AI Terminal

MODULE: AI_ANALYST
Interactive Q&A, Risk Assessment, Summarization
MODULE: DATA_EXTRACT
Excel Export, XBRL Parsing, Table Digitization
MODULE: PEER_COMP
Sector Benchmarking, Sentiment Analysis
SYSTEM ACCESS LOCKED
Authenticate / Register Log In

Getinge

Quarterly Report Jul 19, 2022

2917_ir_2022-07-19_5d5be725-f8a5-4800-8e90-fd3f053f431c.pdf

Quarterly Report

Open in Viewer

Opens in native device viewer

Interim report

January – June 2022

Comments from Mattias Perjos, President & CEO

Recovery in elective surgery overshadowed by external challenges

"Order intake and net sales declined organically by 5% and 7.5% respectively in the quarter, which however ended with increased order intake. Acute Care Therapies decreased its net sales organically, while both Life Science and Surgical Workflows grew. Net sales increased in products for elective cardiovascular procedures, infrastructure for ORs and sterile supply departments in hospitals and products for drug manufacturing. However, the performance for the quarter as a whole was impacted by reduced production of COVID-19 vaccines and the number of patients requiring life support in ICUs declining significantly more than both the health care sector and we had predicted, combined with a milder flu season. Our customers are planning for a normal flu season in the second half of the year, which is expected to result in a recovery in ICU products. In addition, the Russian invasion of Ukraine, lockdowns in China and supply chain challenges had a negative impact. Scarcity of components primarily affected Acute Care Therapies negatively, and the effects for the Group as a whole are estimated at SEK 300-400 M in the form of delivery delays. Our work on strengthening the customer offering is continuing and the acquisition of Fluoptics, which offers leading technology for clinical decision support for advanced surgery, was completed after the end of the quarter. We are also continuing to transition our production to become CO2 neutral and we made major progress in this respect at our sites in Hechingen and Rastatt in Germany.

During the quarter, we completed an internal investigation related to potential violations of German medical device regulations. Five current and former Getinge employees are being investigated for these potential violations by the prosecution authority in Germany. We are cooperating fully with the prosecution authority and our internal investigation identified shortcomings regarding individual interpretations of quality and regulatory processes. In addition to the comprehensive remediation measures already in place, we are also making structural changes and have identified training measures. We noted favourable currency effects on earnings in the quarter, but margins remained intact even excluding this, given lower volumes, unfavorable mix

effects and negative effects from supply chain challenges. Lower variable employee costs are an important reason for this.

The biggest challenge for our customers at the moment is to continue to ramp up elective surgeries. This has been made more difficult due to staff shortages and supply chain disruptions, but we will do our utmost to remain a strong partner in this important work."

April – June 2022 in brief

  • Net sales declined organically by 7.5% and the order intake declined organically by 5.0%.
  • Adjusted gross profit amounted to SEK 3,355 M (3,624) and the margin was 50.3% (55.0).
  • Adjusted EBITA amounted to SEK 956 M (1,250) and the margin was 14.3% (19.0).
  • Adjusted earnings per share amounted to SEK 2.33 (3.04).
  • Free cash flow amounted to SEK 129 M (1,228).
  • Changes to Getinge Executive Team: Lena Hagman will leave Getinge and her role as EVP Quality Compliance, Regulatory & Medical Affairs by the end of the year at the latest. On July 14, Agneta Palmér was appointed EVP Operational Services. She will take up the position on September 15.

January – June 2022 in brief

  • Net sales declined organically by 6.9% and the order intake declined organically by 4.7%.
  • Adjusted gross profit amounted to SEK 6,616 M (6,909) and the margin was 51.5% (54.2).
  • Adjusted EBITA amounted to SEK 1,794 M (2,329) and the margin was 14.0% (18.3).
  • Adjusted earnings per share amounted to SEK 4.45 (5.72).
  • Free cash flow amounted to SEK 549 M (3,254).

Outlook 2022: Organic net sales for 2022 are expected to be in line with reported net sales for 2021.

