GAAP Net Revenue Growth

FY 2025

8% to 10% "

10% to 11% " "

raised

Cardiovascular Segment Revenue Growth

FY 2025

7% to 9% "

9% to 10% " "

raised

Endoscopy Segment Revenue Growth

FY 2025

34% to 37% "

32% to 34% " "

lowered

Foreign Currency Impact

FY 2025

$4.9M headwind or 36 bps "

$6.2M tailwind or 46 bps " "

raised

Constant Currency Revenue Growth

FY 2025

8.7% to 10.2% "

9.7% to 10.6% "

raised

Organic Constant Currency Revenue Growth

FY 2025

5% to 7% "

5.6% to 6.4% "

no change

Inorganic Revenue Contributions

FY 2025

$45M to $46M "

$56M to $58M "

raised

Rhapsody CIE Revenue

FY 2025

$7M to $9M "

$2M to $4M "

lowered

Non-GAAP Diluted EPS

FY 2025

$3.29 to $3.42 "

$3.52 to $3.72 "

raised

Non-GAAP Operating Margins

FY 2025

17.6% to 18% "

19% to 20% " "

raised

Non-GAAP Interest and Other Expense Net

FY 2025

$4.8M "

$8M "

raised

Tariff Impact

Q1 2025 highlighted an anticipated incremental tariff cost of approximately $26.3 million with significant impact on non‐GAAP EPS and operational margin guidance. " " Q4 2024 noted that 2025 guidance assumed an unchanged tariff structure despite inherent uncertainties. " "

Q2 2025 discussed a reduced high‐end impact (approximately $7 million) based on updated information and emphasized nimble mitigation strategies (e.g. redirecting shipments and accelerating product transfers). " " "

Improved outlook and more proactive measures – The company has shifted from assuming a high-impact fixed cost to actively reducing and managing the tariff impact through mitigation efforts. " " " " " " "

OEM Sales Performance

Q1 2025 reported robust OEM growth of 21% driven mainly by strong U.S. demand and highlighted product launch opportunities with vertical integration. " " " Q4 2024 emphasized strong domestic growth (22%) and positive feedback on Wrapsody CIE, despite raw material and supply chain challenges outside the U.S.. " " "

Q2 2025 noted a modest 4% increase in OEM sales internationally contrasted with high-teens growth domestically. There was also a strategic acquisition (BioLife) to complement product offerings, though specific new launches were not discussed. " "

Steady domestic performance with evolving product strategy – The OEM segment remains strong in the U.S., while international markets face modest growth; the acquisition strategy now plays a larger role in product portfolio expansion. " " " " " " " "

Integration & Product Portfolio

Q1 2025 focused on integrating acquisitions from Cook Medical and EndoGastric Solutions, contributing to revenue and expanding the cardiovascular and endoscopy segments. " " Q4 2024 described completed integration of EndoGastric and ongoing efforts with Cook Medical alongside Wrapsody guidance. " "

Q2 2025 emphasized the successful integration of the BioLife acquisition and smoother distribution channel consolidation (e.g. converting distributors to direct sales) while complementing the Cook integration, reinforcing the expansion of their product portfolio. " " " "

Continued robust integration – The integration efforts are deepening the product portfolio with added strategic acquisitions, moving from initial integration in prior quarters to more refined consolidation and expanded market reach in Q2 2025. " " " " " " " "

Free Cash Flow & Financial Flexibility

Q1 2025 reported a decrease in free cash flow to $19.5 million, although the full-year guidance remained at least $150 million; Q4 2024 showcased strong free cash flow generation (Q4: $65 million; FY: more than $185 million) and solid liquidity with a favorable debt profile. " "

Q2 2025 reported a significant improvement with $70 million in free cash flow for the quarter and positive year-to-date momentum (YTD: $90 million) along with strong cash and liquidity metrics, forecasting at least $150 million for 2025. " " " "

Improving cash generation – Despite a weaker start in Q1 2025, the current and consistent free cash flow generation demonstrates enhanced financial flexibility and increased investor confidence. " " " " "

China Market Demand Weakness

Q1 2025 mentioned softer-than-expected revenue but attributed it to a broader macro environment with no major shifts in outlook. " " " Q4 2024 actually reported modest positive growth in China (4% increase) with favorable unit sales overcoming pricing headwinds. "

Q2 2025 highlighted a clear weakness in the China market with a 6% decline in sales versus expectations, attributing the softness to a challenging macro environment impacting volume-based purchasing. " " "

Worsening sentiment in China – There is a shift from previously modest growth to noticeable weakness, indicating increased headwinds in the China market in the current period. " " " " " "

Operational Margin

Q1 2025 mentioned a revision in non‐GAAP operating margin guidance (lowered due to tariff costs) and evident pressure from tariff-related cost increases. " " Q4 2024 reported strong performance with a 19.6% operating margin, driven by robust revenue and effective cost management. "

Q2 2025 delivered its highest-ever non‐GAAP operating margin at 21.2% for the quarter, though full-year guidance was adjusted downward due to anticipated ongoing tariff pressures and margin headwinds. " " " "

Mixed sentiment – While quarterly margins reached record levels through operational efficiencies, there is caution about full-year margins due to persistent external pressures. " " " " " " "

Reimbursement Strategy

Q1 2025 focused on WRAPSODY CIE with progress on NTAP submissions and steady reimbursement strategy, forecasting $7–9 million in U.S. revenue; Q4 2024 concentrated on reimbursement training and initiatives for Wrapsody with NTAP and PPT exercises. " "

Q2 2025 shifted focus to the Rhapsody CIE where efforts are underway for both inpatient (with proposed NTAP of $3,770) and outpatient reimbursement, though a delay in outpatient reimbursement and uncertainty in timing have been noted. " " " " "

Transition and increased uncertainty – The reimbursement focus has shifted from the established WRAPSODY CIE to the newer Rhapsody CIE, with added uncertainty and delays in reimbursement impacting near-term revenue forecasts. " " " " " " "

Sales Force Enthusiasm

Q1 2025 reported enthusiasm especially linked to the successful integration of sales teams and the steady adoption of products; Q4 2024 described a high level of motivation and confidence among both U.S. and European teams. " "

Q2 2025 continued to highlight high sales force enthusiasm, with executives describing the team as “fired up” and instrumental in driving revenue despite market reimbursement delays. " "

Consistently positive – The enthusiasm of the sales force remains a consistent strength, providing a stable positive outlook across all periods. " " " "

EPS Growth Pressure (Convertible Note Dilution)

Q1 2025 detailed an EPS impact of approximately $0.05, noting a reduced dilution effect compared to earlier estimates; Q4 2024 indicated a larger EPS headwind ($0.11 impact) from dilution and additional interest expenses. " " "

Q2 2025 reported a significantly lower immediate impact on EPS (approximately $0.01 in Q2 with an estimated $0.05 full-year impact), indicating that dilution pressure has eased relative to previous periods. " "

Easing pressure – The dilution impact on EPS has reduced from a higher previous effect, reflecting improved capital management and potentially lower dilution costs moving forward. " " " " "

Supply Chain Uncertainty

Q4 2024 addressed supply chain challenges, particularly in the OEM business outside the U.S., noting resolution of raw material and production ramp-up issues. " Q1 2025 did not mention supply chain uncertainty specifically [N/A].

Q2 2025 did not mention any supply chain uncertainties, indicating that previous issues have been resolved or are no longer material [N/A].

Resolved – Supply chain uncertainties that were a concern in Q4 2024 appear to have been managed effectively, with no current mention in Q2 2025. "