Edwards Lifesciences Corporation , a world leader in products and technologies to treat advanced cardiovascular disease, today will provide investors with information on the initiatives expected to drive sales growth and profitability in 2007 and beyond. During its 2006 investor conference in New York City, Edwards' management will present details of the company's growth plans, market expansion opportunities and its financial outlook for 2007.
"We expect 2007 to be a very successful and important year for Edwards Lifesciences," said Michael A. Mussallem, chairman and CEO. "Our market-leading heart valve and critical care franchises provide a strong foundation for continued growth. We expect sales of new products to drive greater profitability and grow earnings per share 13 to 15 percent. And, our market-expanding transcatheter valve technologies will reach pivotal points in their path to commercialization."
During the conference, Edwards' management also will present the company's financial goals for 2007, including total sales between $1.075 to $1.125 billion, increasing gross profit margin by 100 to 150 basis points, delivering non-GAAP net income growth of 12 to 14 percent, excluding the impact of special items and generating free cash flow of $160 to $170 million.
Among the specific topics to be discussed at today's event are:
* Transcatheter Heart Valve Initiatives -- Edwards leads the advancement
of transcatheter heart valve technologies designed to expand the
treatment of patients through minimally-invasive therapies. "Over
300 transcatheter procedures have been performed in our clinical
studies. Additionally, Edwards is currently working with the U.S. Food
and Drug Administration to finalize the pivotal trial design for the
transcatheter valve, which we expect to begin in early 2007," said
Mussallem.
* Heart Valve Therapy -- Edwards will highlight developments in its broad
line of market-leading replacement heart valves and repair products.
"Our premier family of PERIMOUNT tissue valves continues to be
preferred by cardiac surgeons and their patients around the world,"
said Mussallem. "We believe the increased investment in this product
line, in addition to several new product introductions, will accelerate
our growth next year."
* FloTrac -- Building upon its decades-long global leadership in
Swan-Ganz hemodynamic monitoring systems, Edwards' FloTrac minimally
invasive monitoring system continues to generate clinician excitement
and is expected to grow rapidly in 2007.
* Peripheral Vascular Platform -- "In 2007, we will be adding sales
resources to drive continued growth and market adoption, and continue
to anticipate SFA approval in the U.S.," Mussallem continued.
* Financial Outlook -- In addition to confirming its guidance for 2006,
management will detail the Company's financial goals for 2007.
Other members of Edwards' management team presenting at the conference include:
Larry L. Wood, vice president and general manager, Transcatheter Heart Valves, who will provide updates on the Company's transcatheter aortic valve technologies;
Anita B. Bessler, corporate vice president, Heart Valve Therapies and Cardiac Surgery Systems, and J. Alex Martin, president, North America, who will discuss Edwards' surgical heart valve therapies;
Carlyn D. Solomon, vice president and general manager, Critical Care, who will discuss Edwards' Critical Care franchise;
Keith A. Reisinger, corporate vice president and general manager, Vascular, who will share information on Edwards' peripheral vascular interventions;
Stanton J. Rowe, corporate vice president, Advanced Technologies, and Donald E. Bobo, Jr., vice president and general manager, Advanced Technologies, who will discuss some of the new technologies Edwards is developing, including transcatheter mitral valve repair;
Corinne H. Lyle, corporate vice president and president, Global Operations, who will address infrastructure investments; and
Thomas M. Abate, Edwards' chief financial officer, who will discuss expectations for the fourth quarter of 2006 and present the company's guidance for full year 2007.
Guest Speakers Provide Clinical Perspective
Also speaking at the conference is interventional cardiologist Dr. Martin B. Leon, professor of medicine at Columbia University Medical Center, and Dr. Craig R. Smith, professor of surgery and chief of the division of Cardiothoracic Surgery at Columbia University Medical Center, who will detail the clinical experience in transcatheter aortic valve therapies. The conference will also feature a presentation by cardiac surgeon Dr. David H. Adams, chair of cardiothoracic surgery at Mount Sinai hospital, regarding undertreatment of aortic stenosis.
Webcast Information
The Edwards Lifesciences 2006 Investor Conference can be accessed via live webcast at www.edwards.com/InvestorRelations/EventCalendar.htm beginning at 8:30 a.m. Eastern Standard Time on December 8, 2006. The webcast will also be archived after the conference concludes at http://www.edwards.com/investorrelations/eventcalendar.htm
About Edwards Lifesciences
Edwards Lifesciences, a leader in advanced cardiovascular disease treatments, is the number-one heart valve company in the world and the global leader in acute hemodynamic monitoring. Headquartered in Irvine, Calif., Edwards focuses on specific cardiovascular disease states including heart valve disease, peripheral vascular disease and critical care technologies. The company's global brands, which are sold in approximately 100 countries, include Carpentier-Edwards, Cosgrove-Edwards, FloTrac, Fogarty, LifeStent, PERIMOUNT Magna and Swan-Ganz. Additional company information can be found at http://www.edwards.com/.
This news release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements include, but are not limited to, the company's ability to achieve 2006 and 2007 financial goals for sales growth, gross profit margin improvement, net income, EPS and free cash flow; the continued success of recently introduced products and the regulatory approval for additional products in heart valve therapy; the continued adoption and sales of FloTrac and LifeStent; the timing and progress of clinical studies of, regulatory approvals of, and the market opportunity for transcatheter valve technologies; the impact on valuation and/or financial results of option expensing, foreign exchange and special items. Forward-looking statements are based on estimates and assumptions made by management of the company and are believed to be reasonable, though they are inherently uncertain and difficult to predict.
Forward-looking statements involve risks and uncertainties that could cause actual results or experience to differ materially from that expressed or implied by the forward-looking statements. Factors that could cause actual results or experience to differ materially from that expressed or implied by the forward looking statements include the productivity of the R&D pipeline; the strength of the company's core franchises and their ability to provide a strong platform for sustainable growth; the potential opportunity of the company's transcatheter valve programs and the ability of the company to continue to lead in the development of this field; and more generally, the ability to obtain regulatory approvals for and market new products; the ability to generate and maintain sufficient cash resources to increase investments in the company's business and repay debt; the success and timing of new product launches; the impact of currency exchange rates; the timing or results of pending or future clinical trials; actions by the U.S. Food and Drug Administration and other regulatory agencies; technological advances in the medical field; product demand and market acceptance; changing conditions in the economy in general and in the healthcare industry; and other risks detailed in the company's filings with the Securities and Exchange Commission including its Annual Report on Form 10-K for the year ended December 31, 2005.
Ascendra, Cribier-Edwards, FloTrac, GeoForm, IMR Etlogix, Magna, Optiwave 980, PERIMOUNT Magna, PERIMOUNT Theon and ThermaFix are trademarks of Edwards Lifesciences Corporation. Edwards Lifesciences, Carpentier-Edwards, Cosgrove-Edwards, Fogarty, PERIMOUNT, and Swan-Ganz are trademarks of Edwards Lifesciences Corporation and are registered in the U.S. Patent and Trademark Office. LifeStent is a trademark of Edwards Lifesciences AG and is registered in the U.S. Patent and Trademark Office.
SOURCE: Edwards Lifesciences Corporation