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Chairman and CEO Michael Petras confirmed that growth came from both healthy same-store sales and incremental volumes from a recent European expansion. He noted that while the company is well-positioned with its U.S. capacity to help customers navigate supply chain shifts, the focus is on partnership rather than leveraging the situation for pricing. He also announced a previously contemplated U.S. expansion project is moving forward.

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CEO Michael Petras stated that the 4% pricing in Sterigenics is consistent with expectations and the company's long-term targets. He acknowledged ongoing customer negotiations but emphasized the value proposition. He also noted that future pricing discussions will need to incorporate NESHAP compliance costs. On litigation, he confirmed no active cases in North Carolina or Texas but did mention an uptick in California case counts, while reiterating confidence in the company's scientific defense.

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CEO Michael Petras stated the company is not concerned about its pricing power, noting that Sterigenics' pricing of around 4.5% is within the company's overall target range of 3.5% to 5%. He affirmed the company's ability to push price to offset costs. For Nelson Labs, Petras suggested the current trend, with improving core testing volumes and normalizing expert advisory services, is a good indicator for the future.

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CEO Bryan Hanson attributed MedSurg's success to commercial restructuring, the strength of differentiated brands, and new product launches, stating momentum is still building. CFO Wayde McMillan clarified that after normalizing for advanced order timing, underlying growth is consistent at around 2.5%. He explained the EPS guidance increase reflects the Q2 beat plus expected second-half upside, while acknowledging the company is managing many variables like separation activities and tariffs.

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CEO Bryan Hanson confirmed the 2.5% underlying growth was ahead of their internal expectations, attributing the success to enhanced commercial execution. CFO Wayde McMillan added that Q2-to-date trends are in line with their plan, but the majority of the order timing reversal is expected in Q3, following major ERP and distribution center transitions in Q2.

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CFO Wayde McMillan stated that while segment-level guidance is not being provided, all four segments are expected to improve due to broad commercial initiatives. He attributed the lower free cash flow forecast primarily to peak separation-related costs in 2025, advising analysts to model these costs based on the Q4 exit rate. CEO Bryan Hanson added that more color on business segments would be provided at the March 20th Investor Day.

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CEO Bryan Hanson acknowledged the easier Q4 comp for Dental and stated that, like other segments, pricing is normalizing, and the focus must shift to increasing volume. He noted that there are additional considerations for portfolio moves due to the recent spin from 3M, which the company is proactively assessing, but any decision would also involve 3M. CFO Wayde McMillan reiterated that overall company pricing was neutral in Q3, and the focus is now on improving volumes after a period of price-driven growth.

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CEO Bryan Hanson acknowledged the easy Q4 comp for Dental but emphasized that, like other segments, pricing is normalizing and future growth must come from volume, not price. Regarding divestitures, Hanson explained that there are additional considerations due to the recent spin from 3M, some of which are not in Solventum's control. He stated the company is proactively assessing these factors to ensure they are not a barrier to potential transactions, but acknowledged that 3M would be involved in any such decision. CFO Wayde McMillan reiterated that overall company pricing was neutral in Q3, with a positive turn in volume.

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Daniel Carestio, President & CEO, attributed strong orders to STERIS's comprehensive portfolio and partnership model, noting the substantial backlog enhances future visibility. Both he and Michael Tokich, Senior VP & CFO, confirmed M&A remains the preferred use of cash. Tokich added that cash balances may build further due to a lack of prepayable debt and that share buybacks will continue at least to offset dilution.

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President and CEO Daniel Carestio clarified the $30 million impact is roughly split between China and a 10% global tariff. SVP and CFO Michael Tokich confirmed this is a net number after significant mitigation efforts and stated the lighter Q4 buyback was not a signal, as the company would consider additional repurchases. Executive Julie Winter added that the tariff impact is concentrated in the Healthcare segment.

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SVP and CFO Michael Tokich attributed the strong margins to favorable volume, mix, and price, noting that Healthcare also benefited from productivity improvements. President and CEO Daniel Carestio confirmed the May retrial has pushed the next scheduled case to later in the summer and stated that no additional cases have been added.

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CEO Daniel Carestio declined to provide specifics on the ongoing EO litigation beyond the company's SEC filings. He clarified that the revised AST outlook is based purely on year-to-date volume trends and is not related to pricing. He also affirmed that, excluding a one-time charge, strong AST margins are still expected in the second half of the fiscal year.

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CEO Katie Szyman affirmed that the relationship with Philips remains very strong and she is personally engaged in conversations to continue the partnership. CFO Micah Young detailed that while current mitigation efforts have significantly reduced the tariff burden, the company has identified further medium-term measures that could cut the remaining annualized impact by nearly half over time.

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CFO Micah Young reported solid underlying demand with no signs of softness in hospital spending, noting Masimo's low dependence on high-cost capital. Regarding the systems incident, he stated there is no evidence of sensitive data impact and no expected effect on guidance. For mitigation, Young mentioned altering sourcing, evaluating pricing, and leveraging their U.S. semiconductor plant, while acknowledging that shifting from China is a longer-term effort.

