Embla Medical Hf · OMXCOP:EMBLA
Embla Medical Hf — Q2 2024 Earnings Presentation
13 slides from Embla Medical Hf's earnings presentation, Jul 23, 2024
Slide 1: Q2 2024 Investor Presentation
Q2 2024 Investor Presentation Sveinn Sölvason, President and CEO G. Arna Sveinsdottir, CFO 23 July 2024 0
Slide 2: Key highlights for the quarter
Key highlights for the quarter Q2 Business Performance and Guidance Good progress on our strategic initiatives Organic sales Prosthetics and Neuro Fior & Gentz integration US Medicare coverage growth Orthotics ✓ Continued strong performance ✓ Effective as of 1 Sept 2024 +6% +6% ✓ Leveraging on Össur
Slide 3: Continued strong momentum in EMEA; APAC strong; Americas soft
Continued strong momentum in EMEA driven by Prosthetics & Neuro Orthotics and Patient Care; APAC delivered strongly across segments while sales in Americas were soft APACAPAC Q2: +9% Americas Q2: +1% 20 16% 110 18 11% 10% 9% USDm 16 100 USDm 6% 0% 5% 14 -3% 90 12 1% 0% Q2'23 Q3'23 Q4'23 Q1'24 Q2'24
Slide 4: Launching exciting new innovation in Q2
Launching exciting new innovation in Q2 Icon® bionic knee NAVii® bionic knee Iceross Seal-In® X Locking by College Park by Össur TF & Icelock 850 Hybrid Icon features responsive sensors, NAVii is a fully waterproof bionic knee Build for comfort and stability, the Icelock streamlined setup, and the i
Slide 5: Prosthetics & Neuro Orthotics sales grew +6% organic in Q2
Prosthetics & Neuro Orthotics sales grew +6% organic in Q2 driven by increased sales and fitting of high-end solutions % of total sales Year-to-date sales Year-to-date growth Highlights ▪ EMEA: Continued strong momentum in EMEA driven by volume growth across key European 48% 217M 217 8% countries, m
Slide 6: Bracing & Supports grew moderately at +2% organic in Q2
Bracing & Supports grew moderately at +2% organic in Q2; Strong performance in APAC was offset by softer sales in major markets % of total sales Year-to-date sales Year-to-date growth Highlights ▪ EMEA: Growth in EMEA was modest driven by good performance in high-end solutions such 217M 74 2% as Unl
Slide 7: Patient Care business delivered +9% organic in Q2
Patient Care business delivered +9% organic in Q2 driven by strong contribution from EMEA and good performance in APAC % of total sales Year-to-date sales Year-to-date growth Highlights ▪ EMEA: Strong performance in EMEA driven by strong contribution across markets 35% 217M 143 7% ▪ Americas: Modest
Slide 8: EBITDA margin expanding by 3%-points to 22% for the quarter
EBITDA margin expanding by 3%-points to 22% for the quarter vs. Q2’23; Expansion driven by increasing Gross Profit and modest OPEX growth Gross Profit and Gross Profit Margin Highlights USD million ▪ Gross Profit: Gross profit margin was 64% in the quarter compared to 63% 500 in Q2 2023, partly resu
Slide 9: Cash flow and leverage
Cash flow and leverage Capital expenditures and % of sales Free cash flow and % of sales Net Interest-Bearing Debt and Leverage USD million on actual rate USD million on actual rate USD million on actual rate 15 26 482 470 410 395 387 11 18 11 17 3.3x 10 13% 10 3.1x 3.1x 10 9% 8% 2.9x 2.9x 2.8x 5% 2
Slide 10: Outlook for 2024
Outlook for 2024 Guidance as of Guidance as of 1H 2024 July 2024 April 2024 Sales growth 6-8% +6% 5-8% Organic EBITDA margin Before special ~20% 19% 19-20% items For modeling purposes: Special items 4 4 4 In USD million CAPEX ~4% 5% 3-4% % of sales Tax ~24% 24% 23-24% Effective tax rate 9
Slide 11: Q&A: Key message from Q2 2024
Q&A Key message from Q2 2024 1. Our Growth ‘27 strategy is well on track with strong financial performance; Our FY Guidance is narrowed to 6-8% organic sales growth and ~20% EBITDA 2. Good progress on our strategic initiatives with our F&G acquisition well on track, new innovation launched, and unif
Slide 12: Contact our Investor Relations
Contact our Investor Relations Financial calendar and events 23 July 2024 Interim report Q2 2024 Q2 2024 US virtual road show (Danske Bank) Q2 2024 Presentation/Q&A (HC Andersen Capital) Investor Relations 26 August 2024 Økonomisk Ugebrev Life Science Conference, Copenhagen Klaus Sindahl Head of Inv
Slide 13: Forward-looking statement
Forward-looking statement This presentation contains forward-looking statements, which reflect the Management’s current views with respect to certain future events and financial performance. Although the statements are based upon estimates the Management believes to be reasonable, there is no assura