Summary of financial performance1)

SEK M Apr-Jun
2022
Apr-Jun
2021
Jan-Jun
2022
Jan-Jun
2021
Jan-Dec
2021
Order intake 7,246 6,934 14,018 13,550 28,258
Organic change, % -5.0 -6.1 -4.7 -15.1 -3.0
Net sales 6,670 6,587 12,853 12,756 27,049
Organic change, % -7.5 3.6 -6.9 7.8 -4.8
Adjusted gross profit 3,355 3,624 6,616 6,909 14,392
Margin, % 50.3 55.0 51.5 54.2 53.2
Adjusted EBITDA 1,350 1,629 2,585 3,089 6,754
Margin, % 20.2 24.7 20.1 24.2 25.0
Adjusted EBITA 956 1,250 1,794 2,329 5,212
Margin, % 14.3 19.0 14.0 18.3 19.3
Adjusted EBIT 913 1,183 1,710 2,195 4,939
Margin, % 13.7 18.0 13.3 17.2 18.3
Operating profit (EBIT) 911 1,205 1,691 2,164 4,371
Margin, % 13.7 18.3 13.2 17.0 16.2
Profit before tax 867 1,157 1,615 2,060 4,188
Net profit for the period 611 806 1,149 1,459 3,000
Adjusted net profit for the period 644 838 1,224 1,576 3,632
Margin, % 9.7 12.7 9.5 12.4 13.4
Adjusted earnings per share, SEK 2.33 3.04 4.45 5.72 13.22
Earnings per share, SEK 2.21 2.93 4.17 5.29 10.90
Cash flow from operating activities 424 1,461 1,070 3,495 6,560
Free cash flow 129 1,228 549 3,254 5,946

1) See page 3 for calculations of adjusted performance measures.

Group performance

Order intake

  • The organic order intake declined in all business areas.
  • The downturn in Acute Care Therapies was mainly due to challenging comparative figures in ventilators and lower demand for ECMO therapy products than expected.
  • The order intake in Life Science fell, mainly as a result of lower demand for products related to the production of COVID-19 vaccines.
  • The organic order intake for Surgical Workflows decreased slightly as a result of lower order intake in Infection Control in APAC and lower order intake for OR products in EMEA. Healthy growth in Americas continued.
  • Organic net sales declined substantially in Acute Care Therapies, mainly related to lower demand for ventilators and ECMO therapy products as well as challenges associated with the shortage of components. The decrease was particularly obvious in North America.
  • Organic growth in net sales in Life Science is linked to sterilizers as well as consumables, service and spare parts.
  • Net sales grew organically in all product categories in Surgical Workflows. Digital Health Solutions reported the highest share of growth, followed by OR products.
  • Consumables, service and spare parts that generate recurring revenue increased as a share of net sales. Organic net sales for capital goods were negatively affected by lower sales, mainly in ventilators.
  • Net sales increased by SEK 84 M, corresponding to 1.3%.
  • Net sales from acquisitions accounted for SEK 11 M or 0.2%.
  • Exchange rates had a positive impact of SEK 564 M on sales, corresponding to 8.6%.
  • Volume, mix and price negatively affected sales by SEK -491 M, corresponding to -7.5%.
Order intake
business areas, SEK M
Apr-Jun
2022
Apr-Jun
2021
Org Δ, % Jan-Jun
2022
Jan-Jun
2021
Org Δ, % Jan-Dec
2021
Acute Care Therapies 3,918 3,785 -7.1 7,683 7,586 -7.5 15,335
Life Science 1,009 978 -5.3 1,994 1,908 -3.3 4,120
Surgical Workflows 2,319 2,171 -1.2 4,341 4,056 0.0 8,803
Total 7,246 6,934 -5.0 14,018 13,550 -4.7 28,258
Order intake
regions, SEK M
Apr-Jun
2022
Apr-Jun
2021
Org Δ, % Jan-Jun
2022
Jan-Jun
2021
Org Δ, % Jan-Dec
2021
Americas 2,978 2,523 1.5 5,632 4,981 -0.5 10,527
APAC 1,713 1,814 -13.9 3,471 3,420 -6.8 6,919
EMEA 2,554 2,597 -5.2 4,914 5,149 -7.3 10,812
Total 7,246 6,934 -5.0 14,018 13,550 -4.7 28,258

