$ITGR

GREATBATCH, INC.

CIK:0001114483|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 03, 2026	Jun. 27, 2025	Jul. 03, 2026	Jun. 27, 2025
Income Statement [Abstract]
Sales	$ 464,110	$ 476,494	$ 903,690	$ 913,886
Cost of sales	351,168	347,342	681,153	664,416
Gross profit	112,942	129,152	222,537	249,470
Operating expenses:
Selling, general and administrative	57,699	52,923	116,410	104,083
Research, development and engineering	11,278	14,240	27,521	28,441
Restructuring and other charges	9,437	2,651	12,209	8,056
Total operating expenses	78,414	69,814	156,140	140,580
Operating income	34,528	59,338	66,397	108,890
Interest expense	10,135	9,754	19,869	24,559
(Gain) loss on equity investments	(42)	8	1,426	(173)
Other loss, net (see Note 6)	1,144	3,980	1,460	51,907
Income from continuing operations before taxes	23,291	45,596	43,642	32,597
Provision (benefit) for income taxes	(314)	8,587	3,531	18,053
Income from continuing operations	23,605	37,009	40,111	14,544
Loss from discontinued operations, net of tax	0	0	0	(22)
Net income	$ 23,605	$ 37,009	$ 40,111	$ 14,522
Basic earnings per share:
Income from continuing operations (in dollars per share)	$ 0.69	$ 1.06	$ 1.17	$ 0.42
Loss from discontinued operations (in dollars per share)	0	0	0	0
Basic earnings per share (in dollars per share)	0.69	1.06	1.17	0.42
Diluted earnings per share:
Income from continuing operations (in dollars per share)	0.69	1.04	1.17	0.41
Loss from discontinued operations (in dollars per share)	0	0	0	0
Diluted earnings per share (in dollars per share)	$ 0.69	$ 1.04	$ 1.17	$ 0.41
Weighted average shares outstanding:
Basic (in shares)	34,010	35,035	34,146	34,488
Diluted (in shares)	34,145	35,713	34,290	35,830
Comprehensive Income
Net income	$ 23,605	$ 37,009	$ 40,111	$ 14,522
Other comprehensive income (loss):
Foreign currency translation gain (loss)	(5,576)	47,356	(16,230)	67,647
Change in fair value of cash flow hedges, net of tax	(344)	5,748	(3,235)	10,246
Other comprehensive income (loss)	(5,920)	53,104	(19,465)	77,893
Comprehensive income	$ 17,685	$ 90,113	$ 20,646	$ 92,415

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jul. 03, 2026	Jun. 27, 2025
Cash flows from operating activities:
Net income	$ 40,111	$ 14,522
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	69,549	62,118
Debt related charges included in interest expense	3,263	3,627
Debt conversion inducement expense	0	46,681
Stock-based compensation	12,045	12,536
Non-cash fixed asset impairment	5,893	0
Non-cash lease expense	4,876	5,000
Non-cash (gains) losses on equity investments	1,426	(173)
Contingent consideration fair value adjustment	(1,179)	(309)
Other non-cash losses	2,077	3,143
Deferred income taxes	18	3,942
Gain on sale of discontinued operations	0	(46)
Changes in operating assets and liabilities, net of acquisitions:
Accounts receivable	7,959	(41,014)
Inventories	(36,751)	(14,509)
Prepaid expenses and other assets	(2,247)	71
Contract assets	(6,762)	1,800
Accounts payable	5,591	11,561
Accrued expenses and other liabilities	(11,761)	(23,312)
Income taxes	(9,678)	(10,500)
Net cash provided by operating activities	84,430	75,138
Cash flows from investing activities:
Acquisition of property, plant and equipment	(46,651)	(44,219)
Purchase of equity and other investments, net of distributions	(14,043)	0
Acquisitions, net of cash acquired	0	(170,872)
Other investing activities	108	97
Net cash used in investing activities	(60,586)	(214,994)
Cash flows from financing activities:
Principal payments of long-term debt	0	(657,693)
Proceeds from issuance of convertible notes, net of discount	0	977,500
Proceeds from revolving credit facility	207,600	257,000
Payments of revolving credit facility	(157,600)	(373,000)
Purchase of capped calls	0	(71,000)
Payment of debt issuance costs	(38)	(1,266)
Repurchases of common stock	(50,000)	0
Proceeds from the exercise of stock options	0	3,644
Tax withholdings related to net share settlements of restricted stock unit awards	(10,299)	(16,707)
Principal payments on finance leases	(4,256)	(2,596)
Other financing activities	(5,162)	107
Net cash provided by (used in) financing activities	(19,755)	115,989
Effect of foreign currency exchange rates on cash and cash equivalents	125	459
Net increase (decrease) in cash and cash equivalents	4,214	(23,408)
Cash and cash equivalents, beginning of period	17,161	46,543
Cash and cash equivalents, end of period	$ 21,375	$ 23,135

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands	Jul. 03, 2026	Dec. 31, 2025
Current assets:
Cash and cash equivalents	$ 21,375	$ 17,161
Accounts receivable, net of provision for credit losses of $0.6 million and $0.6 million, respectively	338,729	346,079
Inventories	288,058	253,739
Contract assets	119,024	112,546
Prepaid expenses and other current assets	43,449	40,572
Total current assets	810,635	770,097
Property, plant and equipment, net	532,340	536,427
Goodwill	1,104,651	1,110,908
Other intangible assets, net	788,841	825,435
Deferred income taxes	9,014	8,994
Operating lease assets	82,574	98,437
Financing lease assets	56,429	37,109
Other long-term assets	39,113	23,170
Total assets	3,423,597	3,410,577
Current liabilities:
Accounts payable	111,850	113,130
Operating lease liabilities	8,209	9,099
Accrued expenses and other current liabilities	97,082	109,812
Total current liabilities	217,141	232,041
Long-term debt	1,237,883	1,185,179
Deferred income taxes	114,747	116,327
Operating lease liabilities	67,143	81,899
Financing lease liabilities	51,296	28,578
Other long-term liabilities	16,638	19,910
Total liabilities	1,704,848	1,663,934
Stockholders’ equity:
Common stock, $0.001 par value; 100,000,000 shares authorized; 35,481,805 and 35,481,805 shares issued, respectively; 33,992,048 and 34,346,450 shares outstanding, respectively	35	35
Additional paid-in capital	756,545	771,223
Treasury stock, at cost; 1,489,757 shares and 1,135,355 shares, respectively	(110,734)	(76,872)
Retained earnings	1,034,166	994,055
Accumulated other comprehensive income	38,737	58,202
Total stockholders’ equity	1,718,749	1,746,643
Total liabilities and stockholders’ equity	$ 3,423,597	$ 3,410,577