GN Store Nord A/S · OMXCOP:GN
GN Store Nord A/S — Q3 2013 Earnings Presentation
75 slides from GN Store Nord A/S's earnings presentation, Nov 15, 2013
Slide 1: Interim Report Q3 2013 & Strategy 2014-2016
INTERIM REPORT Q3 2013 & STRATEGY 2014 - 2016 Conference call Copenhagen, November 15, 2013
Slide 2: Agenda
AGENDA Group highlights Q3 2013 GN ReSound business update GN ReSound SMART status GN Netcom business update 2014 – 2016 strategy GN ReSound GN Netcom Financial outlook Slide 2
Slide 3: Group Financial Highlights Q3 2013
GROUP FINANCIAL HIGHLIGHTS Q3 2013 - 14% ORGANIC GROWTH AND A SIGNIFICANT JUMP IN THE EBITA MARGIN Q3 2013 key highlights • GN Store Nord delivered 14% organic DKK million Q3 2013 Q3 2012 YTD 2013 YTD 2012 growth and revenue of DKK 1,609 million Revenue 1,609 1,494 4,931 4,487 • Group EBITA margin o
Slide 4: Agenda
AGENDA Group highlights Q3 2013 GN ReSound business update GN ReSound SMART status GN Netcom business update 2014 – 2016 strategy GN ReSound GN Netcom Financial outlook Slide 4
Slide 5: GN ReSound Financial Highlights – Q3 2013
GN RESOUND FINANCIAL HIGHLIGHTS – Q3 2013 - FIRMLY ON TRACK TO DELIVER AROUND 20% EBITA MARGIN IN 2013 Q3 2013 key highlights Q3 Q3 YTD YTD • Strong organic growth of 13% driven DKK million 2013 2012 2013 2012 by both businesses Revenue 1,019 946 3,048 2,803 • 13th consecutive quarter with market Or
Slide 6: Market Development – Q3 2013
MARKET DEVELOPMENT – Q3 2013 - THE MARKET CONTINUES TO SHOW SUSTAINABLE GROWTH BUT WITH QUARTERLY FLUCTUATIONS Market comments Estimated Q3 unit growth • Global unit growth is estimated to be 5 - 6% in Q3 8% 2013 and around 4 - 5% 2013 YTD 5 - 6% 5% • The North American unit growth ended at 5% aroun
Slide 7: Innovations Drive Growth
INNOVATIONS DRIVE GROWTH - A NEW BREAKTHROUGH PRODUCT TO FUEL GROWTH IN 2014 GN ReSound organic growth Launch of Launch of 15% ReSound LiNXTM ReSound VersoTM Launch of 10% ReSound AleraTM 5% 0% -5% -10% -15% Slide 7 GN Store Nord GN ReSound GN Netcom
Slide 8: Say Hello to the World's Smartest Hearing Aid
”SAY HELLO TO THE WORLD’S SMARTEST HEARING AID” - THE NEXT BREAKTHROUGH TECHNOLOGY IN THE HEARING AID INDUSTRY ReSound LiNXTM • The world’s first Made for iPhone hearing aid with direct stereo sound streaming • Taking Surround Sound by ReSound™ to an unprecedented level with new premium audiological
Slide 9: Agenda
AGENDA Group highlights Q3 2013 GN ReSound business update GN ReSound SMART status GN Netcom business update 2014 – 2016 strategy GN ReSound GN Netcom Financial outlook Slide 9
Slide 10: Update on the SMART Restructuring Program
UPDATE ON THE SMART RESTRUCTURING PROGRAM - THE SMART RESTRUCTURING PROGRAM IS VIRTUALLY COMPLETED • The SMART restructuring program is now virtually completed and on track to deliver EBITA improvements in line with the communicated targets. Important milestones have been reached, including the comp
Slide 11: SMART Restructuring – Complexity Reduction
UPDATE ON THE SMART RESTRUCTURING PROGRAM - COMPLEXITY REDUCTION EBITA improvement Project status Lever Status comments target (DKK)**) (indicative) SKU*) reduction • Implementation finalized late Q1 2013 - simplification of product portfolio 20 Million Packaging • Implementation finalized during Q4
Slide 12: SMART Restructuring – Globalize Operations