Net sales

Net sales
business areas, SEK M
Apr-Jun
2022
Apr-Jun
2021
Org Δ, % Jan-Jun
2022
Jan-Jun
2021
Org Δ, % Jan-Dec
2021
Acute Care Therapies 3,598 3,930 -17.7 7,082 7,704 -16.0 15,527
Life Science 1,026 882 7.7 1,996 1,649 13.0 3,558
Surgical Workflows 2,047 1,774 7.6 3,775 3,402 3.9 7,965
Total 6,670 6,587 -7.5 12,853 12,756 -6.9 27,049
Net sales Apr-Jun Apr-Jun Jan-Jun Jan-Jun Jan-Dec
regions, SEK M 2022 2021 Org Δ, % 2022 2021 Org Δ, % 2021
Americas 2,650 2,576 -11.6 5,187 4,973 -8.2 10,249
APAC 1,676 1,535 -0.3 3,129 2,890 -0.3 6,632
EMEA 2,344 2,475 -7.6 4,537 4,892 -9.5 10,167
Total 6,670 6,587 -7.5 12,853 12,756 -6.9 27,049
Net sales specified by
capital goods and
recurring
revenue1), SEK M
Apr-Jun
2022
Apr-Jun
2021
Org Δ, % Jan-Jun
2022
Jan-Jun
2021
Org Δ, % Jan-Dec
2021
Capital goods 2,450 2,531 -10.8 4,632 5,173 -16.7 11,292
Recurring revenue 4,221 4,055 -5.4 8,221 7,583 -0.3 15,757
Total 6,670 6,587 -7.5 12,853 12,756 -6.9 27,049

1) From Q1 2022, DPTE®-BetaBags are recognized under recurring revenue (consumables, service and spare parts). Comparative figures have been restated. For restated figures 2021, see Note 9.

Net sales – bridge between April-June 2021 and April-June 2022

  • Currency effects impacted adjusted gross profit by SEK 348 M and adjusted EBITA by SEK 212 M.
  • The gross margin declined as an effect of lower volumes, negative mix effects, increased costs related to inflation and supply chain challenges. These effects were partly offset by price increases, productivity-enhancing measures and support from currencies.
  • Adjusted operating expenses rose 0.5% compared with Q2 2021 as a result of negative currency effects and acquisitions. Organically these expenses declined 6.5%, mainly due to lower variable employee-related costs.
  • Adjusted EBITA declined by SEK 294 M compared with the yearearlier period and the margin fell by 4.7 percentage points to 14.3%.
  • Acquisition and restructuring costs and other items affecting comparability totaled SEK -2 M.
  • Net financial items improved SEK 4 M as a result of lower net debt.

Underlying earnings trend

SEK M Apr-Jun
2022
Apr-Jun
2021
Jan-Jun
2022
Jan-Jun
2021
Jan-Dec
2021
Net sales 6,670 6,587 12,853 12,756 27,049
Adjusted gross profit 3,355 3,624 6,616 6,909 14,392
Margin, % 50.3 55.0 51.5 54.2 53.2
Adjusted operating expenses -2,005 -1,995 -4,031 -3,819 -7,639
Adjusted EBITDA 1,350 1,629 2,585 3,089 6,754
Margin, % 20.2 24.7 20.1 24.2 25.0
Depreciation, amortization and write-downs of
intangible assets and tangible assets 1) -395 -379 -791 -761 -1,542
Adjusted EBITA 956 1,250 1,794 2,329 5,212
Margin, % 14.3 19.0 14.0 18.3 19.3
A Amortization and write-down of acquired
intangible assets1) -43 -67 -84 -133 -273
Adjusted EBIT 913 1,183 1,710 2,195 4,939
Margin, % 13.7 18.0 13.3 17.2 18.3
B Acquisition and restructuring costs -2 -13 -19 -103 -95
C Other items affecting comparability2) - 34 - 72 -473
Operating profit (EBIT) 911 1,205 1,691 2,164 4,371
Net financial items -44 -48 -76 -104 -183
Profit before tax 867 1,157 1,615 2,060 4,188
Adjusted profit before tax
(adjusted for A, B and C) 911 1,202 1,718 2,225 5,029
Margin, % 13.7 18.3 13.4 17.4 18.6
Taxes -255 -351 -466 -602 -1,187
D Adjustment of tax 2) -12 -14 -28 -47 -209
Adjusted net profit for the period
(adjusted for A, B, C and D)
644 838 1,224 1,576 3,632
Margin, % 9.7 12.7 9.5 12.4 13.4
Of which, attributable to Parent Company
shareholders 636 829 1,212 1,559 3,601
Average number of shares, thousands 272,370 272,370 272,370 272,370 272,370
Adjusted earnings per share, SEK
(adjusted for A, B, C and D)
2.33 3.04 4.45 5.72 13.22

1) Excluding items affecting comparability (see Note 3 for depreciation, amortization and write-downs).

