Slides
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LMAT Investor Presentation
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Unaudited Financial Results The quarterly and 2024 annual financial results in this document are unaudited. Forward-Looking Statements This document contains certain forward-looking statements, within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, that involve risks and uncertainties. Actual results and events may differ significantly from results and events described in forward- looking statements. Factors that might cause or contribute to such differences include, but are not limited to, those described in “Risk Factors” in our Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q filed with the Securities and Exchange Commission. Undue reliance should not be placed on forward-looking statements, which speak only as of the date they are made. We undertake no obligation to update publicly any forward-looking statements to reflect new information, events, or circumstances after the date the statements were made. Non-GAAP Financial Measures This document contains non-GAAP financial measures. Non-GAAP financial measures are not prepared in accordance with generally accepted accounting principles and may not be comparable to similar non-GAAP financial measures used by other companies. The most directly comparable financial measures calculated in accordance with GAAP and a reconciliation of GAAP to non-GAAP financial measures are provided at the end of this document. Other Unless otherwise specified, all information contained herein is provided as of December 31, 2024, except that all guidance is as of February 27, 2025. This document is not a reaffirmation of guidance. Disclaimers
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Overview of LeMaitre Track Record of Accretive Acquisitions; $300mm Cash On-Hand #1 or #2 Share Positions in Niche Markets Attractive Op. Margin, Cash Generation, and Dividend Growth Large and Growing Global Sales Force Portfolio of Medical Devices Used Primarily by Vascular Surgeons
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Core Competencies Strong Customer Relationships • 152 sales reps • 5,000+ hospital accounts • 12K vascular surgeon users Capital Efficiency • Prudent expense control • $132mm net cash • 14 years of dividend growth >50% Biologic Implants • Broad patch & graft offering • Favorable profit margin • Tissue processing expertise Executive Team Retention • Top 4 Executives: 27 years • Exec. Committee: 19 years • CEO ownership: 8.4%
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Growing Global Sales of Devices Used by Vascular Surgeon Sales Vascular Surgeon 78% Cardiac Surgeon 14% Other 8% † LeMaitre management estimate $0 $25 $50 $75 $100 $125 $150 $175 $200 $225 $250 $275 2021 2022 2023 2024 2025* Millions 5-Yr. CAGR (2020-25): 11% *Midpoint of guidance range provided 2/27/2025 Note: Historical quarterly sales guidance achievement rate is 66% Sales by Physician User† Sales by Region Americas 66% EMEA 27% APAC 7% >50% of the 23K vascular surgeons worldwide use LeMaitre products
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Diversified Product Offering: Single-Use Devices & Implants Largest Category (23% of total sales) These 8 product categories represent 92% of total sales
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Mix Shift to Biologics & Products Used by Cardiac Surgeon 43% 48% 49% 51% 52% 9% 8% 7% 7% 7% 48% 44% 44% 42% 41% 0% 20% 40% 60% 80% 100% 2020 2021 2022 2023 2024 Biologic Implants Synthetic Implants Single Use Devices 10% 9% 9% 12% 14% 9% 9% 9% 8% 8% 81% 82% 82% 80% 78% 0% 20% 40% 60% 80% 100% 2020 2021 2022 2023 2024 Cardiac Surgeon Other Vascular Surgeon Sales by Device Type Sales by Physician User
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#1 or #2 Share in 9 of 12 Markets $0 $50 $100 $150 $200 $250 $300 WW Market Revenue (Millions) Aggregate Market Revenue: $1 Billion Markets in Which LeMaitre Has #1 or #2 Share • LeMaitre generates 85% of total company sales in these markets
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Sales Growth Drivers Sales Force Expansion Price Increases Regulatory Approvals AcquisitionsDistributor Buyouts Organic Inorganic
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Direct Selling in 29 Countries Represents 95% of Total Sales Sales Office Direct Country Americas: 74 Reps 15 Managers EMEA: 51 Reps 9 Managers APAC: 27 Reps 7 Managers
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52 65 63 74 36 45 48 5115 21 22 27 165 0 20 40 60 80 100 120 140 160 180 12/31/21 12/31/22 12/31/23 12/31/2024 12/31/2025 Number of Direct Sales Reps Americas EMEA APAC Guidance Midpoint Growing Sales Force: 152 Reps at 12/31/2024, +12% YoY
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Distributor Buyouts Bolster Sales & Gross Profit • Primary Criterion: Distributor with high sales • Key Outcomes: • Incremental sales & GP at end-user pricing • LeMaitre reps promote entire product offering Approach Recent and Upcoming Buyouts 2021 2022 2023 2024 2025P Korea Sales Before and After Buyout Thailand Sales Before and After Buyout 0 500,000 1,000,000 1,500,000 2,000,000 2,500,000 2021 2022 2023 2024 USD 0 500,000 1,000,000 1,500,000 2,000,000 2021 2022 2023 2024 USD Korea May 31, 2022 Thailand March 1, 2023 Czechia Portugal
