2015 full-year results - straumann · 24.02.2016 4 7 consolidation has changed the competitive...

24.02.2016

1

2015 Full-year resultsConference presentation for investors, analysts & media

Basel, 25 February 2016

2

This presentation contains certain forward-looking statements that reflect the current views ofmanagement. Such statements are subject to known and unknown risks, uncertainties andother factors that may cause actual results, performance or achievements of the StraumannGroup to differ materially from those expressed or implied in this presentation. Straumann isproviding the information in this presentation as of this date and does not undertake anyobligation to update any statements contained in it as a result of new information, futureevents or otherwise.

The availability and indications/claims of the products illustrated and mentioned in thispresentation may vary according to country.

Disclaimer

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Full-year highlightsMarco Gadola, CEO

Growth strategy paying off

4

REVENUE BEST PERFORMERS EBIT MARGIN2

CHF

799m APAC & LATAM 23.3%

Organic1 growthFY: +9% Q4: +10%

Double-digit organic growth in bothregions

Operating profit jumps 25% due to strong growth, accretive income from Neodent, and cost containment.

KEY PRODUCT VALUE STRATEGY OUTLOOK 2016

BLT >200k sold since launch

Top 5 Outperformance

Approvals gained in all key markets except China; at year end, every 5th Straumann implant sold was a BLT

Neodent integration complete; Straumann becomes top tier player in global value segment; entry in China with Anthogyr

Mid-single-digit organic growth expected, ahead of the market; further EBIT margin improvement

1 Organic growth – i.e. excluding the effects of acquisitions, divestitures and currency exchange rates2 Before business combination exceptionals

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Positive sales trend continues in Q4 led by APAC and LATAM

North America27% of Group

Organic revenue growth in %

6.6

8.3

Q4 FY

16.8

11.0

Q4 FY

LATAM 10% of Group

8.3

6.1

Q4 FY

EMEA 47% of Group

20.019.4

Q4 FY

APAC15% of Group

10.3

9.1

Q4 FY

Group

5

6

Underlying margin expands on all levels

Organic revenue growthexcl. acquisition and

and FX effect

Gross margin (%)excl. exceptionals

and FX effect

EBIT margin (%)excl. exceptionals

and FX effect

EPSexcl. exceptionals and one-

time effect

732.0

798.6

2014 2015

77.678.6

2014 2015

+9.1%

18.7

23.3

2014 2015

+100bps

8.42

9.19

2014 2015

+450bps (+300bps excl.

Neodent)+9.2%

1 Earnings per share in 2014 were lifted by a one-time effect of CHF 27 million (or CHF 1.75 per share) related to the capitalization of deferred tax assets in Neodent.

1

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7

Consolidation has changed the competitive landscape

1 Includes implants, abutments and tools/instruments and is based on bottom-up market research data and Straumann estimates 2 Market size at 2014 exchange rates = CHF 3.5bn

Global dental implant market shares in 2015 (worth CHF 3.2bn)

Global implant & abutment market,

valued at ~CHF 3.2 bn1, grew mid-

single-digit in 2015

Successful launches helped us to

grow strongly and extend our lead

in implant market

Currency impact especially from

strong CHF and weaker BRL

affects our market share in CHF

and complicates comparison with

prior years2

8 Organic growth – i.e. excluding the effects of acquisitions, divestitures and currency exchange rates . Main competitors incl. Nobel Biocare, Zimmer Dental, Biomet 3i, Dentsply Implants based on company and SEC reports, as well as management comments