2) See Note 5.

Adjusted EBITA per business area1)

Apr-Jun Apr-Jun Jan-Jun Jan-Jun Jan-Dec
SEK M 2022 2021 2022 2021 2021
Acute Care Therapies 747 1,211 1,543 2,280 4,444
Margin, % 20.8 30.8 21.8 29.6 28.6
Life Science 177 151 380 302 729
Margin, % 17.2 17.2 19.0 18.3 20.5
Surgical Workflows 109 -4 32 -69 390
Margin, % 5.3 -0.2 0.9 -2.0 4.9
Group functions and other (incl. eliminations) -76 -109 -160 -184 -351
Total 956 1,250 1,794 2,329 5,212
Margin, % 14.3 19.0 14.0 18.3 19.3

1) See Note 3 for depreciation and write-downs and Note 5 for other items affecting comparability.

Adjusted EBITA – bridge between April-June 2022 and April-June 2021

Acute Care Therapies' adjusted EBITA decreased by SEK 464 M and the margin was 10 percentage points lower than last year. The main reason is the substantially lower sales volumes in ventilators and ECMO therapy products as the effects of the pandemic have subsided.

  • Life Science's adjusted EBITA increased SEK 26 M due to higher sales volumes and currency effects. The margin was unchanged.
  • Surgical Workflows' adjusted EBITA improved by SEK 113 M compared with Q2 2021 and the margin improved by 5.5 percentage points as a result of higher sales volumes, currency effects and higher productivity.

  • Adjusted operating expenses rose 0.5% compared with Q2 2021 as a result of currency effects and acquisitions.

  • Adjusted operating expenses declined organically by 6.5%, mainly due to lower variable employeerelated costs and positive effects from revaluation of operating receivables and liabilities in foreign currency (in other operating income and expenses).
  • Exchange-rate fluctuations, meaning translation and transaction effects, compared with last year, impacted gross profit by SEK 263 M in translation effect and SEK 84 M in transaction effects and hedging outcome. Adjusted EBITA was impacted by translation effects of SEK 96 M, and the net of transaction effects, hedging outcome and revaluation of operating receivables and liabilities in foreign currency of SEK 116 M.
  • Free cash flow was impacted by the lower operating profit and higher working capital compared with last year. The change in working capital was due to a combination of higher inventory levels related to the shortage of components (semifinished products) and purchases of safety stock for components as well as last year's market situation for primarily ventilators, which provided advantageous payment terms for Getinge, and the longer lead times of the current product mix.
  • The financial status remains solid, with net interest-bearing debt in relation to adjusted EBITDA R12M of 0.6.

Costs for R&D were 25.9% higher than in the year-earlier period as a result of higher activity and currency effects.

Capitalized development costs increased by 33.8% compared with the year-earlier period.

Adjusted operating expenses

(excluding depreciation, amortization and write-downs and other items affecting comparability)1)

SEK M Apr-Jun
2022
Apr-Jun
2021
Jan-Jun
2022
Jan-Jun
2021
Jan-Dec
2021
Selling expenses -1,078 -965 -2,130 -1,975 -4,077
Administrative expenses -742 -781 -1,478 -1,466 -2,895
Research and development costs -254 -205 -496 -396 -804
Other operating income and expenses 68 -44 72 17 137
Total -2,005 -1,995 -4,031 -3,819 -7,639

1) See Note 3 for depreciation and write-downs and Note 5 for other items affecting comparability.

Currency impact

SEK M Apr-Jun
2022
Jan-Jun
2022
Net sales 564 961
Adjusted gross profit 348 611
Adjusted EBITDA 233 274
Adjusted EBITA 212 235
Adjusted EBIT 208 229

Cash flow and financial position1)

SEK M Apr-Jun
2022
Apr-Jun
2021
Jan-Jun
2022
Jan-Jun
2021
Jan-Dec
2021
Cash flow before changes in working capital 991 1,336 1,884 2,586 5,618
Changes in working capital -568 125 -813 909 942
Net investments in non-current assets -295 -233 -522 -241 -614
Free cash flow 129 1,228 549 3,254 5,946
Net interest-bearing cash/debt 3,861 5,254 3,609
In relation to adjusted EBITDA1) R12M,
multiple
0.6 0.7 0.5
Net interest-bearing cash/debt, excl.
pension provisions
1,242 2,040 231
In relation to adjusted EBITDA1) R12M,
multiple
0.2 0.3 0.0

1) See Note 5 for items affecting comparability and Note 7 for alternative performance measures.

