Post on 03-May-2020
transcript
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This presentation contains certain forward-looking statements that reflect the current views of management. Such statements are subject to known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements of the Straumann Group to differ materially from those expressed or implied in this presentation. Straumann is providing the information in this presentation as of this date and does not undertake any obligation to update any statements contained in it as a result of new information, future events or otherwise.
The availability and indications/claims of the products illustrated and mentioned in this presentation may vary according to country.
Disclaimer
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1Market growth data based on total business for Straumann, Nobel Biocare, Zimmer Dental/Biomet 3i (pro-forma), Dentsply Implants –based on company and SEC reports as well as management comments. 2Market share data based on MRG and iData for the respective global implant and abutment sales (i.e. excl. CADCAM sales) in 2013.
Steady outperformance except for time ofrestructuring
Nobel Biocare
17%
Dentsply Implants
13%Zimmer / Biomet 3i
12%
Others 39%
Global market for dental implants/ abutments (2013: CHF 3bn 2013)2
Straumann 19%
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5.2%4.1% 8.3% 28.6%
Change in l.c.
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Good growth in Q1 across all regions; Europe contributes >40% to growth
(3.1%)
2013 2014
6.0% in l.c.
In CHF million
2.9% in CHF
174.8
‐5.2
169.6
4.12.2 1.7
2.2
179.8
Revenues Q12013
FX Effect Revenues Q12013 @ FX
2014
Europe North America APAC ROW Revenues Q12014
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Leading academic event in oral implantology
~4200 participants
Straumann Corporate Forum attendedby >2000 dental professionals
Special promotions offered
Highly successful ITI World Symposium –platform to promote new research and solutions
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A new attractive pricing concept in Europe
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‘More value, same price’ campaign
Roxolid® established as standard material Upgrade to Roxolid® SLA ® and SLActive®
implants with LOXIM™ transfer piece at same price as titanium equivalents with old transfer piece
Pricing structure adjusted in German-speaking countries on 01/01/14; pricing of ‘entry-level’ titanium SLA implant reduced to compete more effectively against value players (only in limited portfolio available)
Ti SLA
Ceramic
Ti SLA
Ti SLA
RoxolidSLA
RoxolidSLActive
2013 2014
RoxolidSLActive
TiSLActive
General practitioner (GP) segment gaining importance with different needs than the specialists segments
Female dentists becoming more and more important
Value players gaining share on behalf of premium players
Young dentist with different needs when it comes to T&E
To source differentiated treatment components from single supplier is a differentiating factor
Prosthetics decision maker becoming more and more driver for implant choice
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Pressure to adapt to new market realities
Source: iData Research, US data, 2012
2008
2014Implant specialistsGPs placing implantsGPs restoring implants
60 600
87 400GPs restorebut don’t place implants
15 900
29 700GPs place implants
GPs are increasingly important and have different preferences
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General practitioner (GP) segment gaining importance with different needs than the specialists segments
Female dentists becoming more and more important
Value players gaining share on behalf of premium players
Young dentist with different needs when it comes to T&E
To source differentiated treatment components from single supplier is a differentiating factor
Prosthetics decision maker becoming more and more driver for implant choice
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Pressure to adapt to new market realities
General practitioner (GP) segment gaining importance with different needs than the specialists segments
Female dentists becoming more and more important
Value players gaining share on behalf of premium players
Young dentist with different needs when it comes to T&E
To source differentiated treatment components from single supplier is a differentiating factor
Prosthetics decision maker becoming more and more driver for implant choice
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Pressure to adapt to new market realities
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Expanding our offering into the valuesegment through a multi-brand strategy
14Straumann has invested in convertible bonds of Biodenta and Megagen with an option to obtain a majority stake in the coming years..