Profitable growth

17.3%14.9%

18.2%20.9%

23.3%

0%

10%

20%

30%

0

50

100

150

200

2011 2012 2013 2014 2015

Operating profit

Operating income ExceptionalsUnderlying EBIT margin

3.2%

‐1.0%

1.2%

6.4%

9.1%

2011 2012 2013 2014 2015

Organic growth vs. main peers

Straumann Main competitors

in CHF million 2011 2012 2013 2014 2015 5‐year average

Revenue 693.6 686.4 679.9 710.3 798.6

growth in %

Organic revenue growth 4.1 ‐1.0 1.2 6.4 9.1 4.0

Acquisiton / Divesture 0.0 ‐0.6 ‐0.8 0.0 9.5 1.6

Total l.c. growth 4.1 ‐1.6 0.4 6.4 18.6 5.6

FX effect ‐10.1 0.5 ‐1.3 ‐1.9 ‐6.1 ‐3.8

Total revenue growth (in CHF) ‐6.0 ‐1.1 ‐0.9 4.5 12.4 1.8

in C

HF

m

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9

Global team strengthened in 2015 through Neodent and new hires in China, US and LATAM

0

500

1000

1500

2000

2500

3000

3500

Over 900 Neodent employees in Brazil

More than 250 newjobs created: 60% in Sales & Marketing mostly in:

China USA Latin America

~3470 Straumann Group

45%

17%

6%

3%

4%

23%

Titaniumfix

SIN

Conexão

Others (>200 players)

NobelBiometDentsply

Neodent’s track record of double-digit topline growth with market share gains

Brazilian implant market in 2014 (100% = ~2.3m units)

Source: Serasa Experian data and Straumann estimates10

0

100

200

300

2010 2011 2012 2013 2014 2015

Brazil Non-domestic

Neodent revenue (in BRL million)

CAGR +12%

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Business and regional reviewPeter Hackel, CFO

12

Special factors influencing income statement

EB

IT

Ne

t Pro

fit

Neodent contributed CHF 63m to Group revenue from 1 March to 31 December

1 Customer-lists will be amortized over 7 years and amount to BRL 21 million p.a. (approx. CHF 5 million) and will vary depending on the BRLCHF currency development.

Impact on Reason

Business combination exceptionals Other

Cost of goods sold (13) Inventory adjustments

Distribution costs (5) Amortization of customer-related intangible assets1

21 Revaluation gain due to derecognition of the initial 49% investment

(85)Foreign exchange loss due to depreciation of BRL against CHF between initial 49% acquisition in 2012 and full combination in 2015

Result of associates

(7)CHF 7m provision charges related to a change in a distribution agreement and litigation prior to the Neodent consolidation in March

Tax effect on exceptionals

4 Exceptionals partially tax deductible

Total business combination exceptionals

(73) Total effect of exceptionals on net profit

Total 'other' factors

(12)

Gain/loss on consolidation

Amount in CHF million

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in CHF millionChange (rounded)

Reported Exceptionals before business

combination exceptionals

Reported One-time

effect before one-time effect

excluding exceptionals and one-time effect

Revenue 798.6 710.3

Organic growth% 9.1% 6.4%

Gross profit 614.9 (13) 628.0 558.7 12%

margin 77.0% 78.6% 78.7% 00 bps

EBITDA 207.6 (13) 220.7 176.2 25%margin 26.0% 27.6% 24.8% 280 bps

EBIT 172.6 (13) 185.7 148.3 25%

margin 21.6% 23.3% 20.9% 240 bps

(63.9) (64) 0.0

Associates (12.3) (12.3) 36.3 27 9.4

Taxes (8.7) 4 (12.5) (19.6)

Net profit 71.5 144.7 157.8 130.9 11%

margin 9.0% 18.1% 22.2% 18.4% ( 30 bps)

Basic EPS 4.52 9.19 10.15 8.42

Free cash flow 151.1 128.4

margin 18.9% 18.2%

Loss on consilidation of Neodent

FY 2014FY 2015

13

Significant profitability improvements

2015 Business combination exceptionals: Charges in 2015 related to the Neodent business combination amounted to CHF 77m (CHF 73m after tax), which includes inventory revaluation expenses of CHF 13m and a CHF 64m net loss below the EBIT line. All the exceptionals are non-cash-relevant and applied to H1 only. 2014 One time effect: EPS were lifted by a one-time effect of CHF 27 million (or CHF 1.73 per share) related to the capitalization of deferred tax assets in Neodent.

