Slide 1: Third Quarter 2009 Webcast
Exhibit 99.1 Third Quarter 2009 Webcast October 28, 2009
Slide 2: Safe Harbor Statement
Safe Harbor Statement This presentation, made on October 28, 2009, includes forward-looking statements based on current expectations and Alcon does not undertake the obligation to update the forward-looking information or statements. These expectations could differ materially from actual results and
Slide 3: Business Overview
Business Overview Kevin Buehler President and Chief Executive Officer
Slide 4: Delivering Solid Financial Results
Delivering Solid Financial Results Q3 Sales Q3 Operating Income (dollars in millions) (dollars in millions) $1,800 +5.9% Reported $800 +17.0% +9.0% Organic Growth* $700 $1,650 $1,614 $600 $1,500 $1,524 $578 $500 $494 $1,350 $400 $1,200 $300 Q3 2008 Q3 2009 Q3 2008 Q3 2009 % of 32.4% 35.8% Sales *Org
Slide 5: Balanced Global Growth
Balanced Global Growth Global Sales by Product Line (dollars in millions) $1,000 +8.2% Reported +6.8% Reported -3.1% Reported $800 +12.0% Organic Growth* +9.2% Organic Growth* 0.0% Organic Growth* $600 $400 $200 $0 Pharmaceuticals Surgical Consumer Q3 2008 Q3 2009 *Organic sales growth is a non-GAAP
Slide 6: U.S. Pharmaceutical Category Growth Improving
U.S. Pharmaceutical Category Growth Improving U.S. Prescription Change for Key Categories vs. Prior Year Growth above 2008 growth Growth below 2008 growth 12.0% 9.7% 2008 2009 9.6% 10.0% 8.5% 8.0% 6.0% 4.4% 4.0% 2.9% 2.0% 0.0% TCAIS PG Ocular FQ NSAIDS OTIC -2.0% -0.4% Allergy -0.1% -2.5% -2.7% -4.0
Slide 7: Prostaglandin Category Indicating a Recovery
Prostaglandin Category Indicating a Recovery U.S. Prostaglandin Prescription Change vs. Prior Year 13% CYM vs. PYM % Change 6 mo. Rolling Growth Rate 8% 3% 20 20 20 20 20 20 20 20 20 20 20 20 20 20 20 20 -2% 07 07 07 08 08 08 09 09 07 07 07 08 08 08 09 09 /M /J /S /M /J /S /M /J /J /M /N /J /M /N /J
Slide 8: U.S. Cataract Procedure Growth is Rising
U.S. Cataract Procedure Growth is Rising U.S. Cataract Procedure Growth 6% 4.3% 4% 3.1% 2.9% 2.3% 2.1% 2% 1.8% 0% Q3 2008 Q4 2008 Q1 2009 Q2 2009 Q3 2009 Q4 2009 Forecast Source: MarketScope
Slide 9: Strong Global Advanced Technology IOL Sales
Strong Global Advanced Technology IOL Sales $70 $67.2 $60 $50 (dollars in millions) $40 $30 $20 $10 $- Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 05 05 05 05 06 06 06 06 07 07 07 07 08 08 08 08 09 09 09 ReSTOR® ReSTOR® CMS Toric Toric CMS ReSTOR® ReSTOR® +3.0 & Toric IQ Launch Decision
Slide 10: AcrySof IQ ReSTOR +3.0 Drives PC-IOL Gains
AcrySof® IQ ReSTOR® +3.0 Drives PC-IOL Gains U.S. PC-IOL Market Share U.S. market share has increased 950 basis points since Q4 2008 on strength of IQ ReSTOR® +3.0 60 54.5% 50 45.0% (shares by percentage) 40 30 20 10 0 Q4 2008 Q1 2009 Q2 2009 Q3 2009 Alcon B&L AMO Source: Market Scope
Slide 11: Commercial Execution Driving Market Share Gains
