Medcap Ab · OMXSTO:MCAP

Medcap Ab — Q4 2024 Earnings Presentation

22 slides from Medcap Ab's earnings presentation, January 2025

  1. Slide 1: Q4 Presentation 2024

    GD, ae i MEDCAP INVESTOR IN LIFE SCIENCE Q4 Presentation 2024

  2. Slide 2: We create value in Life Science and contribute to improved quality of life

    We create value in Life Science and contribute to improved quality of life 2

  3. Slide 3: MedCap Snapshot

    MedCap Snapshot Revenue, Business Areas Strategy million SEK Assistive MedTech Specialty Buy & Build Tech Pharma 1 807 A long-term home for well run Life Science companies EBITA margin Employees & locations EBITA CAGR 5 years 17% 556 23% 3

  4. Slide 4: Sales and EBITA rolling 12 months by quarter

    Sales and EBITA rolling 12 months by quarter The Group’s net sales LTM (MSEK) The Group’s EBITDA and EBITA (line) LTM (MSEK) excluding one-time effects excluding one-time effects 4

  5. Slide 5: MedCap | An active investor in Life Science companies

    MedCap | An active investor in Life Science companies Last Twelve Months, Q4 2024 Sales by Business Area Sales by Market RoW 4% Specialty Pharma Europe 24% 21% Assistive Tech 1 807 42% Sweden MSEK 50% Nordic MedTech 25% 34% 5

  6. Slide 6: MedCap Business Areas

    MedCap Business Areas Assistive Tech Med Tech Specialty Pharma Cognition, Alarms, Accessibility Diagnostic ECG Probiotics, Nutrition, Pharma CDMO Communication Packaging Digitalizing work-flow Contract manufacturing Nordic Sales, Pharma Sterile & non-sterile portfolio, Non-license liquid pharma prod

  7. Slide 7: Group Highlights Q4

    Group Highlights Q4 • Sales growth 4%; organic -2% Q4 2024 2024 (4% organic growth excl. Specialty Pharma with high comparison figures) Net Sales • Solid sales in Assistive Tech and MedTech; (MSEK) 474.2 +4% 1 806.7 +14% Specialty Pharma weaker as expected • Sales growth in Q4 did not reach last yea

  8. Slide 8: Sales and EBITA by quarter

    Sales and EBITA by quarter +4% Net sales per quarter (MSEK) 474 500 457 462 458 450 413 Q4-24 2024 400 380 386 365 350 323 Net Sales 300 258 263 284 +4% +14% 250 211 206 201 227 223 233 242 growth 202 200 160 175 Adj. EBITA 150 -27% +5% 100 growth 50 0 * Q3 Q4 Q1 Q2 Q3 Q4 '20 Q1 Q2 Q3 Q4 '21 Q1 Q2 Q

  9. Slide 9: Assistive Tech Q4

    Assistive Tech Q4 • Good sales driven by both acquisitions and solid demand • EBITA decline -8%, due to sales mix, one-time Q4 2024 2024 costs as well as integration and resources to continue the growth of the businesses Net Sales (MSEK) 214.8 +19% 767.2 +30% • EBITA margin at 22%; YTD 25% and consi

  10. Slide 10: Assistive Tech | Sales and EBITA rolling 12 months by quarter

    Assistive Tech | Sales and EBITA rolling 12 months by quarter Net Sales and EBITA-margin – Rolling 12 months MSEK 800 767 50% ▪ R12 Net sales +30%, primarily 734 driven by good demand and 45% 700 692 acquisitions 636 40% ▪ R12 EBITA +35% 591 600 35% 492 30% 500 25% 420 400 20% 345 15% 300 270 230 23

  11. Slide 11: MedTech Q4

    MedTech Q4 • Solid demand and 4% revenue growth, although lower growth rate than previous quarters • EBITA decline -23% Q4 2024 2024 • EBITA margin at 12%; YTD 15% and considered Net Sales more representative (MSEK) 153.2 +4% 607.7 +19% • EBITA and margin impacted by write-downs and retroactive adju

  12. Slide 12: MedTech | Sales and EBITA rolling 12 months by quarter

    MedTech | Sales and EBITA rolling 12 months by quarter Net Sales and EBITA-margin – Rolling 12 months MSEK 650 25% ▪ R12 Net sales +19%, organic 603 608 579 growth driven by good demand and 552 acquisition of SurgiCube and Toul 550 Meditech 512 20% 488 465 ▪ R12 EBITA +19% 453 444 450 427 413 369 39

