Getinge Q3 2019 Result: Continued Growth and Improved Margins

GOTHENBURG, Sweden, Oct. 18, 2019 /PRNewswire/ -- "We continue to show strong organic sales growth and improved margins in the third quarter", says Mattias Perjos, President & CEO at Getinge. "The underlying cash flow remains strong despite that we seasonally are tying up more capital in the third quarter. In the coming quarters we will continue creating value for our customers and to work on strengthening profitability".

Getinge's organic sales growth is continuing across all business areas and regions. The organic order intake amounted to 3.5%, despite tough comparative figures following a long period of outperforming market growth. Getinge believes that underlying demand remains high, which also applies to the sales region Americas and business area Surgical Workflows, which presented a decrease in order intake in the third quarter.

"Our operating expenses were slightly higher compared with Q3 2018, mainly due to remediation measures and EU MDR preparations, but we can also see that operating expenses are reducing sequentially compared with the preceding quarter, which is a sign that our restructuring measures are starting to show results".

During the third quarter, Getinge launched the operating table Maquet Lyra that meets growing demand in the value segment. The productivity and manufacturing volumes increased in the quarter and contributes to strenghtened margins. Improvements in logistics and inventories are also helping to enhance customer service and reduce costs.

July - September 2019 in brief

    --  Net sales increased by 4.8% organically and the order intake rose by
        3.5% organically.

    --  Adjusted gross profit amounted to SEK 3,171 M (2,721) and the margin was
        50.8% (47.9). IFRS 16 had a positive effect of SEK 29 M on adjusted
        gross profit.

    --  Adjusted EBITA amounted to SEK 677 M (438) and the adjusted EBITA margin
        was 10.9% (7.7). IFRS 16 had a positive effect of SEK 3 M on adjusted
        EBITA.

    --  Adjusted earnings per share amounted to SEK 1.42 (0.78). The effect of
        IFRS 16 was SEK 0.00 per share.

    --  Launch of Maquet Lyra, a high-quality operating table that meets growing
        demand in the value segment.

Telephone conference

A conference call will be held on October 18, 2019, at 10:00-11:00 CEST hosted by Mattias Perjos, President & CEO, and Lars Sandström, CFO. Please see dial in details below to join the conference:

SE: +46 8 519 993 83

UK: +44 33 33 009 261

US: +1 833 823 05 89

During the telephone conference a presentation will be held. To access the presentation through webcast, please use this link: https://tv.streamfabriken.com/getinge-q3-2019

Alternatively, use the following link to download the presentation: https://www.getinge.com/int/about-us/investors/reports-presentations.

Agenda

09:45 Call in to the conference

10:00 Presentation

10:30 Q&A

11:00 End of conference

Recording available for 3 years

A recorded version can be accessed for 3 years via https://tv.streamfabriken.com/getinge-q3-2019

Media contact:

Lars Mattson, Head of Investor Relations
Tel: +46(0)10-335-0043
Email: lars.mattsson@getinge.com

Jeanette Hedén Carlsson, EVP Communication & Academy
Tel: +46(0)10-335-1003
Email: jeanette.hedencarlsson@getinge.com

This information is such that Getinge AB is obliged to make public pursuant to the EU Market Abuse Regulation and the Swedish Securities Market Act. The information was submitted for publication, through the agency of the contact person set out above, on October 18, 2019, at 08:00 a.m. CEST.

This information was brought to you by Cision http://news.cision.com

https://news.cision.com/getinge/r/getinge-q3-2019-result--continued-growth-and-improved-margins,c2935473

The following files are available for download:

     
     https://mb.cision.com/Main/942/2935473/1125466.pdf                  
     Release



     
     https://mb.cision.com/Public/942/2935473/85f176f335b86ee6.pdf         Getinge Interim Report
                                                                               January-September 2019



     
     https://news.cision.com/getinge/i/getinge-maquet-lyra,c2701914      
     Getinge Maquet Lyra



     
     https://news.cision.com/getinge/i/getinge---mattias-perjos,c2701915   Getinge -Mattias Perjos

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SOURCE Getinge