78.7%

(1.1%)

77.6%

1.8%0.1% (0.8%)

78.7%

(0.1%) (1.6%)

77.0%

Gross profitmargin

FX effect Adj. gross profitmargin

Price / volume /mix

Inventorychange

Volume drivenmaterial andlabor costs

Like-for-likegross profit

margin

Neodentoperational

Businesscombinationexceptionals

Reported grossprofit margin

In % of revenue, rounded

Volume expansions offset FX and mix effects

14

1 Change in finished and semi-finished goods in 2014 compared with prior year 2 Neodent’s domestic business without Instradent business 3 Business combination exceptionals: inventory revaluation expenses of CHF 13m in H1

1

20152014

+110 bps

2

+100 bps

3

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15

Ramping up production & logistics for futuregrowth

Capacity ramped-up for BLT incl. instruments and surgical cassettes; integration of more than 400 new product articles (SKUs) in our plants

CADCAM milling centre in Japan offering custom abutments, complex prosthetic frameworks, and drill templates produced by 3D-printing

US milling facility (Arlington) significantly extended to meet demand for screw-retained bars and bridges

botiss and Medentika portfolios included in supply chain management system

Build up for third-party prosthetic offering; technical capabilities set-up

Interior view of a robot that makes 100% implant dimension control

(Villeret facility)

20.9%

(2.2%)

18.7%

1.1%1.5% 0.3% 0.1%

21.7%

1.5% (1.6%)

21.6%

ReportedEBIT margin

FX effect Adjusted EBITmargin

Gross marginimprovement

Distributioncosts

Marketing,R&D,

administration

Other income Like-for-likeEBIT margin

Neodentoperational


ReportedEBIT margin

Further EBIT margin improvement

16

20152014

In % of revenue, rounded

+450 bps

+300 bps

1 A provision of CHF 12.5m was included in 2014 in connection with the agreed changes of Straumann’s go-to-market approach in China. 2 Domestic Neodent business without Instradent.

1 2

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157.8

(26.9)

130.9

37.4 (9.0)(21.6)

7.1

144.7

(73.2)

71.5

Reported netprofit

One-timeeffect

Underlyingnet profit

EBITimprovment

Financialresult

Share ofresults fromassociate

Income taxes Net profit excl.exceptionals


Reported netprofit

17

Net profit reaches CHF 145m excl. exceptionals

In CHF million, rounded

Net profit margin 22.2%


1 One-time effect of CHF 27 million related to the capitalization of deferred tax assets in Neodent disclosed under ‘share of results of associate’. 2 Prior to the business combination, the Neodent result was reduced by provisions for a distributor agreement and an ongoing litigation in the amount of CHF 7 million.

2



20152014

1

128.4

31.0

37.1 (16.7)(20.0)

(8.7 )

151.1

Free cash flow2014

EBITDAimprovement

Improved workingcapital

Higher CAPEXinvestments

Difference in non-cash OPEX

Change ininterest, taxes and

various

Free cash flow2015

Strong cash generation constrained by increased investments in CADCAM production

FCF margin 18.9%

FCF margin 18.1%

In CHF million

18Chart shows cash-relevant changes Jan-Dec 2015 compared with the same period 2014 1 Mainly changes in share-based payments and provisions

18

1

Impacted by adjustments for Neodent’s inventory in the amount of 13 million

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2.5

3.0

3.8 3.8 3.8

1.9 2.2

3.8 3.8 3.84.0

1.85 1.55

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

in C

HF

per

sha

re

Dividends paid from reserved capital contributions

Cash dividend

Based on the results and positive developments in 2015, the Board will propose an increase in the ordinary dividend of CHF 0.25 per share for approval

Despite challenging conditions and market contraction, Straumann has maintained its dividend at CHF 3.75 per share since 2008

-10

-5

0

5

10

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

Cha

nge

in G

DP

yoy

(%)

US Italy Germany

Proposed dividend increase to CHF 4.00 per share

19 Source: Thomson Reuters Datastream

20

Growth across all regions; after previous declines EMEA was biggest contributor in 2015

9.1% organic

Revenue development (in CHF million, rounded)

2014 2015

Change in l.c.

