Slide 1: Capital Markets Day 2018
oe Ambu* > a) a) VW) WY J) ¥ _ 1) = 0 2 oO ~M U 2018 Lars Marcher, CEO Michael Hojgaard, CFO Ballerup, 4 October 2018
Slide 2: Agenda
Agenda OO | OOOO Update since Capital Markets Day 2017 Status on Big Five 2020 A clinical perspective on endoscopy US go-to-market New product launches Break/product viewing (15 min.) Financial outlook 2020 Q&A Lars Marcher, Ambu CEO Lars Konge, Professor, MD Rigshospitalet Lars Marcher, Ambu CEO Mi
Slide 3: Interview with Dr. Bergein (Gene) F. Overholt
Ambu* Ideas that work for life September 2018 Interview with Dr. Bergein (Gene) F. Overho!t Knoxville, TN USA @ Past President of the American Society for Gastrointestinal Endoscopy @ Inventor of the flexible sigmoidoscope (precursor of the flexible colonoscope) @ Leader in the development of the fi
Slide 4: Our vision is that 80% of flexible endoscopy will be single-use
.. . & Our vision is that 80% of flexible endoscopy Ambu* will be single-use Pioneer in Become full Ambu's vision pulmonary solution provider 80% of flexible endoscopy procedures will become single-use Before Ambu Ambu -2017 Ambu 2017-20 Zero single-use options 5 mio. procedures 100 mio. procedures
Slide 5: Internal and external forces support our vision
Ambu* Internal and external forces support our vision Ideas that work for life External forces Internal forces Push from Public ; : ge ae Dedicated sales force for visualization has authorities awareness been in place for 12-18 months ()) R&D scale-up in 2016-18 is now fully operational ee Invendo h
Slide 6: Ambu Capital Markets Day 2017 vs 2018
Ambu Last Ambu Today year Capital Markets Day 2017 Capital Markets Day 2018 1 • Revenue of DKK 5 bn including M&A • Revenue of DKK 5 bn including M&A We increase • Organic revenue CAGR growth of 13-15% • Organic revenue CAGR growth of 16-18% financial 2020 • EBIT margin in 2020 of 24-25% • EBIT marg
Slide 7: Agenda
Agenda OO | OOOO Update since Capital Markets Day 2017 Status on Big Five 2020 A clinical perspective on endoscopy US go-to-market New product launches Break/product viewing (15 min.) Financial outlook 2020 Q&A Lars Marcher, Ambu CEO Lars Konge, Professor, MD Rigshospitalet Lars Marcher, Ambu CEO Mi
Slide 8: Ambu has transformed in the past years
Ambu* Ambu has transformed in the past 5 years Ideas thas work for life Revenue (DKKbn) EBIT margin (%) Market cap (DKKbn) Positioned for big potentials Invest for Turnaround and growth infrastructure | 2009 2012/13 2017/18 2020
Slide 9: In FY 2017/18, we sell ~550k endoscopes
Ambu* In FY 2017/18, we sell ~550k endoscopes Ideas that werk Ter fe Growth comes from a healthy customer mix - with similar adoption patterns ‘000 endoscopes sold by customer type Typical aScope adoption process aScope starts in one department for specific procedures It is then quickly adopted for
Slide 10: More than 3,000 customers have adopted aScope
Ambu* More than 3,000 customers have already AID adopted aScope and 400+ have gone single-use - But there is greater potential Ambu's market share BT my '\ All hospitals \ in Pulmonary Great penetration potential 11% . = 7% hospitals (lion gn EH share of volum Full penetration case proved 2017 2018
Slide 11: We will target ~100 million procedures in four areas
We will target ~100 million procedures in four areas of flexible endoscopy poo ee | Pulmonary | Endoscopy , ol 5m f, > “—\! 1am | procedures : \ poo ee om | procedures Ambu* Ideas that work for life O Colon: 50m procedures O Gastro: 20m procedures O Duodenum: 2m procedures
Slide 12: FY13/14 FY17/18E FY19/20 ~50%
6% 25% ~30% FY13/14 FY17/18E FY19/20 ~50%
Slide 13: Our move to become a full solution provider by 2020