Research and development

SEK M Apr-Jun
2022
Apr-Jun
2021
Jan-Jun
2022
Jan-Jun
2021
Jan-Dec
2021
Research and development costs -373 -295 -726 -570 -1,150
Amortization, depreciation and write-downs -11 -11 -23 -22 -47
Research and development costs, gross -385 -306 -749 -591 -1,197
In relation to net sales, % 5.8 4.6 5.8 4.6 4.4
Capitalized development costs 120 89 231 174 346
In relation to net sales, % 1.8 1.4 1.8 1.4 1.3
Research and development costs, net -265 -216 -519 -418 -851
Amortization and write-down of capitalized
development costs1)
-89 -90 -181 -189 -383

1) Capitalized development projects

Sustainability developments

In 2020, Getinge raised its ambitions in sustainability further, which are described in the company's sustainability framework. The framework covering the focus areas of Quality Culture, Passionate Employees, Environmental & Social Engagement and Business Ethics & Responsible Leadership. The aim is to generate sustainable value for customers, patients, employees and other stakeholders. At the Capital Markets Day in November 2021, targets were set for the four focus areas and Getinge will report on its performance in the annual report. Getinge reports its quarterly performance in relevant indicators for these targets, as presented below. Relevant sustainability activities are described in the sections below, covering the performance in each business area.

Key areas Jan-Jun
2022
Quality Culture
Improved customer quality index (%)1) 76
Online customer training (training courses) 21,627
Passionate Employees
Sick leave (%) 2.6
Percentage of female employees (%) 37
Percentage of female managers (%) 33
Environmental & Social Engagement
Scope 1 & 2 GHG emissions Scope (ton CO2 equivalents)2) 4,093
Total energy consumption in production (MWh) 41,275
Percentage of renewable energy of total energy (%) 57
Percentage of recycled waste (%) 49
Business Ethics & Responsible Leadership
Percentage of employees who completed online training
in business ethics (%)
89

1) Based on regular internal surveys for which respondents rate their level of awareness about the quality strategy and commitment in relevant initiatives and changes to quality-related KPIs. Average for the period

2) Carbon emissions from production. Scope 1, including emissions from oil and gas consumption, and Scope 2, including emissions from electricity, heating and cooling (in ton CO2 equivalents)

Acute Care Therapies

Acute Care Therapies offers world-leading solutions for life support in acute health conditions. The offering includes solutions for cardiovascular procedures and a broad selection of products and therapies for intensive care.

Order intake and net sales

Order intake
regions, SEK M
Apr-Jun
2022
Apr-Jun
2021
Org Δ, % Jan-Jun
2022
Jan-Jun
2021
Org Δ, % Jan-Dec
2021
Americas 1,911 1,734 -5.5 3,641 3,470 -8.0 7,129
APAC 956 982 -11.7 1,955 1,879 -5.0 3,732
EMEA 1,051 1,069 -5.6 2,088 2,237 -9.0 4,474
Total 3,918 3,785 -7.1 7,683 7,586 -7.5 15,335
Net sales
regions, SEK M
Apr-Jun
2022
Apr-Jun
2021
Org Δ, % Jan-Jun
2022
Jan-Jun
2021
Org Δ, % Jan-Dec
2021
Americas 1,755 1,777 -15.8 3,475 3,475 -12.5 7,105
APAC 905 921 -10.7 1,679 1,770 -12.9 3,760
EMEA 938 1,232 -25.6 1,928 2,460 -23.2 4,661
Total 3,598 3,930 -17.7 7,082 7,704 -16.0 15,527

demand for ECMO therapy products than expected. This contributed to an organic decrease in the order intake in all regions. The order intake increased in

The decline in organic order intake in Acute Care Therapies was mainly due to challenging comparative figures in ventilators and lower

  • products for elective cardiovascular procedures.
  • Organic net sales declined substantially in Acute Care Therapies, mainly related to lower demand for ventilators and ECMO therapy products as well as challenges associated with the shortage of components.
  • Net sales increased in products for elective cardiovascular procedures.
  • Net sales in capital goods declined organically as a consequence of lower demand for ventilator and the shortage of components.
  • The adjusted gross margin declined by 5.2 percentage points in relation to the year-earlier quarter, as a result of substantially lower sales volumes for ventilators and ECMO therapy products.
  • Adjusted operating expenses increased by 4.7%, mainly due to currency effects and acquisitions. These expenses fell organically by 4.6%, mainly due to lower variable employee-related costs.
  • Lower sales volumes contributed to adjusted EBITA declining by SEK 464 M and the margin falling by 10 percentage points compared with the preceding year.
  • Currency effects impacted sales by SEK 350 M, adjusted gross profit by SEK 230 M and adjusted EBITA by SEK 139 M.