(6.1%) 8.3% 11.0%6.1% 19.4%8.7%

12.4% in CHF

710.3732.0

21.6

16.719.9

8.3

798.6

Revenue FY2014

FX Effect AcquisitionEffect

Adj. revenueFY 2014

EMEA North America APAC LATAM Revenue FY2015

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Revenue change (organic)

Sustained recovery in EMEA; robust N. America

56%

Good momentum in Q4 (+8%) led by Germany and fuelled by double-digit growth in Iberia and France

Good performances in the UK and the Nordics

8.3% 8.5% 8.3%

0.3%

7.0%

2.4%

Q4Q3Q2Q12015

Q4Q3

EM

EA

No

rth

Am

eric

a

Solid Q4 with growth just less than 7%

BLT and Pro Arch drive growth

One in three implants sold in Q4 were tapered

27%

21

6.6% 6.1%

9.3%

11.6%

9.3%

11.4%

Q4Q3Q2Q12015

Q4Q3

47%

Double-digit expansion in Asia and LATAM

56%

Strong growth in China and further share gains in Japan

Continuing roll-out of SLActive and controlled market release of BLT in Japan

Initial contribution from CADCAM milling center in Japan

20.0%

13.2%12.8%

34.5%

14.5%17.0%

Q4Q3Q2Q12015

Q4Q3

Asi

aP

acif

icL

ATA

M1

16.8%

1.3%

15.6%

8.3%

15.1%14.0%

Q4Q3Q2Q12015

Q4Q3

Rebound in Q4 (+17%) after weak Q3

Strong performance in Brazil despite sluggish market

CADCAM milling center operational in Brazil

15%

11%

22

Revenue change (organic)

1 Owing to the Neodent acquisition, Straumann re-allocated markets from the ‘Rest of the World’ region to Latin America, with effect of 1 January 2015. The respective regional growth figures in the chart above have been recalculated on a pro-forma basis and include the Straumann as well as the Neodent business to allow for a true comparison.

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Implants

Double-digit growth in implants and biomaterials

Restorative Biomaterials

2323

Update on our strategic progressMarco Gadola, CEO

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Drive a high performance culture and organization

Target unexploited growth markets & segments

Become a total solution provider for tooth replacement

Update on our strategic priorities

25

1

2

3

26

Program to promote ‘player-learner’ mindset and change to high-performance culture well underway throughout the organization

Various initiatives to drive core behaviors that will increase agility, strengthen commercial mindset etc.

Distinct signs of new high-performance culture 1

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Our strategic priorities

27

1

2

3

Targeted investments to extend geographical reach and unlock growth potential

North America Balanced education offering for

starters in implantology Instradent Canada launch

mid-year

Brazil Straumann & Neodent

integrated CADCAM service

ChinaEntry into value segment with Anthogyr expected H2

JapanCADCAM service

LATAMHubs distributing

Straumann & Neodent established in Colombia,

Argentina and Mexico

28

TurkeyJoint venture to supply value implant systems

UKInstradent opened

2

RussiaNew subsidiary

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Expanding in the value segment

29

Neodent home market Existing value organizations & distributors

Expansion 2016Medentika home market

2

Occupied by peers

Joint forces to exploit the full potential

Conservative, well-documented treatments

Progressive, immediate function protocols

ITI

ProArch

Bone Level Tapered

Pre

miu

mV

alu

e

TissueLevel

BoneLevel

Neodent brand expandsgeographically

30

2

Straumann extendsits range of

clinical protocols

CM Acqua

NeoArch

Zygoma

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31

Anthogyr – a door to the Chinese value segment

Straumann to acquire 30% stake in French company

Anthogyr’s implant business activities in China to transfer to Straumann by mid-2016

