Getinge AB Class B · OMXSTO:GETI_B
Getinge AB Class B — Q1 2002 Earnings Presentation
26 slides from Getinge AB Class B's earnings presentation, 2002
Slide 1: Getinge
Slide 2: Getinge
GETINGE An expanding Medical-Technology group with focus on comprehensive solutions for infection control, surgical systems and care of elderly Customers Acute Care and Long term care disabled people Industry/Laboratories Net Sales 8.1 billion SEK Associates 5 300 Manufacturing 18 production units i
Slide 3: Business Scope
Business Scope Infection Control Extended Care Surgical Systems Business Areas Sterilization Hygiene Systems Surgical tables Patient Handling Disinfection Wound Care Surgical lamps 40% 30% 30% Customer segments Industry Acute care Long term care I0% 60% 30%
Slide 4: Getinge Group Objectives
Getinge Group Objectives Strategic To develop world leading positions in prioritized niches of the health care industry Financial To increase profit before tax with an average of I5% per annum Internally generated cash flow to sustain an external growth rate of I0% per annum
Slide 5: Group Focus 2002 - 2004
Group Focus 2002 - 2004 Infection Control To create a customer focused group from a federation of companies acquired over the last I0 years Extended Care Focus on growth from a solid platform through product innovation, market penetration and geographical expansion Surgical Systems To create a globa
Slide 6: Business Area Extended Care
Business Area Extended Care Hygiene SystemsPatient Wound Care Handling Complete solutions for institutional extended care: Nursing Homes, Hospitals, Assisted Living
Slide 7: Strategic Cornerstones
Strategic Cornerstones Product leadership Complete solutions Positive outcomes
Slide 8: Extended Care
Extended Care Market development Q1 (msek) 2002 2001 Change 2002 2001 Change per market Q1 Q1 3 Mon 3 Mon USA and Canada 249 240 4% 249 240 4% Great Britain 201 207 -3% 201 207 -3% Germany 73 69 6% 73 69 6% Other W Europe 153 161 -5% 153 161 -5% Rest of the world 20 20 -2% 20 20 -2% Business area to
Slide 9: Extended Care
Extended Care Results Q1 (msek) 2002 2001 2002 2001 2001 Q1 Q 1 3 Mon 3 Mon FY Net sales 692 663 692 663 2,656 Gross margin % 53.0% 48.9% 53.0% 48.9% 49.2% Operating cost -240 -210 -240 -210 -886 Operating profit 127 115 127 115 421 Operating margin % 18.3% 17.3% 18.3% 17.3% 15.9%
Slide 10: Business area Infection Control Health Care
Business area Infection Control Health Care Disinfection SterilizationIT-solutions Load handling Complete Systems for: Central Processing Departments, Outpatient Surgery, Wards, Infectious Waste, Microbiology, Pharmacies
Slide 11: Business area Infection Control Industry
Business area Infection Control Industry Sterilizati Washin Water Load on g Treatment Handling Complete Systems for: Production, Research / Laboratories, Animal Care Facilities, Food Industry
Slide 12: Moving up the Value chain
Moving up the Value chain Sterilizer Disinfector Complete Load handling Service Infection Logistics Provider Consumables Control Concept Information Solution Management After Sales service Education
Slide 13: Strategic Cornerstones
Strategic Cornerstones Cost leadership Complete solutions Service infrastructure
Slide 14: Key Activities 2002 - 2003
Key Activities 2002 - 2003 Position the Getinge brand as a competent solutions provider Improved production structure Organizational focus Increased focus on R & D - low temp solutions - material handling - ergonomy Service expansion
Slide 15: Infection Control
Infection Control Market development Q1 (msek) 2002 2001 Change 2002 2001 Change per market Q1 Q1 3 Mon 3 Mon Western Europe 375 344 9% 375 344 9% USA and Canada 325 299 9% 325 299 9% Asia/Australia 66 63 5% 66 63 5% Rest of the world 36 25 46% 36 25 46% Business area total 803 731 10% 803 731 10%
Slide 16: Infection Control
Infection Control Results Q1 (msek) 2002 2001 2002 2001 2001 Q1 Q 1 3 Mon 3 Mon FY Net sales 689 682 689 682 3,204 Gross margin % 36.7% 35.7% 36.7% 35.7% 36.0% Operating cost -222 -192 -222 -192 -833 Operating profit 31 51 31 51 321 Operating margin % 4.4% 7.5% 4.4% 7.5% 10.0%
Slide 17: Business area Surgical Systems
Business area Surgical Systems Surgical Surgical LightsCeiling Service Tables Systems Integrated Solutions for Surgical Workstations and ICU’s
Slide 18: Strategic Cornerstones
Strategic Cornerstones Technological leadership Integrated solutions Excellence in service
Slide 19: Restructuring Program
Restructuring Program Divestiture of OrtoMaquet Production Closure of production facilities in Charleston USA and Oer-Erkenschwick Germany Distribution Merger of sales activities in Germany, USA, UK, France, Italy, Spain, Japan and International Reduced overhead costs Synergies of I40 - I50 MSEK ann
Slide 20: Growth Opportunities in Surgical Systems
Growth Opportunities in Surgical Systems Product development initiatives Market penetration tables USA + Japan I5 --> 30% market shares --> 250 MSEK+ Cross-selling opportunities in most markets Own sales companies in major markets Active participation in the consolidation of the surgical system
Slide 21: Surgical systems
Surgical systems Market development Q1 (msek) 2002 2001 Change 2002 2001 Change per market Q1 Q1 3 Mon 3 Mon USA and Canada 112 100 12% 112 100 12% Great Britain 55 46.2 18% 55 46.2 18% Germany 137 149 -8% 137 149 -8% Other W Europe 169 126 33% 169 126.4 33% Rest of the world 187 120 56% 187 120 56%
Slide 22: Surgical Systems
Surgical Systems Results Q1 (msek) 2002 2001 2002 2001 2001 Q1 Q 1 3 Mon 3 Mon FY Net sales 518 556 518 556 2,223 Gross margin % 45.9% 47.8% 45.9% 47.8% 49.9% Operating cost -205 -205 -205 -205 -881 Operating profit 33 61 33 61 228 Operating margin % 6.3% 10.9% 6.3% 10.9% 10.3%
Slide 23: Getinge AB Results
Getinge AB Results (Msek) 2002 2001 Change 2002 2001 Change Q1 Q1 3 Mon 3 Mon Orders received 2,168 1,986 9% 2,168 1,986 9% Net sales 1,909 1,919 -1% 1,909 1,919 -1% EBITDA 284 315 -10% 284 315 -10% Operating profit 190 228 -17% 190 228 -17% Operating margin 9.9% 11.9% 9.9% 11.9% Profit before tax 1
Slide 24: Getinge AB Balance sheets
Getinge AB Balance sheets (Msek) Assets 2002-03-31 2001-03-31 2001-12-31 Subscribed capital unpaid 490 Intangible fixed assets 2 621 2 762 2 768 Tangible fixed assets 1 283 1 336 1 341 Financial assets 470 415 462 Stock-in-trade 1 784 1 672 1 719 Current receivables 2 702 2 688 2 935 Liquid funds 39
Slide 25: Getinge is well positioned: Short term
Getinge is well positioned Short term Turnaround in the earnings trend for Infection Control Good overall order situation and market outlook for all business areas Incremental synergies in Surgical Systems Improving capital utilization
Slide 26: Getinge is well positioned: Long term
Getinge is well positioned Long term Strong market fundamentals in Extended Care Significant scope for improvement in operating performance within Infection Control Opportunities for growth through acquisitions in a fragmented Surgical Systems market