Zimmer Biomet Holdings (ZBH) FY2022 results: revenue $6.9 billion, up 1.6% on the year

Zimmer Biomet Holdings, Inc. (ZBH) reported revenue of $6.9 billion for fiscal 2022, the year ended 31 December 2022, up 1.6% on the year before. Net income was $231 million, down 42.4%, and diluted earnings per share $1.10. The figures are the company's own, from the 10-K it filed with the SEC on 24 February 2023.

Revenue

$6.9 billion

+1.6% on the year

FY2015FY2022

Operating margin

10.0%

12.6% a year earlier

FY2015FY2022

Net income

$231 million

-42.4% on the year

FY2015FY2022

Diluted EPS

$1.10

-42.4% on the year

FY2015FY2022

this yearthe year beforeHover a bar for its figure.

The year in brief

The four quarters: Q1 FY2022 · Q2 FY2022 · Q3 FY2022 · Q4 FY2022

Income statement (profit and loss)

$ million	FY2022	FY2021	FY2020	On the year
Revenue	6,940	6,827	6,128	+1.6%
Cost of revenue	2,020	1,960	1,824	+3.0%
Gross profit	4,920	4,867	4,303	+1.1%
Gross margin	70.9%	71.3%	70.2%
Research and development	406	436	323	-6.8%
Selling, general and administrative	2,762	2,843	2,713	-2.9%
Operating income	696	860	83.1	-19.1%
Operating margin	10.0%	12.6%	1.4%
Pre-tax income	404	499	-105	-19.1%
Income tax	112	53.5	-96.0	+109.9%
Effective tax rate	27.8%	10.7%	n/a
Net income	231	402	-139	-42.4%
Net margin	3.3%	5.9%	-2.3%
Diluted EPS	$1.10	$1.91	-$0.67	-42.4%

$ million except per share.

Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ million	FY2022	FY2021	FY2020	On the year
Operating cash flow	1,285	1,499	1,204	-14.3%
Capital expenditure	188	144	112	+30.8%
Free cash flow	1,097	1,356	1,093	-19.1%
Free cash flow margin	15.8%	19.9%	17.8%
Cash from investing	n/a	-504	-614
Cash from financing	n/a	-1,306	-422
Depreciation and amortisation	926	938	898	-1.2%
Share-based compensation	105	76.0	73.8	+38.2%
Buybacks	126	n/a	n/a
Dividends paid	201	200	198	+0.5%
Dividend per share	$0.96	$0.96	$0.96	0.0%
Diluted shares, weighted	210m	210m	207m	-0.0%

Balance sheet

$ million	FY2022	FY2021	FY2020	On the year
Shareholders' equity	12,020	12,661	12,194	-5.1%
Non-controlling interest	6.7	5.7	5.2	+17.5%
Debt	5,700	7,100	8,100	-19.7%
Operating lease liabilities	167	175	165	-4.3%
Other liabilities	3,172	3,515	3,953	-9.8%
Total liabilities and equity	21,066	23,456	24,418	-10.2%
Fixed assets	1,872	1,837	1,864	+2.0%
Goodwill	8,580	8,919	8,983	-3.8%
Intangible assets	5,064	5,534	6,164	-8.5%
Cash and equivalents	376	378	775	-0.6%
Receivables	1,382	1,260	1,278	+9.7%
Inventory	2,147	2,148	2,174	-0.0%
Other assets	1,645	3,381	3,179	-51.3%
Total assets	21,066	23,456	24,418	-10.2%

10-K for the year ended 31 December 2022, filed 24 February 2023: the filing.