Anthogyr’s dental implant system is already established in China and positioned as a high-quality attractively-priced option

Approx. 15% of Anthogyr’s annual revenue of € 45m is in Asia

Agreement to become effective atend of March subject to fulfilment of certain conditions

2

32

Further steps to unlock value segment in an attractive emerging market

Zinedent joint-venture with our distributor to

supply implants and prosthetics in Turkey and

surrounding markets

Potential of manufacturing implants locally

Benefit from customer proximity to penetrate the

large and fast-growing Turkish non-premium

segment (>350k implants p.a.)

Launch expected in Q2 2016

2

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Turkey(JV 50%)

Two additions to our value and technology platform

Brazil(100%)

Germany(51%)

Taiwan(Convertible)

S. Korea(Convertible)

Common platform of technology & production

Spain(30%)

Canada(55%)

Germany(Option 30%)

Germany (100%)

Premium Value

33

US (13%)

Taiwan(49%)

Implants CADCAM/prosthetics Regeneratives

France/China(30%)

Switzerland(44%)

2

34

Initiatives to serve evolving customer segments2

Patient Pro

Tools and patient marketing material supporting dentists

in patient education, online and social media marketing

Young ProfessionalsProgram 2

Service package for young dentists,

helping build experience and business. >5000

enrolled in 10 countries

Peer to Peer

Experienced implant-ologists share surgical

techniques and experience with peers

ITI Online Academy

E-learning platform for practitioners; 3 million page views in 2015

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35

Collaboration with Engel Instituteto support education

Increased needs for education to address the growing number of dentists interested in placing implants

Established in 2005, the Engel Institute has 4 training centers in the US and has provided training to >7000 dental professionals

Straumann’s implant system and biomaterials will be used exclusively in all Engel Institute programs

Implant mentoring courses cover treatment planning to final restoration and include live surgery

Highly experienced founding educator, Todd Engel DDS has placed >17000 implants

2




Our strategic priorities

36

1

2

3

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37Highlights from Straumann’s development pipeline. Introduction/rollout dates may be subject to positive clinical results andregulatory clearances, and barring unforeseen circumstances.

A stocked innovation pipeline3

38

FDA clearance received in January; launch underway

The metal-free implant for limited interdental spaces

Esthetics are particularly important in the US and there is a need for metal-free solutions

Very positive reception at initial KOL introductory meeting

Straumann PURE ceramic implant – now available in the US

3

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39

Next generation technology – developed by Dental Wings for Straumann

Small light handpiece

Real-time 3D scanning; open STL files

Patented and compact 3D capture technique (“Multiscan Imaging Gesture Control”)

Attractive price, no click fees

Distributed through Benco and Burkhart in the US, serving approx. 40K dentists and labs with broad sales and service network

New intra-oral scanning technology –distribution partnership to drive US sales

3

40

Straumann enters chairside & in-lab CADCAM market through partnerships with Dental Wings (intra-oral and in-lab scanners) and Amann Girrbach (milling machines), complementing Straumann’s central milling and Scan&Shape services

Entry to chairside and in-lab CADCAM market

In-lab Chairside

Lab System

Desktop scanner CARES® Visual MSeries milling

machine

Intra-oral scanner (stand-alone)

Intra-oral scanner CARES® Visual

Practice lab system

Intra-oral scanner CARES® Visual MSeries milling

machine

Chairside system

Intra-oral scanner CARES® Visual CSeries milling

machine

3

DACH: Q4 2015 WE: Q2 2016 BR: Q2 2016 US: tbd JP: Q4 2016

DACH: Q2 2016 WE: Q3 2016 BR: Q3 2016 US: Q1 2016 JP: tbd

DACH: Q3 2016 WE: Q4 2016 BR: Q4 2016 US: tbd JP: tbd

LM

R

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Partnership with AmannGirrbach facilitates our entry into the Brazilian in-lab milling market

