Enovis (ENOV) The 44th Annual William Blair Growth Stock Conference summary

Company Overview and Growth Strategy

• Focused on innovation-driven growth in the med tech orthopedic sector, with $2.06–$2.16B in 2024 revenue guidance and high single-digit organic growth rates, targeting 5%-6% pro forma growth for the year.

• Recon segment is the primary growth engine, achieving double-digit organic growth, while P&R segment serves as a cash generator with low to mid-single-digit growth.

• Strategic priorities include talent development, traditional and digital innovation, and continuous improvement through the EGX business system.

• History of successful acquisitions and margin expansion, aiming for at least 50 basis points of margin improvement annually.

• Transitioned from a diversified industrial to a focused med tech company, with a strong foundation in business system excellence.

Market Position and Business Segments

• Operates in a $50B+ orthopedic market, with a balanced portfolio between recon and P&R, and a strong U.S. and international presence.

• Recon business is now a $1B segment after the Lima acquisition, maintaining a 50% mix in extremities and balanced geographic exposure.

• P&R segment holds a $1B position in a $5B market, providing resilience and diversified demand drivers.

• Only player with significant positions across the full orthopedic continuum of care, enhancing brand presence and contract opportunities.

• Well-positioned for share gains and scale, balancing size for sustainable margins with agility for innovation.

Innovation, Technology, and Acquisitions

• Recon growth driven by core products like AltiVate Reverse shoulder and EMPOWR 3D Knee, with strong U.S. performance and international expansion plans.

• Continuous innovation in all anatomies and enabling technologies, including ARVIS augmented reality, MatchPoint planning, and digital solutions like Motion MD® and MotioniQ™.

• Enabling tech designed for workflow integration and suitability for both ASC and hospital settings globally.

• M&A strategy has accelerated growth and margin expansion, with 20 acquisitions since 2019, including Mathys, Novastep, and Lima.

• Foot and ankle business built through targeted acquisitions, now a $100M+ double-digit growth contributor.