2024 Q1 Form 10-K Financial Statement

#000095017024019353 Filed on February 23, 2024

View on sec.gov

Income Statement

Concept 2024 Q1 2023 Q4 2023
Revenue $1.889B $1.940B $7.394B
YoY Change 3.18% 6.3% 6.55%
Cost Of Revenue $512.3M $538.8M $2.084B
YoY Change 2.3% 3.56% 3.18%
Gross Profit $1.377B $1.401B $5.310B
YoY Change 3.51% 7.4% 7.93%
Gross Profit Margin 72.88% 72.23% 71.82%
Selling, General & Admin $736.2M $722.3M $2.839B
YoY Change 2.84% -0.66% 2.8%
% of Gross Profit 53.47% 51.54% 53.46%
Research & Development $107.9M $113.3M $458.7M
YoY Change -2.26% 4.91% 12.98%
% of Gross Profit 7.84% 8.09% 8.64%
Depreciation & Amortization $238.6M $241.2M $951.7M
YoY Change 2.93% 5.56% 2.73%
% of Gross Profit 17.33% 17.21% 17.92%
Operating Expenses $844.1M $980.5M $3.859B
YoY Change 2.15% 1.44% 21.83%
Operating Profit $265.9M $420.8M $1.451B
YoY Change -18.76% 24.42% 108.43%
Interest Expense -$50.70M -$50.30M -$201.2M
YoY Change 5.19% 18.08% 22.09%
% of Operating Profit -19.07% -11.95% -13.86%
Other Income/Expense, Net -$100.0K -$19.50M -$9.200M
YoY Change -101.3% 400.0% -92.81%
Pretax Income $215.1M $284.4M $1.067B
YoY Change -25.0% -480.21% 164.51%
Income Tax $42.30M -$135.2M $42.20M
% Of Pretax Income 19.67% -47.54% 3.95%
Net Earnings $172.4M $419.2M $1.024B
YoY Change -25.85% -421.23% 342.52%
Net Earnings / Revenue 9.13% 21.61% 13.85%
Basic Earnings Per Share $0.84 $4.91
Diluted Earnings Per Share $0.84 $2.01 $4.88
COMMON SHARES
Basic Shares Outstanding 205.1M 209.0M 208.7M
Diluted Shares Outstanding 206.2M 209.7M

Balance Sheet

Concept 2024 Q1 2023 Q4 2023
SHORT-TERM ASSETS
Cash & Short-Term Investments $393.0M $415.8M $415.8M
YoY Change 19.02% 10.67% 10.67%
Cash & Equivalents $393.0M $415.8M $415.8M
Short-Term Investments
Other Short-Term Assets $403.9M $366.1M $366.1M
YoY Change -12.1% -29.99% -29.99%
Inventory $2.388B $2.385B $2.385B
Prepaid Expenses
Receivables $1.446B $1.442B $1.442B
Other Receivables $0.00 $0.00 $0.00
Total Short-Term Assets $4.632B $4.610B $4.610B
YoY Change 4.98% 4.12% 4.12%
LONG-TERM ASSETS
Property, Plant & Equipment $2.091B $2.060B $2.060B
YoY Change 9.68% 10.03% 10.03%
Goodwill $8.792B $8.819B
YoY Change 0.65% 2.78%
Intangibles $4.734B $4.856B
YoY Change -6.66% -4.1%
Long-Term Investments
YoY Change
Other Assets $1.204B $1.152B $1.152B
YoY Change 7.67% 2.66% 2.66%
Total Long-Term Assets $16.82B $16.89B $16.89B
YoY Change -0.06% 1.49% 1.49%
TOTAL ASSETS
Total Short-Term Assets $4.632B $4.610B $4.610B
Total Long-Term Assets $16.82B $16.89B $16.89B
Total Assets $21.45B $21.50B $21.50B
YoY Change 0.98% 2.05% 2.05%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $370.3M $410.6M $410.6M
YoY Change -6.75% 15.96% 15.96%
Accrued Expenses $627.7M $1.098B
YoY Change 7.8% 12.99%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due $970.0M $900.0M $900.0M
YoY Change 65.81% 65.35% 65.35%
Total Short-Term Liabilities $2.797B $2.858B $2.858B
YoY Change 19.74% 21.17% 21.17%
LONG-TERM LIABILITIES
Long-Term Debt $4.826B $4.868B $4.868B
YoY Change -7.27% -5.52% -5.52%
Other Long-Term Liabilities $577.0M $1.283B $1.283B
YoY Change -9.48% 102.88% -16.04%
Total Long-Term Liabilities $5.403B $6.151B $6.151B
YoY Change -7.51% 6.34% -7.93%
TOTAL LIABILITIES
Total Short-Term Liabilities $2.797B $2.858B $2.858B
Total Long-Term Liabilities $5.403B $6.151B $6.151B
Total Liabilities $8.846B $9.009B $9.009B
YoY Change -2.64% -0.33% -0.33%
SHAREHOLDERS EQUITY
Retained Earnings $10.51B $10.38B
YoY Change 7.88% 8.63%
Common Stock $9.949B $9.849B
YoY Change 2.61% 3.6%
Preferred Stock
YoY Change
Treasury Stock (at cost) $7.649B $7.562B
YoY Change 7.6% 10.12%
Treasury Stock Shares
Shareholders Equity $12.60B $12.49B $12.49B
YoY Change
Total Liabilities & Shareholders Equity $21.45B $21.50B $21.50B
YoY Change 0.98% 2.05% 2.05%

