On Mar. 1, diversified industrial firm Teleflex
- Total sales grew 7.2%.
- The gross margin improvement of 146 basis points was attributed to strong performance in the medical and aerospace divisions.
- Diluted earnings grew 4.3%, thanks in part to lower shares outstanding.
- Management is projecting full-year 2007 diluted earnings of $4.15-$4.35 per share, excluding restructuring charges.
- Free cash flow for the year was $281 million, or more than $7 per share. Based on the current stock price of $67.45, that's a price-to-free cash flow ratio of less than 10 and a big reason why Philip Durell selected Teleflex as a Motley Fool Inside Value pick.
(Figures in thousands, except per-share data)
Income Statement Highlights
|
Q4 2006 |
Q4 2005 |
Change |
|
|---|---|---|---|
|
Sales |
$692,843 |
$646,553 |
7.2% |
|
Net Profit |
$37,719 |
$37,518 |
0.5% |
|
EPS |
$0.96 |
$0.92 |
4.3% |
|
Diluted Shares |
39,227 |
40,917 |
(4.1%) |
Get back to basics with a look at the income statement.
Margin Checkup
|
Q4 2006 |
Q4 2005 |
Change* |
|
|---|---|---|---|
|
Gross Margin |
29.29% |
27.83% |
1.46 |
|
Operating Margin |
8.49% |
9.39% |
(0.90) |
|
Net Margin |
5.44% |
5.80% |
(0.36) |
Margins are the earnings engine. See how they work.
Balance Sheet Highlights
|
Assets |
Q4 2006 |
Q4 2005 |
Change |
|---|---|---|---|
|
Cash + ST Invest. |
$248,409 |
$239,536 |
3.7% |
|
Accounts Rec. |
$376,404 |
$421,236 |
(10.6%) |
|
Inventory |
$415,879 |
$404,271 |
2.9% |
|
Liabilities |
Q4 2006 |
Q4 2005 |
Change |
|---|---|---|---|
|
Accounts Payable |
$210,890 |
$206,548 |
2.1% |
|
Long-Term Debt |
$487,370 |
$505,272 |
(3.5%) |
Learn the ways of the balance sheet.
Cash Flow Highlights
|
FY 2006 |
FY 2005 |
Change |
|
|---|---|---|---|
|
Cash From Ops. |
$343,875 |
$333,459 |
3.1% |
|
Capital Expenditures |
$63,232 |
$69,851 |
(9.5%) |
|
Free Cash Flow |
$280,643 |
$263,608 |
6.5% |
Find out why Fools always follow the money.
Related Foolishness:
Teleflex is a Motley Fool Inside Value pick. You can find out why with a 30-day free trial.
Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so check Fool.com for more of our in-depth discussion of what the numbers mean.
Fool contributor Ryan Fuhrmann has no financial interest in any company mentioned. Feel free to email him with feedback or to further discuss any companies mentioned. The Fool has an ironclad disclosure policy.
