Coltene Holding Ag · SIX:CLTN
Coltene — H1 2013 Earnings Presentation
16 slides from Coltene's earnings presentation, Aug 8, 2013
Slide 1: Half Year Results 2013
Half-year Half year Results 2013 Media and Financial Analysts Conference Call Altstätten/Zurich, August 8, 2013
Slide 2: Safe Harbour Statement
Safe Harbour Statement The information made available in this conference may include forward-looking statements that reflect the intentions, beliefs or current expectations and projections of COLTENE Holding AG about the future results of operations, financial condition, liquidity, performance and s
Slide 3: Achievements in the First Half of 2013
Achievements in the First Half of 2013 Growth slightly above market, improved revenues • Sales of CHF 75.0 75 0 million, million up 2 2.8%, 8% 22.2% 2% at constant exchange rates • Order intake in North America at high prior-year level • E Europe with ith growth th above b market, k t ddynamic i gro
Slide 4: Market Environment
Market Environment Deviating regional developments • Globally weaker market growth in H1 2013 – North America: 2-3% – Europe: p flat or even slightly g y negative g – Asia and emerging markets: approx. 10% at average • Return to moderate growth – US market with potential for acceleration in H2 2013
Slide 5: Management Actions
g Management Actions Supporting operational efficiency • Completion of strategy review and start of implementation – Initiation of 21 projects – Gradual impact p on company p y results • Operational advances – Switzerland/Germany: Improved processes and use of new materials – US: Introduction of ERP
Slide 6: Strategy Implementation
Strategy gy Implementation p 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 S
Slide 7: Strong Product Pipeline
g Product Pipeline Strong p 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-mixe
Slide 8: Breakdown by Product Groups
y Product Groups Breakdown by p Restoration grows the fastest Comments • Restoration: accounting for 27.5% of total sales and expanding its leadership position • Endodontics: with sales decline by 3.3% due to private label business; successful new product Miscellaneous 3.0% launches (H1 2012: 3.8%)
Slide 9: Regional Breakdown
g Regional Breakdown Growing emerging markets Comments • USA: strong order intake on high prior-year level overall sales level, decline by 3.2% • Europe above H1 2012 achieving growth of 8.0% • Over-proportional sales growth in emerging markets headed by b the Asia 10.3% (H1 2012: 10.5%) Russia/GUS
Slide 10: Financial Summary
y Financial Summary Improved revenues • Improvements – 2.8% growth in net sales, 2.2% at constant exchange rates – 5.6% g growth in EBIT – 68.7% growth in net profit for the period • Cash drain, high inventory offers improvement potential • Solidly financed • Restatement p prior yyear due to IAS 19
Slide 11: Restatement Prior Year
Restatement Prior Year In CHF thousand Profit P fit & L Loss 1HY 2012 1HY 2012 C Comments t Statement reported IAS 19 DTL restated • Restatement due to IAS 19 revised Reclassification from Personnel expenses -27,284 45 -27,239 personnel to financial EBIT 6,840 6,885 expenses and equity/liability
Slide 12: Income Statement
Income Statement Better performance In CHF million H1 2013 % H1 2012 % % YoY Y Y C Comments t • Sales growth by 2.8%, respectively 2.2% at CER Net Sales 75.0 100.0% 73.0 100.0% 2.8% • Material expenses increased Material expenses* -21.1 -28.2% -20.0 -27.3% 6.0% slightly in % of net sales Operating e
Slide 13: Balance Sheet Structure
Balance Sheet Structure Solidly financed In CHF million 30 06 13 31.12.12 30.06.13 31 12 12 C Comments t • Inventory increased by Cash & cash equivalents 4.5 4.0 0.5 CHF 4.4 million Receivables 34 6 34.6 35 2 -0 35.2 0.6 6 • Bank loans increased up to Inventory 38.6 34.2 4.4 CHF 32.7 million mainl
Slide 14: Cash Flow Statement
Cash Flow Statement Free cash flow suffers from higher inventories In CHF million H1 2013 H1 2012 C Comments t • Cash flow from operations Net profit 5.0 3.0 2.0 down by CHF 3.3 million Non cash items 38 3.8 77 7.7 -3 3.9 9 due to: Changes in NWC -4.4 -3.5 -0.9 Lower non cash items (less Interes
Slide 15: Outlook
Outlook Steadfast implementation of strategy • Further innovations at the Restoration Restoration, Endodontics and Treatment Auxiliaries segments • Selective market expansions • Ongoing optimization of group-wide operations, e.g. – Supply pp y chain management g – Reduction of inventories – Standard
Slide 16: Thank you for your Attention
“”’ COLTENE® Thank you for your Attention Strategy Execution on Track