UPDATE ON THE SMART RESTRUCTURING PROGRAM - GLOBALIZE OPERATIONS EBITA improvement Project status Lever Status comments target (DKK)*) (indicative) Further offshoring • Implementation finalized during Q3 2013 20% - leverage on Chinese manufacturing site 50 - 60 Million Freight costs • Optimization f
Slide 13: SMART Restructuring – Streamlined Go-to-Market
UPDATE ON THE SMART RESTRUCTURING PROGRAM - STREAMLINED GO-TO-MARKET EBITA improvement Project status Lever Status comments target (DKK)*) (indicative) Go-to-market • Implementation finalized in Q2 2013 20% - blueprint for structure of sales subsidiaries • Online services available in major markets
Slide 14: Agenda
AGENDA Group highlights Q3 2013 GN ReSound business update GN ReSound SMART status GN Netcom business update 2014 – 2016 strategy GN ReSound GN Netcom Financial outlook Slide 14
Slide 15: GN Netcom Financial Highlights – Q3 2013
GN NETCOM FINANCIAL HIGHLIGHTS – Q3 2013 - DELIVERING ORGANIC GROWTH OF 17% AND HIGHEST Q3 EBITA EVER Q3 2013 key highlights Q3 Q3 YTD YTD • Organic growth of 17% driven by both DKK million 2013 2012 2013 2012 CC&O and Mobile Revenue 590 548 1,883 1,684 • The decline in the gross margin is Organic G
Slide 16: CC&O Revenue Development
CC&O REVENUE DEVELOPMENT - ACCELERATING GROWTH IN CC&O DRIVEN BY UNIFIED COMMUNICATIONS Key comments CC&O organic growth development • The total organic growth in CC&O accelerated 20% 17% to 17% bringing CC&O revenue to DKK 382 15% million 9% 10% 6% 8% 6% • Revenue from UC enabled headsets increased
Slide 17: New Key CC&O Product Launch
NEW KEY CC&O PRODUCT LAUNCH - LAUNCHING THE JABRA BIZ 2300 Jabra BIZ 2300 • Introducing the Jabra BIZ 2300, a new key CC&O product designed especially for call centers • The Jabra BIZ 2300 to be launched in the mid- to high-end price segments • The redesigned microphone is optimized to eliminate bre
Slide 18: Sustainable Growth in the Mobile Business
SUSTAINABLE GROWTH IN THE MOBILE BUSINESS - 15% ORGANIC GROWTH IN Q3 2013 WITH NO POSITIVE IMPACT FROM CHINA Key comments Mobile organic growth • The Mobile business generated organic Organic growth (excl. OEM) growth of 15% led by strong double-digit 70% Average (excl. OEM) growth rates in North Am
Slide 19: Strategic Broadening of the Bluetooth Speaker Family
STRATEGIC BROADENING OF THE BLUETOOTH SPEAKER FAMILY - CONSTANT INNOVATIVE PRODUCT PORTFOLIO UPGRADES Jabra SOLEMATETM MAX • High-definition Dolby® enhanced sound • Launch: Q4 2013 Jabra SOLEMATETM Mini • Powerful sound – in a compact design • Launch: Q3 2013 Slide 19 GN Store Nord GN ReSound GN Net
Slide 20: Agenda
AGENDA Group highlights Q3 2013 GN ReSound business update GN ReSound SMART status GN Netcom business update 2014 – 2016 strategy GN ReSound GN Netcom Financial outlook Slide 20
Slide 21: Innovation and Growth
INNOVATION AND GROWTH - Innovation and commercialization to drive strong top line
Slide 22: New Agenda and New Financial Targets
NEW AGENDA AND NEW FINANCIAL TARGETS - DRIVE SUSTAINABLE AND PROFITABLE GROWTH • During 2014 - 2016, GN sets out to grow revenue by more than 30% – adding more than DKK 2 billion to the 2013 revenue • To ensure a continued focus on activities which drive shareholder value, GN adds Return on Invested
Slide 23: Same Formula for Success – Evolution of Focus
