial implants (12.8%);
- other (7.6%): primarily orthopedic surgery materials and instruments used during post-operative rehabilitation.
At the end of 2021, the group had approximately 30 production sites worldwide.
Net sales are distributed geographically as follows: Americas (61.3%), Europe/Middle East/Africa (21.3%) and Asia/Pacific (17.4%).
Zimmer Holdings, Inc. Reports Unaudited Consolidated Earnings Results for the Fourth Quarter and Year Ended December 31, 2012; Reports Goodwill Impairment Charges for the Fourth Quarter; Provides Earnings Guidance for 2013