Commercial Execution Driving Market Share Gains Global** U.S. RX Growth August YTD August YTD Brand Market Brand Market TRAVATAN® Family 23.8 % 7.2 % 22.6% 4.4% Azopt® + Azarga® 13.4% 8.6% 10.9% 9.7% Vigamox® * 9.7% 1.6% -3.1% -3.0% NEVANAC® 74.4% 1.7% 9.0% 8.5% Patanol® + 23.8% 8.7% -1.8% -2.5% Pat
Slide 12: TRAVATAN Family Leads Global Glaucoma Gains
TRAVATAN® Family Leads Global Glaucoma Gains Alcon Global Prostaglandin Market Share TRAVATAN® Family has gained 6.5 share points 22% following DuoTravTM and TRAVATAN Z® launches 21.1% 20% 18% 16% 14.6% 14% 12% 10% 8% 6% 4% 2% 0% Q3 06 Q4 06 Q1 07 Q2 07 Q3 07 Q4 07 Q1 08 Q2 08 Q3 08 Q4 08 Q1 09 Q2 0
Slide 13: Long-Term Opportunity in International Markets
Long-Term Opportunity in International Markets Developed International Organic Growth* Emerging Market Organic Growth* 25% 25% 20% 20% 18.8% 18.1% 16.1% 15% 15% 11.6% 11.1% 10% 8.5% 8.5% 10% 7.4% 5% 5% 0% 0% 2006 2007 2008 2009 2006 2007 2008 2009 YTD YTD Reported Growth 8.6% 19.9% 18.0% -0.6% 21.0%
Slide 14: Phaco Key to Emerging Markets Success
Phaco Key to Emerging Markets Success Emerging Market LAUREATE® Unit Sales 500 LAUREATE® units sold through Q3 2009 are 41% over full-year 2008 unit sales 400 292 300 207 200 100 13 0 2007 2008 Q3 YTD 2009 Source: Company data
Slide 15: Transforming Research and Development
Transforming Research and Development Build on core capabilities of pharmaceutical formulation and bio- medical engineering to select and develop new technologies and molecular entities into eye therapies Develop further abilities to deliver both breakthrough and incremental therapies Focus on selec
Slide 16: Financial Review
Financial Review Rick Croarkin Senior Vice President, Finance and Chief Financial Officer
Slide 17: Sales
Sales Q3 YTD (dollars in millions) (dollars in millions) +5.9% Reported -0.3% Reported $1,800 +9.0% Organic Growth* $5,000 +5.6% Organic Growth* $1,650 $4,800 $4,796 $4,784 $1,614 $1,500 $1,524 $4,600 $1,350 $4,400 $1,200 $4,200 Q3 2008 Q3 2009 Q3 2008 Q3 2009 *Organic sales growth is a non-GAAP mea
Slide 18: Gross Profit
Gross Profit Q3 YTD (dollars in millions) (dollars in millions) $1,300 $3,800 +3.3% -0.5% $3,600 $3,635 $1,200 $3,616 $1,215 $1,176 $3,400 $1,100 $3,200 $1,000 $3,000 Q3 2008 Q3 2009 Q3 YTD 2008 Q3 YTD 2009 % of % of 77.2% 75.3% 75.8% 75.6% Sales Sales
Slide 19: Operating Income
Operating Income Q3 YTD (dollars in millions) (dollars in millions) $700 $1,900 +17.0% +5.1% $600 $1,700 $1,724 $578 $500 $1,640 $494 $1,500 $400 $300 $1,300 Q3 2008 Q3 2009 Q3 YTD 2008 Q3 YTD 2009 % of % of 32.4% 35.8% 34.2% 36.0% Sales Sales
Slide 20: Net Earnings
Net Earnings Q3 Reported Q3 Adjusted (dollars in millions, except EPS) (dollars in millions, except EPS) $800 $800 -17.9% +33.3% $700 $700 EPS $2.07 $600 $627 $600 EPS $1.71 EPS $1.71 $500 $500 $515 $516 $400 EPS $1.28 $400 $387 $300 $300 Q3 2008 Q3 2009 Q3 2008 Q3 2009 % of % of 41.1% 31.9% 25.4% 3
Slide 21: Net Earnings
