Ambu delivered 4% natural income development for the yr 2021/22. Global Endoscopy Solutions (beforehand named Visualisation) revenues grew organically by 1%, primarily pushed by robust development within the ENT (Ear-Nose-Throat) and urology segments, offset by declining gross sales within the pulmonology phase, principally on account of excessive Covid-19 comparables. The Anaesthesia and Patient Monitoring companies posted optimistic natural development of 5% and 13%, respectively, pushed by pent-up demand and restoration from the Covid-19 pandemic.
Britt Meelby Jensen, Chief Executive Officer, says:
“2021/22 has been an eventful year, with solid progress on a number of fronts. We reported 4% organic revenue growth and an EBIT margin of 2.7% before special items, in line with the latest financial guidance. Within urology and ENT, we continued to deliver strong growth, driving increased adoption of our single-use, high-performance endoscopes that support workflow and efficiency improvements in hospitals. In the second half of the year, we launched two new endoscopy solutions, Ambu® aScope™ Gastro, and our fifth-generation bronchoscope, Ambu® aScope™ 5 Broncho, together with our endoscopy system, Ambu® aBox™ 2. We are in the early launch phase in key markets, but I am very encouraged by the positive customer feedback highlighting the strong performance of our solutions as we expand into new customer segments. Finally, our Anaesthesia and Patient Monitoring businesses delivered a combined solid 8% organic growth. With our strong portfolio and exciting products in development, I am confident in Ambu’s future. We have reached a turning point, and 2022/23 will be a transition year towards sustainable, strong and profitable growth. Lastly, I would like to thank all colleagues in Ambu for their hard work and commitment throughout a challenging year – it is their passion and talents that make Ambu truly special.”
FINANCIAL HIGHLIGHTS
Last yr’s comparative figures are offered in brackets.
This fall 2021/22
- Revenue for This fall was DKK 1,163m (DKK 1,026m), representing a 13% (18%) reported development. Organic income development was 4% (18%) after adjustment for foreign money results..
- Endoscopy Solutions grew organically by 3% (37%), whereas Anaesthesia and Patient Monitoring (PM) posted natural development charges of 0% (-6%) and 10% (13%), respectively.
- EBIT earlier than particular objects was DKK -7m (DKK 4m), representing an EBIT margin earlier than particular objects of -0.6% (0.4%).
FULL YEAR 2021/22
- Revenue for the monetary yr was DKK 4,444m (DKK 4,013m), representing an 11% (13%) reported development. Organic development was 4% (16%), after adjustment for foreign money results, primarily from North America.
- Sales in North America grew organically by 11% (17%), whereas we noticed natural development in Europe of 1% (15%) and Rest of World of -8% (18%).
- Endoscopy Solutions achieved natural development of 1% (31%), Anaesthesia and PMD gross sales grew by 5% (-2%) and 13% (9%), respectively.
- The gross sales of single-use endoscopes reached 1,705,000 items (1,528,000), which is a rise in quantity of 12% relative to final yr.
- EBIT earlier than particular objects was DKK 122m (DKK 340m), with an EBIT margin earlier than particular objects of two.7% (8.5%).
- Tax on revenue for the yr totalled an expense of DKK 16m (DKK 61m), akin to a mean efficient tax fee on the revenue of 15% (20%).
- Net revenue for the yr was DKK 93m (DKK 247m).
- Free money movement earlier than acquisitions of applied sciences and enterprises totalled DKK -458m (DKK -245m), and we finish the monetary yr 2021/22 with a NIBD/EBITDA earlier than particular objects ratio of three.9 (1.4).
FULL YEAR 2021/22 HIGHLIGHTS
- Ambu’s Endoscopy Solutions business obtained a variety of regulatory clearances:
- In Q1, Ambu launched a brand new product replace of its single-use duodenoscope, the Ambu® aScope™ Duodeno 1.5.
- In Q2 and Q3, respectively, Ambu obtained FDA approval and CE mark of Ambu® aScope™ Gastro and Ambu® aBox™ 2.
- In Q3, Ambu expanded the addressable market by supporting FEES procedures (Fibreoptic Endoscopic Evaluation of Swallowing) inside ENT, for Ambu® aScope™ 4 RhinoLaryngo Slim.
- In Q3 and This fall, respectively, for Ambu® aScope™ 5 Broncho and Ambu® aBox™ 2, Ambu obtained CE mark in Europe and FDA regulatory clearance within the U.S.
- 719,000 sufferers had been recognized or handled with an Ambu cystoscope or ENT scope, and greater than 100 million sufferers had been handled with electrodes from the corporate’s mixed neurology and cardiology electrode portfolio.