SAME FORMULA FOR SUCCESS – EVOLUTION OF FOCUS - SUSTAINABLE AND PROFITABLE GROWTH Key comments Evolution of focus • The 2014 - 2016 strategy is based on Productivity increase the current formula for success: • GN will drive sustainable and profitable growth through innovative Restructuring Commercia
Slide 24: The GN Innovation Powerhouse
THE GN INNOVATION POWERHOUSE - GROWTH INITIATIVES IN GN RESOUND AND GN NETCOM FOUNDED ON ATTRACTIVE MARKETS AND THREE GN ENABLERS Sustainable and profitable growth Strategic initiatives 2014 - 2016 Growth initiatives in GN ReSound and GN Netcom Enablers Enhancing Maintaining leading edge Productivit
Slide 25: Agenda
AGENDA Group highlights Q3 2013 GN ReSound business update GN ReSound SMART status GN Netcom business update 2014 – 2016 strategy GN ReSound GN Netcom Financial outlook Slide 25
Slide 26: GN ReSound to grow significantly faster than the market
GN ReSound to grow significantly faster than the market… …based on accelerated commercialization and innovation... …while being among the most profitable players in the industry DEFINE AND DRIVE THE FUTURE OF HEARING
Slide 27: Expected Market Development – Hearing Aids
EXPECTED MARKET DEVELOPMENT – HEARING AIDS - STABLE UNIT AND VALUE GROWTH EXPECTED FROM 2014 - 2016 Key comments Hearing aid market projection • The total hearing aid market is estimated to 3-5% p.a. (1)-(2)% p.a. DKK 26 - 29 billion comprise around 11 million units in 2013 Around DKK reflecting gro
Slide 28: Expected Market Development – Diagnostics
EXPECTED MARKET DEVELOPMENT – DIAGNOSTICS - 2 - 4% VALUE GROWTH EXPECTED IN THE MARKET FOR DIAGNOSTICS Key comments Diagnostics market DKK 2.2 - • GN Otometrics operates in the diagnostic 2.4 billion market, and the 2012 market is estimated to Around DKK around DKK 2 billion 2 billion • The industry
Slide 29: GN ReSound Is Uniquely Positioned for the Next Step
GN RESOUND IS UNIQUELY POSITIONED FOR THE NEXT STEP ON ITS JOURNEY ReSound EBITA LiNXTM - 3rd generation Around 20% 2.4 GHz EBITA margin ReSound 900 VersoTM - 2nd 800 generation 2.4 GHz 700 Divestment 600 of GN Introducing ReSound ReSound SMART 500 blocked AleraTM – 1st 2.4 GHz 400 product New board
Slide 30: Four Growth Initiatives Founded on Attractive Markets
FOUR GROWTH INITIATIVES FOUNDED ON ATTRACTIVE MARKETS AND THE THREE GN ENABLERS Strategic initiatives • Increase marketing and sales efforts • Gain preferred supplier status • Grow GN Otometrics into new channels and offerings • Accelerate innovative R&D Enablers Enhancing Maintaining leading edge P
Slide 31: Increase Marketing and Sales Efforts
INCREASE MARKETING AND SALES EFFORTS - COMMERCIALIZATION OF INNOVATIONS Key comments Key initiatives • GN ReSound will significantly increase marketing and sales efforts Increase • With the launch of the breakthrough hearing Professionalize market tests aid, ReSound LiNXTM*, and further marketing an
Slide 32: Gain Preferred Supplier Status
GAIN PREFERRED SUPPLIER STATUS - BUILDING PARTNERSHIPS AND STRATEGIC RELATIONS Key factors to gain preferred Key comments supplier status • GN ReSound has become an attractive long- term partner: Technological leadership, differentiation and refraining from vertical Refraining integration Technologi
Slide 33: Grow GN Otometrics into New Channels and Offerings
