Getinge Interim Report January-March 2022: Healthy order book but supply chain challenges
“Net sales declined by 6.4% and the order intake fell organically by 4.4% in the quarter,” says Mattias Perjos, President & CEO. ”However, excluding the strong sales of ventilators in 2021, we had organic growth in both order intake and net sales. The order book grew 8% during the quarter and is 21% higher now than the same period in 2021, excluding currency fluctuations”.
Getinge has a strong pipeline of orders and the sales forecast for the full-year remains unchanged. The deliveries were negatively affected toward the end of the quarter as a result of temporary supply chain challenges. The company estimates that net sales corresponding to SEK 300 M have been delayed as a result of the shortage of components.
“Like many others, we have been impacted by Russia’s invasion of Ukraine, says Mattias Perjos, President & CEO. “We do not have any production or major deliveries in these countries, but it can indirectly result in higher costs for input goods and delays, which will ultimately affect patients and hospitals around the world. Our customers have been understanding about the situation and appreciate the products and services that we offer, which provide a solid platform for productive dialogue in the current situation”.
Getinge has well-functioning methods for ensuring access to components and transportation, and expects to meet major deliveries during the second half of the year.
The gross margin could be maintained in the quarter despite lower volumes from ventilators and negative mix effects and challenges in the supply chain. The EBITA margin was adversely affected by lower volumes and an unfavorable product mix. Getinge expects to see a strong recovery in margins as volumes increase throughout the rest of the year.
January – March 2022 in brief
- Net sales declined organically by 6.4%. The organic order intake declined by 4.4%.
- Adjusted gross profit amounted to SEK 3,261 M (3,285) and the margin was 52.7% (53.3).
- Adjusted EBITA amounted to SEK 839 M (1,079) and the margin was 13.6% (17.5).
- Adjusted earnings per share amounted to SEK 2.11 (2.68).
- Cash flow after net investments amounted to SEK 420 M (2,026).
Phone Conference
A conference call will be held on April 26, 2022, at 10:00-11:00 am CEST hosted by Mattias Perjos, President & CEO, and Lars Sandström, CFO. Please see dial in details below to join the conference:
SE: +46 8 505 583 66
UK: +44 333 300 92 71
US: +1 631 913 14 22
During the conference call a presentation will be held. To access the presentation through webcast, please use this link: https://tv.streamfabriken.com/getinge-q1-2022
Alternatively, use the following link to download the presentation: https://www.getinge.com/int/about-us/investors/reports-presentations/
Agenda
09:45 Dial 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-q1-2022
Media contact:
Lars Mattson, Head of Investor Relations
Tel: +46 (0)10 335 0043
Email: lars.mattsson@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 April 26, 2022, at 08:00 a.m. CEST.
About Getinge
With a firm belief that every person and community should have access to the best possible care, Getinge provides hospitals and life science institutions with products and solutions that aim to improve clinical results and optimize workflows. The offering includes products and solutions for intensive care, cardiovascular procedures, operating rooms, sterile reprocessing and life science. Getinge employs over 10,000 people worldwide and the products are sold in more than 135 countries.
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