Enovis Corporation (ENOV) Earnings Call Transcript & Summary

Good afternoon, and welcome to Colfax Corporation's Annual Meeting of Shareholders. I would now like to introduce the first presenter, Mitch Rales, Chairman of the Board of Colfax Corporation.

Thank you, Mark. Good afternoon, ladies and gentlemen, and welcome to the 2021 Annual Meeting of Colfax Corporation. I am Mitch Rales, Chairman of the Board. I do hope that all of you are staying safe and healthy. This year, we are again hosting our annual meeting in a virtual format due to the COVID-19 pandemic, in order to ensure that the continued safety of all of our stockholders and employees are sound. At this time, the meeting will please come to order. A copy of our annual meeting procedures has been posted to the virtual meeting website. I would like to welcome our executive officers and our other directors of whom the company -- each of whom is in attendance with us virtually today. Additional information regarding the directors is available on our proxy materials. Mr. Tandy, our Corporate Secretary, will act as Secretary of the meeting today. I would also like to welcome the representatives of Ernst & Young LLP, the independent registered public accounting firm of the company who are in attendance with us virtually as well. After the formal business of the meeting, they will be available to answer any and all appropriate questions you may have. The record date for this meeting is March 22, 2021. The proper affidavits have been received and along with a certified list of stockholders will be filed with the meeting records. Our Board of Directors has appointed [ John Howa ] as the inspector of election. The inspector of election and our secretary have advised that we have a quorum. In the interest of time, we will waive a reading of the minutes of the last annual meeting. The polls for voting on all items are now open. Most stockholders have already voted by proxy, and we've tallied those votes. However, if you haven't yet voted or if you want to change your vote, you may do so by clicking on the voting button on the virtual meeting portal and following the instructions there. If you have already submitted your vote and do not wish to change it, no further action is required. There are 3 items of business to be conducted at today's meeting. Each is described more fully in the company's proxy statement. The company has not received notice from any of its stockholders as required under its bylaws of any other matter to be considered at today's meeting. Therefore, no proposals, other than those set forth in the proxy statement, may be properly introduced by stockholders. If you have questions or comments, please hold them to the end of the meeting. At this point, we will now open the meeting to any questions on the 3 items of business to be considered at today's meeting that have been submitted through the virtual meeting portal. Mr. Secretary, do we have any questions?

Yes, Mr. Chairman. We have 1 question with respect to the 3 items of business, and it's rather lengthy, but I will read that to you. Mr. Chairman, the Carpenter pension funds hold a total of 132,700 shares of the company's stock. As long-term investors, we strongly believe that the company's executive compensation plan should be designed primarily to drive the successful execution of the Board's long-term strategic business plan. Today's public company executive compensation plans are largely formulating peer-related plans with simplistic annual say-on-pay voting, reinforcing plan homogeneity, homogeneity. Would you or the Chair of the Compensation Committee speak to whether Colfax might be better served by an executive compensation plan tailored specifically to the company's particular circumstances and its unique long-term strategic business plan? Thank you.

Well, thank you for that question. It's a question we've had at other annual meetings that I'm associated with as well, and we appreciate the long-term tenure of your stockholdings. The Carpenters shareholdings and my shareholdings, in particular, have a lot in common, and that's that we think with a very, very long-term perspective. And we, too, are interested in continuing to encourage all of our people to be thinking long term and to set up compensation methodologies associated with that. And you should understand that our comp committee looks very thoroughly at that. The Board looks very thoroughly at that, and we try to tailor plans that encourage long-term thinking going forward. I don't know how to say it any other way than that. But I think actually, there's great alignment in the thinking and the way that you approach things. But I think you can also appreciate that it's a competitive marketplace for hiring talent. And we have to look all the time at peer groups and what's happening within that sector as well just to understand what the competitive dynamics are as we compete for the best talent available in the marketplace.

And with that, Mr. Chairman, we have no other questions with respect to the 3 items of business.

Well, thank you, then, Brad. The polls are about to close. So if you have not yet voted, please do so. I'll give you just another moment to cast any votes that may come in. [Voting]

Now that stockholders have had an opportunity to vote, I now declare the polls closed, and it is time for our voting results. I call on the Secretary to provide the report of the Inspector of Election, please.

Mr. Chairman, I have received the inspector's report with the preliminary results of the voting. With respect to the election of the 11 persons who were nominated for the position of Director, each has received a majority of the votes cast for election. With respect to the ratification of the selection of Ernst & Young LLP as Colfax's independent registered public accounting firm for the fiscal year ending December 31, 2021, a majority of the shares present at the meeting, in person or by proxy, voted in favor of the ratification. With respect to the advisory say-on-pay vote, a majority of the shareholders present at the meeting, in person or by proxy, voted for the proposal.

Thank you, Brad. In view of that, the results, that I declare each of the nominees for Director named in the proxy statement has been duly elected and proposals 2 and 3 have been approved. As a reminder, the final voting for all of these matters will be posted on the Investor Relations page of our website at www.colfaxcorp.com and disclosed on our Form 10-K, our 8-K filed within 4 business days after the meeting today. Ladies and gentlemen, that completes the business of the meeting, and I declare the formal portion of the meeting adjourned. At this point, I would like to open the meeting for any general discussion and questions. Mr. Secretary, do we have any questions?

Mr. Chairman, there are no questions at this time.

Having received no further questions, that concludes the 2021 annual meeting. On behalf of Colfax, I'd like to thank all of our stockholders for your participation and continued support. The 2021 annual meeting of Stockholders is Hereby adjourned. And I hope and pray that we'll have an opportunity to see all of you live next year at this time. Thank you very much.

Thank you.