GROW GN OTOMETRICS INTO NEW CHANNELS AND OFFERINGS - STRONG GROWTH POTENTIAL FOR GN OTOMETRICS Key comments Growth opportunities • GN Otometrics’ strong growth will be maintained through a number of new initiatives Establish New product • GN Otometrics will continue to develop new offerings new sale
Slide 34: Accelerate Innovative R&D
ACCELERATE INNOVATIVE R&D - ADVANCING THE TECHNOLOGY LEADERSHIP • GN ReSound sees a potential for continuing to develop unique and superior hearing aids by further accelerating innovative R&D • The technological lead and fast-moving development within wireless connectivity in hearing aids is a uniqu
Slide 35: Agenda
AGENDA Group highlights Q3 2013 GN ReSound business update GN ReSound SMART status GN Netcom business update 2014 – 2016 strategy GN ReSound GN Netcom Financial outlook Slide 35
Slide 36: GN Netcom to grow double-digit annually in 2014-2016
GN Netcom to grow double-digit annually in 2014 - 2016… …based on accelerated commercialization and innovation… …while continuing to narrow the EBITA margin gap to the main competitor ASPIRING TO BE PREFERRED CHOICE IN HANDS-FREE AUDIO
Slide 37: Expected Market Development – CC&O
EXPECTED MARKET DEVELOPMENT – CC&O - STRONG DOUBLE-DIGIT MARKET GROWTH Key comments CC&O market development • The total CC&O market is estimated to UC Traditional CC&O comprise around DKK 5.6 billion in 2012*, and DKK billion GN Netcom estimates its market share to be 9 - 10 approximately 26% • Base
Slide 38: Expected Market Development – Mobile
EXPECTED MARKET DEVELOPMENT – MOBILE - EXPECTED VALUE GROWTH OF 17 - 18% IN THE COMING YEARS Key comments Mobile market development • The Mobile business is operating in a highly Music and voice Traditional Mobile fragmented market DKK billion 19 • The market can be separated into the voice centric
Slide 39: GN Netcom Is in a Unique Position to Drive Profitable Growth
GN NETCOM IS IN A UNIQUE POSITION TO DRIVE ATTRACTIVE PROFITABLE GROWTH Attractive EBITA market Around 18% growth EBITA margin 500 Mobile Cutting edge business product 450 becomes development 400 profitable 350 Embarking 300 on UC growth 250 200 Asset-light Introducing business 150 model the FAST 10
Slide 40: Five Commercial Growth Initiatives
FIVE COMMERCIAL GROWTH INITIATIVES FOUNDED ON ATTRACTIVE MARKETS AND THE THREE GN ENABLERS Strategic initiatives • Increase marketing and sales efforts • Key markets initiatives (North America and China) • Deeper and broader customer focus • Stronger online presence, including digital marketing • Br
Slide 41: Increase Marketing and Sales Efforts
INCREASE MARKETING AND SALES EFFORTS - COMMERCIALIZATION OF INNOVATIONS Key comments Key initiatives • GN Netcom will strengthen its marketing and sales efforts, initiating market experiments and initiatives to get closer to the customer Digital “Go Wireless” • The brand profile will be more visible
Slide 42: Key Markets Initiatives (North America and China)
KEY MARKETS INITIATIVES (NORTH AMERICA AND CHINA) - CAPTURE SIGNIFICANT GROWTH OPPORTUNITIES North America China In North America, GN Netcom’s CC&O (UC and The markets for the Mobile business (traditional traditional CC&O) business has significant potential Mobile and Music) in China continues to to
Slide 43: Deeper and Broader Customer Focus
