Slide 1: Seeing Beyond Today
Exhibit 99.1 Seeing Beyond Today First Quarter 2006 Webcast April 25, 2006
Slide 2: Safe Harbor Statement
Safe Harbor Statement Statements contained in this presentation that are forward-looking are based on current expectations that are subject to a number of uncertainties and risks, and actual results may differ materially. This presentation is being made on April 25, 2006, and Alcon does not undertak
Slide 3: Management Presentation by
Management Presentation by Cary Rayment Chairman , President & CEO Jacqualyn Fouse Senior Vice President Chief Financial Officer & Corporate Strategy 3
Slide 4: Business Overview
Business Overview Cary Rayment Chairman, President & CEO 4
Slide 5: First Quarter Financial Highlights
First Quarter Financial Highlights Q1 06 Q1 05 Growth Global Sales $ 1,157.1 $ 1,070.5 8.1% Net Earnings $ 295.7 $ 249.5 18.5% Diluted EPS $ 0.95 $ 0.80 18.8% (dollars in millions, except per share amounts) 5
Slide 6: Q1 2006 Sales and Growth by Business Unit
Q1 2006 Sales and Growth by Business Unit Reported Constant Sales Growth Currency Global Sales $ 1,157.1 8.1% 10.5% United States $ 576.7 10.6% 10.6% International $ 580.4 5.7% 10.3% Note: Constant currency sales growth is a non-GAAP measure presented to give investors a better comparison of operati
Slide 7: Emerging Markets Key Source of Growth
Emerging Markets Key Source of Growth Q1 2006 Sales Growth Rate 25% 20% 20.2% 15% 16.0% 10% 9.6% 5% 6.2% 0% Developed Emerging Markets Reported Constant Currency Emerging markets contributed 15% of 1st Quarter 2006 Sales Note: Constant currency sales growth is a non-GAAP measure presented to give in
Slide 8: Pharmaceutical Sales
Pharmaceutical Sales Reported Constant Q1 06 Q1 05 Growth Currency Pharmaceutical $ 475.1 $ 432.0 10.0% 11.5% Factors • Solid US Travatan® Rx growth offsets generic declines and rebates • Vigamox® continues to build market share • Market growth and US inventory build account for Patanol® increase •
Slide 9: Surgical Sales
Surgical Sales Reported Constant Q1 06 Q1 05 Growth Currency Surgical $ 525.2 $ 488.3 7.6% 11.0% Factors • AcrySof® ReSTOR® a key contributor to AcrySof® franchise – AcrySof® ReSTOR® sales of $23.3 million vs. $3.2 in Q105 – Real world experience consistent with clinical studies – Adoption slower th
Slide 10: Consumer Products Sales
Consumer Products Sales Reported Constant Q1 06 Q1 05 Growth Currency Consumer $ 156.8 $ 150.2 4.4% 5.6% Factors • Artificial tears continue healthy growth led by Systane® • OPTI-FREE® RepleniSHTM driving share gains • ReNu* MoistureLoc* withdrawal benefits OPTI-FREE® • Adding to CLC production capa
Slide 11: Strategic Importance of Research Collaborations
Strategic Importance of Research Collaborations Glaucoma Retina Allergy/Dry Eye Abbott Albany Molecular (WA) Amgen Dharmacon (CO) Jerini AG Kalypsys (CA) Origenis AG 11
Slide 12: Financial Review
Financial Review Jacqualyn Fouse Senior Vice President Chief Financial Officer & Corporate Strategy 12
Slide 13: Q1 2006 Income Statement Detail
Q1 2006 Income Statement Detail % of % of Q1 05 Q1 06 Sales Sales Sales $ 1,157.1 $ 1,070.5 Gross Profit $ 868.9 75.1% $ 781.9 73.0% SG & A $ 386.7 33.4% $ 336.5 31.4% R&D $ 119.3 10.3% $ 98.5 9.2% Operating Income $ 342.4 29.6% $ 326.8 30.5% (dollars in millions) 13
Slide 14: Share-Based Compensation Expenses
Share-Based Compensation Expenses Q1 06 Q1 05 Actual Proforma COGS $ 2.2 SG&A 19.3 R&D 9.8 Tax effect (10.2) Total Impact to Net Earnings $ 21.1 $ 28.6 EPS Impact $ 0.07 $ 0.08 (dollars in millions) 14
Slide 15: Reported Tax Rate vs. "Base" Rate
Reported Tax Rate vs. “Base” Rate Q1 06 2005 2004 Reported Effective Tax Rate 16.5% 22.6% 22.6% Total Net Impact of 5.0% 2.5% 5.2% “Non-structural” Items “Base” Effective Tax Rate 21.5% 25.1% 27.8% * “Base” effective tax rate is a non-GAAP measure presented to give investors a better comparison of i
Slide 16: Balance Sheet Highlights
Balance Sheet Highlights 03/31/06 12/31/05 Short and Long Term Borrowings $ 973.4 $ 1,083.4 Cash and Cash Equivalents $ 1,547.9 $ 1,457.2 Consolidated S/H Equity $ 2,896.2 $ 2,556.1 A/R Change (From 12/31/05) 14.4% N/A Inventory Change (From 12/31/05) 3.7% N/A (dollars in millions) 16
Slide 17: 2006 Outlook
2006 Outlook Alcon’
Slide 18: 2006 Full Year Financial Guidance
2006 Full Year Financial Guidance • Sales range from $4.80 to $4.85 billion – Global growth across major product lines – Share gains from recent product launches – Continued faster growth in emerging markets – Higher contact lens care sales ® ® • AcrySof ReSTOR sales of $130-$150 million 18
Slide 19: 2006 Full Year Financial Guidance
2006 Full Year Financial Guidance • Reported EPS expected to be $4.03 to $4.12 – Higher gross margin from product mix and production efficiencies – Lower effective tax rate – 19% to 20% full year estimate – Includes $0.17 per share for share-based compensation expense in 2006 19
Slide 20: Seeing Beyond Today
Seeing Beyond Today