7 7 Ambu* Our move to become a full solution provider Amou by 2020 is the first step in realizing our vision Pioneer in Become full pulmonary solution provider -—- Convert 80% of .—---, scope market Set single-use as the standard for endoscopy Expand into diagnostic/ therapeutic field Provide integr
Slide 14: A closer look at cross-contamination
A closer look at cross-contamination as an adoption driver 4 Cross- Se contamination 4 x 7 ~_-7
Slide 15: There is a need for change in endoscopy
There is a need for change in endoscopy - Increasing concern of cross-con FOA News Release rarns duodenoscope t roars to comply with require al irveillance studies to asses! U.S. FOOD & DRUG Medical Device Recalls manufacturers: about d postmarket . Ss eontamination, risk| sie sue re amination A Bro
Slide 16: Recent GI studies show patients at risk of infection
5\S Recent GI studies show that patients are put at Ambu* risk of infection when reusable scopes are used * Infection risk ratio after colonoscopy * 12 of 20 (60%) is 1-1.6/1000 reprocessed healthy patients colon/gastro-scopes * This corresponds to Wang et al Ofstead et al had microbial growth ~25.0
Slide 17: Cross-contamination persists and is believed underreported
Cross-contamination persists and both academia and authorities believe it is underreported 2018 incidence of duodenum transmission Transinission of Mobile Colistin Resistance (mer-1) by Duodenoscope “Duodenoscope design flaws leading to transmission of multidrug-resistant organisms persist despite r
Slide 18: - patients are typically home again when symptoms materialize - infections may materialize differently
- patients are typically home again when symptoms materialize - infections may materialize differently in otherwise healthy individuals - few infections will be life threatening in people with a strong immune system 18
Slide 19: Public awareness of cross-contamination risk is rising
7 ination ri Ambu" Public awareness of cross-contamination risk mou is rising 24 july, 2028 | Time for that colonoscopy? Fit doctor how the scopes are cleaned sscopy? First, ask your ~Z \ | median Ideas that work for life Gs) "Patients must start grilling doctors about (...) the cleanliness of scope
Slide 20: The single-use value proposition speaks to every stakeholder
7 iti Ambu* The single-use value proposition speaks to Amou every stakeholder's needs Payers Patients \5 Ambu* mbdu Ideas that work for life * Cost-effective solution * Increased feeling of safety * Reduced infection risk * Reduced infection risk Regulatory bodies Hospital management Doctors « No cr
Slide 21: The cost of endoscopy is an increasing burden for hospital budgets
The cost of endoscopy is an increasing burden for hospital budgets Scopes (capital cost) Repairs ye Reprocessing 1 Customer quotes from 2017 Beacon group research Significant capital investment Hospitals need to buy excess scopes to compensate for increasing reprocessing times Reusables get worn Any
Slide 22: Hospital & patient concerns are increasing
Ambu* Hospital & patient concerns are increasing Ideas thas work for fe 2016 2017 ae z Potentially infected scope at J facility puts 23 colonoscopy patients at risk —5 key ni Hospital facing lawsuits from 25 patients potentially ‘exposed to disease in colonoscopy case A US hospital faces lawsuits fr
Slide 23: Some hospitals attempt to shift responsibility to the patient
. ; wap b 2k Some hospitals attempt to shift responsibility to Aml aus the patient Acknowledgement form for patient signature MEE. 00 ACKNOWLEDGEMENT FORM “Your physician has determined that 33) you need to have a procedure with an instrument called an endoscope (...)" “We have no way to be certain
Slide 24: When is risk of cross-contamination low enough?