- In Q3, Ambu’s Board of Directors appointed a brand new Executive Management. On 19 May 2022, Britt Meelby Jensen took on the function of CEO at Ambu, and Thomas Frederik Schmidt joined as CFO on 1 June 2022.
- In This fall, for the second yr in a row, Ambu achieved an AA score from the unbiased organisation, MSCI. The score marks Ambu an trade chief in ESG as a result of firm’s dedication to security, high quality and company governance, in addition to its efforts to cut back carbon emissions.
- In This fall, the primary merchandise from Ambu’s new manufacturing plant in Mexico had been shipped to clients in North America.
- The 30,000 m2 manufacturing plant is Ambu’s largest plant and can additional strengthen the corporate’s flexibility, proximity and provide of merchandise to the shoppers within the U.S.
In addition to the Annual Report, Ambu at the moment additionally publishes its Sustainability Report, Remuneration Report and a Corporate Governance Report for 2021/22. All studies may be accessed at Ambu.com.
OUTLOOK FOR 2022/23
2022/23 might be a transition yr for Ambu, and mixed with the excessive exterior volatility, the outlook for 2022/23 is related to uncertainty. For 2022/23, Ambu has set the monetary targets under.
- Organic income development: 5-8%
- EBIT margin: 3-5%
Organic income development
The natural income development for 2022/23 is projected at 5-8%, with highest development coming from Endoscopy Solutions. The ENT and cystoscopy companies will proceed to ship double-digit development. The pulmonology business is anticipated to ship year-over-year development from the second half of 2022/23, with the newly launched Ambu® aScope™ 5 Broncho contributing positively to the expansion. In the GI portfolio, Ambu’s duodenoscope and gastroscope are anticipated to contribute to the expansion, nevertheless, the uptake for each merchandise might be gradual in comparison with the opposite segments the corporate is current in.
Organic income development within the companies for Anaesthesia and Patient Monitoring is anticipated to develop low single-digits mixed.
The whole firm development is anticipated to speed up quarter-over-quarter via 2022/23, whereas Q1 2022/23 is anticipated to be roughly flat vs. Q1 2021/22.
EBIT margin
Due to larger enter prices, Mexico ramp-up and product combine, the gross margin is anticipated to lower by ~2 proportion factors in 2022/23. The EBIT margin earlier than particular objects is anticipated to be within the vary of 3-5% for 2022/23 and might be back-end loaded on account of extra scale in OPEX all year long as income will develop.
The free money movement earlier than acquisitions will enhance within the vary of DKK 350-450m vs. 2021/22, approaching full-year impartial stage, primarily pushed by a normalisation of the stock stage and financial savings from the price discount program. The financial savings are anticipated to return from decrease funding ranges into future applied sciences and new product developments inside Anaesthesia and Patient Monitoring. CAPEX relative to income is anticipated to be roughly 9% based mostly on 2022/23 income.
NEW AMBU STRATEGY
”Today, we launch Ambu’s new technique, ‘ZOOM IN’. Our new technique is anchored in our aspiration to be probably the most customer-centric firm in our area, to broaden our main place in single-use endoscopy options. We will take a extra targeted strategy, totally devoted to innovation of fewer high-value tasks with direct industrial presence in key markets. A crucial zoom space in our technique is execution. We will enhance how we prioritise and function, cut back complexity and stability sources to replicate buyer dynamics throughout the 4 main endoscopy segments. We are enthusiastic about our future potential and extremely dedicated to delivering robust worthwhile development, creating worth for our clients and shareholders.”
– Britt Meelby Jensen, Chief Executive Officer
Ambu is an organization of nice potential. In the final six years, now we have doubled the business, and we’re main the single-use endoscopy market – a high-growth market supported by an elevated concentrate on affected person security, workflow and effectivity advantages and speedy expertise developments.
Over the previous years, now we have invested in innovation to broaden our high-quality portfolio and convey an entire providing of options inside all 4 massive endoscopy areas – pulmonology, urology, ear-nose-throat and gastroenterology. We have deepened our buyer relations and expanded our direct industrial organisation. And now we have strengthened our provide chain by increasing our capability and proximity to clients with our new manufacturing plant in Mexico.
To totally ship on our guarantees and create robust worth for our clients, workers and shareholders alike, we’re committing ourselves to the aspiration of being probably the most customer-centric in our area.
To meet our aspiration, we’re launching our new technique: ZOOM IN. It is time for Ambu to zoom in, as it’s all about focus and execution to ship robust worthwhile development.
STRATEGIC ZOOM AREAS
Our technique centres on 4 strategic zoom areas: Zoom in on assembly true buyer wants, zoom in on execution, zoom in on sustainability and zoom in on our folks and tradition – all collectively, we are going to ZOOM IN, to ship robust and worthwhile development.
