Fisher & Paykel Healthcare Corporation Limited · NZX:FPH

Fisher & Paykel Healthcare — H1 FY2011 Earnings Presentation

11 slides from Fisher & Paykel Healthcare's earnings presentation, November 2010

  1. Slide 1: Investment Highlights

    Investment Highlights • A leading player in respiratory and OSA • Consistent growth strategy • Estimated US$3.0+ billion and growing market opportunity • High level of innovation • Global presence • Strong financial performance NZSX:FPH, ASX:FPH 2

  2. Slide 2: Operating Results US$ / NZ$

    Operating Results US$ HY11 (6 months to 30 September) %Revenue US$M Ìpcp Operating revenue 100% 173.8 +9% Gross profit 55.6% 96.6 +12% Other income SG&A 30.7% 53.4 +19% R&D 7.6% 13.2 +27% Total Operating Expenses 38.3% 117.2 +20% Operating Profit 17.3% 30.1 +7% Profit after Tax 11.7% 20.3 -14% (befo

  3. Slide 3: Markets and Products

    Markets and Products Distributed • Respiratory & Acute Care /Other – Heated Humidification OSA 3% – Respiratory Care 46% – Neonatal Care – Surgery • Obstructive Sleep Apnea – Masks – Flow Generators Respiratory – Humidifiers & Acute 51% ¯ Consumable and accessory products Revenue by Product represen

  4. Slide 4: Respiratory & Acute Care

    Respiratory & Acute Care • MR850 Respiratory Humidifier System – invasive ventilation, O2 therapy and non-invasive ventilation • MR810 Respiratory Humidifier System – entry level system – ventilation and O2 therapy – optional heated breathing circuit • Infant CPAP System – proprietary bubble CPAP, n

  5. Slide 5: Expanding Opportunities; Respiratory & Acute Care Update

    Expanding Opportunities Invasive Ventilation Non-invasive Ventilation O2 Therapy Humidity Therapy Surgical CO2 COPD Humidity Therapy 9 Respiratory & Acute Care Update • 18% operating revenue growth in US$, 11% constant currency • Consumables revenue growth, 23% in US$, 15% constant currency • New ap

  6. Slide 6: Obstructive Sleep Apnea

    Obstructive Sleep Apnea • Temporary closure of airway during sleep • Can greatly impair quality of sleep, leading to fatigue; also associated with hypertension, stroke and heart attack • Estimated US$2.2+ billion worldwide market, growing ≈10+% • Potentially 50-60 million affected worldwide • Most c

  7. Slide 7: ICON Stylish on the Outside; Broad Mask Range

    ICON Stylish on the Outside • Aesthetic appeal • Forward facing clock with adjustable brightness • Intuitive SmartDial™ • Swivel Elbow • Hidden Water Chamber • Customisable AlarmTunes™ 13 Broad Mask Range Four interface categories • Nasal Masks – patented glider – FlexiFit™ technology – New Zest Pet

  8. Slide 8: OSA Update; Research & Development

    OSA Update • 7% operating revenue growth in US$, 1% constant currency • ICON introduced to North America, Europe late in half, volume ramping up • ICON Auto, Novo intro to North America begins Dec/Jan • Rolling out compliance data systems, Smartstick Net, InfoSmart 15 Research & Development • 295 en

  9. Slide 9: Manufacturing; Global Presence

    Manufacturing • Vertically integrated – electronics assembly – injection moulding – motor assembly – clean manufacturing • Ample capacity to grow New Zealand, Auckland – two buildings 51,000m²/ 550,000ft² total – 31,000m2 building 3 underway, total cost ~ NZ$95M – 100 acres/40ha land Mexico, Tijuana

  10. Slide 10: Revenue Growth US$; Balance Sheet HY11

    Revenue Growth US$ 360 340 FY 2004 CAGR 320 FY ended 31 March FY 2005 TOTAL17% 300 FY 2006 280 FY 2007 260 FY 2008 240 FY 2009 220 CAGR 14% CAGR 22% FY 2010 200 US$M 180 160 140 120 100 80 60 40 20 0 Respiratory/ OSA Other TOTAL Acute 19 Balance Sheet HY11 • NZ$21.2M operating cashflow (two tax paym

  11. Slide 11: Outlook FY2011; Growth Drivers

    Outlook FY2011 • ICON ramp-up in 2H, Novo and Auto to be introduced to North America • Continuing strong growth in Respiratory/Acute Care consumables • Operating revenue - expect approximately NZ$510M (@ NZD:USD 0.77 for remainder of year) • Net profit - expect approximately NZ$60M to NZ$63M (NZ$48M

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