Siemens Healthineers Ag · XETR:SHL
Siemens Healthineers — Q2 2019 Earnings Presentation
17 slides from Siemens Healthineers's earnings presentation, May 2, 2019
Slide 1: Q2 Analyst Call
Q2 Analyst Call Dr. Bernd Montag, CEO | Dr. Jochen Schmitz, CFO May 2, 2019 Q2 FY2019 Analyst Call Unrestricted © Siemens Healthineers AG, 2019 | Page 1
Slide 2: Notes and forward looking statements
Notes and forward looking statements This presentation has been prepared solely for use at this meeting. This material is given in conjunction with an oral presentation and should not be taken out of context. By attending the meeting where this presentation is held or accessing this presentation, yo
Slide 3: Imaging and Advanced Therapies show strong momentum; on track for FY19 guidance
Imaging and Advanced Therapies show strong momentum; Siemens Healthineers on track for FY19 guidance • Strong organic revenue growth1) at 5.8% driven by Imaging and Advanced Therapies • Imaging posted 7% and Advanced Therapies 9% organic revenue growth1) • Continuous strong equipment book-to-bill >1
Slide 4: Expanding leadership in imaging with unique technology center for high-energy photonics
Expanding leadership in imaging with unique technology center for high-energy photonics • Continuing strong demand for imaging equipment • Research, development and manufacturing of X-ray tubes and generators in proximity to the CT and X-ray businesses: expanding innovation lead improving qualit
Slide 5: Truly enabling One Stop Stroke treatment with ARTIS icono
Truly enabling One Stop Stroke treatment with ARTIS icono ARTIS icono enables diagnosis and treatment in one step: • Stroke diagnosis in the interventional room CT-like images in the angio lab with homogeneous image quality over the entire brain • Immediate therapy guidance with perfusion data Colla
Slide 6: We are at the forefront of digitalization and AI in healthcare
We are at the forefront of digitalization and AI in healthcare Our master plan Examples of our portfolio Patient Cohort AI-Pathway Companion1) Data integration, access, complexity • Population health mgmt., syngo Virtual Cockpit2) Process optimization • Outcome analysis AI-Rad Companion platform3) P
Slide 7: Diagnostics in transition – improvements compared to Q1, further progress expected in H2
Diagnostics in transition – improvements compared to Q1, further progress expected in H2 Very good customer perception: • Competitive win-rate continues to be above 35%, win-rate in large settings considerably higher • Continued menu expansion (EU: 203, U.S.: 187) • 410+ analyzers shipped in Q2 (vs.
Slide 8: Strong organic growth and profitability improvement in Q2
Strong organic growth and profitability improvement in Q2 Revenue (€m) Adj. profit2) (€m) Net income (€m) Comparable Margin growth1) +5.8% +50 bps EPS3) 0.30 0.38 y-o-y 3,505 3,226 17.9% y-o-y +24% 17.4% 627 560 381 308 Q2 FY2018 Q2 FY2019 Q2 FY2018 Q2 FY2019 Q2 FY2018 Q2 FY2019 • Strong Q2 led by s
Slide 9: Imaging and Advanced Therapies with strong profitability; Diagnostics in transition
Imaging and Advanced Therapies with strong profitability; Diagnostics in transition Imaging (€m) Diagnostics (€m) Advanced Therapies (€m) Comparable +7% +2% +9% growth1) Revenue 1,946 2,137 970 1,018 352 391 Q2 FY2018 Q2 FY2019 Q2 FY2018 Q2 FY2019 Q2 FY2018 Q2 FY2019 Margin y-o-y +170 bps -180 bps +
Slide 10: Solid cash conversion in Imaging and Advanced Therapies, Diagnostics with low cash flow
Solid cash conversion in Imaging and Advanced Therapies, Diagnostics with low cash flow due to capacity expansion Q2 Siemens Healthineers profit to free cash flow Imaging 0.9 CCR1) Diagnostics <0 Adv. Therapies 0.8 CCR1) 0.58 727′ 21′ 616′ 111′ -155′ -92′ 515′ 14′ -159′ -152′ 355′ 204′ Healthineers
Slide 11: Outlook – full year guidance confirmed
Outlook – full year guidance confirmed Comparable revenue growth1) Adj. profit margin2) Earnings per share (in €) 4 - 5% 17.5 - 18.5%3) +20 to +30%3) 3.7% 17.2% 1.26 2018 2019E 2018 2019E 2018 2019E 1) Y-o-y on a comparable basis; excluding translation and portfolio effects 2) Adjusted for severance
Slide 12: Appendix
Appendix Q2 FY2019 Analyst Call Unrestricted © Siemens Healthineers AG, 2019 | Page 12
Slide 13: Q2 reconciliations and KPIs for group and segments
Q2 reconciliations and KPIs for group and segments Q2 FY2019 Q2 FY2018 Advanced Advanced Healthineers Imaging Diagnostics Healthineers Imaging Diagnostics Position (€m) Therapies Therapies Profit 616 441 119 75 457 371 125 55 Severance charges 12 7 1 2 18 5 7 1 IPO costs 0 0 0 0 85 0 0 0 Adjusted pr
Slide 14: Q2 group profit to net income and EPS reconciliation
Q2 group profit to net income and EPS reconciliation Position (€m) Q2 FY2019 Q2 FY2018 Profit 616 457 Financial income/expenses, net in profit -4 -2 Amortization of intangibles assets acquired in business combinations -32 -32 Interest expenses, net1) -32 -34 therein interest income 7 27 therein inte
Slide 15: Q2 balance sheet and net debt bridge
Q2 balance sheet and net debt bridge Net debt overview Capital structure development in Q2 YTD (in €bn) in €bn Sep. 30th 2018 Mar. 31st 2019 Leverage1) 1.5x 1.7x Cash and cash equivalents 0.5 0.8 4.6 Receivables from Siemens Group 1.0 1.4 0.1 (financial cash) 3.6 +0.9 Short-term and long-term debt (
Slide 16: SHS loan maturity profile
SHS loan maturity profile SHS loans with Siemens Group as of 31.03.20191) (in €m) Comments 1,503 Total loan volume ~4.2 €bn equivalent Other Average interest rate ~2.6% USD Main loan volume (~93%) denominated in USD Majority of maturities exceeding FY 2019 863 881 98 Top 5 loans 662 1,503 Vo
Slide 17: Underfunding unchanged; Discount rate decrease offset by return on plan assets
Underfunding unchanged; Discount rate decrease offset by return on plan assets Q2 FY2019 Key financials – Pensions and similar obligations Q1 Q2 in €bn1) FY 2016 FY 2017 FY 2018 FY2019 FY2019 Defined benefit obligation (DBO)2) (4.6) (4.1) (3.4) (3.4) (3.6) Fair value of plan assets2) 2.4 2.4 2.6 2.5