_ ae Pa When is risk of cross-contamination low enough? Ambu In our view any risk is unacceptable In Ambu's view, cross- contamination risk should not be grouped into “high” and “low" risk In our view, any cross- contamination risk above zero is unacceptable S) a. 7 » ‘High’ <r) " Oe stable afk et —
Slide 25: Ambu's position in single-use
Ambu’s position in single-use 25
Slide 26: We have built up unique competencies needed for single-use endoscopy
We have built up unique competencies Amb." needed for single-use endoscopy Ideas shes work for ie Low cost manufacturing enabled by factory setup Low-cost production Full A full single-use portfolio range enabling elimination of costly infrastructure #1 A commercial model designed for single- use co
Slide 27: Ambu is well positioned to establish single-use endoscopy
Ambu is well positioned to establish single-use Ambu endoscopy in health care Ieene Shas work for ie We expect more competition going forward - The single-use scope competitive landscape in 2020+ Only full range provider eo y ge pi STORZ. 3 Ambu* it) —____ tio year head start ‘ae oston, in single-us
Slide 28: Single-use delivers on the three main criteria for endoscopy choice
i 7 in criteri Ambu" Single-use delivers on the three main criteria AID for endoscopy choice at hospitals Availability, patient safety and functionality Single-use is tech-enabled Base technologies on par and/or developing exponentially * Design free not to consider reprocessing / wear & tear ' © Ov
Slide 29: Ambu's profile and head-start will sustain our competitive edge
, ; a Ambu's profile and head-start will enable us Ambu to sustain our competitive edge Closely knit technology supplier relationships with active influence on their pipeline focus Innovation ; Tech partnerships that enable fast response Single-use DNA in to an unseen speed of change every departmen
Slide 30: Any questions?
Ambuw’ Any questions? S that work Tor fe QUA
Slide 31: Agenda
Agenda OO | OOOO Update since Capital Markets Day 2017 Status on Big Five 2020 A clinical perspective on endoscopy US go-to-market New product launches Break/product viewing (15 min.) Financial outlook 2020 Q&A Lars Marcher, Ambu CEO Lars Konge, Professor, MD Rigshospitalet Lars Marcher, Ambu CEO Mi
Slide 32: A Clinical Perspective on Endoscopy
A Clinical Perspective on Endoscopy Professor Lars Konge, PHD, Certified Cardio-thoracic Surgeon Head of Research, Copenhagen Academy for Medical Education and Simulation, Rigshospitalet Professor of Medical Education, University of Copenhagen Adjunct professor of Innovation and Simulation, Universi
Slide 33: Bronchoscopy, Gastroscopy, Colonoscopy, Cystoscopy
Bronchoscopy Gastroscopy Colonoscopy Cystoscopy
Slide 34: Most frequent surgical operations and procedures performed in hospitals
Most frequent surgical operations and procedures performed in hospitals (per 100 000 inhabitants)
Slide 35: Hippocratic Oath
Hippocratic Oath “The regimen I adopt shall be for the benefit of the patients to the best of my power and judgment, not for their injury or for any wrongful purpose”
Slide 36: Deadly bacteria on medical scopes trigger infections
Hovedstaden UNIVERSITY OF COPENHAGEN |e al Region Deadly bacteria on medical scopes trigger infections Peter Eisler, USATODAY = Published 6:21 p.m. ET Jan. 21, 2015 | Updated 3:06 p.m. ET March 19, 2015 A deadly bacteria linked to a commonly used medical device. Jean Enersen reports. f YW in 223 @ a
Slide 37: Top Health Technology Hazards for 2017
UNIVERSITY OF COPENHAGEN Hovedstaden EXECUTIVE BRIEF Top 10 Health Technology Hazards for 2017 1. Infusion Errors Can Be Deadly If Simple Safety Steps Are Overlooked of Complex Reusable Instruments Can Lead to In ‘A Report from Health Devices ad . Missed Ventilator Alarms Can Lead to Patient Harm .
