Investor Presentaiton slide image

Investor Presentaiton

Solid Q3 with 8% organic growth and 28% EBIT margin¹. FY 2022/23 guidance unchanged at -8% organic growth and 28-29% EBIT margin¹ REVENUE GROWTH Reported revenue (mDKK) Reported growth - Organic growth +4% +11% +8% +8% 5,849 6,108 16,520 18,274 Q3 21/22 Q3 22/23 9M 21/22 9M 22/23 EBIT EBIT (DKKM)1 Reported EBIT margin¹ 31 30 28 1,761 5,096 28 5,131 1,686 • • Q3 21/22 Q3 22/23 9M 21/22 9M 22/23 • 3 1) 2) • Q3 2022/23 highlights Organic growth of 8% (reported growth in DKK 4%). Organic growth by business area: Ostomy Care 8%, Continence Care 9%, Voice and Respiratory Care 9%, Wound and Skin Care 4%, and Interventional Urology 7% Chronic Care was the key growth driver in Q3, with broad-based growth across regions. Double-digit growth in China Ostomy Care and a strong quarter in Continence Care with solid contribution across all product categories Solid quarter in Voice and Respiratory Care, driven by both the laryngectomy and tracheostomy businesses Wound Care growth was 5% in Q3, driven by double-digit growth in China, partly offset by Europe, where growth was held back by impact from backorders Broad-based growth in Interventional Urology, against a high baseline last year EBIT before special items decreased 4% to DKK 1,686 million. The EBIT margin before special items was 28%, against 30% last year, reflecting mostly input cost inflation. Impact from currencies in the quarter was negative Special items in Q3 were an income of DKK 28 million and include a DKK 244 million provision reversal related to Atos Medical US billing compliance, offset by a further and final provision of DKK 200 million related to the Mesh litigations and Atos integration costs of DKK 16 million ROIC after tax before special items was 19% against 26% last year, impacted by the Atos Medical acquisition Acquisition of Kerecis, an innovative, fast-growing company in the biologics wound care segment • • On July 7, 2023, Coloplast announced the acquisition of Kerecis and as a result raised long-term growth guidance to 8-10%, from previously 7-9%. The long-term EBIT margin guidance was maintained at above 30% beyond 2024/252) Both closing of the transaction and completion of an equity capital raise to finance the acquisition are anticipated in Q4 2022/23. Around 99% of Kerecis shareholders have agreed to sell their shares to Coloplast FY 2022/23 financial guidance Organic revenue growth continues to be expected around 8%. Reported revenue growth is still expected at 8-9% The reported EBIT margin before special items¹ is still expected at 28-29%, with unchanged underlying assumptions Capital expenditures are now expected around DKK 1.3 billion. The effective tax rate is still expected around 21% Coloplast Special items expense of around DKK 50 million expected for FY 2022/23, of which an income of DKK 244 million related to Atos Medical billing provision reversal, DKK 200 million related to the US cases alleging injury from the use of transvaginal surgical mesh product, around DKK 50 million related to Atos Medical integration and around DKK 50 million transaction related costs from the acquisition of Kerecis. For the remaining Strive 25 strategic period running until end 2024/25, the EBIT margin is now expected to remain below 30%, and assumes dilution of around 100 basis points p.a. from Kerecis (including PPA amortisation)
View entire presentation