CR Bard Inc. (NYSE:BCR) Q4 2015 Earnings Conference Call - Final Transcript

Jan 28, 2016 • 05:00 pm ET


CR Bard Inc. (NYSE:BCR) Q4 2015 Earnings Conference Call - Final Transcript


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Welcome to the CR Bard Incorporated Fourth Quarter 2015 Earnings Results Conference Call. At this time, all participants are in a listen-only mode. Later, we will conduct the question-and-answer session, instructions will be given at that time. (Operator Instructions) As a reminder, this conference call is being recorded and will be available for future on-demand replay through the Bard website.

Today's presentation will be hosted by Timothy M. Ring, Chairman and CEO, along with John H. Weiland, President and COO, Christopher S. Holland, SVP and CFO, and John A. DeFord, SVP, Science, Technology and Clinical Affairs. Also in attendance today is Todd W. Garner, VP IR.

(Forward-Looking Cautionary Statements)

During the call, references will be made to certain non-GAAP measures, which management believes provide an additional and meaningful assessment of the core operating performance of the Company and its individual product categories. Reconciliations of non-GAAP measures to the most comparable GAAP measures with respect to the Company's historical financial results are provided in Bard's earnings press release and on the Company's website at

All information that is not historical is given only as of January 28, 2016, and the Company undertakes no responsibility to update any information. Unless otherwise noted, all comparisons are to the prior year end.

At this time, I will turn the call over to Timothy M. Ring. Please go ahead.

Timothy Ring

Thanks, Ernie. Good afternoon, everybody, and welcome to Bard's fourth quarter 2015 earnings call. I'd like to thank all of you for taking the time to join us today. I'd expect the presentation portion of the call to last about 40 minutes. You may note, we have also placed a few slides on the Investor Relations page of our website to help you understand some of the moving pieces on our results and guidance and to give you a little more clarity.

Our discussions today will go as follows. I'll begin with an overview of the results for the fourth quarter. John Weiland, our President and COO will cover fourth quarter product line revenue. John DeFord, our SVP, Science, Technology and Clinical Affairs, will give you an update on the product development pipeline. And then Chris Holland, our SVP and CFO, will cover the fourth quarter income statement, balance sheet, and provide our financial guidance for 2016. And then we'll close with Q&A.

Fourth quarter 2015 net sales totaled $878.8 million. That's essentially flat on an as-reported basis, and up 3% on a constant currency basis over the fourth quarter of last year. Currency impact for the quarter versus prior year was unfavorable by about 300 basis points.

Other non-operating adjustments also negatively affected revenue growth by about 200 basis points in the fourth quarter. Adjusting for these items, our organic growth rate for Q4 of 2015 was 5.5% which exceeded our guidance from three months earlier. We've provided a summary reconciliation of these quarterly revenue results on slide three of the deck provided on the website that I just referenced.

Net sales for the full