Net sales specified by capital goods and recurring

recurring Apr-Jun Apr-Jun Jan-Jun Jan-Jun Jan-Dec
revenue, SEK M 2022 2021 Org Δ, % 2022 2021 Org Δ, % 2021
Capital goods 898 1,175 -30.4 1,780 2,642 -37.7 5,090
Recurring revenue1) 2,699 2,756 -12.2 5,303 5,063 -4.7 10,437
Total 3,598 3,930 -17.7 7,082 7,704 -16.0 15,527

1) Consumables, service and spare parts

Underlying earnings trend1)

Apr-Jun Apr-Jun Jan-Jun Jan-Jun Jan-Dec
SEK M 2022 2021 2022 2021 2021
Net sales 3,598 3,930 7,082 7,704 15,527
Adjusted gross profit 2,118 2,519 4,285 4,829 9,596
Margin, % 58.9 64.1 60.5 62.7 61.8
Adjusted EBITDA 960 1,414 1,972 2,691 5,272
Margin, % 26.7 36.0 27.8 34.9 34.0
Depreciation, amortization and write-downs of
intangible assets and tangible assets -214 -203 -429 -411 -828
Adjusted EBITA 747 1,211 1,543 2,280 4,444
Margin, % 20.8 30.8 21.8 29.6 28.6

1) See Note 3 for depreciation and write-downs and Note 5 for other items affecting comparability.

Events in the business area

  • IF Design Award received for GUIDE a new interface designed for acute care environments with an increasing number of advanced devices and a need for recognition and user-friendliness is on the rise.
  • A new version of the system for the anaesthesia product family Flow was launched, meaning that the AGC (Automatic Gas Control) option, which reduces running costs and greenhouse gas emissions, will also become available on Getinge Flow-c and Flow-e anesthesia systems as well.
  • Since May 2022, the two production sites in Rastatt and Hechingen, Germany, have converted to climate neutral gas, making their energy use carbon neutral and thereby contributing to the overall business goal of becoming CO2 neutral by 2025.
  • Five current and former Getinge employees are being investigated by the public prosecution office in Baden-Baden, Germany. The investigation was initiated following accusations by a whistle-blower and is related to potential violations of the German medical device act (Medizinprodukte-gesetz) based on HLS SET non-sterile packaging for use in ECMO therapy. Getinge was informed of the German prosecutor's investigation in January 2022 and is fully cooperating with the prosecution athority. The company has carried out an internal investigation, led by an independent German lawyer, that was completed in the second quarter. The company's internal investigation identified shortcomings related to individual interpretations of quality and regulatory processes. As a consequence, corrective measures have been carried out, such as a thorough analysis of the fundamental reasons, structural changes and intensified measures to strengthen a culture of quality at all levels of the organization. The potential impact on Getinge of the final outcome of the public investigation cannot be estimated at this stage of this process.

Life Science

Life Science offers a comprehensive range of equipment, technical expertise and consultation to prevent contamination in pharmaceutical and medical device production and with the aim to strengthen integrity of results in biomedical research.

Order intake and net sales

Order intake
regions, SEK M
Apr-Jun
2022
Apr-Jun
2021
Org Δ, % Jan-Jun
2022
Jan-Jun
2021
Org Δ, % Jan-Dec
2021
Americas 379 324 1.7 752 602 11.3 1,406
APAC 231 250 -15.9 478 507 -13.4 877
EMEA 399 404 -4.5 764 798 -7.9 1,837
Total 1,009 978 -5.3 1,994 1,908 -3.3 4,120
Net sales
regions, SEK M
Apr-Jun
2022
Apr-Jun
2021
Org Δ, % Jan-Jun
2022
Jan-Jun
2021
Org Δ, % Jan-Dec
2021
Americas 354 318 -1.4 671 626 -3.3 1,319
APAC 228 167 25.3 452 277 49.5 692
EMEA 444 397 7.7 873 746 13.1 1,547
Total 1,026 882 7.7 1,996 1,649 13.0 3,558

Growth in net sales was attributable to sterilizers, consumables (including DPTE®- BetaBags), service and spare parts.