Slide 38: High prevalence of digestive tract bacteria in duodenoscopes
UNIVERSITY OF COPENHAGEN Hovedstaden ORIGINAL ARTICLE High prevalence rate of digestive tract bacteria in OPEN ACCESS duodenoscopes: a nationwide study Arjan W Rauwers,' Anne F Voor in ‘t holt,? Jolanda G Buijs,? Woutrinus de Groot,? Bettina E Hansen,’ Marco J Bruno,’ Margret C Vos? BM) Rauwers AW,
Slide 39: Effectiveness of Reprocessing for Flexible Bronchoscopes
UNIVERSITY OF COPENHAGEN Hovedstaden [ Original Research ] B CH EST Effectiveness of Reprocessing for Flexible Bronchoscopes and Endobronchial Ultrasound Bronchoscopes Cori L. Ofstead, MSPH; Mariah R. Quick, MPH; Harry P. Wetzler, MD, MSPH; John E. Eiland, RN, MS; Otis L. Heymann, BA; David A. Sonet
Slide 40: RSITY OF COPENHAGEN |e al Region
RSITY OF COPENHAGEN |e al Region Hovedstaden 4 7 &
Slide 41: Hippocratic Oath
Hippocratic Oath “The regimen I adopt shall be for the benefit of the patients to the best of my power and judgment, not for their injury or for any wrongful purpose”
Slide 42: Deadly bacteria on medical scopes trigger infections
UNIVERSITY OF COPENHAGEN Region Hovedstaden Deadly bacteria on medical scopes trigger infections Peter Eisler, USATODAY = Published 6:21 p.m. ET Jan. 21, 2015 | Updated 3:06 p.m. ET March 19, 2015 The FDA says in a written statement to USA TODAY that it is "aware of and closely monitoring" the infec
Slide 43: Number of flexible bronchoscopies performed over time
UNIVERSITY OF COPENHAGEN Region Figure 1: Line diagram depicting the number of flexible bronchoscopies performed during the study period Orginal Anicle indications for performing flexible bronchoscopy: Trends over 34 years at a tertiary care hospital
Slide 44: Region
Region RSITY OF COPENHAGEN Hovedstaden
Slide 45: Region
Region RSITY OF COPENHAGEN Hovedstaden
Slide 46: UNIVERSITY OF COPENHAGEN
UNIVERSITY OF COPENHAGEN
Slide 47: Hovedstaden
Hovedstaden OPENHAGEN |e al renee
Slide 48: istaden
istaden
Slide 49: What the future might bring
WHAT THE FUTURE MIGHT BRING •More flexible endoscopies •Better flexible endoscopes •Single use scopes for the majority of procedures •Reusable scopes reserved for more advanced procedures
Slide 50: Region
Region Hovedstaden OPENHAGEN
Slide 51: Agenda
Agenda OO | OOOO Update since Capital Markets Day 2017 Status on Big Five 2020 A clinical perspective on endoscopy US go-to-market New product launches Break/product viewing (15 min.) Financial outlook 2020 Q&A Lars Marcher, Ambu CEO Lars Konge, Professor, MD Rigshospitalet Lars Marcher, Ambu CEO Mi
Slide 52: A clear plan for accelerating early adoption
7 Ambu* We have a clear plan for accelerating early Amo adoption with access to single-use facilities Commercial roll out in three phases 3 For early adoption, we will target @ facilities where decision-makers have fully bought into the single- use concept All High facilities ND, potential facilitie
Slide 53: The US go-to-market strategy targets early adopters
The US go-to-market strategy targets early Ambu* Ideas that work for life adopters already onboard the single-use concept Target Ambu's single-use US accounts ©0000000006 @ © © © © © © © © o@—___ @©0000000006 ©006000060006 OROMOMOMOMOMOMS OOmOMOMOMOMOMG) OMG MOMOMOMOMOMOMG) OROMORCROMOMOMOMOMG) @ooO
Slide 54: Ambu's US sales organization dedicated to single-use visualisation
; iy. , , ak Ambu's US sales organization dedicated to selling Ambu single-use visualisation - ready for new scopes We have optimized our commercial - with access to all levels relevant for single-use model for single-use sales eer C-level Clinical management management GPO/IDN . Value committee eco
Slide 55: Several initiatives will accelerate performance in the coming year
Several initiatives will accelerate performance in the coming year
Slide 56: Agenda
Agenda OO | OOOO Update since Capital Markets Day 2017 Status on Big Five 2020 A clinical perspective on endoscopy US go-to-market New product launches Break/product viewing (15 min.) Financial outlook 2020 Q&A Lars Marcher, Ambu CEO Lars Konge, Professor, MD Rigshospitalet Lars Marcher, Ambu CEO Mi
Slide 57: Today we present four new single-use solutions for launch in 2018/19
