COLTENE Holding AG · SIX:CLTN
COLTENE — FY2013 Earnings Presentation
30 slides from COLTENE's earnings presentation, Feb 28, 2014
Slide 1: Financial Year 2013 Media and Financial Analysts Meeting
Financial Year 2013 Media and Financial Analysts Meeting Zurich, February 28, 2014
Slide 2: Agenda
Agenda Highlights 2013 Martin Schaufelberger, CEO Financials 2013 Gerhard Mahrle, CFO COLTENE Marketing and Sales Concept Martin Schaufelberger, CEO Outlook Martin Schaufelberger, CEO 29 2013 Results, February 28, 2014
Slide 3: Achievements 2013
Achievements 2013 Laying a stable foundation • Sales of CHF 160.0 million, up 1.2%, 1.9% in local currencies Strong development especially in BRIC countries; difficult market situation in Switzerland and Germany due to destocking and parallel imports Sales reductions due to US Medical Device Exc
Slide 4: Market Environment
Market Environment Global sourcing challenges distribution model • Market growth varied from region to region 2-3% in North America 10% and more in emerging markets Flat or even decreasing developments in Europe • Latest market trends … Rise of goods sold online in the dental consumable sect
Slide 5: Management Actions 2013
Management Actions 2013 Foundation for future growth opportunities • Implementation of revised corporate strategy Streamlining of product portfolio Cultivation of broader corporate mindset in the areas of marketing and supply chain Alignment of sales organization to match regionally disparate
Slide 6: Breakdown by Product Groups
Breakdown by Product Groups Streamlined portfolio Comments • Restoration, Prosthetics and Endodontics products as key sales drivers • Restoration as the largest product group profited from the extension of the key products • Pleasing development of Infection Control (+10.9%) and Treatment Auxiliarie
Slide 7: Regional Breakdown
Regional Breakdown Dynamic BRIC countries Comments • Significantly higher sales in the BRIC countries • North America consolidated sales on extraordinary high level of previous year Despite new US Medical Device Excise Tax • Increasing price pressure in Europe due to High competition Parallel imp
Slide 8: Proposals to AGM
Proposals to AGM • Distribution of CHF 2.20 per share • Adaption of the articles of incorporation due to the requirements of the ordinance against abusive remunerations in public limited companies: – Following the legal requirements – Board memberships and mandates: BoD: 5 listed companies / 20 unli
Slide 9: Financials 2013
Financials 2013 Gerhard Mahrle, CFO 29 2013 Results, February 28, 2014
Slide 10: Financial Summary
Financial Summary Strong performance • Net sales of CHF 160.0 million (2012: CHF 158.1 million), plus 1.2% or 1.9% in local currencies Adjusted sales growth of 3.2% due to: Strategy-conform discontinuation of loss making products US Medical Device Excise Tax • EBIT margin increase to 12.2% (2012:
Slide 11: Restatement of FY 2012 Figures
Restatement of FY 2012 Figures New pension accounting under IFRS: adoption of IAS 19 revised Restatement effects (changes of B/S and P&L positions) Comments In CHF 1000 31.12.2012 1.1.2012 Balance sheet • Effective FY 2013 and Deferred tax liabilities - 751 - 585 restatement of PY 2012 Provision for
Slide 12: Income Statement
Income Statement Improved results restated Comments In CHF million 2013 % 2012 % % YoY • Net sales increase +1.2% (CHF); in LC +1.9% (growth in all regions Net Sales 160.0 100.0% 158.1 100.0% 1.2% except Germany, Switzerland and Material expenses* -47.7 -29.8% -46.8 -29.6% 1.9% North America) Gross
Slide 13: Operating Result
Operating Result Further improvements 20.0 Comments +1.2 -0.2 19.4 19.5 • Sales Growth and absolute increase of 19.0 Gross Margin: CHF 1.0 million +1.0 in CHF million 18.5 • OPEX savings: CHF 1.2 million 18.0 • Higher depreciation and 17.4 amortization: 17.5 CHF 0.2 million 17.0 • Operational improv
Slide 14: Development of Profit for the Period
Development of Profit for the Period Significantly increased 14.0 Comments +1.7 13.2 • Negative impact from 13.0 financial result: CHF 0.3 million due to in CHF million +1.2 -0.2 -0.3 12.0 higher net currency losses despite savings in interest 11.0 +1.0 expenses of CHF 0.2 million (lower net debt) 1
