Siemens Healthineers Ag · XETR:SHL
Siemens Healthineers — Q4 FY2024 Earnings Presentation
27 slides from Siemens Healthineers's earnings presentation, Nov 6, 2024
Slide 1: Q4 Analyst Call
Q4 Analyst Call Bernd Montag, CEO | Jochen Schmitz, CFO November 06, 2024
Slide 2: Safe Harbour Statement
Safe Harbour Statement This webcast has been provided solely for use at this meeting. By attending the meeting or accessing this webcast, you agree to be bound by the following limitations. This webcast is provided in conjunction with an oral presentation and should not be taken out of context. This
Slide 3: Q4 – Strong finish
Q4 – Strong finish 1.12 +7% Equipment Name and Comparable logo revenue book-to-bill growth (ex antigen) +16% >2x Adjusted basic Free EPS growth (ex antigen) cash flow Q4 FY2024 Note: Comparable revenue growth in Q4 FY24 of 5.6% incl. antigen, adj. basic EPS growth in Q4 FY24 11% incl. antigen Unrest
Slide 4: FY2024 – Strong performance in all businesses
FY2024 – Strong performance in all businesses Key achievements in FY2024 Guidance achieved ✓ Comparable revenue growth of 5.2%1 (ex antigen) despite headwinds in Comparable revenue growth1 (ex antigen) China being significantly higher than initially expected As of Nov 23 ✓ Adj. basic EPS of €2.23 (y
Slide 5: Outlook FY2025
Outlook FY2025 FY2024 FY2025E Revenue growth1 5.2% Revenue growth 5 to 6% Adj. EPS €2.23 Adj. EPS €2.35 to 2.50 1 Excluding antigen of €121m in FY2023; FY2024 and FY2025 include no antigen Q4 FY2024 Note: Outlook for FY2025 based on current macroeconomic environment, interest rates, foreign exchange
Slide 6: Q4 with strong growth on tough comps and excellent conversion
Q4 with strong growth on tough comps and excellent conversion Revenue (€m) Comparable +5.6% Growth • Continued strong order intake with 1.12 equipment book-to-bill Ex antigen +6.5% 6,056 6,329 • Revenue growth of 7% vs. tough PYQ of 11% (ex antigen), excellent year-end finish in Imaging, Varian and
Slide 7: Imaging with strong growth and excellent conversion in high-volume Q4
Imaging with strong growth and excellent conversion in high- volume Q4 Leveraging the power of our unique, Imaging (€m) synergistic portfolio and capabilities Revenue Adj. EBIT (margin) Winning together Comparable +7.7% Margin +180 bps Growth Y-o-Y 746 859 3,325 3,543 (22.4%) (24.2%) Q4 FY2023 Q4 FY
Slide 8: Varian and Advanced Therapies with strong growth
Varian with excellent growth on tough comps Advanced Therapies with strong growth and excellent conversion Varian (€m) Advanced Therapies (€m) Revenue Adj. EBIT (margin) Revenue Adj. EBIT (margin) Comparable Comparable Margin Comparable Margin Growth Growth 10.5% Y-o-Y -160 bps Growth +6.8% Y-o-Y +2
Slide 9: Diagnostics transformation on track
Diagnostics transformation on track Crystalizing full potential of Diagnostics (€m) growth and profitability Revenue Adj. EBIT (margin) Transforming to win Comparable Margin Growth -3.8% Y-o-Y +40 bps 52 54 1,209 1,147 (4.3%) (4.7%) Q4 FY2023 Q4 FY2024 Q4 FY2023 Q4 FY2024 • Revenue growth at 1%1 (ex
Slide 10: Free Cash Flow significantly increased in FY24
Free Cash Flow significantly increased in FY24 Free Cash Flow Cash Conversion 0.5 0.6 0.7 0.9 • Free Cash Flow increased by >60% to €2.1bn in FY24 Rate1 (from €1.3bn in FY23) driven by higher earnings and 2,130 lower inventories • Visible progress seen in improving cash conversion Free Cash rate thr
Slide 11: Consistent delivery every quarter adds up to a successful 2024
Consistent delivery every quarter adds up to a successful 2024 Delivering every quarter… …from strong fundamentals… • Continuously expanding order backlog – FY23 in a healthy global market FY24 17.7% • Consistently high share of recurring revenues • Financial framework protects margin expansion – Ad
Slide 12: Outlook FY2025
Outlook FY2025 FY2024 FY2025E Revenue growth1 5.2% Revenue growth 5 to 6% Adj. EPS €2.23 Adj. EPS €2.35 to 2.50 1 Excluding antigen of €121m in FY2023; FY2024 and FY2025 include no antigen Q4 FY2024 Note: Outlook for FY2025 based on current macroeconomic environment, interest rates, foreign exchange
Slide 13: Assumptions for FY2025E for segments and others
Assumptions for FY2025E for segments and others FY2025E Mid single-digits revenue growth Imaging Margin expansion from scale – low to mid double-digits bps High single-digits revenue growth Varian Margin expanding by 50 to 150 bps Advanced Mid single-digits revenue growth Therapies Margin expansion