Cashflow Statement

Concept 2024 Q1 2023 Q4 2023
OPERATING ACTIVITIES
Net Income $172.4M $419.2M $1.024B
YoY Change -25.85% -421.23% 342.52%
Depreciation, Depletion And Amortization $238.6M $241.2M $951.7M
YoY Change 2.93% 5.56% 2.73%
Cash From Operating Activities $228.0M $588.4M $1.582B
YoY Change -25.9% 140.95% 23.11%
INVESTING ACTIVITIES
Capital Expenditures $55.10M $141.7M $689.2M
YoY Change 17.99% 9.42% 266.79%
Acquisitions
YoY Change
Other Investing Activities $55.60M -$79.10M -$89.70M
YoY Change 288.81% -565.29% -237.16%
Cash From Investing Activities -$195.0M -$220.8M -$778.9M
YoY Change 30.52% 96.27% 47.18%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net -$591.1M
YoY Change -567.64%
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -50.10M -251.4M -763.5M
YoY Change -75.76% -19.78% -9.52%
NET CHANGE
Cash From Operating Activities 228.0M 588.4M 1.582B
Cash From Investing Activities -195.0M -220.8M -778.9M
Cash From Financing Activities -50.10M -251.4M -763.5M
Net Change In Cash -22.70M 116.2M 39.20M
YoY Change -50.11% -163.95% -138.13%
FREE CASH FLOW
Cash From Operating Activities $228.0M $588.4M $1.582B
Capital Expenditures $55.10M $141.7M $689.2M
Free Cash Flow $172.9M $446.7M $892.4M
YoY Change -33.75% 289.45% -18.64%