Net Earnings YTD Reported YTD Adjusted (dollars in millions, except EPS) (dollars in millions, except EPS) $1,900 $1,900 -4.6% +13.0% EPS $5.38 $1,600 EPS $5.15 $1,600 EPS $5.20 $1,623 $1,549 $1,563 EPS $4.58 $1,300 $1,300 $1,383 $1,000 $1,000 Q3 YTD 2008 Q3 YTD 2009 Q3 YTD 2008 Q3 YTD 2009 % of % o
Slide 22: 2009 Full Year Financial Guidance Revision
2009 Full Year Financial Guidance Revision • Organic growth in the mid-single digits • Diluted earnings per share: U.S. GAAP EPS guidance $6.55 - $6.65 Add back restructuring charge $0.05 $0.05 Adjusted EPS guidance $6.60 - $6.70 NOTE: Adjusted diluted EPS measures the results of the company's opera
Slide 23: Third Quarter 2009 Webcast
Third Quarter 2009 Webcast October 28, 2009
Slide 24: Q3 2009 Non-GAAP Reconciliations
Q3 2009 Non-GAAP Reconciliations ALCON, INC. AND SUBSIDIARIES Global Sales (USD in millions) Three Months Ended Foreign September 30, Currency Organic 2009 2008 Change Change Change Geographic Sales Alcon United States: Pharmaceutical $ 324 $ 301 7.6 % -- % 7.6 % Surgical 304 275 10.5 -- 10.5 Consum
Slide 25: Q3 2009 Non-GAAP Reconciliations
Q3 2009 Non-GAAP Reconciliations ALCON, INC. AND SUBSIDIARIES Global Sales (USD in millions) Nine Months Ended Foreign September 30, Currency Organic 2009 2008 Change Change Change Geographic Sales Alcon United States: Pharmaceutical $ 1,022 $ 1,027 (0.5) % -- % (0.5) % Surgical 858 805 6.6 -- 6.6 C
Slide 26: Q3 2009 Non-GAAP Reconciliations
Q3 2009 Non-GAAP Reconciliations ALCON, INC. AND SUBSIDIARIES Reconciliation of Non-GAAP Financial Measures Net earnings Q3 2009 Q3 2008 Growth As Reported $ 515 $ 627 (17.9) % 2008 Tax Benefit -- (240) 2009 restructuring adjustment 1 -- As Adjusted $ 516 $ 387 33.3 % Note: Adjusted net earnings mea
Slide 27: Q3 2009 Non-GAAP Reconciliations
Q3 2009 Non-GAAP Reconciliations ALCON, INC. AND SUBSIDIARIES Condensed Consolidated Statements of Earnings (Unaudited) (in millions, except share data) Three months ended 9/30/09 Three months ended 9/30/08 Reported 09 RIF Adjusted Reported 08 Tax Adjusted Net earnings $ 515 $ 1 $ 516 $ 627 $ (240)
Slide 28: Q3 2009 Non-GAAP Reconciliations
Q3 2009 Non-GAAP Reconciliations Foreign Reported Organic Currency Change Change Change Developed International Organic Growth 2006 8.6% 0.1 8.5% 2007 19.9 8.3 11.6 2008 18.0 9.5 8.5 2009 YTD (0.6) (8.0) 7.4 Q3 2009 7.4 (2.0) 9.4 Emerging Market Organic Growth 2006 21.0 2.2 18.8 2007 21.3 5.2 16.1 2
Slide 29: Q3 2009 Non-GAAP Reconciliations
Q3 2009 Non-GAAP Reconciliations Foreign Reported Organic Currency Change Change Change Japan Glaucoma Sales 49.3% 19.4 29.9% Note: Constant currency sales growth rate calculates sales growth without the impact of foreign exchange fluctuations. Organic sales growth rates calculate sales growth witho
Slide 30: Q2 2009 Non-GAAP Reconciliations
Q2 2009 Non-GAAP Reconciliations ALCON, INC. AND SUBSIDIARIES Reconciliation of Non-GAAP Financial Measures Foreign Currency Organic Change Change Change Global advanced technology intraocular lens sales 30.1 % ( 8.2) % 38.3 % Note: Organic change presents sales growth without the impact of foreign