Slide 15: Balance Sheet
Balance Sheet Improved equity ratio restated Comments In CHF million 31.12.13 31.12.12 D • Reduction of net debt by 50% Cash & cash equivalents 6.5 4.0 2.5 due to very high free cash flow Receivables 32.8 35.1 -2.3 • Credit lines not used: Inventory 29.7 34.2 -4.5 CHF 92 million (like prior year) Pr
Slide 16: Cash Flow Statement
Cash Flow Statement Record high free cash flow Comments restated Cash Flow (in CHF million) 2013 2012 D • Cash flow from operations improved by CHF 10.6 Net profit 13.2 9.8 million mainly due to higher Depreciation and Amortization 5.2 5.0 net profit and significant Income tax and interest expenses
Slide 17: Share price development
Share price development 1.1.2013 – 26.2.2014 CHF million 31.12.12 31.12.13 D Market Capitalization 129.7 193.4 +49.1% Consolidated Equity 93.2 97.7 +4.8% CLTN SPI 17 2013 Results, February 28, 2014
Slide 18: COLTENE Marketing and Sales Concept
COLTENE Marketing and Sales Concept Martin Schaufelberger, CEO 29 2013 Results, February 28, 2014
Slide 19: Marketing and Sales Concept (I)
Marketing and Sales Concept (I) Groundbreaking part of the Company’s success Global presence Close cooperation Optimize the under a strong with distributors product range umbrella brand • Globally consistent • Intensified information- • Streamline the range marketing for every sharing and training •
Slide 20: Marketing and Sales Concept (II)
Marketing and Sales Concept (II) Groundbreaking part of the Company’s success Expansion of Use new sales and distribution marketing setup channels • Own local presence in • E-business expansion new markets • Simplification and cross- • Strengthen Brazil's market harmonization of function as a hub fo
Slide 21: Outlook
Outlook Martin Schaufelberger, CEO 29 2013 Results, February 28, 2014
Slide 22: Outlook
Outlook Higher sales and margins • Use of harmonized ERP system Improved worldwide planning activities Optimizations in the area of sourcing, supply chain management as well as marketing and sales • Adaption of distribution concept and sales organization Reaction on new market trends Unifica
Slide 23: Thank you for your Attention !
Thank you for your Attention !
Slide 24: Contacts
Contacts COLTENE Holding AG Feldwiesenstrasse 20 9450 Altstätten Switzerland www.coltene.com Martin Schaufelberger Gerhard Mahrle CEO CFO martin.schaufelberger@coltene.com gerhard.mahrle@coltene.com +41 71 757 53 60 +41 71 757 54 37 2013 Results, February 28, 2014
Slide 25: Appendix
Appendix 2013 Results, February 28, 2014
Slide 26: COLTENE at a Glance
COLTENE at a Glance Global dental specialist Swiss based small cap with Highly recognized worldwide sales through dental global brands for chair-side distributors and about 200 dental consumables sales representatives Development and Strong emerging market operations in Europe, position with 28% of
Slide 27: Strategy Implementation
Strategy Implementation Focus on profitable growth Marketing & Operational Product Focus Sales Push Excellence • Restoration: • Selective • Application of expansion of product campaigns in global SAP system portfolio traditional markets • Strengthen • Endodontics: • Broad-based umbrella brand Streng
Slide 28: Strong Product Pipeline
Strong Product Pipeline Demonstrating high innovation power COMPONEER™ Class V ROEKO GuttaFlow 2 Special composite shells for restoring tooth necks Unique cold filling and sealing system for root canals SoloCem DuoCem Self-adhesive and anti-bacterial cement Dual-curing cement packed in auto-mixed sy
Slide 29: Key Figures COLTENE Group (2011-2013)
Key Figures COLTENE Group (2011-2013) Half year steps in CHF mn (except dividend information in CHF) Net sales EBIT EBIT Margin 90.0 80.0 14.0 16.0% 70.0 12.0 14.0% 60.0 10.0 12.0% 50.0 10.0% 8.0 40.0 8.0% 6.0 30.0 6.0% 20.0 4.0 4.0% 10.0 2.0 2.0% 0.0 0.0 0.0% H1/11 H2/11 H1/12 H2/12 H1/13 H2/13 H1/
Slide 30: Safe Harbour Statement
Safe Harbour Statement The information made available in this conference may include forward-looking statements that reflect intentions, beliefs or current expectations and projections of COLTENE Holding AG about the future results of operations, financial condition, liquidity, performance and simil