Slide 1: Q3 interim report 2017/18
Q3 interim report 2017/18 April 1 – June 30, 2018 CEO Lars Marcher CFO Michael Højgaard Conference call: August 23 2018
Slide 2: Today’s presenters
Today’s presenters Lars Marcher Michael Højgaard President & CEO CFO 2
Slide 3: Agenda
Agenda • Key highlights Q3 2017/18 • Business update • Financials and outlook • Q&A Disclaimer Forward-looking statements, especially such relating to future sales and operating profit, are subject to risks and uncertainties. Various factors, many of which are outside Ambu’s control, may cause the a
Slide 4: Key highlights Q3 2017/18
Key highlights Q3 2017/18 A solid quarter in Ambu • 17% organic sales growth • EBIT margin on 22.4% Highlights • Core business up 6% Q3 2017/18 • Endoscope unit sales up 54% • GI projects on schedule Full-year outlook • EBIT-margin lifted by 1%-point to 21-22% adjusted • Organic growth on track to b
Slide 5: A good set of Q3 numbers
A good set of Q3 numbers Continued strong operational leverage Organic growth: 17% Revenue: DKK 673m 700 673m 17% 18% 16% 650 16% 601m 600 14% 12% 550 10% 500 Q3 LY Q4 LY Q1 Q2 Q3 Q3 LY Q4 LY Q1 Q2 Q3 Gross margin: 59.7% EBIT margin: 22.4% 25% 62% 22.4% 59.7% 23% 21.6% 60% 21% 57.1% 58% 19% 56% 17%
Slide 6: Business areas
Business areas Visualisation growth at 47% and core business at 6% Visualisation Patient Monitoring & Revenue 218m DKK Diagnostics (PMD) 47% growth Revenue 211m DKK 2% growth Anaesthesia Revenue 244m DKK 10% growth 6 Growth rates stated in local currencies
Slide 7: Markets
Markets North America Europe Rest of World REVENUE 307m DKK REVENUE 290m DKK REVENUE 76m DKK GROWTH 18% GROWTH 19% GROWTH 3% Business growth Business growth Business growth • Visualisation 42% • Visualisation 63% • Visualisation 13% • Anaesthesia 14% • Anaesthesia 8% • Anaesthesia -5% • PMD -2% • PM
Slide 8: Strong endoscope unit sales
Strong endoscope unit sales Q3 2017/18 ~550k Comments Ambu Q3 2017/18 +51% • 146,000 endoscope units sold 54% in Q3 2017/18 endoscope volume +82% • Full-year sales expected to growth in Q3 2018 reach ~550,000 units corresponding to an increase Full-year sales of 51% from last financial year expected
Slide 9: Endoscope performance
Endoscope performance Strong momentum continues Strong scope momentum (units) Single-use mindset now +59% established in +3,000 hospitals 14% increase in number of new hospitals YTD 395,000 10% 15% Market share* Last year This year 249,000 • Strong growth in new accounts acquisition • Increased usag
Slide 10: GI update
GI update The GI portfolio is on track 1 Transfer to production in Malaysia according to plan 2 Our plan for building the basic GI portfolio is on track More information will be available at the Capital Markets Day in October 2018 10
Slide 11: Financial results and outlook
Financial results and outlook 11
Slide 12: Growth and profits
Growth and profits Expansion of EBIT and gross margins continues Ambu P&L – Q3 2017/18 Comments DKKm Q3 17/18 Q3 16/17 • 17% organic growth and 12% in DKK Revenue 673 601 from depreciating USD/DKK Gross margin 59.7% 57.1% • Gross margin up 2.6%-points due to scale and product mix OPEX -251 -213 • Co
Slide 13: Cash flow, assets and debt
Cash flow, assets and debt Ambu cash flow and balance – Q3 2017/18 Comments DKKm Q3 17/18 Q3 16/17 Cash flow and ratios: • Operating cash flow at 27% (23%) Operating activities 181 27% 139 23% • Investments of 12% (7%) including buildings Investing activities -78 -12% -40 -7% by 5% (2%) FCF before •
Slide 14: Financial guidance for FY 2017/18
Financial guidance for FY 2017/18 We have raised the full-year outlook Full-year 2017/18 guidance FY 2017/18 FY 2017/18 New Previous guidance guidance Organic growth, local currency ~15% ~14-15% EBIT margin 21-22% 20-21% Free cash flow, before acquisitions ~DKK 300m ~DKK 300m 14
Slide 15: Summary
Summary Ambu Q3 2017/18 Looking ahead • Big Five 2020 Highlights 17% strategy is on track organic growth • High growth in in local currency USA and Europe • Ambu on path to full range in • Solid operational single-use 22.4% performance endoscopy EBIT margin by 2020 • Visualisation penetration • Tran
Slide 16: Ambu Capital Markets Day
Ambu Capital Markets Day For financial analysts and institutional investors Thursday October 4, 2018, 10am to 12.30pm • Agenda • Update on financial guidance Register at • Single-use endoscopy in modern health care ambu.com/CMD No later than September 13 • Ambu’s going to market activities in North
Slide 17: Ideas that work for life
Ideas that work for life
Slide 18: Financial calendar
Financial calendar 2018 Event 04 October Capital Markets Day (Ambu HQ - Denmark) 13 November Annual Report 2017/18 (Earnings release) For full list of Investor Relations events, please visit: www.ambu.com/about/corporate-info/investors/calendar 18
Slide 19: Read more at www.ambu.com
Read more at www.ambu.com Contact CEO Lars Marcher, lm@ambu.com or +45 5136 2490 CFO Michael Højgaard, miho@ambu.com or +45 4030 4349 19