FurnaceScanner / SW Milling equipment

Dental Wingsscanners

• 3 Series

• 7 Series

Inlab Materials:• Blanks (D-disks)• Blocks• Premilled abutments• Stain & Glaze sets

2016Amann Girrbach distributed

by Neodent

2015Scan & Shape Service +

Centralized Milling

41

3

42

Enlarging our restorative business – high quality multi-platform solutions

Straumann Neodent Medentika For 3rd party

Pre-fabricated

Standard & pre-shaped abutment Medentika

Titanium base abutment Medentika /

etkon

Pre-milledabutment Medentika /

etkon

Individualized

CADCAM individualized abutment

Medentika / etkon

‘Crown in a box’ Medentika / etkon

Implant system

3

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Confidence going forward

44

Large retrospective study1 of dental implants in broad clinical setting including 1578 implants from various manufacturers

Investigators observe substantial differences between implant systems

Significantly lower odds ratios for moderate/severe peri-implantitis with Straumann Tissue Level SLA implants than with the other implant systems evaluated

Findings highly relevant for dentists who base their choice of implant on independent clinical evidence

Confidence based on long-term independent clinical evidence

1 J. Derks et al.: Effectiveness of Implant Therapy Analyzed in a Swedish Population: Prevalence of Peri-implantitis: J. Dent. Res. 2016, Vol. 95(1) 43–49.

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45

New guarantee provides extra confidence in Roxolid implants

In addition to implants and abutments, the guarantee offers a monetary reimbursement towards treatment costs

Cumulative fracture rate of 0.04% is significantly lower than titanium implants

Data gathered since its introduction confirm that small diameter Roxolidimplants help to avoid bone augmentation and create new treatment options

Roxolid® Lifetime Plus Guarantee

46

BLT video trailer

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Outlook 2015

48

We expect the global implant market to grow solidly in 2016

We are confident that we can continue to outperform by achieving organic growth in the mid-single-digit range

Despite further investments into strategic growth initiatives, the expected revenue growth and operational leverage should lead to further improvements in the underlying operating profit margin (2015: 23%).

Guidance 2016Barring unforeseen circumstances

48

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49

Annual Report 2015 –Extraordinary performers

Questions & answers

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Calendar of upcoming events

2016

25 February Full-year 2015 results conference Basel HQ, CH

26 February Analyst breakfast London

26 February Investor meetings London

18 March Investor meetings Paris

22 March Investor meetings Singapore

23 March Kepler Cheuvreux Swiss Seminar Zurich

08 April AGM 2016 Messe Basel, CH

28 April Investor meetings Chicago

29 April Investor meetings New York

03 May Q1 sales publication Webcast

06 June Investor meetings Geneva

07/08 June Vontobel summer conference Interlaken

51 More information on straumann.com → Events

CHF37%

EUR19%

USD/CAD/AUD24%

BRL11%

Other11%

CHF9%

EUR33%

USD/CAD/AUD29%

BRL10%

Other19%

52

Straumann’s currency exposure

Cost breakdown FY20151

Revenue breakdown FY2015

1 These distribution charts represent the total net revenues and the total COGS as well as OPEX in the various currencies. All numbers are rounded and based on FY 2015 figures and include Neodent since 1 March.

Average exchange rates (rounded)FX sensitivity

(+/- 10%) on full-year...

2014 2015 YTD 2016 Revenue EBIT

1 EURCHF 1.21 1.08 1.09 +/- 26m +/- 16m

1 USDCHF 0.92 0.96 1.01 +/- 20m +/- 7m

1 BRLCHF 0.389 0.295 0.248 +/- 8m +/- 2m

100 JPYCHF 0.86 0.80 0.86 +/- 5m +/- 3m

52

40

60

80

100

120

2011 2012 2013 2014 2015

EURCHF USDCHF JPYCHF BRLCHF

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53

Share price reflects restored confidence thanks to improved fundamentals

Source: Thomson Reuters Datastream

STMN N SMI price index (rebased) MSCI World price index (rebased)

Relative share price development in the past 5 years ...and over the past 2 years

Results from perception survey

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Perception survey last December: Respondents...