DEEPER AND BROADER CUSTOMER FOCUS - CAPTURING NEW BUSINESS SEGMENTS Key comments Initiatives to broaden customer focus • For the CC&O business, GN Netcom will deepen and broaden its customer focus • The CC&O sales team will be significantly Partner expanded to capture the attractive growth recruit o
Slide 44: Stronger Online Presence
STRONGER ONLINE PRESENCE - GN NETCOM’S GO-TO-MARKET APPROACH IS BECOMING INCREASINGLY DIGITAL Key comments Exploit online sales channel • Another growth initiative across CC&O and Mobile is the advancement of the online sales channel • Jabra will implement an extension of the existing partner progra
Slide 45: Broaden Music Portfolio
BROADEN MUSIC PORTFOLIO - GAIN SHARE IN GN NETCOM’S FASTEST-GROWING SEGMENT • GN Netcom entered the segment where music and voice integrate in Q4 2012 with the launch of the distinct Jabra SOLEMATETM • In 2013, the portfolio was expanded with other innovative products, including the Jabra Revo • By
Slide 46: Agenda
AGENDA Group highlights Q3 2013 GN ReSound business update GN ReSound SMART status GN Netcom business update 2014 – 2016 strategy GN ReSound GN Netcom Financial outlook Slide 46
Slide 47: Updated Financial Guidance 2013
UPDATED FINANCIAL GUIDANCE 2013 - UPGRADING THE GN RESOUND GUIDANCE GN ReSound GN Netcom • As a result of the highly encouraging revenue • GN Netcom is narrowing the 2013 organic momentum, GN ReSound is upgrading the growth42% guidance was from previously “17 - 20%” to captured by all financial guid
Slide 48: GN ReSound Financial Targets for 2016
GN RESOUND FINANCIAL TARGETS FOR 2016 - GROWING SIGNIFICANTLY FASTER THAN THE MARKET AT TOP-TIER PROFITABILITY • GN ReSound targets an annual average organic growth that exceeds market value growth by more than 3%-points • The revenue growth target is deliberately open-ended as GN sees potential ups
Slide 49: GN Netcom Financial Targets for 2016
GN NETCOM FINANCIAL TARGETS FOR 2016 - GROWING ANNUAL REVENUE AT A DOUBLE-DIGIT LEVEL AND BUILDING SCALE FOR LONG TERM MARGIN IN LINE WITH MAIN COMPETITOR • GN Netcom targets an annual average organic growth of more than 10% from 2014 - 2016 • The revenue growth target is deliberately open-ended as
Slide 50: GN Store Nord Targets 2016
GN STORE NORD TARGETS 2016 Financial targets GN ReSound GN Netcom GN Store Nord More than 3%-points above Organic growth (2014-16 average) market growth More than 10% 2016 EBITA margin* In line with top-tier competitors 18% - 19% Improve by more than 2016 ROIC* 4%-points from 14 - 15% in 2013 More t
Slide 51: Innovation and Growth
INNOVATION AND GROWTH - Innovation and commercialization to drive strong top line
Slide 52: Safe Harbor Statement
SAFE HARBOR STATEMENT The forward-looking statements in this presentation reflect management's current expectations of certain future events and financial results. Statements regarding the future are, of course, subject to risks and uncertainties which may result in material deviations from the outl
Slide 53: Q&A
Q&A Slide 53
Slide 54: Appendix
APPENDIX Financial update Slide 54
Slide 55: Upcoming Events
UPCOMING EVENTS Date Event Location November 18, 2013 Q3 roadshow Copenhagen November 19, 2013 Q3 roadshow London November 20, 2013 Q3 roadshow New York November 21, 2013 Jefferies Healthcare Conference London November 25, 2013 Q3 roadshow Frankfurt November 26, 2013 Q3 roadshow Paris November 27, 2
