Ambu A/s Class B · OMXCOP:AMBU_B
Ambu A/s Class B — Ambu A S Ord — Q4 2021 Earnings Presentation
31 slides from Ambu A/s Class B's earnings presentation, Nov 12, 2021
Slide 1: Investor Presentation FY 2020/21 Results
INVESTOR PRESENTATION FY 2020/21 RESULTS 9 NOVEMBER 2021
Slide 2: Today's Speakers
TODAY’S SPEAKERS JUAN JOSE GONZALEZ MICHAEL HØJGAARD BASSEL RIFAI CEO CFO CMO
Slide 3: Agenda and Disclaimer
AGENDA 1. AMBU AT A GLANCE 2. BUSINESS UPDATE 3. FINANCIAL UPDATE DISCLAIMER This presentation contains forward-looking statements, which include estimates of financial performance and targets. These statements are not guarantees of future performance and involve certain risks and uncertainties. The
Slide 4: Single-use endoscopy is one of the most attractive medtech markets
SINGLE-USE ENDOSCOPY IS ONE OF THE MOST ATTRACTIVE MEDTECH MARKETS Drivers creating the single-use endoscopy market Expected single-use market in 2025 Increased focus on infection control from regulatory I bodies, public and private payers, and health systems USD ~2.5bn Compelling workflow and effic
Slide 5: Ambu is leading the single-use endoscopy market with record 1.5M units sold
AMBU IS LEADING THE SINGLE-USE ENDOSCOPY MARKET WITH RECORD HIGH 1.5M UNITS SOLD TOTAL COMPANY (DKKm reported revenue) 4,013 Visualization REVENUE REVENUE Anaesthesia and PMD CAGR (3 YEAR) CAGR (3 YEAR) 15% 37% 2.168 Total company Visualization 2,606 836 ENDOSCOPE #1 in UNITS SOLD Pulmonology, 1,528
Slide 6: Gross margin increased by 7%-pts over the last 5 years
THROUGH HIGH GROWTH IN VISUALIZATION, WE HAVE INCREASED OUR GROSS MARGIN BY +7%-PTS OVER THE LAST 5 YEARS Development in gross margin since 2015/16 Growing gross margin with increasing % contribution from single-use 64 endoscopy products 62.4% 62.0% 60 Increasing scale in our manufacturing 59.4% set
Slide 7: The #1 player in single-use endoscopy
THE #1 PLAYER IN SINGLE-USE ENDOSCOPY Ambu’s strategy Build the most comprehensive and technologically advanced portfolio and ecosystem in single-use endoscopy by strengthening our R&D modular engine Leverage a high-scale low-cost manufacturing set-up to enable cost-neutral transition to single-use
Slide 8: Agenda
AGENDA 1. AMBU AT A GLANCE 2. BUSINESS UPDATE 3. FINANCIAL UPDATE DISCLAIMER This presentation contains forward-looking statements, which include estimates of financial performance and targets. These statements are not guarantees of future performance and involve certain risks and uncertainties. The
Slide 9: Key Messages
KEY MESSAGES 1 Support for creation of the single-use endoscopy market continues to increase The support for transitioning to single-use duodenoscopes continues to increase driven by regulatory bodies, public and private payers, and healthcare systems First large-scale 14,000-patient real-world
Slide 10: Number of contamination/infection studies continue to increase
NUMBER OF CONTAMINATION/INFECTION STUDIES CONTINUE TO INCREASE U.S. medical device reports on endoscope-related Contamination and infection studies related to contamination and infections GI endoscopes (accumulated) 2.500 100 Urology Bronchoscopy 2.000 GI 1,905 75 1.500 1,400 50 1,028 1.000 709 25 5
Slide 11: Support for creation of the single-use endoscopy market continues to increase
SUPPORT FOR CREATION OF THE SINGLE-USE ENDOSCOPY MARKET CONTINUES TO INCREASE FDA communication across bronchoscopy, urology and duodenoscopy indicating concerns around contamination and infection risk with reusable endoscopes. Single-use endoscopes are highlighted as a part of the solution Public a
Slide 12: Record Visualization volume is driven by all platforms
RECORD VISUALIZATION VOLUME IS DRIVEN BY ALL PLATFORMS Endoscope units sold (‘000) Hospital access to single-use +41% endoscopes is expanding rapidly 1.528 As of next year, all major GPOs will have created single-use endoscopy buying 1.085 categories Ambu’s breadth of portfolio, rich pipeline an
Slide 13: Pulmonology business shows double-digit organic growth
PULMONOLOGY BUSINESS SHOWS DOUBLE-DIGIT ORGANIC GROWTH OVER 2019/20 AND IS WELL POSITIONED FOR FUTURE GROWTH aScope™ Broncho has played an important role during COVID-19 I and continues to be the largest contributor to Visualization revenue Pulmonology launches and growth in 2020/21 2021/22 aBox™ 2
Slide 14: New Visualization platforms continue to grow rapidly
NEW VISUALIZATION PLATFORMS CONTINUE TO GROW RAPIDLY Comparison of global revenue aScope™ RhinoLaryngo (ENT) and aScope™ 4 Cysto I show rapid growth and contributed to a sizeable Revenue DKK, rolling 12 weeks average since launch and increasing share of revenue in 2020/21 aScope™ Rhinolaryngo (ENT)
Slide 15: Bassel Rifai, Chief Marketing Officer
BASSEL RIFAI Chief Marketing Officer
Slide 16: Positive early clinical trial results for aScope Duodeno 1.5
