Coltene Holding Ag · SIX:CLTN
Coltene — Medisize Holding — H1 2007 Earnings Presentation
13 slides from Coltene's earnings presentation, 2007
Slide 1: Medisize Holding AG Half-Year Results 2007
Medisize Holding AG Half-Year Results - 2007 1 Safe Harbour statement Before we may start with the presentations, we need to remind you that the information made available in this conference call may include forward-looking statements that reflect the intentions, beliefs or current expectations and
Slide 2: Highlights 1HY2007
Content • Group Review • Dental Group • Medical Group • Group Financials • Strengthened Senior Management • Outlook • Q&A 3 Highlights 1HY2007 • Sales up 6.8% to CHF 136.2 million • EBIT up 10.1% to CHF 16.2 million • Net income increases 23.2% to CHFm 12.4 • Free cash flow* raised by 5.2% to CHFm 1
Slide 3: Group Strategy, confirmed and refined
Targeting Dynamic Healthcare Markets Annual Growth Rate 15% OEM Medical Disposable Devices Dental USD 3.5 bn USD 14 bn 15% 5% Growth 10% Medical Pharma Dental Disposable Primary Consumables 5% Devices Packaging USD 9 bn USD 10 bn USD 7 bn 5% Growth 5% Growth 5% Growth 5 Group Strategy, confirmed and
Slide 4: Dental Group: Acquisition of CEI
Acquisition of CEI • Dental acquisition • Specialist in carbide burs • Expanded product range well received in the markets • Providing synergies • No performance dilution • Integration well on track 7 Dental Group 8
Slide 5: Dental Group 1HY2007 Highlights
Dental Group 1HY2007 Highlights • +3.7% sales increase to CHFm 81.1 • +8.9% in EBIT up to CHFm 12.1 • EBIT margin of 14.9% up from 14.2% • Strong performance in most EMEA markets and Latin America • North America shows solid sales increase • Encouraged by the performance of emerging markets 9 Dental
Slide 6: Key Product Successes and Dental Market Baseline
Key Product Successes – 1HY2007 Synergy D6 Biosonic UC 125 Parapost Tapper Lux Diatech & Alpen Rotary Instruments Affinis Precious Impression Material 11 World Dental Consumables Market Baseline • Top two dental manufacting companies increase direct selling focus. – Dentsply, world‘s largest dental
Slide 7: Medical Group 1HY2007 Highlights
Medical Group Medical Group 1HY2007 Highlights • +11.6% sales increase to CHFm 55.2 • +38.8% EBIT increase to CHFm 4.6 • EBIT margin up to 8.4% from 6.7% • Last year‘s difficulties clearly overcome – Ireland – Raw materials – Delays – Doctors‘ Strike 14
Slide 8: What brought Medical back on track?
What brought Medical back on track? • Strong growth and capacity increases in primary pharma-packaging • Smooth operations in IRE, CH • Higher demand from existing customers and new project wins • Stronger sales team 15 Medical market baseline data Underlying market dynamics • Disposeable medical de
Slide 9: Fierce Competition in Airway Management
Fierce Competition in Airway Management • Airway management faces fierce competition • Management and Board are considering all options to optimize the assets deployed 17 Medisize Group: Income statement EBIT increase by 10.1% 1'000 CHF 1 HY 07 % 1 HY 06 % % YoY Net Sales 136'220 100.0% 127'585 100.
Slide 10: Dental and Medical: Income statement
Dental: Income statement Solid performance 1'000 CHF 1 HY 07 % 1 HY 06 % % YoY Net Sales 81'068 100.0% 78'178 100.0% 3.7% Raw materials 22'625 27.9% 21'830 27.9% 3.6% Personnel expenses 26'985 33.3% 24'814 31.7% 8.7% Other expenses 17'205 21.2% 18'231 23.3% -5.6% Depreciation&amortization 2'149 2.7%
Slide 11: Group Income statement and Cash flow statement
Medisize Group: Income statement Net profit increase by 23.2% 1'000 CHF 1 HY 07 % 1 HY 06 % % YoY EBIT 16'187 11.9% 14'702 11.5% 10.1% Financial result (net) -306 -0.2% -1'644 -1.3% -81.4% Net profit before tax 15'881 11.7% 13'058 10.2% 21.6% Tax expenses -3'461 -2.5% -2'973 -2.3% 16.4% In % of net
Slide 12: Balance sheet; Strengthened Group Management
Medisize Group: Balance sheet Solid, well positioned for future growth 1'000 CHF 30.06.07 31.12.06 Cash & cash equivalents 14'150 19'947 Receivables 62'435 54'248 Inventory 52'828 49'657 Property, plant & equipment 60'259 59'101 Financial, intangible & tax assets 71'207 64'445 Total assets 260'879 2
Slide 13: Outlook 2007 remains unchanged
Outlook 2007 remains unchanged Assumptions: • Dental consumeables sales growth ≥ 5% • Medical device segment ≥ 15% • Primary pharma packaging ≥ 5% • Airway management ≥ 5% • Resulting Indications (approximately): – Dental Group Sales CHFm 170 – Dental Group EBIT CHFm 26 – Medical Group Sales CHFm 10