Today we present four new single-use solutions for launch in 2018/19 Ambu* Ideas that work for life aScope Qi, BronchoSampler™ 2018/19 aScope™ 4 Qi, RhinoLaryngo 2018/19 Intervention (ENT) aScope™ 4 Before RhinoLaryngo Summer, Slim (ENT) 2019 SC210 Ql, Colonoscope 2018/19 57
Slide 58: aScope BronchoSampler
ae aScope BronchoSampler™
Slide 59: The aScope BronchoSampler
2s Ambu @ The aScope BronchoSampler™ Veene Shas work For An accessory for aScope 4 Broncho. A sampling solution for bronchoscopic sampling during procedures like Broncho Alveolar Lavage (BAL) and Bronchial Wash (BW) procedures where fluid is obtained from the lung for analysis Ww
Slide 60: aScope BronchoSampler targets 1.9m procedures in the 5m pulmonary market
Ambu* © aScope BronchoSampler™ targets 1.9 m Amo procedures in the 5 m pulmonary market Market size Current challenges Procedure workflow is cumbersome and introduces contamination risk The current setup is vulnerable to movements, leading to sample loss BAL+BW procedures Infection detection may be
Slide 61: aScope BronchoSampler reduces risk of sample loss
2 a aScope BronchoSampler™ reduces risk of Ambu sample loss and simplifies procedures Our solution Workflow improvement by allowing a single clinician to perform sampling Simplify workflow Closed-loop system that reduces risk of sample loss and contamination Reduce sample loss Increase A purpose-bui
Slide 62: aScope RhinoLaryngo
ae aScope™ 4 RhinoLaryngo
Slide 63: aScope 4 RhinoLaryngo
oe Ambu 6:8 aScope™ G RhinoLa ryngo Ideas that work for life Two new single-use flexible ENT scopes for routine (‘Slim') and specialized (‘Intervention’) procedures
Slide 64: aScope RhinoLaryngo targets procedures in the ENT market
; one Amb." 6:0 aScope™ 4 RhinoLaryngo targets 1 million sArmmou procedures in the ENT market Market size Current challenges Stricter cleaning guidelines challenge hospital capacity due to reprocessing Fiberscopes that are used today are fragile, creating repair issues, thus limiting availability EN
Slide 65: aScope RhinoLaryngo is the simple way to improve productivity and safety
ak 6:6 aScope™ 4 RhinoLaryngo is the simple way Ambu* to improve productivity and safety We solve all three challenges aScope™ 4 RhinoLaryngo Slim Eliminate reprocessing with Eliminate very strong benefits in ©) USD 269 oN is Kplcelessiieam facilities with rigorous cleaning requirements Increase Eli
Slide 66: SC210 Colonoscope
SC210 Colonoscope 66
Slide 67: The single-use colonoscope - SC210
Ambu* . mbu The single-use colonoscope - SC210 Ideas that work for life A sterile, single-use colonoscope, which can be used to inspect the colon e.g. to detect cancer or polyps
Slide 68: With SC210, we are targeting a million procedure market
B\ With SC210, we are targeting a 50 million Ambu* procedure market Market size Current challenges The use of reusable endoscopes creates infection risks Reusables require resource- demanding cleaning and infection control colonoscopy Increasing demands on procedures reprocessing, increased number o
Slide 69: SC210 eliminates cross-contamination and reprocessing need
imi inati Ambu* SC210 eliminates cross-contamination and rArmou reprocessing need, while increasing flexibility Our solution Eliminate risk of cross- USD 350 contamination and consequent liability risks Eliminate risk Eliminate the need for complex reprocessing setup and logistics Eliminate reproces
Slide 70: We will use the Invendo-based SC210 to pioneer the GI single-use market
. Ambu* We will use the Invendo-based SC210 to Amo pioneer the GI single-use market Pre-launch Strategic Broad launch Launch partnering in the US beyond US Scope Launch — Launch Scale Go global preparation Commercial (Us#oy-laaar-ys Selected US Increased US Sequential scope accounts accounts adoptio
Slide 71: The trial & learn phase will ensure readiness
Ideas that work for life Ambu* The trial & learn phase will ensure readiness mou on a number of parameters How we will work with our US partner accounts in Qi, 2018/19 Scope Commercial scope Launch preperation Patient experience US partner accounts Clinical . studies * Time to get used to the produc
Slide 72: Since we acquired Invendo in October 2017 we have worked on two tracks