Slide 56: GN Store Nord Group Structure
GN STORE NORD GROUP STRUCTURE - Q3 2013 ̴ 55% of revenue ̴ 8% of revenue ̴ 24% of revenue ̴ 13% of revenue Slide 56 GN Store Nord GN ReSound GN Netcom
Slide 57: GN Store Nord – Income Statement
GN STORE NORD – INCOME STATEMENT Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 DKK million 2012 2012 2012 2012 2012 2013 2013 2013 Revenue 1,478 1,515 1,494 1,764 6,251 1,627 1,695 1,609 Gross margin* 59.3% 59.3% 60.0% 59.9% 59.7% 59.6% 60.8% 60.7% SG&A, R&D etc.* (711) (714) (702) (756) (2,883) (711) (688) (683) EBITA*
Slide 58: GN Store Nord – Balance Sheet
GN STORE NORD – BALANCE SHEET Balance sheet (DKK Q1 Q2 Q3 FY Q1 Q2 Q3 million) 2012 2012 2012 2012 2013 2013 2013 Goodwill 2,970 3,114 3,052 2,960 3,059 2,984 2,902 Other intangible assets 1,194 1,208 1,206 1,274 1,325 1,345 1,373 Tangible & other non- 1,557 1,642 1,668 1,728 1,812 1,884 1,973 curre
Slide 59: GN ReSound – Balance Sheet & Cash Flow
GN RESOUND – BALANCE SHEET & CASH FLOW Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 Balance sheet (DKK million) 2012 2012 2012 2012 2012 2013 2013 2013 Inventories 448 426 405 347 347 348 363 387 Trade receivables 857 876 900 979 979 972 973 978 Trade payables 197 199 203 233 233 183 217 199 Cash flow (DKK million) Cash
Slide 60: GN Netcom – Balance Sheet & Cash Flow
GN NETCOM – BALANCE SHEET & CASH FLOW Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 Balance sheet (DKK million) 2012 2012 2012 2012 2012 2013 2013 2013 Inventories 87 105 122 124 124 112 172 208 Trade receivables 339 354 392 369 369 470 487 480 Trade payables 171 181 186 237 237 187 270 217 Cash flow (DKK million) Cash f
Slide 61: 3D Scanner
3D SCANNER - EXPECTED LIMITED INITIAL LAUNCH IN LATE 2013 • At AudiologyNOW! 2013, GN Store Nord demonstrated a new unique and innovative 3D ear scanner • For the end user, the ear scanner enables superior fit and quality of the final hearing aid while at the same time avoiding discomfort from the s
Slide 62: GN ReSound – Brand Strategy
GN RESOUND - 3 BRAND STRATEGY Revenue GN ReSound split • ReSound is the premium wholesale brand in the GN ReSound group Hearing Instruments • ReSound is sold in more than 80 countries worldwide • Beltone is recognized as the retail brand and in markets where differentiation is required it is also a
Slide 63: GN ReSound's Product Portfolio
GN RESOUND’S PRODUCT PORTFOLIO - THE MOST DISTINCT AND UPDATED PRODUCT PORTFOLIO ON THE MARKET Life style/ Super power Segment Performance Tinnitus Pediatrics Design / High power ReSound ReSound ReSound ReSound ReSound Top VersoTM 9 VersoTM 9 IIC VersoTM TS 9 VersoTM 9 BTE* UpTM 9** Premium ReSound
Slide 64: Beltone's Product Portfolio
BELTONE’S PRODUCT PORTFOLIO - THE MOST DISTINCT AND UPDATED PRODUCT PORTFOLIO ON THE MARKET Life style/ Super power Segment Performance Design / High power Beltone Beltone Top PromiseTM 17 Micro-InvisaTM 17 Premium Beltone Beltone Micro-InvisaTM 9 Plus PromiseTM 9 Beltone PrimeTM Plus Basic Beltone
Slide 65: ReSound Verso – Clear Differentiation Between Price Points
RESOUND VERSOTM - CLEAR DIFFERENTIATION BETWEEN PRICE POINTS RS VersoTM 9 RS VersoTM 7 RS VersoTM 5 Premium Plus Basic 2.4 GHz ear-to-ear 2.4 GHz ear-to-ear 2.4 GHz ear-to-ear Binaural Fusion Binaural Synchronization Binaural Coordination Binaural Directionality Natural Directionality II Synchronize
