Össur hf: Guidance for 2020 withdrawn and share buybacks temporarily suspended due to coronavirus uncertainty
Announcement no. 24/2020
17 March 2020
Guidance for 2020 withdrawn and share buybacks temporarily suspended due to coronavirus uncertainty
Due to the current global outbreak of coronavirus (COVID-19), Össur expects a short-term negative impact on demand for prosthetic and bracing & supports products. Financial performance will thus be temporarily negatively impacted. The impact is however expected to lead to some pent-up of demand. The long-term prospects or underlying fundamental drivers of the prosthetics and bracing & supports markets are not expected to change.
Given rapid day-to-day changes in regional markets across the world, Össur is currently unable to assess the magnitude and length of the expected short-term impact. Consequently, the guidance for 2020 is now withdrawn. As soon as Össur can estimate the expected financial impact of the coronavirus, an updated guidance for 2020 will be published.
In relation to the above, Össur has decided to temporarily suspend its share buyback program. It should be noted that Össur‘s financial position is strong with a healthy balance sheet and access to financing through existing credit facilities. There are no plans in place to change the Capital Structure and Dividend policy and capital allocation to shareholders will resume once the situation normalizes.
Össur continues to monitor the development of the coronavirus closely. Primary focus is on safety and well-being for employees and customers. Guidelines from local authorities are being followed.
Össur will publish any significant new information as it materialises and, in line with Össur‘s financial calendar, the Interim Report for Q1 2020 will be published on 30 April 2020.
David Hreidarsson, Investor Relations, email@example.com, +354 661 8225
Helga Danielsdottir, Investor Relations, firstname.lastname@example.org, +354 766 4959
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Össur (Nasdaq Copenhagen: OSSR) is a global leader in non-invasive orthopaedics that help people live a life without limitations. A recognized “Technology Pioneer,” Össur focuses on improving people’s mobility through the delivery of innovative technologies in Prosthetics and Bracing & Supports, by investing significantly in research and product development to create award-winning designs with consistently strong market positions. Successful patient and clinical outcomes are further empowered via Össur’s educational programs and business solutions. As part of Össur’s long-standing commitment to social responsibility, the company has been a signatory to the United Nations Global Compact since 2011, and also participates in the Nasdaq Nordic and Baltic exchanges’ voluntary guidelines for Environment, Social and Corporate Governance (ESG). Össur is headquartered in Iceland, with major operations in the Americas, Europe and Asia, and additional distributors worldwide. www.ossur.com