Coloplast A/S Class B · OMXCOP:COLO_B
Coloplast A/S Class B — Investor Day (September 2020)
24 slides from Coloplast A/S Class B's investor day presentation, Sep 29, 2020
Slide 1: Sustainable growth leadership
Group Strategy Sustainable growth leadership Stina Coloplast Capital Markets Day 2020 September 29th 2020 Kristian Villumsen, President & CEO Making life easier
Slide 2: Agenda
Coloplast Capital Markets Day 2020 Agenda Kristian Villumsen Deep Dive Calls 14:05 Sustainable growth leadership President & CEO Anders Lonning-Skovgaard October 7th: 14:40 Value creation through profitable growth EVP & CFO Chronic Care Camilla G. Møhl (China & US) 15:00 Talent, Leadership & Culture
Slide 3: What we would like to share with you today
What we would like to share with you today LEAD20 strategy successfully accelerated growth and value creation We are building the consumer healthcare company of the future Our new strategy will drive value creation through Sustainable Growth Leadership with an emphasis on innovation (Clinical Perfor
Slide 4: Our Mission
Our Mission Making life easier for people with intimate healthcare needs_ Stina
Slide 5: We are building the consumer healthcare company of the future
We are building the consumer healthcare company of the future Chronic Care Macro Trends Impact Commercial model Ageing population Superior, clinically differentiated products Healthcare consumerism Digital transformation Consumer preference Data and Clinical digital tools preference Price pressure P
Slide 6: Attractive underlying market growth of 4-5% driven by demographics and emerging markets
Attractive underlying market growth of 4-5% driven by demographics and Emerging markets Interventional Ostomy Continence Urology Wound Care Addressable market size 18-19bn 13-14bn 12-13bn 22-24bn (FY 18/19, DKK) 4-5% 5-6% 3-5% 2-4% Europe Growth in %1 Developed Emerging 4–5% value growth1 #1 #1 #4 #
Slide 7: Our LEAD20 strategy has delivered strong revenue growth, margins and cash returns
Our LEAD20 strategy has successfully delivered strong revenue growth, margins and cash returns Revenue growth EBIT margin Cash return Reported revenue (DKKbn) Reported EBIT margin (%)* Dividends (DKKbn) Organic growth, (%) Share buy-back Pay-out ratio (%)** 33% 32% 31% 31% ~31% 88 86 84 8% 8% 77 4.1
Slide 8: With user needs at the centre we have launched innovative products
With user needs at the centre we have launched innovative products Ostomy Care Continence Care Wound & Skin Care Interventional Urology Page 8
Slide 9: Users still face challenges, hence our Clinical Performance Program
But users still face challenges which is why we initiated our Clinical Performance Program Users are challenged by skin irritation We have made progress on key technologies and urinary tract infections and run clinical studies 91% Intermittent catheter users have of people with a stoma worry about 2
Slide 10: We have built a model that reaches users at scale
We have built a model that reaches users at scale Coloplast Care & DtC presence Direct in 5 largest markets Over 30 countries with a consumer setup ~30% MS ~10% MS ~5% MS 3 million calls with customers a year . 1.8 million consumers MO/TMall in our database ~15% MS ~70% Page 10
Slide 11: LEAD20 was backed by accelerated investments to fuel growth
LEAD20 was backed by accelerated investments to fuel growth & sustain long-term competitive advantage Up to 2% of sales invested annually across … … functions … geographies … and time horizons (15/16-18/19, DKKm) (15/16-18/19, DKKm) Other (IT etc.) Other (R&D and IT etc.) Europe Short term R&D Mediu
Slide 12: In summary, we have delivered on our LEAD20 strategy
In summary, we have delivered on our LEAD20 strategy with significant achievements…but there is still more to do We have launched a number of successful products but we need to deliver the clinical performance program and build more options into the pipeline EU is a stronghold and we continue to see
Slide 13: We will now introduce the new Coloplast Corporate Strategy
We will now introduce the new Coloplast Corporate Strategy Flemming
Slide 14: Our new strategy will drive long-term value creation through revenue and earnings growth
Our new strategy will drive continued long-term value creation through revenue and earnings growth Chronic Care Interventional Wound & Urology Skin Care 7-9% more than30% organic growth p.a. EBIT margin1 Talent, Innovation Leadership & Culture Unparalleled Sustainability efficiency 1) Constant curre
Slide 15: To deliver on Strive25 we have set ourselves up differently
To deliver on Strive25 we have set ourselves up differently Kristian Villumsen Nicolai Buhl Andersen President & CEO EVP Innovation Anders Lonning-Skovgaard Paul Marcun EVP & CFO EVP Growth Allan Rasmussen Camilla G. Møhl EVP Global Operations SVP People & Culture Page 15
Slide 16: Innovation: We will enable growth and deliver superior products
Innovation: We will enable growth and deliver superior products Deliver on the Clinical Performance Program in Chronic Care Continue to deliver new products within existing technologies Build more options into the pipeline Pa ge 16 Page 16
Slide 17: All our business areas will contribute to growth
All our business areas will contribute to growth Main strategic themes • Innovation Chronic Care • China – Build on Market Leading Position • US - Challenger to Leader • Market development Wound & • 3DFit Technology Skin Care • Scale our Chinese and US businesses • Drive profitability • Innovation I
Slide 18: Supported by growth enablers
Supported by growth enablers Main strategic themes Efficiency • Global Operations Plan 5 • Business support Talent, • Growth leadership Leadership • Inclusion and Diversity & Culture • Simplicity • Products and packaging Sustainability • Reduce emissions • Responsible operations Page 18
Slide 19: Supporting sustainable development with emphasis on environmental performance
Supporting sustainable development with a strong emphasis on improving our environmental performance Our mission Making life easier for people with intimate healthcare needs Our 2025 priority Our 2025 priority Reducing Improving emissions products and packaging 0 emissions from scope 1&2 80% packagi
Slide 20: Strive25 will commit up to 2% of sales annually in incremental initiatives
Strive25 will commit up to 2% of sales annually in incremental innovation and commercial initiatives Key strategic initiatives Geographical focus areas Innovation Chronic Care US China Interventional Urology Emerging Consumer & Digital markets Sustainability Page 20
Slide 21: We will actively pursue M&A opportunities as a lever for long-term growth
We will actively pursue M&A opportunities as a lever for long-term growth Opportunity based Systematic screening Channel Portfolio expansion Early stage Large plays expansion & adjacencies technologies Page 21
Slide 22: In summary, Coloplast has a strong growth track record and is well positioned
In summary, Coloplast has delivered a strong growth track record and is well positioned for future value creation 14% 12% Organic revenue growth (%) 12% Reported revenue (DKKbn) 10% 10% 11% 9% 8% 8% 7% 7% 7% 7% 8% 8% 7% 7% 6% 6% 6% 18 16 16 15 14 12 12 11 10 10 8 9 8 7 6 6 6 6 4 4 99/00 00/01 01/02
Slide 23: Short term negatively impacted by Covid19 but we will leverage learnings
Short term we have been negatively impacted by Covid19 but we will leverage learnings going forward Short term implications Long term opportunities • Lower group growth due to cancellation of elective 1. Clinically differentiated products procedures that reduce total cost for payers • Largest uncert
Slide 24: Our mission
Our mission Making life easier for people with intimate healthcare needs Our values Closeness... to better understand Passion... to make a difference Respect and responsibility... to guide us Our vision Setting the global standard for listening and responding Coloplast A/S - Ostomy Care / Continence