; . . 2k Since we acquired Invendo in October 2017 Ambu* we have worked on two tracks * Got FDA * Transferred + Preparation of . sc ' clearance production to launch package We will launch the repare 5C210 Tor * Prepared alaysia * Preparation of SC210 Colonoscope in commercialization product single-u
Slide 73: Sneak peak - aScope Duo
Sneak peak - aScope Duo 73
Slide 74: With the duodenoscope we will be targeting million procedures
Ambu* With the duodenoscope we will be targeting 2 Amo million procedures Market size Current challenges Reusable endoscopes - especially duodenoscopes - require cumbersome and costly cleaning procedures Outbreak of superbugs with reusables have led to several deaths, raising requirements for infect
Slide 75: The single-use duodenoscope will eliminate cross-contamination
2k The single-use duodenoscope will eliminate Ambu cross-contamination and reprocessing needs Our solution Eliminate risk of cross- contamination and consequent liability risks Eliminate risk A single-use duodenoscope, used to assist in the diagnosis and treatment \ of diseases in \the gall bladder
Slide 76: Q&A
Ambuw’ Any questions? S that work Tor fe Q&A
Slide 77: Break
Break
Slide 78: Agenda
Agenda OO | OOOO Update since Capital Markets Day 2017 Status on Big Five 2020 A clinical perspective on endoscopy US go-to-market New product launches Break/product viewing (15 min.) Financial outlook 2020 Q&A Lars Marcher, Ambu CEO Lars Konge, Professor, MD Rigshospitalet Lars Marcher, Ambu CEO Mi
Slide 79: Financial guidance for 2017/18
Financial guidance for 2017/18 Key drivers for the year • Strong Core growth Organic revenue contributed by all Regions growth ~ 15% • Visualisation penetration continues and we will grow EBIT margin 21-22% volumes by more than 50% As stated • Effective operational at Q3 performance FCF ~ DKK 300 M
Slide 80: Investment relative to revenue and R&D spend
Investment % p.a. relative to revenue R&D spend by business area Investment rationale • Our growth requires significant Sales ANE and PMD investments in R&D and Sales • Our salesforce has been split and 90% of R&D investments 4% p.a. 90% now goes into Visualisation or ~DKK 125 M • Fresh money in the
Slide 81: Financial outlook for 2018/19
Financial outlook for 2018/19 Key focus in FY 18/19 Financial year Financial year • Continued high growth Financial outlook contribution from our existing 17/18 18/19 endoscopy portfolio Organic revenue growth ~ 15% 15-16% • Revenue impact from product launches announced today EBIT margin 21-22% 22-
Slide 82: Status by end of 2017/18 and 2020 financial guidance
Status by end of 2017/18 • Revenue CAGR of 13-15% 2020 financial • Invendo was acquired • EBIT margin of 24-25% i.e. ~2%-pts p.a. ultimo October 2017 guidance • FCF at ~18% of revenue • Invendo is a technology platform that enables our full Scopes unit sale • More than 1.000.000 scopes sold in 2020
Slide 83: Ambu raises 2020 outlook
Updated 2020 outlook Ambu raises 2020 outlook 4 October 4 October Ambu 2020 guidance 2017 2018 Organic revenue CAGR (2017-2020) 13-15% 16-18% Revenue EBIT CAGR margin EBIT margin in 2020 24-25% 26-28% raised to raised to 16-18% 26-28% Free cash-flow (% of revenue) ~ 18% ~ 18% Growth targets comprise
Slide 84: Revenue and EBIT margin development
Revenue and EBIT margin development Organic value creation Financial target Vision • Ambu has a unique position to Organic revenue CAGR of 16-18% create significant organic value towards 2020 and beyond DKK 5bn • This is our first priority and we 18-23% will not engage in transactions growth that di
Slide 85: Investor Relations events
For full list of Investor Relations events, please visit: www.ambu.com/about/corporate-info/investors/calendar 85
Slide 86: Agenda
Agenda OO | OOOO Update since Capital Markets Day 2017 Status on Big Five 2020 A clinical perspective on endoscopy US go-to-market New product launches Break/product viewing (15 min.) Financial outlook 2020 Q&A Lars Marcher, Ambu CEO Lars Konge, Professor, MD Rigshospitalet Lars Marcher, Ambu CEO Mi
Slide 87: Any questions?
Ambuw’ Any questions? S that work Tor fe QUA
Slide 88: Ambu*
oe Ambu* 5 2 oO: >~ C vl cy (0 ite Ch HL 88
Slide 89: Ambu*
oe Ambu* > a) a) VW) WY J) ¥ _ 1) = 0 2 oO ~M U Lars Marcher, CEO Ballerup, 4 October 2018 Michael Hojgaard, CFO 89