Analyst Meeting Presentation

124 Pages·2016·4.72 MB·English

Analyst Meeting
May 23, 2016
AAddvvaanncciinngg LLiivveess aanndd tthhee DDeelliivveerryy ooff HHeeaalltthh CCaarree™™
Forward Looking Statements
This presentation contains some forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995, which are based on management’s current expectations,
including multi-year projections of revenue, earnings per share and other financial measures. The
accuracy of these statements are necessarily subject to risks and uncertainties. These statements are
not historical in nature and use words such as "anticipate," "estimate," "expect," "project," "intend,"
"forecast," "plan” and other words of similar meaning. Many factors may cause actual results to differ
materially from anticipated results, including product development, sales efforts, income tax matters, the
outcome of contingencies such as legal proceedings, the uncertainty of loss reserve estimates, share
repurchases, acquisitions, foreign exchange and other economic, business competitive and regulatory
factors. Please refer to the Cautionary Statement regarding forward-looking information in the
company’s most recent 10-Q and the information under the caption “risk factors” in the company’s 2015
10-K, including disclosure of the factors that could cause actual results to differ materially from those
expressed or implied. This presentation may also include references 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 releases and on the company's website at
www.crbard.com. All information that is not historical is given only as of May 23, 2016 and the company
undertakes no responsibility to update any information. Unless otherwise noted, all comparisons are to
the prior-year period.
Advancing Lives and the Delivery of Health Care™
Tim Ring
Chairman & CEO
AAddvvaanncciinngg LLiivveess aanndd tthhee DDeelliivveerryy ooff HHeeaalltthh CCaarree™™
Agenda
Tim Ring Tim Collins
Chairman & CEO Group President
Urology, Worldwide Operations,
Canada, Europe,
John Weiland
Middle East and Africa
President & COO
John DeFord, PhD
Jim Beasley
Senior Vice President
Group President Science, Technology and
Clinical Affairs
Peripheral Vascular, Lutonix, Japan
and Latin America
Chris Holland
John Groetelaars
Senior Vice President & CFO
Group President
Oncology, Surgical Specialties,
China, Asia and Australia/New
Zealand
Advancing Lives and the Delivery of Health Care™
Key Takeaway
The Sustainability of
Above-Market Performance
Advancing Lives and the Delivery of Health Care™
The Disclosed Pipeline is a Small Part of
the Story
• 150+ ideas being pursued
(pre-R&D pipeline)
• 100+ projects are in the R&D pipeline
• We are talking about 35 projects today
Advancing Lives and the Delivery of Health Care™
Building a Sustainable Engine
§ Product
§ Focus on Results
People
Leadership
and Execution
(selective where
Process
we compete) § Relatively Small,
yet Balanced and
§ Clinical Geography
Diversified
Differentiation
Products § Low ASPs
§ Focus on Quality
§ Financially and
§ Decentralized and
Operationally
Close to Customer
Stringent
Advancing Lives and the Delivery of Health Care™
Quality of Earnings
Company Cash Conversion Sustainability Overall Ranking Prior Ranking
C. R. Bard 2 1 1 2
Johnson & Johnson 10 5 2 9
Edwards 1 20 3 3
BD 8 9 4 5
Intuitive 6 18 5 6
Hill-Ro 13 6 4
Cash Conversion (5 year Free Cash Flow/Adjusted Net Income)
140%
Median
120%
87%
100%
80%
60%
40%
20%
BCR
Advancing Lives and the Delivery of Health Care™ Source: Morgan Stanley Research May 13, 2016
Consistent Returns
Return on Net Operating Assets (including Amortization)
35%
30%
25%
20% RNOA
15% Median
10.9%
10%
5%
0%
BCR
Advancing Lives and the Delivery of Health Care™ Source: Morgan Stanley Research May 16, 2016
Building a Sustainable Engine
§ Product
§ Focus on Results
People
Leadership
and Execution
(selective where
Process
we compete) § Relatively Small,
yet Balanced and
§ Clinical Geography
Diversified
Differentiation
Products § Low ASPs
§ Focus on Quality
§ Financially and
§ Decentralized and
Operationally
Close to Customer
Stringent
Advancing Lives and the Delivery of Health Care™