Slide 1: Q3 interim report 2015/16
Q3 interim report 2015/16 April 1 – June 30 CEO Lars Marcher CFO Michael Højgaard Webcast: August 19 2016
Slide 2: Agenda
Agenda • Q3 highlights • Update on ETView acquisition • Financials and outlook Disclaimer • Q&A Forward-looking statements, especially such relating to future sales and operating profit, are subject to risks and uncertainties. Various factors, many of which are outside Ambu’s control, may cause the
Slide 3: Q3 highlights
Q3 highlights • Solid growth continues • EBIT increased by 68% • Strong cash flow development • Continued momentum on aScope sales • Acquisition of ETView Medical Ltd. • Full-year outlook adjusted upwards • Well on the way to meeting long-term targets before time 3
Slide 4: Q3 performance
Q3 performance Organic growth: 9% Revenue: DKK 517m 550 517m 11% 482m 9% 9% 500 9% 450 7% 5% 400 Q3 LY Q4 LY Q1 Q2 Q3 Q3 LY Q4 LY Q1 Q2 Q3 Gross margin: 53.2% EBIT margin: 18.2% 25% 53.2% 53,0% 18.2% 20% 11.6% 51,0% 15% 48.1% 49,0% 10% 47,0% 5% Q3 LY Q4 LY Q1 Q2 Q3 Q3 LY Q4 LY Q1 Q2 Q3 4
Slide 5: Continued strong sales performance
Continued strong sales performance Q3 organic growth North America 9% • Growth of 9% • aScope sales develop very positively 12% • Core business is low due to fluctuations in sales 2% Europe Q3 revenue split • Growth of 12% • Solid growth across all product groups • Continued strong penetration of aS
Slide 6: Growth driven by Anaesthesia
Growth driven by Anaesthesia Anaesthesia Q3 organic growth • Growth of 18% • Growth driven by three-digit aScope sales 18% • Core anaesthesia in low growth this quarter -2% Patient Monitoring & Diagnostics • Growth of -2% Q3 revenue split • Fluctuating sales hamper Q3 growth • Full-year growth expec
Slide 7: Acquisition of ETView Medical LTD.
Acquisition of ETView Medical LTD. – Strengthening the visualisation portfolio 7
Slide 8: ETView Medical Ltd.
ETView Medical Ltd. – Single-use airway tubes with integrated camera Products Company • Double-lumen airway tubes • ETView Medical founded in 2004. • 90% of sales Listed in Tel Aviv since 2010 • Single-lumen airway tubes • Based in Israel with 16 staff • 10% of sales • Revenue of USD 2.1m in 2015 Ac
Slide 9: Tube + bronchoscope vs. ETView
Two methods for single lung ventilation (SLV) Tube + bronchoscope vs. ETView SLV procedure Tube + bronchoscope ETView • Intubate with analogue tube • Intubate with ETView • Check position of tube before and during surgery with a bronchoscope = Multiple checks during surgery = Continuous monitoring E
Slide 10: Strengthening our position in single-use visualisation in anaesthesia
Strengthening our position in single-use visualisation in anaesthesia Wider product portfolio Faster conversion to single-use King Vision® aScope® ETView Reusable Single-use Boost to revenue New technological platform Product X 10
Slide 11: Financial results and outlook
Financial results and outlook 11
Slide 12: Profitability
Profitability – Strong uptake in profit margins DKKm Q3 Q3 YTD YTD • Gross margin improves 5.1%-pts. 15/16 14/15 15/16 14/15 Revenue 517 482 1,511 1,353 due to mix and efficiency in Gross margin 53.2% 48.1% 51.6% 47.7% operations OPEX -181 -176 -554 -526 • Modest increase in OPEX and EBIT 94 56 225
Slide 13: Cash flow and balance sheet
Cash flow and balance sheet – Significant reduction of working capital DKKm Q3 Q3 YTD YTD • Working capital significantly 15/16 14/15 15/16 14/15 improved to 24% of revenue Cash flow: Operating activities 196 57 268 68 • Main contributor is better Investing activities -24 -23 -62 -80 collections fro
Slide 14: Full-year outlook upgraded
Full-year outlook upgraded – Close to meeting 16/17 targets ahead of time Targets Expected 2015/16 Expected 2015/16 in local currencies in DKK 2016/17 in DKK 19 Aug. 3 May 11 Nov. 19 Aug. 3 May 11 Nov. 2016 2016 2015 2016 2016 2015 Revenue ~9% 8-9% 7-9% - - - DKK ~2bn EBIT margin - - - 16-17% 15-16%
Slide 15: In summary
In summary • High growth continues • Acquisition will further strengthen visualisation business • Expansion of profit margins • Reduction of working capital gives strong cash flow • Full-year outlook adjusted upwards • Launch of share buyback programme 15
Slide 16: rk for life
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Slide 17: Read more at www.ambu.com
Read more at www.ambu.com Contact CEO Lars Marcher, lm@ambu.com or +45 5136 2490 CFO Michael Højgaard, miho@ambu.com or +45 4030 4349 17