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<p style="font-size:10pt;margin-top:12pt;font-family:Times New Roman;margin-bottom:0;text-align:left;"><span style="color:#000000;white-space:pre-wrap;font-size:10pt;font-family:Times New Roman;font-style:italic;min-width:fit-content;">Use of Estimates -</span><span style="color:#000000;white-space:pre-wrap;font-size:10pt;font-family:Times New Roman;min-width:fit-content;"> The consolidated financial statements are prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”), which requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. We have made our best estimates, as appropriate under GAAP, in the recognition of our assets and liabilities. Such estimates include, but are not limited to, variable consideration to our customers, our allowance for doubtful accounts for expected credit losses, the net realizable value of our inventory, the fair value of our goodwill, the recoverability of other long-lived assets and unrecognized tax benefits. Actual results could differ materially from these estimates.</span></p>
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CY2021 us-gaap Disposal Group Including Discontinued Operation General And Administrative Expense
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CY2022 zbh Discontinued Operation Restructuring And Other Cost Reduction Initiatives
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CY2021 zbh Discontinued Operation Restructuring And Other Cost Reduction Initiatives
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CY2021 zbh Disposal Group Including Discontinued Operation Quality Remediation
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CY2021 zbh Acquisition Integration Divestiture And Related Discontinued Operation
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76800000
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CY2021 zbh Disposal Group Including Discontinued Operation Other Expense Income
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CY2022 us-gaap Discontinued Operation Tax Effect Of Discontinued Operation
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CY2021 us-gaap Discontinued Operation Tax Effect Of Discontinued Operation
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CY2022 us-gaap Income Loss From Discontinued Operations Net Of Tax
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CY2021 us-gaap Income Loss From Discontinued Operations Net Of Tax
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CY2023Q4 us-gaap Revenue Remaining Performance Obligation
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CY2022 us-gaap Revenue From Contract With Customer Excluding Assessed Tax
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CY2021 us-gaap Employee Service Share Based Compensation Tax Benefit From Compensation Expense
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CY2022 us-gaap Allocated Share Based Compensation Expense Net Of Tax
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88100000
CY2021 us-gaap Allocated Share Based Compensation Expense Net Of Tax
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58800000
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121.94
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CY2023 us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Grants In Period Weighted Average Exercise Price
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CY2023 us-gaap Stock Issued During Period Shares Stock Options Exercised
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CY2023 us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Exercises In Period Weighted Average Exercise Price
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96.17
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280000
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135.28
CY2023 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Expirations In Period
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725000
CY2023 us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Expirations In Period Weighted Average Exercise Price
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131.46
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6221000
CY2023Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Weighted Average Exercise Price
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123.29
CY2023 us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Options Outstanding Weighted Average Remaining Contractual Term2
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P5Y
CY2023Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Intrinsic Value
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44300000
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CY2023Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Vested And Expected To Vest Outstanding Weighted Average Exercise Price
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44100000
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5012000
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120.83
CY2023 us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Options Exercisable Weighted Average Remaining Contractual Term1
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P4Y4M24D
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41000000.0
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CY2021 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Expected Dividend Rate
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CY2021 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Weighted Average Volatility Rate
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CY2023 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Risk Free Interest Rate
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CY2022 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Risk Free Interest Rate
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CY2021 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Risk Free Interest Rate
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CY2022 us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Fair Value Assumptions Expected Term1
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CY2021 us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Fair Value Assumptions Expected Term1
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ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageGrantDateFairValue
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CY2022 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Grants In Period Weighted Average Grant Date Fair Value
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CY2021 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Grants In Period Weighted Average Grant Date Fair Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageGrantDateFairValue
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CY2022 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Exercises In Period Total Intrinsic Value
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CY2021 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Exercises In Period Total Intrinsic Value
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CY2022 us-gaap Employee Service Share Based Compensation Tax Benefit From Exercise Of Stock Options
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CY2021 us-gaap Employee Service Share Based Compensation Tax Benefit From Exercise Of Stock Options
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CY2022Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Nonvested Weighted Average Grant Date Fair Value
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CY2023 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Grants In Period Weighted Average Grant Date Fair Value
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CY2023 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Vested In Period
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CY2023 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Vested In Period Weighted Average Grant Date Fair Value
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CY2023 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Forfeited In Period
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CY2023 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Forfeitures Weighted Average Grant Date Fair Value
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147.16
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1807000
CY2023Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Nonvested Weighted Average Grant Date Fair Value
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CY2022Q4 us-gaap Inventory Finished Goods Net Of Reserves
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246500000
CY2022Q4 us-gaap Inventory Work In Process Net Of Reserves
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230900000
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307500000
CY2022Q4 us-gaap Inventory Raw Materials Net Of Reserves
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261300000
CY2023Q4 us-gaap Inventory Net
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CY2022Q4 us-gaap Inventory Net
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CY2023 us-gaap Inventory Write Down
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CY2022 us-gaap Inventory Write Down
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CY2021 us-gaap Inventory Write Down
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CY2022Q4 us-gaap Property Plant And Equipment Gross
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CY2022Q4 us-gaap Property Plant And Equipment Net
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CY2022 us-gaap Capital Expenditures Incurred But Not Yet Paid
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CY2023Q4 us-gaap Goodwill
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CY2022Q4 zbh License And Service Agreements
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CY2022Q4 us-gaap Employee Related Liabilities Current
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CY2022Q4 zbh Litigation And Product Liability
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30100000
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CY2022Q4 zbh Long Debt Hedged By Interest Rate Swap
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CY2022Q4 us-gaap Long Term Debt Noncurrent
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144700000
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CY2022Q4 us-gaap Longterm Debt Weighted Average Interest Rate
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CY2021 us-gaap Interest Paid
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18900000
CY2021 us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci Pension And Other Postretirement Benefit Plans Tax
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18500000
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CY2021 us-gaap Other Comprehensive Income Loss Foreign Currency Transaction And Translation Adjustment Before Tax
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CY2023 us-gaap Other Comprehensive Income Foreign Currency Translation Gain Loss Arising During Period Tax
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CY2022 us-gaap Other Comprehensive Income Foreign Currency Translation Gain Loss Arising During Period Tax
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36000000.0
CY2021 us-gaap Other Comprehensive Income Foreign Currency Translation Gain Loss Arising During Period Tax
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