2017-02-07 22:00:15 CET

2017-02-07 22:00:15 CET


REGULATED INFORMATION

English
Össur hf. - Financial Statement Release

Ossur Hf : Q4 and FY Results 2016 



 Announcement from Össur hf. No. 08/2017
 Reykjavík, 7 February 2017



Highlights Q4 2016

  * Sales amounted to USD 138 million compared to USD 125 million in Q4 2015,
    corresponding to local currency growth of 13% and 4% organic growth.
  * Gross profit amounted to USD 87 million or 63% of sales, compared to USD 78
    million or 63% of sales in Q4 2015.
  * EBITDA amounted to USD 26 million or 19% of sales, compared to USD 25
    million or 20% of sales in Q4 2015.
  * Net profit amounted to USD 14 million or 10% of sales, compared to USD 13
    million or 10% of sales in Q4 2015.
  * Cash flow from operations amounted to USD 28 million or 20% of sales,
    compared to USD 31 million or 25% of sales in Q4 2015.
  * The safe harbor share buyback program that was launched in December 2015
    ended in November 2016. A new share buyback program was initiated in
    December 2016 where the Company may purchase up to 5,000,000 shares.
  * In December, Össur and Nordic Investment Bank (NIB) signed an agreement for
    EUR 50 million financing.



Highlights Full Year 2016

  * Sales amounted to USD 521 million compared to USD 483 million in 2015,
    corresponding to local currency growth of 9% and 4% organic growth.
  * Bracing and supports sales growth was 2% and 2% organic, both measured in
    local currency.
  * Prosthetics sales growth was 19% and 7% organic, both measure in local
    currency.
  * Gross profit amounted to USD 328 million or 63% of sales, compared to USD
    303 million or 63% of sales in 2015.
  * EBITDA before special items amounted to USD 98 million or 19% of sales,
    compared to USD 99 million or 20% of sales in 2015.
  * Net profit amounted to USD 51 million or 10% of sales compared to USD 51
    million or 11% of sales in 2015.
  * Changes in foreign exchange rates had a negative impact on the reported
    sales and profits when comparing to prior year results.
  * Cash flow from operations amounted to USD 88 million or 17% of sales
    compared to USD 84 million or 17% of sales in 2015. Capital expenditure to
    net sales was 4.7%.
  * The Board of Directors will propose to the Annual General Meeting that the
    Company pays a cash dividend of DKK 0.12 per share for 2016, equivalent to
    15% of net profit in 2016.
  * In 2016, Össur purchased 7,853,968 of own shares for approximately DKK 193
    million (USD 30 million).
  * The Board of Directors will also propose to the Annual General Meeting to
    reduce the share capital by cancelling 5,837,832 of the Company's own
    shares.



Financial Guidance for 2017

The financial guidance for the full year of 2017 is as follows:

  * Sales growth LCY in the range of 7-8%
  * Organic sales growth LCY in the range of 4-5%
  * EBITDA before special items margin in the range of 19-20%
  * Capital expenditures around 4% of net sales
  * Effective tax rate around 26%



Jon Sigurdsson, President & CEO, comments:

"We  are  happy  to  close  another  year with strong operational results. Sales
growth  was good  in both  EMEA and  Americas, and  in both product segments. We
acquired  two  great  companies  during  the  year,  Medi  Prosthetics and Touch
Bionics.  Medi Prosthetics brings a full line of products allowing us to offer a
complete  lower extremity portfolio  to our customers  and the addition of Touch
Bionics  allows us to add cutting edge  upper extremity prosthetics to our range
of  products. On the  bracing and supports  side we had  an exciting year of new
product launches including our latest OA brace, the Unloader(®) Hip."



 Conference Call

 Össur will host a conference call on Wednesday 8 February 2017 at 9:00 CET/
 8:00 GMT/ 3:00 EDT.

 To participate in the call please dial:

 Europe: +45 3544 5580, +44 (0) 203 364 5374 or +46 (0) 8 505 564 74,

 The United States: + 1 855 753 2230

 Iceland: +354 800 7417



 

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