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CEO Catherine Szyman expressed confidence in the existing plan and stated her focus will be on expanding leadership in core markets, driving commercial excellence, and leveraging the company's talent and technology to increase patient monitoring. CFO Micah Young explained that contingency plans for tariffs include leveraging their expanded global manufacturing footprint, particularly by shifting more production from Mexico to Malaysia, and evaluating pricing strategies.

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Interim CEO Michelle Brennan and CFO Micah Young explained that the 26% operating margin target for healthcare in 2025 includes actions taken to date and those planned through year-end. Young detailed that the gains stem from rightsizing corporate overhead, improving gross margins, and reducing marketing spend on low-return products. Regarding the CEO search, Brennan stated the board is seeking a medtech veteran with a balance of operational and technical experience who fits Masimo's innovative culture.

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Executive Chairman & CEO Stanley Bergman stated that July trends were positive, aided by the return of customers following targeted promotions. He noted that patient traffic is globally stable and customers are shifting to Henry Schein's own brands to mitigate tariff impacts. Regarding the consulting engagements, Bergman explained they are focused on two areas: enhancing gross profit through value pricing and own-brand acceleration, and increasing SG&A efficiency via global services and AI, with tangible results expected in 2026.

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CFO Ron South stated that sales guidance inputs are largely unchanged, with growth expected to be internally generated. He clarified that 'mitigating' tariffs involves a multi-faceted approach including sourcing diversification and working with suppliers to lessen the financial impact. CEO Stanley Bergman commented that the company is not yet seeing a negative impact on dentist behavior, noting that equipment bookings are steady and investment in practices continues, suggesting the dental market is currently more stable than general consumer sentiment.

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CFO Ron South clarified that the guidance assumes modest market growth, likely 0% to 2% for core dental, with limited price appreciation and minimal M&A contribution. He explained that the long-term goal of high single-digit to low double-digit earnings growth post-2025 is based on restructuring benefits, eventual market recovery, and better price appreciation.

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Stanley Bergman, CEO, noted a consumer shift to lower-priced brands could impact sales dollars but that profits remain solid, supported by own-brand products. Ron South, CFO, explained that restructuring has occurred in distribution and some technology areas but is being done carefully to minimize revenue impact. He added that lower interest rates could drive practice build-outs, influencing 2025 growth more than other factors.

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CEO Paul Keel noted that modest price increases have been well-received and that equipment purchase decisions have been delayed, though the diagnostics segment saw positive growth. CFO Eric Hammes provided an EPS bridge, confirming benefits from share buybacks and a lower tax rate, but highlighted that improved operational performance was largely offset by FX headwinds compared to the original guide.

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President and CEO Paul Keel clarified that the guidance includes tariffs currently in effect but does not speculate on future changes, leading to wider confidence intervals but an unchanged expected outcome. He noted that while large DSOs remain confident, smaller dental practices are showing more caution, reflecting broader consumer uncertainty, particularly in the U.S. market.

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Founder, Chairman, and CEO Fred Lampropoulos and CFO Raul Parra clarified that the company had mistakenly filed for a new technology APC assignment instead of a TPT add-on payment, a mistake they acknowledged and owned. They explained the APC was not awarded, and they now plan to submit the TPT application by the September 1 deadline. They expressed high confidence in the product's data meeting TPT criteria and stated the long-term strategy for Rhapsody remains unchanged despite the two-quarter delay.

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EVP and CFO Raul Parra explained that mitigation efforts are centered on existing Continued Growth Initiatives (CGI) and that the softness in China was macro-related, with the full-year outlook unchanged. Regarding the EPS guide, Parra confirmed the math on the tariff and convertible debt impacts, noting that the company's standard practice is not to raise underlying guidance after a Q1 beat, effectively holding the operational outperformance in reserve.

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Executive Raul Parra attributed the lighter EPS guidance to two primary headwinds: an approximate $0.08 impact from higher interest expense and a more significant $0.11 impact from the non-economic GAAP accounting for convertible debt dilution. Excluding these items, he noted EPS growth would be in the 9-12% range. Regarding long-term targets, Parra reaffirmed the company's commitment to a minimum of 20% operating margins and other goals from its CGI program, emphasizing a focus on 2025 execution.

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Executive Fred Lampropoulos declined to provide a 2025 WRAPSODY forecast, stating the company will remain conservative and share details in a virtual meeting post-approval. Executive Raul Parra elaborated on margins, attributing the 108 basis point improvement to pricing, mix, and freight costs, all part of the CGI program. He clarified that future SKU rationalization will focus on internal product replacements in 2025, with no major business exits anticipated.

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CFO John Morici confirmed that the weakness was a mix of both scenarios. He explained that some patients delay treatment due to the final price, while others, particularly teens, are guided into wires and brackets by doctors managing their own practice economics. He noted this mix varies by geography.