POSITIVE EARLY CLINICAL TRIAL RESULTS FOR aSCOPE™ DUODENO 1.5, SHOWING 100% PROCEDURE SUCCESS 7 29 100% 0% Clinical trial sites ERCP procedures Procedure “Crossover” in the U.S. performed, across success rate, cases, meaning no all levels of case meaning all cases cases were complexity (ASGE were su
Slide 17: Positive customer feedback from controlled market release
POSITIVE CUSTOMER FEEDBACK FROM OUR CONTROLLED MARKET RELEASE (CMR) ACROSS THE U.S. AND EUROPE CMR overview & results KOL testimonials Procedures performed; more “I found the aScope™ Duodeno easy to use in completing even 90 the most complicated ERCP procedures” than half are ASGE grades 3-4 - Dr. G
Slide 18: Global commercial launch of aScope Duodeno 1.5 underway
GLOBAL COMMERCIAL LAUNCH OF aSCOPE™ DUODENO 1.5 UNDERWAY, WHILE RAMPING UP FOR THE LAUNCH OF aSCOPE™ GASTRO Shift to full global commercial launch of aScope™ Highest-volume ERCP center in U.S. adopts single-use; publishes article recommending Duodeno 1.5 across U.S., Europe, and Australia adoption a
Slide 19: Rich pipeline on track to launch new products
OUR RICH PIPELINE IS ON TRACK TO LAUNCH 20 NEW PRODUCTS BY 2022/23 Product Launch Display and processor units aView™ 2 Advance aBox™ 2 Submitted for FDA clearance aScope™ 4 Broncho aScope™ BronchoSampler™ VivaSight™ VivaSight™ 2 Pulmonology (aScope™ 5 Broncho HD will aScope™ 5 Broncho HD 2021/22 be
Slide 20: Prioritised investments to secure successful product launches
PRIORITISED INVESTMENTS TO SECURE SUCCESSFUL PRODUCT LAUNCHES Increased investments for launch activities and manufacturing capacity (Mexico factory) to secure a rapid commercialisation of our pipeline U.S. commercial organisation has been re-organised into three dedicated salesforces for pulmonolog
Slide 21: Agenda
AGENDA 1. AMBU AT A GLANCE 2. BUSINESS UPDATE 3. FINANCIAL UPDATE DISCLAIMER This presentation contains forward-looking statements, which include estimates of financial performance and targets. These statements are not guarantees of future performance and involve certain risks and uncertainties. The
Slide 22: Michael Højgaard, CFO
MICHAEL HOJGAARD CFO Amburzs,
Slide 23: Key financial results for 2020/21
KEY FINANCIAL RESULTS FOR 2020/21 REVENUE ORGANIC GROWTH DKK 4,013m 16% 2019/20: DKK 3,567m 2019/20: 26% ENDOSCOPES GROSS MARGIN 1,528,000 62.4% 2019/20: 1,085,000 2019/20: 62.0% EBIT EBIT MARGIN DKK 340m 8.5% 2019/20: DKK 428m 2019/20: 12.0%
Slide 24: Continued strong Visualization growth while Anaesthesia and PMD remain stable
CONTINUED STRONG VISUALIZATION GROWTH WHILE ANAESTHESIA AND PMD REMAIN STABLE Visualization (reported revenue, DKKm) Anaesthesia and PMD (reported revenue, DKKm) 31% 3% Organic Organic growth growth 2.168 1.879 1.856 1.845 1.711 941 2018/19 2019/20 2020/21 2018/19 2019/20 2020/21 Pulmonology busines
Slide 25: Organic revenue growth by geography for FY 2020/21
Organic revenue growth % ORGANIC REVENUE GROWTH BY GEOGRAPHY FOR FY 2020/21 Global North America Europe Rest of World 16% 17% 15% 18% DKK 4,013m DKK 1,739m DKK 1,787m DKK 487m 31% -2% 9% 33% 2% 10% 26% -9% 8% 47% -5% 6% Visualization Anaesthesia PMD Visualization Anaesthesia PMD Visualization Anaest
Slide 26: Financial implications from supply chain disruption
FINANCIAL IMPLICATIONS FROM SUPPLY CHAIN DISRUPTION To meet demands and secure deliveries to our customers, we have spent DKK 75m more on freight during 2020/21 than initially planned corresponding to 1.9% of revenue. DKK 50m was related to airfreight II Gross margin for 2021/22 to be slightly below
Slide 27: 2021/22 Financial Guidance
2021/22 FINANCIAL GUIDANCE Revenue guidance comments Organic • Adjusting for the NHS England safety stock order made in Q1 last revenue growth year, our 2021/22 guidance on organic revenue growth would increase by ~3.5%-pts 15-19% • Organic revenue for Q1 2021/22 is expected to be flat over Q1 2020/
Slide 28: Forever Forward
FOREVER FORWARD Amb
Slide 29: Our Sustainability Targets
OUR SUSTAINABILITY TARGETS We have four overarching targets, which we have developed action plans and set milestones for to ensure that we are able to determine if we are on track to succeed with our targets. Ve We are working towards a 100% recyclable, 95% of new products 40% female managers 50% re
Slide 30: Financial Results Q4 and FY 2020/21
FINANCIAL RESULTS Q4 AND FY 2020/21 Income statement FY 2020/21 Income statement Q4 2020/21 Change Change DKKm 20/21 19/20 in value Change % DKKm Q4 20/21 Q4 19/20 in value Change % Revenue 4,013 3,567 446 13% Revenue 1,026 871 155 18% Production costs -1,510 -1,355 -155 11% Production costs -416 -3
Slide 31: Financial Results Q4 and FY 2020/21
FINANCIAL RESULTS Q4 AND FY 2020/21 Balance sheet FY 2020/21 Cash flow statement FY 2020/21 Change Change DKKm 20/21 19/20 DKKm 20/21 19/20 in value in value Non-current assets 4,132 3,689 443 Cash flow from operating 328 295 33 activities Inventories 748 515 233 Cash flow from investing -573 -428 -