49%

25%

13%

12%Fund Manager

Buy-side analyst

Sell-side analyst

Equity sales

23%

5%2%3%

3%55%

5%4% UK

US

Scandinavia

Canada

France

Switzerland

Germany

Other

...by job ...by country

Online survey in December 2015 with a sample size of 75 respondents out of approx. 320 questionnaires (23% response rate)55

Shareholding and valuation methods

Are you a shareholder? Most popular valuation toolbox

56

36%

10%13%

41%

We were invested in the past, but not now

Don't want to comment

We never owned STMN shares

We are shareholders

Questions asked: Are you a shareholder or not? What are the main financial metrics you use to assess the intrinsic value of the company? (multiple answers possible)

0 10 20 30 40 50 60

Price to earnings multiple

DCF

EV / EBITDA

CFROI

PEG

EVA

HOLT

FCF Yield

DDM

Historical M&A multiples

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29

Why are you a shareholder / not invested at the moment (Top responses ranked by order)

57

Why are you a shareholder? Why are you not invested?

Straumann will likely outperform its peers and can leverage its fixed cost base

Industry growth does not match valuation

Find management convincing Increasing marketing efforts needed to maintain growth

Favorable demographics and low penetration rates

I think the entry into the value segment will dilute reported margins

Company benefits from entering into thetapered implant segment

Advantage of a dedicated implant player in a consolidating industry

Questions asked: What makes Straumann an interesting investment? Why are you not invested? (multiple answers possible)

Medium-term market growth

58

Total market by value (in % of respondents) Implant volumes (in % of respondents)

Questions asked: What do you reckon will the entire global tooth replacement market p.a. grow in the coming 3y (implant,abutments and CADACAM combined; in value terms)? What do you believe will implant volumes grow in the coming 3y(globally and all price segments incl.)?

0 10 20 30 40 50 60

Low double-digits

7-9%

5-7%

4-6%

1-3%

Flattish

Decreasing

0 10 20 30 40 50 60

Low double-digits

7-9%

5-7%

4-6%

1-3%

Flattish

Decreasing

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30

37%

29%

16%

9%

9% 0%

Bolt-on acquisition to increase market share if synergies justify it

Investments into attrative technology

Investment in implant companies with emerging market franchise

Geographical expansion such as India, ASEAN or LATAM

Increase dividend yield

Share buyback

What should the company do with its cash?

59Questions asked: Do you think that Straumann should extend its business scope and offer more than tooth replacement solutions? What would be your preference regarding the company's capital deployment?

Capital deployment (in % of respondents)

49%

25%

10%

9%

7%

No, we prefer a focused business model

Not necessarily but the company needs to successuflly enter thechairside market with its partnersYes, high-end orthodontics would be a good fit for

Yes, restorative materials would be a good extension

To expand its distribution power, the company should team up with adental wholesaler

Extension of business scope? (in % of respondents)

Your contacts

Fabian Hildbrand

Corporate Investor Relations

Tel. +41 (0)61 965 13 27

Email [email protected]

Mark Hill Thomas Konrad

Corporate Communications

Tel. +41 (0)61 965 13 21 Tel. +41 (0)61 965 15 46

Email [email protected] Email [email protected]

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24.02.2016

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International Headquarters

Institut Straumann AG

Peter Merian-Weg 12

CH-4002 Basel, Switzerland

Phone +41(0)61 965 11 11

Fax +41(0)61 965 10 01

www.straumann.com

2015 full-year results - straumann · 24.02.2016 4 7 consolidation has changed the competitive...

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