CONMED Corporation Wells Fargo 21st Annual Healthcare Conference

Thanks for being here. Good to be here.

Ross, as I think about it, first of all, I would go, CONMED's a growth company. 2025, we grew our top line 5.1%, grew our EPS double digits. This year, we've guided our top line to 5%-6%. We've got us a platform of growth. As I think about undervaluing, I think more about how do we bring value to our shareholders. The value to our shareholders are going to come from our growth drivers. We are in great markets. Two big markets, minimally invasive laparoscopic and robotic surgery, and minimally invasive sports med. Fast-growing markets, big markets that deliver strong ROIC. We're focused on those. We have strong growth drivers, AirSeal, BioBrace, Buffalo Filter. We also have an accelerated plan to increase margins, drive free cash flow stronger, and I think as we combine those and deliver on those, value will be delivered to our shareholders.

I think as we think about the two markets, I think they're both strong. I wouldn't pick between either of them. I think the idea of minimally invasive surgery that delivers better patient outcomes and better economics to the hospital system are great to be in. I think our growth drivers are split between them where you have Buffalo Filter that delivers protection to the caregiver, then you have AirSeal delivering compelling clinical and economic outcomes for patients and hospitals, and BioBrace that treat one of orthopedics' last bastions of need, rotator cuff repairs that fail in the 20%-30% range, and we deliver better outcomes there.

As we think about demand and volumes globally, in general, they've been strong. There's been no material weaknesses across our markets. What you are seeing is the treatment of care continuing globally to moving to higher acuity, lesser acuity. Where can they deliver better efficiency, better outcomes, better value to patients and hospital systems? That's code for ASCs, ambulatory surgery centers, private hospitals outside of the U.S.

Well, the beautiful thing is that's where minimally invasive surgery is done. That's sports medicine, that's robotic, that's laparoscopic procedures. That's the sweet spot of better for the patient, better for the healthcare system.

Yeah. Look, we were really pleased with the Q2 result. Constant currency, organic revenue 6%, as you said, Ross. What helped contribute to that was sequential improvement in AirSeal. Pat was just talking about AirSeal and the strength of that product area. Coming out of Q2, we are seeing sequential growth, or Q1 into Q2, and now we are expecting to see further acceleration in the back half of the year. That was key. Also on the quarter, BioBrace, one of the other key drivers, helped us achieve the ortho growth number on the quarter, which was a little better than our expectations. So those were a couple of the key highlights from Q2.