Slide 1: Strong margins but organic growth outlook lowered for 2022
Strong margins but organic growth outlook lowered to minus 3-6% for 2022 due to external factors Getinge Q3 2022 Mattias Perjos, CEO Lars Sandström, CFO
Slide 2: Key takeaways Q3 2022
Key takeaways Q3 2022 • External challenges and demanding comps leading to 5.0% and 2.6% organic decline in orders and net sales • New outlook for 2022: Net sales are expected to decrease by 3-6% organically • Strong margins due to positive currency effects and continued productivity improvements •
Slide 3: Key activities and events
Key activities and events Q3 2022 Offering and customers Quality • Partnership with Medtronic on covered stents • Joanna Engelke took office as new Executive Vice President Quality Compliance, Regulatory & Medical • Case study in German clinic: 40% reduction in process Affairs and member of the Geti
Slide 4: EMEA stands out positively on growth
EMEA stands out positively on growth Y-o-Y comparisons negatively impacting performance in Americas and APAC Global Americas EMEA APAC Organic Order Growth -5.0% Organic Net Sales Growth -2.6% Getinge │ Presentation │ Q3 Report 2022 October 19, 2022 Page 4
Slide 5: Changed outlook 2022
Changed outlook 2022 Net sales expected to decrease by 3-6% organically in 2022 (Previous outlook 2022: Organic net sales for 2022 are expected to be in line with reported net sales for 2021) Getinge │ Presentation │ Q3 Report 2022 October 19, 2022 Page 5
Slide 6: Tough comps in all business areas
Tough comps in all business areas Order Intake Bridge Q3 2021 – Q3 2022 Organic change -5.9% -5.3% -3.4% -5.0% +7.1% 147 315 43 7,584 7,079 MSEK Q3 2021 Acute Care Therapies Life Science Surgical Workflows Q3 2022 Getinge │ Presentation │ Q3 Report 2022 October 19, 2022 Page 6
Slide 7: Surgical Workflows growing organically thanks to a strong order book
Surgical Workflows growing organically thanks to a strong order book Net Sales Bridge Q3 2021 – Q3 2022 Organic change -6.8% -5.7% +7.2% -2.6% +10.1% MSEK 250 40 345 774 Currency impact, MSEK 6,941 6,306 Organic growth, % -0.9 Q3 2021 Acute Care Life Science Surgical Q3 2022 -5.2 Therapies Workflows
Slide 8: Lower volumes, unfavorable mix effects and higher costs impacting GM
Lower volumes, unfavorable mix effects and higher costs impacting GM Adjusted Gross Profit Bridge Q3 2021 – Q3 2022 Adj GM, % Q3 2022 61.0 40.1 40.4 51.8 (Q3 2021) (60.7) (44.3) (41.7) (52.9) Gross Margin impact +258 Volume 164 115 Business Area mix -21 Supply, Absorption & MSEK Cost inflation 3,334
Slide 9: Financial development
Financial development Getinge │ Presentation │ Q3 Report 2022 October 19, 2022 Page 9
Slide 10: Adj EBITA margin negatively impacted by lower adj Gross Profit margin
Adj EBITA margin negatively impacted by lower adj Gross Profit margin Adjusted EBITA Bridge Q3 2021 – Q3 2022 18.4% 16.9% Margin development -1.9 pp Adj GP +10 -1.0 pp Adj OPEX 258 -0.0 pp D&A 1.4 pp Currency 17 -125 -62 -57 -22 +216 Currency impact, MSEK MSEK 1,160 1,170 Q3 2021 Adj Gross Adj Selli
Slide 11: Positive free cash flow and still well below 100 WC days
Positive free cash flow and still well below 100 WC days Capital efficiency a priority Free CF back at 1 BSEK in Q3 WC days well below 100 High Return on Invested Capital 160 140 120 15.9% 1.4 1.3 1.0 100 80 0.4 Q2 2022 0.1 0 Q3 2021 Q4 2021 Q1 2022 Q3 2022 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1
Slide 12: Solid financial position
Solid financial position Low net debt and high margin of safety when it comes to leverage Net debt is down significantly in recent years … … and leverage is signaling financial strength 14.0 3.4x 3.2 (0,7 BSEK excl. pension liabilities) 0.5 (0.1 x excluding pension liabilities) Q1 2019 Q2 2019 Q3 20
Slide 13: Summary
Summary Getinge │ Presentation │ Q3 Report 2022 October 19, 2022 Page 13
Slide 14: Key takeaways
Key takeaways Summary Q3 2022 • External challenges and demanding comps impacting topline in the quarter • New outlook for 2022: Net sales are expected to decrease by 3-6% organically • Strong margins due to continued productivity improvements and positive currency effects • Free Cash Flow above 1 B
Slide 15: Q&A
Q&A Getinge │ Presentation │ Q3 Report 2022 October 19, 2022 Page 15
Slide 16: Thank you
Thank you Getinge │ Presentation │ Q3 Report 2022 October 19, 2022 Page 16
Slide 17: Forward looking information
Forward looking information This document contains forward-looking information based on the current expectations of the Getinge’s management. Although management deems that the expectations presented by such forward-looking information are reasonable, no guarantee can be given that these expectation
Slide 18: Getinge – Passion for Life
“= Se A GETINGE PASSION FOR LIFE