Demant A/S
CSE:DEMANT

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Demant A/S
CSE:DEMANT
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Price: 217.8 DKK -0.27% Market Closed
Market Cap: 46.6B DKK

Demant A/S
Investor Relations

Demant A/S, an eminent player in the world of hearing healthcare, finds its roots in Denmark, where it was founded in 1904. The journey, sparked by the compassion of founder Hans Demant who sought ways to improve his wife's hearing experience, has evolved into a global operation focused on improving quality of life through innovative hearing solutions. Demant transcends beyond traditional hearing aids, carving a niche in providing a broad range of hearing healthcare services. These include audiometric equipment, hearing implants, diagnostic instruments, and personal communication applications, all aligned with the mission to help people overcome communication barriers. Key to Demant's strategy is its strong emphasis on research and development, ensuring that it remains at the forefront of technological advancements in audiology.

The company monetizes its operations through a combination of cutting-edge product sales and a suite of ancillary services that cater to different segments of the hearing healthcare market. Leveraging a robust distribution network, Demant ensures a wide market reach, with offerings meticulously tailored to meet regional consumer needs. Collaborations with retailers, hospitals, and clinics across the globe amplify its market penetration, driving both revenue and brand loyalty. Additionally, Demant taps into the growing demand for auditory digital health solutions, offering cloud-based services that integrate seamlessly into consumer lifestyles. This multifaceted approach not only diversifies revenue streams but also fortifies Demant's standing as a holistic hearing solutions provider, underpinned by a commitment to enhancing living through auditory wellness.

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DEMANT
OMX Copenhagen 25
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Last Earnings Call
Fiscal Period
Q2 2023
Call Date
Aug 16, 2023
AI Summary
Q2 2023

Strong Results: Demant delivered strong H1 performance, with organic growth of 13% and record-high EBIT, mainly driven by hearing aids and recent product launches.

Upgraded Guidance: The company raised its full-year organic growth outlook to 11–14% (from 6–10%) and upgraded EBIT guidance to DKK 4–4.4 billion.

Hearing Healthcare Outperformance: Hearing Healthcare segment saw 15% organic growth and a 28% increase in EBIT, with robust market share gains and positive momentum across key markets.

Communications Weakness: Communications segment underperformed with negative organic growth of 15% and a greater EBIT loss than last year, due to weak demand in both gaming and enterprise.

Gross Margin Headwinds: Gross margin declined 1.3 ppts due to adverse FX effects, high inventory costs, and promotions in gaming, but is expected to improve in the second half.

Sustainability Progress: The company achieved approval of its science-based emissions targets and increased renewable energy use to 22%.

Cash Flow & Leverage: Operating cash flow was strong at nearly DKK 1.9 billion, improving leverage and enabling potential share buybacks.

Key Financials
Organic Growth
13%
EBIT
Just above DKK 2 billion
Operating Margin
18%
Hearing Healthcare Organic Growth
15%
Hearing Healthcare EBIT
DKK 2.16 billion
Gross Margin
74% (underlying first half)
Operating Cash Flow
Nearly DKK 1.9 billion
Net Interest-Bearing Debt
DKK 12.2 billion
Communications Organic Growth
-15%
Communications EBIT Loss
DKK 148 million
Renewable Energy Share
22%
Earnings Call Recording
Other Earnings Calls

Management

Mr. Søren Nielsen
CEO, President & Member of Executive Board
No Bio Available
Mr. René Schneider M.Sc
CFO, President of Group Services & Member of Executive Board
No Bio Available
Mr. Niels Wagner
President of Hearing Care & Member of Executive Board
No Bio Available
Mr. Peter Pudselykke
Head of Investor Relations
No Bio Available
Ms. Trine Kromann-Mikkelsen
Vice President of Corporate Communication and Sustainability
No Bio Available
Mr. Finn Mohring
Senior Vice President of R&D
No Bio Available
Ms. Anne-Karen Hunt
President of Diagnostics Business Area
No Bio Available

Contacts

Address
SMOERUM
Kongebakken 9
Contacts
+4539177300.0
www.demant.com