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Regulatory Approvals Are an Ongoing Investment Activity 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% US Canada EU UK Japan Korea China Thailand Australia Approved Submitted % of WW Sales That Products Approved in Geography Represent • Allograft • Artegraft Artegraft Occlusion Catheter CardioCel and VascuCel • Artegraft • PhasTIPP Artegraft
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Ability to Increase Prices Consistently 0% 2% 4% 6% 8% 10% 12% 14% 2020 2021 2022 2023 2024 LeMaitre WW Increase US Consumer Price Index • Differentiated products • #1 or #2 share in niche markets • $42K average annual purchasing per hospital • Modest average price per unit • Hospital DRG reimbursement Weighted Average Price Increase Price Increase Drivers
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Year Product Purch. Price ($mm) 1998 VascuTape (manufacturing) 0.2 1999 TufTex 1.7 2001 Pruitt F3 5.7 2004 AnastoClip 1.0 2007 LeverEdge† 0.4 2010 LifeSpan 4.0 2012 XenoSure 4.6 2013 Balloon Catheters, Carotid Shunts 1.1 2014 Omniflow II 6.7 2014 PeriVu† 0.4 2015 Eze-Sit (OUS) 1.4 2016 RestoreFlow 13.0 2018 Syntel, Python 14.0 2019 Eze-Sit (US) 7.9 2019 CardioCel, VascuCel 15.8 to 17.8‡ 2020 Artegraft 72.5 Total‡ 150.4 to 152.4 Year Product Purch. Price ($mm) 2003 Expedial† 1.9 2005 EndoFit†, TAArget† 4.1 2007 EndoRE† 2.9 2007 UnBalloon† 0.6 2007 AlboGraft 3.8 2013 TRIVEX† 2.5 2016 ProCol† 3.0 2018 Wovex & Dialine II†, Chevalier, Cardial Glue† 1.9 Total 20.8 * Win/loss determination based on factors including but not limited to: sales growth, gross margin, operating contribution margin & ROI † Discontinued/Divested ‡ Range provided due to potential earnout payment 24 Acquisitions Completed in Last 27 Years 59 79 100 $0 $100 $200 $300 Millions Internally Developed Products Acquired Sales (incl. Aziyo distribution) Growth of Acquired Sales Contribution of Acquisitions to Sales Win* (16) Loss (8) 2025 Total Sales (midpoint of guidance range provided 2/27/25)
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Gross Margin Results & Opportunities • Price increases • Direct labor efficiency • Automation and other engineering-driven process improvements • Allograft tissue procurement • Factory consolidations Gross Margin 60% 62% 64% 66% 68% 70% 2021 2022 2023 2024 2025* Gross Margin Opportunities * Midpoint of guidance range provided 2/27/25 Note: Historical quarterly gross margin guidance achievement rate is 46%
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Operating Income & Operating Margin Operating Income *Midpoint of guidance range provided 2/27/2025 Special charges related to St. Etienne factory closure Note: Historical quarterly operating income guidance achievement rate is 69% $0 $10 $20 $30 $40 $50 $60 $70 2021 2022 2023 2024 2025* Millions Operating Margin† 10% 15% 20% 25% 30% 2021 2022† 2023 2024 2025† † 2022 value is before impact of St. Etienne factory closure, and 2025 value is based on sales and operating income guidance 5-Yr. CAGR (2020-25): 16%
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Capital Allocation, Cash Balance & EBITDA $0 $10 $20 $30 $40 $50 $60 2020 2021 2022 2023 2024 Millions Acquisition Debt Repayment Acquisitions Net of Proceeds from Debt CapEx Dividends Selected Uses of Cash $0 $10 $20 $30 $40 $50 $60 $70 2020 2021 2022 2023 2024 Millions EBITDA $0 $50 $100 $150 $200 $250 $300 $350 12/31/20 12/31/21 12/31/22 12/31/23 12/31/24 Millions Cash & Investments Debt Cash and Debt Balances
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EPS & Dividend $0.00 $0.20 $0.40 $0.60 $0.80 $1.00 $1.20 $1.40 2021 2022 2023 2024 2025 $0.00 $0.50 $1.00 $1.50 $2.00 $2.50 2021 2022 2023 2024 2025* Midpoint of guidance range provided 2/27/2025 Special charges related to St. Etienne factory closure Note: Historical quarterly EPS guidance achievement rate is 73% Fully Diluted EPS Dividend per Share • Increase in 14 straight years • Last increase (Q1 2025): 25% • 10-Yr. CAGR (2014-24): 16% • LMAT is one of 417 securities in NASDAQ US Broad Dividend Achievers Index Q1 2025 dividend of $0.20/Share will be paid 3/27/25
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Key Recent Developments Finance • Issued $172.5mm of convertible notes on December 19 • Announced 25% dividend increase to $0.20/Share on February 27 HR • Hired Dorian LeBlanc as CFO; scheduled to start on March 10 Sales • Shanghai office/warehouse opened in January • Zurich lease signed in December; first shipments to hospitals expected in June • Signed term sheet to go direct in Portugal on May 1 Regulatory • Received XenoSure cardiac indication approval from Chinese authorities in December • Received 16th MDR CE mark (CardioCel and VascuCel) in January Analyst Coverage • Wells Fargo initiated coverage on February 13 Investor Conference Presentations 37 th Annual Roth Conference March 17 KeyBanc Capital Markets Virtual Healthcare Forum March 19 Oppenheimer 35th Annual MedTech & Services Virtual Conference March 20 24th Annual Needham Virtual Healthcare Conference April 8
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Non-GAAP Financial Measures December 31, 2024 December 31, 2023 December 31, 2024 December 31, 2023 Reconciliation between GAAP and Non-GAAP EBITDA Net income as reported 11,184$ 8,465$ 44,038$ 30,105$ Interest (income) expense, net (1,405) (992) (4,744) (3,077) Amortization and depreciation expense 2,416 2,443 9,608 9,515 Provision for income taxes 2,837 2,848 12,837 9,370 EBITDA 15,032$ 12,764$ 61,739$ 45,913$ EBITDA percentage increase (decrease) 18% 34% For the year endedFor the three months ended
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LMAT Investor Presentation