2012: 49% equity stakeBrazilian leader in implant dentistry
2013: 51% equity stake German leader for cost‐
effective standard prosthetics
2014: Convertible bond
2013: 30% equity stake High‐end prosthetic solutions
2011: 44% equity stakeDigital CADCAM and
guided surgery solutions
2014: Convertible bond
General practitioner (GP) segment gaining importance with different needs than the specialists segments
Female dentists becoming more and more important
Value players gaining share on behalf of premium players
Young dentist with different needs when it comes to T&E
To source differentiated treatment components from single supplier is a differentiating factor
Prosthetics decision maker becoming more and more driver for implant choice
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Pressure to adapt to new market realities
General practitioner (GP) segment gaining importance with different needs than the specialists segments
Female dentists becoming more and more important
Value players gaining share on behalf of premium players
Young dentist with different needs when it comes to T&E
Dentist prefer to source differentiated treatmentcomponents from single supplier
Prosthetic decision maker are increasingly influencing the choice of the implant system
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Pressure to adapt to new market realities
Exclusive rights for Straumann to distribute botiss products in most Western/Central European countries and the Americas
Botiss to distribute Emdogain® in Germany, parts of Eastern Europe and Middle East
Leading position for dental bone & tissue regeneration in Europe; growing globally
Extensive range of proven biologic materials
Straumann to start selling in Europe in Q4; other regions to follow in 2016/17, pendingclearances
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Combining strengths with botiss to provide complete regenerative solutions worldwide
General practitioner (GP) segment gaining importance with different needs than the specialists segments
Female dentists becoming more and more important
Value players gaining share on behalf of premium players
Young dentist with different needs when it comes to T&E
Dentist prefer to source differentiated treatmentcomponents from single supplier
Prosthetic decision maker are increasingly influencing the choice of the implant system
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Pressure to adapt to new market realities
Further streamlined prosthetic solutions and broader range of product combinations
New X-STREAM functionality in CARES Visual
Designing elements from one single scan
Milled in controlled environment for excellent fit and consistent quality
Turnaround time & shipping costs significantly reduced
Supports highly flexible Variobase™ with original connection for multiple CADCAM systems
Straumann CARES Visual 8.8 system
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New prosthetic components for fixed full-arch restorations launched at ITI congress
Enhanced screw-retained prosthetic solution especially for edentulous patients
New range of screw-retained implant abutments offering increased flexibility
Low profile, different gingiva heights
0°, 17° and 30° angulations for challenging situations where the posterior implant has to be tilted
Very positive reactions in pre-market tests
The “Swiss made” has affected our financials...
0.6
0.8
1
1.2
1.4
1.6
1.8
2008 2009 2010 2011 2012 2013
USDCHF EURCHF JPYCHF
Sales
Costs
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...but we made a first step towards our goal ofrestoring historic l.c. margins in 2013Underlying EBIT margin
15-20%
2008 2012 2013
14.5% 10-15%
18.2%
27.4%
Straumann Dental benchmark1
1 Peers comprise Nobel Biocare, Dentsply, Patterson, Henry Schein, Osstem, and Sirona.
10%
15%
20%
25%
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20.7%@ 2013 FX rates
10-15%
First clinically validated ceramic implant to reach market1
Made of zirconium-dioxide ceramic
ZLA™ surface comparable to SLA®, designed to offer a structure for cell attachment
Natural translucent ivory color
Monotype design, two abutment heights – more to follow
High reliability through innovative manufacturing and individual testing
241 Seven-year development program backed by seven pre-clinical studies and an extensive clinical study program; 98% survival rate at one year with zero fractures
Straumann PURE Ceramic Implantfor esthetic, metal-free solutions
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Small-diameter and 4mm short versions reduce invasiveness by avoiding bone augmentation procedures
Five-year clinical data presented
Paradigm shift: Short implants can lead to fewer complications, less morbidity, lower costs and more predictable outcomes1.
