Zimmer Biomet Holdings Inc. (ZBH) CEO Bryan Hanson on Q1 2022 Results - Earnings Call Transcript

Call Start: 08:30 January 1, 0000 9:30 AM ET

Zimmer Biomet Holdings Inc

Q1 2022 Earnings Conference Call

May 3, 2022, 8:30 AM ET

Company Participants

Bryan Hanson – Chairman, President, and Chief Executive Officer

Suky Upadhyay – Executive Vice President and Chief Financial Officer

Keri Mattox – Senior Vice President Investor Relations and Chief Communications Officer

Ivan Tornos – Chief Operating Officer

Conference Call Participants

Joanne Wuensch – Citi

Travis Steed – Bank of America

Amit Hazan – Goldman Sachs

Jeffrey Johnson – Baird

Shagun Singh – RBC Capital Markets

Drew Ranieri – Morgan Stanley

Matthew O'Brien – Piper Sandler

Ryan Zimmerman – BTIG

Mike Matson – Needham and Company

Robert Marcus – JPMorgan

Operator

Good morning, ladies and gentlemen, and welcome to the Zimmer Biomet First Quarter 2022 Earnings Conference Call. [Operator Instruction] As a reminder this conference is being recorded today, May 3rd, 2022. Following today's presentation, there will be a question-and-answer session. At this time, all participants are in a listen-only mode. [Operator Instruction] I would now like to turn the conference over to Keri Mattox, Senior Vice President Investor Relations and Chief community Officer. Please go ahead.

Keri Mattox

Thank you, Operator. And good morning, everyone. I hope you are all well and safe. Welcome to Zimmer Biomet first quarter 2022 earnings conference call. Joining me today are Bryan Hanson, our Chairman, President and CEO; EVP and CFO Suky Upadhyay and COO Ivan Tornos. Before we get started, I'd like to remind you that our comments during this call will include forward-looking statements. Actual results may differ materially from those indicated by the forward-looking statements due to a variety of risks and uncertainties. Please note, we assume no obligation to update these forward-looking statements even if actual results or future expectations change materially. Please refer to our SEC filings for a detailed discussion of these risks and uncertainties, in addition to the inherent limitations of such forward-looking statements. Additionally, the discussions on this call will include certain non-GAAP financial measures, reconciliation of these measures to the most directly comparable GAAP financial measures is included within our Q1 earnings release, which can be found on our website, zimmerbiomet.com. With that, I'll turn the call over to Bryan. Bryan?

Bryan Hanson

Alright, thanks, Keri and thanks to all of you for joining us this morning. I'm going to talk briefly about our Q1 performance and our revised expectations for the full year. I'm also going to spend a few minutes talking about our recent innovation and our key drivers for long-term growth. And then after that, I'm going to turn it over to Suky, who will get into more details on the quarter, but also very importantly, our full-year guidance update. And then we'll close out the call with your questions, of course. So, let's get started with Q1. We had a strong quarter, well above our own expectations and obviously above external expectations. And the primary reason for that level of over achievement was stronger than anticipated COVID recovery in the quarter, particularly when we looked at the back half of the quarter. And if I look at the U.S. recovery, it was stronger and faster than I think anyone expected pretty much across the board. And while we continue to see COVID surges in EMEA and China, the impact on overall procedure cancellations has been minimal at least so far.