Slide 14: Sustaining above market growth from multiple sources
Sustaining above market growth from multiple sources Expanding access to care for billions of people Innovating continuously for better diagnosis and treatment The world innovates for us Enabling efficient operations to Novel drugs New theranostic agents improve productivity Robotic treatments More
Slide 15: We grow by innovating cardiac care
We grow by innovating cardiac care Coronary artery disease Innovating … for better diagnosis 13 Million Invasive catheter procedures p.a. continuously… and treatment 60% thereof only for diagnostic • Breakthrough in diagnostic image • Lower costs, faster purposes quality through Photon-Counting CT1
Slide 16: We grow by innovating stroke care
We grow by innovating stroke care Stroke 12 Million new cases p.a. new cases p.a. Innovating … for better diagnosis to more than double continuously… and treatment until 2035 >80% not treated within • First assessment and critical decisions “Time is brain” with mobile head CT1 first hour already in
Slide 17: We grow by innovating cancer care
We grow by innovating cancer care Cancer 20 Million new cases p.a. Innovating … for better diagnosis to grow by 50% continuously… and treatment until 2040 >50% Benefit from radiation • Delivering intuitive and specialized • Decrease time between therapy radiation therapy workflows integrated diagnos
Slide 18: We grow with novel therapies and drugs
We grow with novel therapies and drugs Alzheimer’s disease & dementia impact The world … and our portfolio is 50 impacted million impacted by Alzheimer Alzheimer1 patients by innovates for us… key enabler to cope with growth of novel therapies Disease Disease • Strong long-term growth prospects in n
Slide 19: Growth profile substantiated by long-term partnerships
Growth profile substantiated by long-term partnerships Transformational oncology collaboration with Value Partnership with Ohio State University Ballad Health Wexner Medical Center • 10-year agreement building on long-standing relationship • 10-year agreement building on existing cooperations in bet
Slide 20: Mid-term ambition beyond 2025 unchanged
Mid-term ambition beyond 2025 unchanged Beyond 2025 Revenue growth Mid to high single-digits Adj. EPS growth Double-digits Imaging to grow by at least mid single-digits; continued margin expansion from scale Segment Varian to grow by at least high single-digits; margins advancing towards Imaging-lik
Slide 21: Appendix
Appendix Q4 FY2024 Unrestricted © Siemens Healthineers AG, 2024 l 21
Slide 22: EBIT to Free Cash Flow Bridge and cash conversion rates
EBIT to Free Cash Flow Bridge and cash conversion rates Q4 FY24 Siemens Healthineers EBIT to Free Cash Flow (€m) Imaging 1.1 CCR2 Diagnostics >0 Varian 1.1 Adv. Therapies 0.8 CCR1 1.18 -89′ 1″484 261′ 4′ 1″254 1″221 50′ 1″226 54′ 1″033 220′ -213′ -50′ -45′ 944′ 89′ Healthineers PPA EBIT excl. Depr.
Slide 23: FY24 balance sheet and net debt bridge
FY24 balance sheet and net debt bridge Net debt overview Capital structure development in FY24 (in €bn) in €bn Sep 30, 2023 Sep 30, 2024 Leverage1 3.7x 3.3x Cash and cash equivalents3 2.2 2.7 13.7 13.2 Pensions 0.5 0.6 Short-term and long-term (0.6) (0.8) financial debt -2.8 1.7 Liabilities to the S
Slide 24: Loan maturity profile
Loan maturity profile Loans with Siemens Group as of Sep 30th, 2024 (in €m) Comments Other ▪ Total loan volume ~€13.9bn equivalent EUR ▪ Average interest rate ~2.10% p.a.3 USD Top 10 loans ranked in € volume Notional Volume Volume Interest 1,756 Maturity Currency in m in €m rate 1,595 300 1,539 USD
Slide 25: Provisions for pensions
Provisions for pensions Q4 FY2024 Key financials – Pensions and similar obligations Q1 Q2 Q3 Q4 in €bn1 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 FY2024 FY2024 FY2024 Defined benefit obligation (3.4) (3.8) (3.8) (4.1) (3.3) (3.2) (3.5) (3.4) (3.4) (3.5) (DBO) Fair value of 2.6 2.8 2.8 3.3 2.8
Slide 26: Glossary
Glossary ‘Revenue’ in this presentation refers for segments to ‘Adjusted revenue‘ Adjusted revenue is defined as consolidated revenue reported in the company’s consolidated statements of income adjusted for effects in line with revaluation of contract liabilities from IFRS 3 purchase price allocatio
Slide 27: Q4 FY2024 Unrestricted © Siemens Healthineers AG, 2024 l 27
Q4 FY2024 Unrestricted © Siemens Healthineers AG, 2024 l 27
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