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CFO John Morici explained that patient payment is a combination of direct pay, doctor-provided financing, and external financing like HFD. He noted that by offering favorable payment terms to doctors, Align helps them extend their own working capital to finance patients. He described seeing a good combination of these methods working to facilitate treatment acceptance, which is particularly impactful in the DSO channel.

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CEO Joe Hogan attributed teen channel friction to challenging economics in ortho offices. He confirmed the processing fee was a source of pushback, especially in the U.S. and Europe. CFO John Morici added that removing the fee allows the sales team to focus on product value rather than debating minor administrative charges.

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CFO John Morici explained that while direct fabrication has higher initial costs, the company's restructuring will enable overall operating margin accretion in 2025. He reiterated a 2-3 year timeline to realize gross margin benefits as the technology scales. CEO Joe Hogan noted that while the international teen market is strong, the U.S. teen segment is challenged, with some orthodontists reverting to wires and brackets to protect practice profitability.

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Frank Leonard, EVP & President - Novocure Oncology, explained they are refining marketing messages to target patients post-platinum therapy, which they believe will drive growth. CEO Ashley Cordova stated that for the TRIDENT trial, the regulatory path would be easier than a de novo PMA, likely a supplement, but specifics depend on the data. She also noted that any NCCN guideline inclusion is helpful, with higher ratings being more beneficial.

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Executive Frank Leonard stated the focus is on a controlled launch with the 'right physician, right patient, right time' to ensure positive first experiences. He confirmed future growth will be a mix of adding new prescribers and increasing depth with existing ones, citing an academic center that has already prescribed for six patients. He also confirmed that TTFields will be reviewed for NCCN guidelines in July.

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Executive Frank Leonard explained the launch strategy focuses on ensuring a positive initial experience for physicians and patients to build confidence and support payer negotiations. He noted early community acceptance is positive. CEO Ashley Cordova highlighted the ability to leverage the experienced GBM team for the lung cancer launch. Leonard confirmed they expect to utilize the same existing codes from GBM.

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An executive, Frank Leonard, outlined that the launch strategy prioritizes engaging highly motivated physicians and identifying appropriate patients early, focusing on strong execution rather than maximizing revenue in the initial year. On reimbursement, he stated that Novocure anticipates a one to two-year process to secure broad coverage, likely achieving success with private payers first before moving to Medicare, and will accept all on-label patients during this period.

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President & CEO Albert White cautioned against over-interpreting a single month's performance due to the volatility of large shipments and inventory swings, reiterating that the full-year view reflects market softness. Regarding competitive pricing, he stated that Cooper is currently evaluating the situation and will take price increases if deemed appropriate.

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CEO Al White explained that launching MyDay MiSight requires regulatory work in various markets, which will take time. The company is actively working through the pricing strategy, balancing the premium MyDay brand with the goal of ensuring affordability for children. He confirmed that a key advantage of the new product will be the introduction of a MyDay MiSight toric lens, which will address a significant portion of the market with astigmatism.

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CEO Al White acknowledged it was a "fair question" whether the price increase timing, which differed from the prior year, impacted Q4 results, but noted it was hard to triangulate. For the product pipeline, he emphasized expanding the global availability of existing innovative products like the MyDay family (Energys, toric, multifocal) into more markets rather than launching entirely new platforms.

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CEO Al White confirmed that demand was strong through July and into August, reflecting a healthy market. On the competitive question, he stated he was not concerned, explaining that Cooper did not gain a significant number of patients from the competitor's original decision and that patients fit with Cooper's market-leading toric lenses are very sticky and unlikely to switch back.

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CEO Simon Campion stated that customer surveys and direct visits indicate no material change in U.S. patient traffic or purchase intent, suggesting the sentiment is more about mood. For Germany, he expressed confidence in sustaining performance due to improved execution and stable market data, and noted plans to apply these turnaround efforts to other European markets.

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CEO Simon Campion attributed the U.S. CAD/CAM softness to the challenging macro environment impacting capital equipment purchases, not to distributor relations. He explained that the success in Germany was a combination of reintroducing a mid-tier product (Orthophos SL) and a renewed focus on commercial execution and sales training, a lesson being applied in the U.S.

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CEO Simon Campion responded that the gap between wholesale and retail demand was broad-based across the portfolio, not just scanners, though he noted Primescan 2 had a strong launch. Regarding profitability, he acknowledged it was a fair question, stating that investments in growth areas like sales and SureSmile are necessary to address the primary challenge of top-line performance. CFO Glenn Coleman added that while operating expenses are down year-over-year, revenue has declined faster.

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CEO Peter Arduini clarified that while the path to achieving their goals might differ, the medium-term financial views from the Investor Day have not changed, as the company has many levers to pull. He also stated they have not seen any material impact from administrative changes on their business or FDA interactions, confirming the Photon Counting CT submission remains on track.

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