TFX · Teleflex Incorporated

Teleflex reported first quarter 2026 results that reflected disciplined execution amid a major transformation. Revenue from continuing operations reached $548.3 million, a 32.3% increase year-over-year on a GAAP basis, driven primarily by the acquisition of the Vascular Intervention business from BIOTRONIK. On a pro forma adjusted constant currency basis, which excludes the impact of the acquisition and discontinued products, revenue grew 5.1%, aligning with the company's mid-single-digit growth target. GAAP diluted EPS was a loss of $(0.11), compared to income of $1.14 in the prior year, impacted by restructuring, acquisition, and divestiture-related costs. Adjusted diluted EPS was $1.39, down 3.5% from $1.44, reflecting higher operating expenses and interest costs partially offset by revenue growth and cost containment. Gross margin declined 470 basis points on an adjusted basis due to tariffs, quality remediation charges, higher logistics costs, and the dilutive effect of the Vascular Intervention acquisition. Operating margin also contracted 510 basis points adjusted. Management maintained full-year 2026 guidance: GAAP revenue growth of 14.4% to 15.4%, pro forma adjusted constant currency revenue growth of 4.5% to 5.5%, GAAP EPS of $2.90 to $3.20, and adjusted EPS of $6.25 to $6.55. The guidance includes $90 million in stranded costs from the planned divestitures of the Acute Care, Interventional Urology, and OEM businesses, which are expected to close in the second half of 2026. The company also announced plans to use net proceeds for a $1 billion share repurchase and approximately $800 million debt paydown, with opportunistic repurchases expected to begin in Q2 2026. Interim CEO Stuart Randle highlighted the strong start to the year and progress on the transformation plan, while noting the appointment of Jason Weidman as permanent CEO effective June 8, 2026.