Provide progressive options for true buyer wants
Innovation is in our DNA, and offering options for true buyer wants has been our aggressive benefit for 85 years. We have a various portfolio of distinctive options to well being methods.
- We will launch market-leading options throughout pulmonology, ENT, urology and GI.
- We will drive effectivity and velocity of innovation via modular strategy.
- We will enhance profitability and improve portfolio in Anaesthesia and Patient Monitoring.
Excel in execution throughout the worth chain
Over the previous years, now we have confirmed the case for single-use endoscopy out there and strengthened our main place. This has come at elevated prices, and to return to robust worthwhile development, we are going to drive excellence in execution with a transparent concentrate on efficiencies all through our worth chain.
- We will focus our industrial organisation on highest-value buyer segments and geographies.
- We will drive industrial greatest practices.
- We will enhance gross margin via COGS enhancements and streamlined portfolio.
- We will strengthen our working mannequin, balancing effectivity and autonomy.
Take leaps in direction of a sustainable future
Sustainability is excessive on the agenda and a rising focus space. In current years, now we have improved our place in a number of ESG and sustainability rankings, however we won’t cease right here. We are formidable on this agenda and decide to taking leaps.
- We are dedicated to sustainable endoscopy via round merchandise and packaging.
- We are dedicated to working responsibly to strategy net-zero emissions in collaboration with suppliers and different companions.
Bring folks collectively in a single shared tradition
Ambu has a powerful heritage that goes again to 1937, when Holger Hesse based the corporate with the dream of inventing merchandise that save lives. Today, this DNA stays a fantastic enabler of innovation, collaboration and progress. As we’re embarking on a journey to rework Ambu, it’s crucial that we unlock the complete energy of our folks and tradition.
- We will foster a extremely engaged, various and inclusive tradition.
- We will construct a high-performing and customer-centric organisation arrange for achievement.
- We will appeal to and develop individuals who wish to be challenged and make a distinction.
LONG-TERM FINANCIAL ASPIRATION
With this technique, we are going to return to robust worthwhile development. With focus and execution excellence, we aspire to ship long-term sustainable double-digit income development with constantly upward trending EBIT margins to trade ranges. This is achievable in a big and rising market, the place we lead and broaden our portfolio to extend single-use penetration. We will be capable of drive scale-advantages, and now we have a powerful plan with a transparent transformation focus. We might be extra disciplined in our capital allocation, the place we are going to goal to have a excessive return of the invested capital and hereby additionally maximise the worth for our shareholders.
ZOOM IN – STRATEGY HIGHLIGHTS
- Ambu confirms the trail to broaden our world-leading place in single-use endoscopy options.
- The new technique ratifies our presence within the 4 main endoscopy segments, with a extra targeted strategy based mostly on deep buyer insights.
- Innovation stays a key matter, however we are going to prioritise fewer high-value tasks.
- We will enhance execution, adjusting how we prioritise and function, to ship worth to our clients.
- We keep direct industrial presence in key markets, and for GI a extra focused strategy into area of interest segments with the best buyer want.
- We maintain our place in Anaesthesia and Patient Monitoring, constantly optimising our worth proposition and go-to-market strategy.
- We prioritise sustainability throughout all areas of the business and strengthen our tradition and manner of working.
- We will drive long-term income development and steadily improve profitability via our transformation program.
CONFERENCE CALL
A convention name is held at the moment, Tuesday 15 November 2022, at 8.00am (CET). The convention is broadcast stay by way of Ambu.com/webcastQ42022.
To ask questions within the Q&A session, please name one of many following numbers 5 minutes earlier than the beginning of the convention and enter the next entry code: 76914.
Denmark (toll): +45 78774197
U.Okay.: +44 0-808-101-1183
US (toll): +1 785-424-1634
The presentation may be downloaded at Ambu.com/displays.
ANNUAL GENERAL MEETING
Ambu’s Annual General Meeting might be held on Wednesday 14 December 2022 at 13.00 (CET) on the headquarters of Ambu A/S, Baltorpbakken 13, DK-2750 Ballerup.
CONTACT
Media
Tine Bjørn Schmidt
Head of Corporate Communications
[email protected]
+45 2264 0697
Investors
Nicolai Thomsen
Director, Investor Relations & Strategic Finance
[email protected]
+45 2620 8047
Ambu A/S, Baltorpbakken 13 2750 Ballerup
Denmark
Tel. +45 7225 2000
CVR no.: 63 64 49 19
www.Ambu.com
- Earnings launch – annual outcomes 20121-22 – Ambu
