Facts and Figures

COLTENE is an international developer, manufacturer and seller of dental consumables and small equipment in the areas of Infection Control, Dental Preservation and Efficient Treatment. COLTENE has state-of-the-art production facilities in the US, Canada, Germany, France and Switzerland, as well as its own sales organizations in all major markets including North America, Europe, Japan, China, India and Latin America.
The COLTENE Group has 1 221 employees around the world (31 December 2022).

5-Year Overview 2018 - 2022

(in CHF million)

Net Sales

Net Profit

EBIT

Free Cash Flow

Net Sales by Region in %

North America

49.7

Latin America

4.4

EMEA

35.0

Asia

10.9

North America

49.7

Latin America

4.4

EMEA

35.0

Asia

10.9

Highlights 2022

0

mn Sales in CHF

Demand has normalized following record levels caused by the pandemic.

0 %

Dividend Yield

The proposed dividend yield is 4.3%.

0

Direct Customer Contacts

On average, 7 390 direct customer contacts were recorded in the new CRM/customer desk per month.

0 %

Gross margin

The gross margin was maintained thanks to price pass-throughs.

48:

Diversity

In the overall workforce, men and women are represented in near-equal numbers.

0

MWh generated with proprietary energy source

The solar panels installed in Altstätten currently cover about 15% of the annual electricity demand.

Dear Shareholders,

We are pleased to present to you COLTENE’s 2022 annual report. 2022 was another very challenging year for COLTENE. The impact of the pandemic was still present. Supply chains had not normalized completely yet, and for the most part China was locked down. However, direct personal contact with our customers was again possible in almost all markets. Joint events, larger conferences, seminars, training programs, and meetings with customers gradually returned, and the newly opened training center in North America went operational.

Nick Huber, Chairman of the Board of Directors & Martin Schaufelberger, CEO (f.l.t.r.)

In addition to the influences already mentioned, our business environment was marked by inflation and fears of recession, as well as the normalization of the record levels in 2021 (primarily for OPTIM surface disinfection wipes) due to the pandemic.

  Thanks to our contact with dentists, we can tailor our products precisely to their needs.

COLTENE generated sales of CHF 267.1 million (-4.3% year on year, -3.5% at constant exchange rates). The strained economic environment and bottlenecks persisting in the supply chain – as well as the normalization of the high OPTIM volumes sold in 2021 – primarily impacted Infection Control, with a -6.9% decline (-9.3% at constant exchange rates) compared to the previous period. Dental Preservation and Efficient Treatment saw only slight changes of -3.1% and -2.9%, respectively, in CHF (-0.7% resp. -0.3% in local currency terms) compared to 2021. The downturn in Infection Control predominantly affected the North American market, while China recorded decreases across the product portfolio due to the lockdowns. The EMEA region, on the other hand, performed well, with sales growth of 4.2% in local currency terms.

Thanks to strict cost control and the stable gross margin, the smaller sales base resulted in an EBIT margin of just 13.1%, down 2.6 percentage points (2021: 15.7%). The operating profit (EBIT) was CHF 34.9 million (2021: CHF 43.8 million).

In addition to serving and supporting distributors (i.e. our direct customers), maintaining contact with end customers (dentists) is also vital for COLTENE. Their feedback tells us what customers require from our products in everyday use, and allow us to tailor them precisely to their needs.

This inspired us to launch a state-of-the-art customer support application. Along with the familiar sales support functionality, it features an integrated customer service module, where all inquiries and complaints are recorded and systematically processed. Systematic recording allows the app to learn from every case and use this knowledge to respond to new inquiries. Our new customer service is faster, more expert, and more efficient – and with that our image, too.

We are currently expanding this application to include repair processing and customer training. These are two more areas where we are learning more about how people are using and benefiting from our equipment and products. We use this information to further develop our products and services to enhance customer value.

  Our new customer service – and therefore customers’ impression of COLTENE – stands out due to expertise, speed and efficiency..

In view of the growing importance of sustainable practice and due to the new obligations for nonfinancial reporting, COLTENE introduced a new
project organization for this topic in 2022. The first step in this regard was to conduct a detailed materiality analysis. In 2023, key performance indicators (KPIs) will be derived from this, and specific targets and measures defined and implemented. Key projects – such as the expansion of the solar panels in Altstätten or the involvement of the workforce and suppliers in the sustainability project – will be initiated or continued in 2023. For more information, refer to the Sustainability report.

COLTENE is well prepared for the transition to the new European Medical Device Regulation (MDR). All the product ranges will meet the new MDR regulations in Europe by May 2024. We want to adhere to this target date, even if the EU is likely to extend the transition period. Hence, this major Group-wide project will tie up fewer resources from 2024 on. These resources will then increasingly become available again for innovation in Research & Development.