Slide 66: GN Netcom and Jabra
GN NETCOM AND JABRA Entity name and brand Business areas LEGAL ENTITY: GN Netcom CC&O (B2B) Mobile (B2C) BRAND NAME: ~65% of revenue ~35% of revenue Slide 66 GN Store Nord GN ReSound GN Netcom
Slide 67: What Is Unified Communications
WHAT IS UNIFIED COMMUNICATIONS - TRADITIONAL OFFICE STRUCTURE Instant Video Web E-mail and Audio Messaging Voicemail Conferencing Telephony Conferencing Calendar Conferencing User User User Experience User Experience Experience Experience User User User Experience Experience Experience Technology Te
Slide 68: UC Integrates Communication Platforms
UC INTEGRATES COMMUNICATION PLATFORMS - SIGNIFICANT COST REDUCTIONS AND PRODUCTIVITY GAINS Telephony and Instant Voicemail Unified Messaging E-mail/ Conferencing: Calendar Audio, Video, Web Technology platform Soft & hardware Slide 68 GN Store Nord GN ReSound GN Netcom
Slide 69: Analysis of the UC Opportunity
ANALYSIS OF THE UC OPPORTUNITY - ACCELERATION OF DEMAND FOR UC HEADSETS AS CORPORATES GO THROUGH THE UC IMPLEMENTATION PHASE Typical UC implementation phase • Companies’ adoption of UC will go through Users Number of licenses three phases: Number of headsets 1. UC is primarily used for instant messa
Slide 70: CC&O Market Projections
CC&O MARKET PROJECTIONS - UC IS EXPECTED TO DRIVE SIGNIFICANT MARKET GROWTH CC&O market projections • The growth prospects in the CC&O business is attractive UC Traditional CC&O • The leading UC providers indicate attractive market prospects: DKK billion 9 - 10 • Microsoft reported ”nearly 30%” grow
Slide 71: ROIC Development
ROIC DEVELOPMENT GN ReSound ROIC* GN Netcom ROIC* 14% 80% 12% 58% 12% 60% 9% 10% 8% 57% 40% 49% 8% 6% 20% 36% 6% 7% 4% 0% -7% 4% 2% -20% -24% 0% -40% 2008 2009 2010 2011 2012 2013 YTD 2008 2009 2010 2011 2012 2013 YTD GN ReSound underlying performance GN Netcom underlying performance DKK DKK DKK DKK
Slide 72: Lars Viksmoen – CEO, GN ReSound
LARS VIKSMOEN - CEO, GN RESOUND Resume • Born: 1949 • Nationality: Norwegian • Education: Medical Doctor, University of Oslo (1974) • Professionel experience: • Biotech Pharmacon ASA, CEO (2006 - 2010) • Merck & Co. Inc., various positions (1986 - 2006) • Surgical training, various positions (1975 -
Slide 73: Mogens Elsberg – CEO, GN Netcom
MOGENS ELSBERG - CEO, GN NETCOM Resume • Born: 1955 • Nationality: Danish • Education: MSc in Engineering, Technical University of Denmark • Professionel experience: • Pensio, Interim CEO (2009) • Microsoft Dynamics, General Manager (2007 - 2008) • Navision, General Manager (2005 - 2007) • Aston Bus
Slide 74: Anders Boyer – CFO, GN Store Nord & GN ReSound
ANDERS BOYER - CFO, GN STORE NORD & GN RESOUND Resume • Born: 1970 • Nationality: Danish • Education: MSc Finance and Accounting, Copenhagen Business School • Professionel experience: • Member of the Board of Directors of Pandora A/S, Chairman of the Audit Committee (Q1 2012) • ISS, Regional Directo
Slide 75: IR Contact
IR CONTACT Michael Bjergby Senior Director, Investor Relations, Communications, CSR & Treasury Dir. +45 45 75 02 92 Mob. +45 21 57 81 44 E-mail: mbjergby@gn.com GN Store Nord – Headquarters GN Store Nord A/S Lautrupbjerg 7 DK-2750 Ballerup Tel. +45 45 75 00 00 E-mail: investor@gn.com Slide 75 GN Sto