1 Hämmerle C; Interview published in Starget 1/2014. Al-Nawas B, Hämmerle C, presentations at StraumannCorporate Forum, ITI World Symposium, Geneva 2014
Roxolid® minimally invasive implants now available throughout Europe
Shorter
Thinner
New
SR
ab
utm
ents
Value-adding solutions to meet clinician and patient needs
26 Bubble sizes illustrate market volume potential
Single tooth Multiple tooth Edentulous
Ceramic implants
Standard implant solution
packages
Simpleedentulous solutions
Fixed immediate edentulous solutions
Smaller, less invasive implants
Implants for narrow spaces
Esthetic, fast implant solutions with single crown / small bridge
Low
High
Cost-effective, open platform restoration
Leve
l of s
ophi
stic
atio
n
Stra
uman
n O
NE
Cer
amic
im
plan
t
Rox
olid
Stra
uman
n Va
rioba
se
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We expect the global implant market to develop positively in 2014 and our revenue to grow in the low-single-digit range (l.c.).
After a promising Q1, we expect a softer Q2 given the later Easter break this year.
We will continue to invest in dental growth markets and to extend the reach of our non-premium offering.
Despite this, and thanks to the full impact of our cost-reduction measures last year, we expect to further expand operating income margin in 2014.
In the mid-term, we aim to return to solid growth with further operating margin improvements.
Outlook for 2014 unchanged Barring unforeseen circumstances
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While US and Japan are improving, the European economy may remain fragile for some time
Unemployment rate Private consumption
Source: NZZ newspaper April 201428
We aim to bring our Ebit margin back to 20%+Underlying EBIT margin
15-20%
2008 2012 2013 2014/15
14.5% 10-15%
18.2%
>20%
27.4%
Straumann Dental benchmark1
1 Peers comprise Nobel Biocare, Dentsply, Patterson, Henry Schein, Osstem, and Sirona.
10%
15%
20%
25%
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10-15%
20.7%@ 2013 FX rates
10-15%
Calendar of upcoming events
2 0 1 4 11-12 June Vontobel Swiss Conference Interlaken/CH
13 June Deutsche Bank Swiss & German Conference Berlin
26 August Half-year 2014 results conference Basel HQ
23 October Third quarter sales Audio webcast
2 0 1 5 27 February Full-year 2014 results conference Basel HQ
Detailed calendar on www.straumann.com
3131 Publication and corporate events
Your IR contacts
Fabian HildbrandCorporate Investor RelationsTel. +41 (0)61 965 13 27Email investor.relations@straumann.com
Rahel SchafrothInvestor Relations CoordinatorTel. +41 (0)61 965 16 78Email rahel.schafroth@straumann.com
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Straumann’s currency exposure
Cost breakdown 20131
Revenue breakdown 2013
1 These distribution charts represent the total net revenues and the total COGS as well as OPEX expenses in the various currencies. All numbers are rounded and based on 2013 figures.
Average exchange rates (rounded) FX sensitivity (+/- 10%) on...
FY 2013 YTD 2014 Revenue EBIT
EURCHF 1.23 1.22 +/- 25 million +/- 15 million
USDCHF 0.93 0.90 +/- 17 million +/- 7 million
JPYCHF 0.95 0.87 +/- 4 million +/- 2 million
Development of Straumann’s main exchange rates since 2012
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EUR 40%
CHF 12%
USD / CAD / AUD 28%
Other 20%
EUR 21%
CHF 45%
USD / CAD /
AUD 22%
Other 12%
60
80
100
120
2012 2013 2014
USDCHF EURCHF JPYCHF
Organization adapted to match market development
2 201 2 170
2 3612 452
2 517
2 217
2008 2009 2010 2011 2012 2013
Global workforce (year-end)
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Headcount reduced by 300 to pre-economic crisis level
Overall restructuring/downsizing costs in 2013 amount to a net CHF 8m1
An incremental CHF 10 million savings in 2014 expected
Strong, engaged team of professionals retained
New organizational set-up focuses more on customer needs
Cost optimization
measures implemented
1 Including severance packages and curtailed pension obligations
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Founded in 2002, MegaGen is one of Korea’s fastest-growing dental implant companies
Straumann purchases 3%-interest-bearing convertible bonds for a total of CHF 27 million
Capital injection will accelerate MegaGen’s expansion plans
Option to convert bonds into shares in 2016 and to obtain a majority stake in MegaGen
Foothold in the value segment of the Asia/Pacific region
Investment in MegaGen to drive expansion in value implant segment in Asia