- Published on 22 May 2015
The Swiss company Sonova, which markets the hearing aid brands Phonak, Unitron and Hansaton, and owns the cochlear implant company Advanced Bionics, recently reported solid results for the year 2014/2015.
In a press release, the company reported a “record” volume of sales that reached about CHF 2,035 million (about 1,951 million Euros), an increase of + 4.3% during the 2014/2015 financial year ending on March 31, 2015.
Sales of hearing aids were the main driver behind these good results. The figure reached CHF 1,841 million (about 1,767 million Euros), while sales of cochlear implants accounted for CHF 194 million (about 186 million Euros).
Earnings before interest, taxes and amortization (EBITA) reached CHF 455.6 million (about 436.9 million Euros). A result that was up 5.9%, corresponding to a margin of 22.4% for Sonova.
Moreover, a strong cash conversion resulted in 15.1% growth in operating free cash flow. The Board of Directors proposed a dividend of CHF 2.05 per share. This is an increase of 8% compared to the previous year.
"We again delivered very solid results overall, with a strong performance in hearing instruments and driven by double-digit growth of all our businesses in Europe and in parts of Asia,” said Sonova CEO Lukas Braunschweiler. “I am particularly proud about our strong ability to continuously expand our margins and to effectively convert earnings into cash as demonstrated by the robust growth in operating free cash flow. This was achieved despite temporary challenges in the US market in the first half and headwind from the strong Swiss franc. We remained focused on executing our strategic plan by broadening our product and solution offering, significantly strengthening our global distribution capabilities and further pursuing our global resource allocation strategy. Building on these achievements, I am confident that we continue to deliver on our strategy of customer-driven innovation and sustainable growth,” he added.
Furthermore, Andy Rihs, cofounder of Sonova and main group shareholder, announced that he will not stand for re-election at the 2015 Annual General Shareholders’ Meeting.
Sonova expects group sales to grow by 7% - 9% and EBITA to increase by 9% - 13% for the 2015/2016 financial year.
Growth will be supported in particular by the acquisition of Hansaton Akustik GmbH, which became effective in April 2015.