William Demant report success in 2015

Manufacturer

© G.B.

The annual report from William Demant Holding has been released and describes a successful 2015 for the Danish manufacturer. Revenue for Hearing Devices, Hearing Implants and Diagnostic Instruments totalled DKK 10,665 million, a growth rate of 14% or 7% in local currencies. Organic growth accounted for more than half of this and currency translation had a positive effect on consolidated revenue of 9% (due to the strengthening of some of the major invoicing currencies, especially the US dollar, the British pound sterling and the Japanese yen). 2015 operating profit (EBIT) increased by 7% to DKK 1,878 million and the group is forecasting for an operating profit (EBIT) in the range of DKK 2.0-2.3 billion for 2016.

The core business of the development, manufacture and wholesale distribution of hearing aids had an organic growth rate of 6% for the year; this was helped by a very strong second six months after the successful launch of Oticon’s ultra-fast Inium Sense platform. With the platform released in all styles at all price points and in all markets in the course of only a few weeks, the press release states, “The launch was the biggest and broadest product launch ever undertaken by Oticon.” The Company expects an equally positive 2016 due to the launch of a new product range in the second quarter, which they believe will be “An important growth driver in our core business in the second half of 2016.” The product is described as ‘the first-ever dual-radio hearing aid, combining the audiological advantages of Oticon’s new near field magnetic induction system and a 2.4 GHz system for streamer-free connectivity and programming.’

Niels Jacobsen, President and CEO of William Demant Holding said, “2015 was a strong year for our wholesale and retail hearing aid businesses, and we are particularly satisfied with the solid performance of our wholesale business that generated an organic growth rate of 8% in the second half-year. We have in the Group seen satisfactory improvement in our profitability for the full year driven by encouraging results in the hearing aid business, which more than compensated for the continued investments in our implant business, challenging market conditions in Russia, which negatively impacted our diagnostics business, and negative exchange rate movements in Brazil.”

Source: William Demant Holding A/S

V.A.