5 unchanged sentences
We are subject to exposure from changes in short-term interest rates related to interest payments on our borrowing arrangements.
−Removed: A significant amount of our borrowings as of April 3, 2026 are variable-rate facilities based on the Secured Overnight Financing Rate (SOFR).
+Added: A significant amount of our borrowings as of July 3, 2026 are variable-rate facilities based on the Secured Overnight Financing Rate (SOFR).
In order to mitigate our interest rate risk, we may enter into interest rate swap or collar agreements.
−Removed: A hypothetical increase in interest rates of 1% during the three months ended April 3, 2026 would have increased interest expense for our variable rate-based debt under the Enovis Credit Agreement by approximately $2.1 million.
+Added: A hypothetical increase in interest rates of 1% during the three and six months ended July 3, 2026 would have increased interest expense for our variable rate-based debt under the Enovis Credit Agreement by approximately $2.2 million and $4.3 million, respectively.
Exchange Rate Risk
1 unchanged sentence
Dollar and against the currencies of other countries in which we manufacture and sell products and services.
−Removed: During the three months ended April 3, 2026, approximately 46% of our sales were derived from operations outside the United States.
+Added: During the three and six months ended July 3, 2026, approximately 44% and 45% of our sales, respectively, were derived from operations outside the United States.
We have manufacturing operations in certain foreign countries including Mexico, Switzerland, Italy, Germany, Tunisia, and China.
11 unchanged sentences
The dedesignation of these agreements as of January 1, 2026 resulted from the aggregate notional amount of designated cross-currency swaps exceeding the Company’s net investment in its Swiss Franc-denominated legal entity and its subsidiaries due to the prior-year goodwill impairment charges.
−Removed: In the event the Company is unable to designate the remaining undesignated cross-currency swap agreements as net investment hedges during 2026, and changes in fair value will continue to be recognized in non-operating Other income (expense), net until such time as hedge designation is achieved.
+Added: In the first quarter of 2026, the Company increased its net investment in our Swiss Franc-denominated legal entity and its subsidiaries through the contribution of certain legal entities.
+Added: However, a portion of our cross-currency swap agreements remain undesignated.
+Added: In the event the Company is unable to designate the remaining undesignated cross-currency swap agreements as
+Added: net investment hedges during 2026, changes in fair value will continue to be recognized in non-operating Other income (expense), net until such time as hedge designation is achieved.
We face exchange rate risk from intercompany transactions between affiliates.
Costs incurred and sales recorded by subsidiaries operating outside of the United States are translated into U.S.
−Removed: Dollars using exchange rates effective during the
−Removed: respective period.
+Added: Dollars using exchange rates effective during the respective period.
As a result, we are exposed to movements in the exchange rates of various currencies against the U.S.
Similarly, tax costs may increase or decrease as local currencies strengthen or weaken against the U.S.
−Removed: We face exchange rate risk arising from intercompany loan balances between foreign-denominated subsidiaries.
−Removed: Our forward currency contracts with notional amounts of $130.2 million to purchase Euros and sell Swiss Francs and $282.3 million to purchase U.S.
−Removed: dollars and sell Euros, which both mature on July 2, 2026, help to hedge our exposure to currency exchange rate risk arising from intercompany loan balances between foreign-denominated subsidiaries.
−Removed: These forward currency contract agreements were designated and qualified as fair value hedges.
+Added: We face exchange rate risk arising from intercompany loan balances between foreign-denominated and/or foreign and U.S.
+Added: subsidiaries.
+Added: Our forward currency contracts that we entered into in the first quarter of 2026 with notional amounts of $130.2 million to purchase Euros and sell Swiss Francs and $282.3 million to purchase U.S.
+Added: dollars and sell Euros matured on July 2, 2026, resulting in a gain of $12.7 million in conjunction with the timing of the settlement of certain intercompany loan balances between our subsidiaries.
+Added: Concurrent with the forward settlements, we entered into new forward currency contracts with notional amounts of $153.0 million to purchase U.S.
+Added: dollar and sell Swiss Francs and $150.1 million to purchase U.S.
+Added: dollars and sell Euros, which both mature on April 15, 2027, to hedge our exposure to currency exchange rate risk arising from new intercompany loan balances between our subsidiaries.
+Added: These new forward currency contract agreements were designated and qualified as fair value hedges as of July 3, 2026.
The gain or loss on derivative instruments designated as fair value hedges of currency exchange rate risk related to intercompany loan balances is recorded in Selling, general and administrative expense in the Condensed Consolidated Statements of Operations.
5 unchanged sentences
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.