Q2 2024 Demant A/S Earnings Call Transcript
Key Points
- Demant AS (WILLF) reported a solid cash flow from operations of DKK1.5 billion and a free cash flow of DKK1.157 billion.
- The company achieved a significant increase in gross margin, driven by a positive ASP development and a strong product mix in hearing aids.
- Demant AS (WILLF) has increased its share of renewable energy and expects further significant improvements in the coming months.
- The share of women in top management has increased to 30%, achieving the company's goal for 2025 ahead of time.
- The hearing care segment showed strong momentum, supported by acquisitions, particularly in Germany and Belgium.
- The company's first-half performance was below expectations, leading to a downward revision of growth and EBIT forecasts.
- Demant AS (WILLF) experienced a significant loss of market share in the US managed care segment, impacting overall growth.
- The diagnostics business grew at a slower pace than expected, with challenges in accessing the Chinese market.
- Operating expenses increased by 7% organically, reflecting a lack of operating leverage and contributing to a 1.5-percentage-point drop in EBIT margin.
- The restructuring plan for EPOS resulted in a negative impact of DKK400 million, with a significant portion being non-cash.
/-
Good afternoon and welcome to our conference call here today. A couple of announcements out from us last night, one on the interim report and one of the initiation of a Restructuring Plan for EPOS. We'll run through a presentation touching on both the topics and as always we'll switch over to Q&A when we're done.
Just on a practical note, the presentation should now be on our website and as usual we plan for the call to last no more than one hour, including the Q&A session.
On the call today, it's as always Søren Nielsen, our President and CEO; René Schneider, our CFO and then the IR team, Gustav Høegh and myself, Peter Pudselykke. And with that short intro, I'll just leave it over to Søren, please.
¸ - /-
Thank you very much, Peter. And the agenda today is key events, financial takeaways, sustainability achievements, a bit more deep dive into the business areas to give more
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