The Group Management and the Board of Directors regularly assess COLTENE’s main business risks. A comprehensive risk assessment is conducted at least once a year. In this assessment, the relevant risks are systematically classified according to the likelihood of occurrence and the severity of the potential consequences. Potential risks and actions to contain these risks were examined once again during the year under review. The focus was on dealing with inflation, data loss due to cyber attacks, currency fluctuations, and general market risks.

Effective 1 January 2022, Markus Abderhalden became the COLTENE Group’s new Chief Financial Officer, replacing Gerhard Marle, who retired. At the start of 2022, Paul Frey, Vice President of Sales & Marketing/Communication North America, was appointed to Group Management. Stefan Helsing will step down from his position as Chief Operating Officer at the end of March 2023 due to retirement. His successor will be Gregor Picard, who has many years of experience in the dental and automotive industries. The Board of Directors proposes Matthias Altendorf and Daniel Bühler to the shareholders as eligible candidates to replace Erwin Locher and Matthew Robin – the two members of the Board of Directors who will not stand for re-election at the 2023 Annual General Meeting. Both have many years of management experience in international manufacturing companies.
  A new project organization is strengthening sustainable practice at COLTENE.
The COLTENE Group expects the economic and political environment to remain volatile in the 2023 financial year. However, we are confident that implementing strategic projects – e.g. further expanding our presence in China’s dental market, and accelerating digital transformation – will have a positive impact on business performance. COLTENE will also benefit from the easing of the supply backlogs for electronic components and the change to China’s COVID policy. The dental business, which is resistant to economic cycles and has a broad base at COLTENE – will continue to recover and return to its growth pattern. In the medium term, COLTENE is expecting organic sales growth to outperform the market. By practicing prudent cost management in line with market conditions and implementing sustainable projects, COLTENE is maintaining its medium-term target of an EBIT margin of 15%. The payout ratio for future dividends will remain set at a target rate of around 70%.
  In the medium term, COLTENE is expecting organic sales growth to outperform the market.
The Board of Directors will propose a dividend of CHF 3.30 per share (4.3% dividend yield as at 31 December 2022) within the target distribution rate for shareholder approval (2021: CHF 3.30 per share, or 3% of the year-end price). This is to be fully funded from capital contribution reserves with foreign reference and as such remains tax-exempt for natural persons residing in Switzerland.

Thank you

On behalf of the Board of Directors and Group Executive Management, we would like to thank all our employees for their hard work this year. We are proud of our teams for the professionalism, customer focus and great enthusiasm they bring to their work, even when times are tough.

Special thanks also go to our loyal customers, new customers, business partners and shareholders for the trust they place in us.

Nick Huber
Chairman of the Board of Directors
Martin Schaufelberger
CEO

Focusing on Customer Value

At COLTENE, customer value has always been the focus of our business. It’s not just about delivering exceptional, effective and safe products for application workflows in dentistry. We aim to serve as a consultant, looking after the needs of dental practices at all levels and roles in the business. This approach makes COLTENE a reliable and  solutiondriven partner for customers – whether in sales, R&D, training programs or routine issues that arise in a dental practice.

Reports

Operational Review and Financial Commentary

Open Report

Sustainability Report

Open Report

Corporate Governance
COLTENE Holding AG

Open Report

Compensation Report

Open Report

Financials COLTENE Group

Open Report

Financials COLTENE Holding AG

Open Report

Reports

Operational Review and Financial Commentary

Open Report

Sustainability Report

Open Report

Corporate Governance
COLTENE Holding AG

Open Report

Compensation Report

Open Report

Financials COLTENE Group

Open Report

Financials COLTENE Holding AG

Open Report

Contact

Markus Abderhalden, CFO

Coltène Holding AG
Feldwiesenstrasse 20
9450 Altstätten

Phone: +41 71 757 54 80
E-mail: investor@coltene.com

Financial Calendar

3 March 2023

Release of Annual Report and media and analyst conference on 2022 financial year

19 April 2023

Annual General Meeting 2023

4 August 2023

Release of Half-year Report and media and analyst conference on 2023 half-year results

8 March 2024

Release of Annual Report and media and analyst conference on 2023 financial year

19 April 2024

Annual General Meeting 2024

8 August 2024

Release of Half-year Report and media and analyst conference on 2024 half-year results

Contact

Markus Abderhalden, CFO

Coltène Holding AG
Feldwiesenstrasse 20
9450 Altstätten

Phone: +41 71 757 54 80
E-mail: investor@coltene.com

Financial Calendar

3 March 2023

Release of Annual Report and media and analyst conference on 2022 financial year

19 April 2023

Annual General Meeting 2023

4 August 2023

Release of Half-year Report and media and analyst conference on 2023 half-year results

8 March 2024

Release of Annual Report and media and analyst conference on 2023 financial year

19 April 2024

Annual General Meeting 2024

8 August 2024

Release of Half-year Report and media and analyst conference on 2024 half-year results