Zimmer Biomet Holdings Inc (ZBH)

[DewDiligence]

ZBH issues 2024-2027 guidance:

https://finance.yahoo.com/news/zimmer-biomet-outlines-strategy-deliver-210200055.html

• Mid-single-digit percentage constant currency-consolidated [i.e. excluding FX] of revenue compound annual growth rate (CAGR)

• Adjusted [non-GAAP] earnings per share (EPS) growth at least 1.5 times revenue growth [i.e. 6-9%]

• Free Cash Flow1 growing at least 100 basis points faster than adjusted EPS

ZBH says the overall medical-device market is growing revenue at 4% per annum, so ZBH’s mid-single-digit revenue-growth guidance for 2024-2027 is slightly above the market’s own growth rate.

ZBH expects that its entire growth rate will come from volume and mix rather than price increases.