CEO Comments“As expected, second quarter adjusted operating income increased 20% in comparison to the first quarter of 2012 as sales improved,” commented Thomas J. Hook, President & CEO, Greatbatch Inc. “In comparison to the prior year, adjusted operating income increased 1% as current quarter results include the benefit of over 40% Portable Medical pro forma growth driven by our Micro Power acquisition, as well as above market growth in our CRM and Vascular Access markets. During the quarter, we continued to experience operational issues within our Swiss Orthopaedic facilities; however, we have taken action to improve our performance over the next 18 months. In addition to the progress we have made on our current strategic initiatives, during the quarter we announced several new initiatives which included the following:
- Opening of our manufacturing facility in Fort Wayne, Indiana, which will be used to consolidate our Orthopaedic operations;
- Establishing an R&D center in Singapore with the support of the Singapore Economic Development Board, which is the first step of our Asia Pacific strategy;
- Increasing our strategic focus on sales and marketing to drive core business growth; and
- Completing the integration of our Portable Medical product line (Micro Power), which is performing ahead of expectations.