Carl Zeiss Meditec achieves further significatn growth in revenue and order intake after nine months of 2021/22

Jena, Germany | Carl Zeiss Meditec AG

Carl Zeiss Meditec generated revenue of €1,332,9m in the first nine months of fiscal year 2021/22 (prior year: €1,198.2m), corresponding to an increase of 11.2% (adjusted for currency effects: +9.8%) compared with the same period of the prior year. Order intake increased at a much higher rate than revenue, rising 36.0% to €1,750.5m (prior year: €1,287.6m). Earnings before interest and taxes (EBIT) at €275.9m were only slightly below the previous year's level of €282.8m, which had still benefited considerably from lower operating costs during the COVID-19 pandemic. The EBIT margin was 20.7% (prior year: 23.6%). The adjusting the EBIT margin was 21.2% (prior year: 23.9%).

Dr. Markus Weber, CEO of Carl Zeiss Meditec AG: “In the last few months, the continuing tense global supply chain situation and the COVID-19 lockdown in Shanghai have presented us with major challenges, but our teams have once again managed to overcome them superbly. I am therefore highly satisfied with the very solid revenue growth and the even stronger order intake. Our markets and our portfolio are developing at a strong pace.”

Revenue in the Ophthalmic Devices strategic business unit (SBU) increased by 11.2% in the first nine months of fiscal year 2021/22 (adjusted for currency effects: +10.0%) to €1,027.2m (prior year: €923.4m). Recurring revenue from consumables, implants and services once again contributed significantly to the growth. The equipment business continued to be impacted by supply chain bottlenecks. Orders received in the Ophthalmic Devices SBU increased disproportionately to revenue. Revenue in the Microsurgery SBU increased by 11.2% (adjusted for currency effects: +9.2%) to €305.7m (prior year: €274.8m). Orders received in the Microsurgery SBU likewise increased at a much higher rate than revenue.

Revenue in the EMEA¹ region increased by 5.3% (adjusted for currency effects: +6.5%) to €334.2m (prior year: €317.3m). Orders received in the core European markets exhibited a very positive trend.

Revenue in the Americas region increased by 8.0% (adjusted for currency effects: +1.1%) to €330.4m (prior year: €305.9m). Contributors to this are both the stable development in the USA as well as a further recovery in the countries of South America.

In the APAC² region, revenue increased to €668.3m, compared with €575.0m in the prior year (+16.2%; adjusted for currency effects: +16.2%³). The strongest contributions to growth came from China and India. The Japanese market also recorded growth.

The operating result (earnings before interest and taxes: EBIT) was close to the previous year’s level at €275.9m in the first nine months of fiscal year 2021/22 level (prior year: €282.8m). Revenue growth, as well as in particular the increasing share of recurring revenue and favorable currency effects, had a positive impact on operating result. Scheduled larger investments in Sales & Marketing and Research & Development had an adverse effect on operating result. EBIT of the previous year had benefited in particular from low sales & marketing costs during the COVID-19 pandemic. The EBIT margin decreased to 20.7% (previous year: 23.6%). Adjusted for special effects, this amounted to 21.2% (prior year: 23.9%). Earnings per share increased to €2.14 (prior year: €2.04).

The company's outlook for fiscal year 2021/22 is substantiated: Revenue is expected to be at least around €1.8b, while EBIT margin in fiscal 2021/22 should be in the upper range of the previous forecast range of 19-21%. The forecasts for revenue and EBIT assume that the COVID-19 situation in China and the global supply chain situation do not deteriorate further in the course of the fourth quarter of 2021/22.

In the medium term, the EBIT margin is expected to increase to a level sustainably above 20%. The rising proportions of recurring revenue are making a positive contribution to this. Conversely, scheduled strategic investments in Research & Development and Sales & but Marketing remain high.