  13. Slide 13: Specialty Pharma Q4

    Specialty Pharma Q4 • EBITA decline -69% • EBITA margin at 6%; YTD 9% Q4 2024 2024 • Registered pharma portfolio represented 48% of Net Sales sales (MSEK) 106.2 -17% 431.8 -11% • Decline of top 8 products by 13% • Lost 10.7 MSEK royalties from UK Melatonin EBITA 6.7 -69% 40.3 -56% (MSEK) outlicensin

  14. Slide 14: Specialty Pharma | Sales and EBITA rolling 12 months by quarter

    Specialty Pharma | Sales and EBITA rolling 12 months by quarter Net Sales and EBITA-margin – Rolling 12 months MSEK 600 30% ▪ R12 Net sales -11% ▪ R12 EBITA -56% 500 485 481 25% 474 469 446 453 431 432 397 400 20% 371 352 335 331 329 315 317 309 300 15% 200 10% 100 5% 0 0% Excluding one-time effects

  15. Slide 15: Sales development for portfolio of Specialty Pharma products

    Sales development for portfolio of Specialty Pharma products Portfolio of attractive products Sales development for selection of key products R12 MSEK Attractive platform of own & partner products, -3% top 8 (R12 months) pipeline with new product launches, established expertise in product developmen

  16. Slide 16: Sales and EBITA rolling 12 months by quarter

    Sales and EBITA rolling 12 months by quarter MSEK (Net sales) MSEK (EBITA) 2,00 0 Sales CAGR: 19% 400 1,900 EBITA CAGR: 23% 1,789 1,807 1,800 1,740 1,669 350 1,700 1,587 1,600 328 331 1,5 00 1,4 54 319 300 306 1,4 00 1,331 291 1,3 00 1,229 250 1,200 260 1,111 1,100 1,0 46 1,0 07 23 2 1,0 00 956 200

  17. Slide 17: Working Capital and Cash Flow

    Working Capital and Cash Flow Working capital/Net sales R12 Operating cash flow R12 410.0 360.0 28% 26% 310.0 24% 260.0 22% 20% 210.0 18% 160.0 16% 110.0 14% 12% 60.0 Q4-21 Q1-22 Q2-22 Q4-22 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 Q4-24 Q4-21 Q1-22 Q2-22 Q4-22 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 Q

  18. Slide 18: Financial Targets

    Financial Targets Annual EBITA Growth Return on Equity Net debt / EBITDA Compounded Average Growth Rate [MSEK] >15% >20% <3x 400 3 350 25% 2.5 300 20% 2 250 1.5 15% 200 1 10% 150 0.5 100 5% 0 50 0% 2019 2020 2021 2022 2023 2024 -0.5 0 2019 2020 2021 2022 2023 2024 -1 18

  19. Slide 19: How we track our financial targets in our businesses

    How we track our financial targets in our businesses Financial Objectives Key Metrics In Our Businesses Organic and acquisition driven sales growth (depending on maturity of business) >15% EBITA growth (CAGR) Profit margins Core Working Capital / Sales, Cash Conversion, EBITA / (Fixed assets & WC) R

  20. Slide 20: Our Model

    Our Model Life Science Entrepreneurship Group Scale Sector focus Decentralized & local responsibility Business development Network of expertise Integrity of acquired brands Merger & Acquisitions Knowledge sharing Quick and agile Governance – ESG Market insight Long-term mindset Financing 20

  21. Slide 21: Investment strategy

    Investment strategy Scope What we look for Life Science Assistive | MedTech | Pharma Product / Software / Know-how Value creation journey Europe Clear value proposition Scalable business Add-ons globally M&A possibilities Market fundamentals ESG Innovative PEOPLE Small / Mid-size Businesses Entrepre

  22. Slide 22: Thank You! Q&A

    Thank You ! Q&A Anders Dahlberg Kristina Ekblad CEO CFO anders,dahlberg@medcap,se kristina,ekblad@medcap,se +46 704 269 262 +46 703 322 167 22

MedCap — Q4 2024 Earnings Presentation on 6ix