Slide 1: Growth overshadowed by challenges in two product categories
Growth overshadowed by challenges in two product categories Getinge Q2 2023 Mattias Perjos, CEO Lars Sandström, CFO
Slide 2: Key takeaways
Key takeaways Q2 2023 • Net sales increased by 1.3% and order intake decreased by 4.5% organically • Quality and supply challenges in Cardiac Assist and Cardiopulmonary impacting top line and adj EBITA margin negatively • Positive Free Cash Flow • Solid financial position 29,756 56 18 54 28,000 16 5
Slide 3: Key activities and events
Key activities and events Q2 2023 Offering and customers • Agreement to acquire High Purity New England • Launch of ISOPRIME isolator with comprehensive connectivity and traceability capabilities • Post Q2: FDA 510(k)-clearance for Servo-air® Lite Sustainability and Quality • Scope 1 & 2 emissions a
Slide 4: Cardiopulmonary – addressing packaging challenges
Cardiopulmonary – addressing packaging challenges Allowed to sell HLS/PLS while working on solutions Hardware, service & other consumables HLS/PLS > 4 BSEK Cardiopulmonary sales 2022 Quadrox Quadrox HLS/PLS ‒ Consumables (Surgical Perfusion and ECMO) with high gross margin ‒ Consumables (ECMO) with
Slide 5: Cardiac Assist – addressing a component issue and field actions
Cardiac Assist – addressing a component issue and field actions Resulting in a significant drop in volumes in Q2, but expecting to improve in H2 2023 Intra-Aortic Balloon Pumps and Service Intra-Aortic < 2 BSEK Balloons Cardiac Assist sales 2022 Intra-Aortic Balloons Intra-Aortic Balloon Pumps ‒ Hig
Slide 6: Solid growth in North America
Solid growth in North America China is the main reason behind the steep decline in APAC Global Americas EMEA APAC -4.5% Organic Order Growth 1.3% Organic Net Sales Growth Getinge │ Presentation │ Q2 Report 2023 July 18, 2023
Slide 7: Outlook 2023
Outlook 2023 Net sales for 2023 are expected to increase by 2-5% organically Getinge │ Presentation │ Q2 Report 2023 July 18, 2023
Slide 8: Weak order intake in Life Science in the quarter
Weak order intake in Life Science in the quarter Order Intake Bridge Q2 2022 – Q2 2023 Organic change -3.7% -14.3% -1.6% -4.5% +1.5% 109 80 -79 7,356 7,246 MSEK Q2 2022 Acute Care Therapies Life Science Surgical Workflows Q2 2023 Getinge │ Presentation │ Q2 Report 2023 July 18, 2023
Slide 9: Net sales negatively impacted by quality and supply challenges
Net sales negatively impacted by quality and supply challenges Net Sales Bridge Q2 2022 – Q2 2023 Organic change -5.4% 0.7% 13.4% 1.3% +7.6% 416 +411 Currency impact, MSEK 85 4 6.8 7,176 Organic growth, % MSEK 6,670 Q2 2022 Acute Care Life Science Surgical Q2 2023 -1.9 Therapies Workflows Capital Re
Slide 10: Adj Gross Margin negatively impacted by mix effects and inflation
Adj Gross Margin negatively impacted by mix effects and inflation Adjusted Gross Profit Bridge Q2 2022 – Q2 2023 Adj GM, % Q2 2023 55.1 35.1 38.1 46.2 (Q2 2022) (58.9) (37.4) (41.7) (50.3) Gross Margin impact -1.2% 6 84 Product and Geo mix -132 Supply, Absorption & Cost inflation MSEK 3,314 3,355 Pr
Slide 11: Financial development
Financial development Getinge │ Presentation │ Q2 Report 2023 July 18, 2023
Slide 12: Adj EBITA margin impacted by lower GP, higher OPEX and negative FX
Adj EBITA margin impacted by lower GP, higher OPEX and negative FX Adjusted EBITA Bridge Q2 2022 – Q2 2023 14.3% 6.9% Margin development -4.0 pp Adj GP -3.3 pp Adj OPEX -461 -0.4 pp FX +0.3 pp D&A -41 -109 +2 MSEK -211 -2 Currency impact, MSEK 956 -85 -13 495 Q2 2022 Adj Gross Adj Selling Adj Admin
Slide 13: Positive Free Cash Flow and Working Capital days below 100
Positive Free Cash Flow and Working Capital days below 100 Capital efficiency a priority Healthy underlying Free Cash Flow WC days below 100 ROIC below trend, but still well above pre 200 pandemic levels 1.0 150 0.7 0.3 0.1 100 11.8% -0.7 0 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q2 2018 Q3 2018 Q4
Slide 14: Solid financial position
Solid financial position Margin of safety when it comes to net debt and leverage Net debt is down significantly in recent years … … and leverage is signalling financial strength 14.0 3.4x 5.0 (2.5 BSEK excl. pension liabilities) 0.9x (0.4x excl pension liabilities) Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1
Slide 15: Summary
Summary Getinge │ Presentation │ Q2 Report 2023 July 18, 2023
Slide 16: Key takeaways
Key takeaways Summary Q2 2023 • Quality and supply challenges in Cardiac Assist and Cardiopulmonary impacting top line and adjusted EBITA margin negatively • Positive Free Cash Flow • Solid financial position • Focus on ‒ addressing the quality challenges ‒ productivity improvements ‒ creating addit
Slide 17: Q&A
Q&A Getinge │ Presentation │ Q2 Report 2023 July 18, 2023
Slide 18: Thank you
Thank you Getinge │ Presentation │ Q2 Report 2023 July 18, 2023
Slide 19: Forward looking information
Forward looking information This document contains forward-looking information based on the current expectations of the Getinge’s management. Although management deems that the expectations presented by such forward-looking information are reasonable, no guarantee can be given that these expectation
Slide 20: Getinge – Passion for Life
“= Se A GETINGE PASSION FOR LIFE