WS Audiology shows strong growth in first quarter 2021/2022

Highlights Q1 2021/2022

• Revenue increased to EUR 582 million (organic growth of 10% against Q1 2020/21).
• Normalized EBITDA increased from EUR 125 million to EUR 134 million (23.1% margin).
• Good performance in all regions.
• Signia AX and Widex Moment contributed strongly to the results.
• Strategic acquisition of leading Brazilian hearing aid distributor Audibel, active in both public and private market in Brazil.
• 2021/22 outlook is unchanged with an expected high single digit organic growth and normalized EBITDA above EUR 500 million, assuming no material business disruption from the pandemic and component availability issues.

“The start of the financial year has been strong, with the highest quarterly revenue realized since the inception of WSA. The progress was driven by our broad portfolio of innovative products as well as our continuous efforts to adapt and navigate in these uncertain times of COVID-19, inflation and supply challenges,” said WS Audiology CEO Eric Bernard.

The Group’s performance in Q1 was fueled by sales growth in both wholesale and consumer facing businesses in all regions. Based on the strong development in Q1, WS Audiology maintains guidance and aims to generate high single digit organic growth, plus an additional 2%-points growth from acquisitions, and a normalized EBITDA of at least EUR 500 million in 2021/22. Market uncertainty remains, in particular related to COVID-19 development and the supply situation on electronics components.

In the first quarter of 2021/22, WSA strengthened the multi-brand multi-channel strategy, with the acquisition of leading Brazilian hearing aid distributor Audibel.

In December 2021, WSA published the industry’s first ever Life Cycle Assessment study of Signia rechargeable hearing aids. The study shows that the rechargeable hearing aids have 65% lower environmental impact compared to traditional battery driven hearing aids.

On 23 December 2021, WSA announced the appointment of Marianne Wiinholt as Group CFO, member of the Executive Board and member of Group Management. Marianne Wiinholt will join WS Audiology in April 2022 from a position as Group CFO of energy company Ørsted.

“Our accomplishments in the first quarter are a testament to our ability to deliver on core strategic priorities even in uncertain times, and I am so proud of our employees for going beyond together and working towards our purpose of delivering wonderful sound for all,” says CEO Eric Bernard.

 

Financial Overview:

	Q1 21/22	Q1 20/21	Index	Q2 20/21	Q3 20/21	Q4 20/21	2020/21	2019/20
Revenue €m	582	509	114	486	526	532	2,053	1,738
Organic growth Y/Y (%)	10	8	125	8	89	9	22	-11
Normalized EBITDA (€m)	134	125	107	110	115	114	464	331
Normalized EBITDA margin (%)	23.1	24.8	93	22.5	21.8	21.6	22.7	19.2

 

About WS Audiology

Formed in 2019, through the merger of Sivantos and Widex, WS Audiology combines over 140 years’ experience in pioneering the use of technology to help people with hearing loss hear the sounds that make life wonderful. With truly differentiated brands like Widex, Signia, Rexton, Audio Service and Vibe, and with diverse assets across wholesale, retail, online, managed care and diagnostic solutions, we are active in over 125 markets. WS Audiology employs almost 12,000 people and is privately owned by the Tøpholm and Westermann families, as well as funds under the management of EQT. As a global leader, our ambition is to unlock human potential by making wonderful sound part of everyone’s life.