The order intake for washerdisinfectors, service and spare parts in the quarter was strong.

Transfer.

The order intake in Life Science fell, mainly as a result of lower demand for products related to the production of COVID-19 vaccines. This primarily affects the order intake for DPTE®-BetaBags in Sterile

  • The sharp growth in percent in APAC was mainly attributable to Sterile Transfer products and service.
  • Supply chain challenges negatively impacted net sales in the quarter.
  • Net sales in recurring revenue increased substantially as a result of deliveries on last year's orders mainly in DPTE®-BetaBags.
  • The adjusted gross margin fell by 4.2 percentage points mainly as a result of lower margins in consumables and washer-disinfectors as well as supply chain challenges.
  • Adjusted operating expenses fell by 6.9% despite negative currency effects. These expenses fell organically by 11.1% due to lower variable remuneration related to employees.
  • Increased sales volumes contributed to adjusted EBITA rising by SEK 26 M year-on-year. The margin was unchanged.
  • Currency effects impacted sales by SEK 76 M, adjusted gross profit by SEK 45 M and adjusted EBITA by SEK 36 M.

Net sales specified by

capital goods and
recurring
revenue1), SEK M
Apr-Jun
2022
Apr-Jun
2021
Org Δ, % Jan-Jun
2022
Jan-Jun
2021
Org Δ, % Jan-Dec
2021
Capital goods 470 436 -1.2 893 776 6.3 1,727
Recurring revenue 556 446 16.5 1,103 873 18.9 1,830
Total 1,026 882 7.7 1,996 1,649 13.0 3,558

1) From Q1 2022, DPTE®-BetaBags are recognized under recurring revenue (consumables, service and spare parts). Comparative figures have been restated. For restated figures 2021, see Note 9.

Underlying earnings trend1)

SEK M Apr-Jun
2022
Apr-Jun
2021
Jan-Jun
2022
Jan-Jun
2021
Jan-Dec
2021
Net sales 1,026 882 1,996 1,649 3,558
Adjusted gross profit 384 367 802 696 1,492
Margin, % 37.4 41.6 40.2 42.2 41.9
Adjusted EBITDA 216 186 457 371 870
Margin, % 21.0 21.1 22.9 22.5 24.5
Depreciation, amortization and write-downs of
intangible assets and tangible assets -39 -35 -78 -69 -141
Adjusted EBITA 177 151 380 302 729
Margin, % 17.2 17.2 19.0 18.3 20.5

1) See Note 3 for depreciation and write-downs and Note 5 for other items affecting comparability.

Events in the business area

During the quarter, a new alpha port DPTE®-EXO for effective use of Getinge's world leading DPTE®- BetaBags. It is a first of its kind alpha port, securing automated aseptic transfer and improving operational efficiency for Life Science customers worldwide.

Surgical Workflows

Surgical Workflows offers products and solutions to serve as an end-to-end partner for optimizing the quality, safety and capacity usage of the sterile supply departments and operating rooms.

Order intake and net sales

Order intake
regions, SEK M
Apr-Jun
2022
Apr-Jun
2021
Org Δ, % Jan-Jun
2022
Jan-Jun
2021
Org Δ, % Jan-Dec
2021
Americas 688 465 27.7 1,240 909 20.4 1,992
APAC 526 581 -16.7 1,038 1,033 -7.0 2,311
EMEA 1,104 1,124 -5.1 2,063 2,114 -5.4 4,500
Total 2,319 2,171 -1.2 4,341 4,056 0.0 8,803
Net sales
regions, SEK M
Apr-Jun
2022
Apr-Jun
2021
Org Δ, % Jan-Jun
2022
Jan-Jun
2021
Org Δ, % Jan-Dec
2021
Americas 541 481 -2.9 1,040 872 5.2 1,825
APAC 543 447 11.8 999 843 9.8 2,180
EMEA 963 846 11.4 1,736 1,687 0.3 3,959
Total 2,047 1,774 7.6 3,775 3,402 3.9 7,965

Net sales specified by

capital goods and
recurring
revenue, SEK M
Apr-Jun
2022
Apr-Jun
2021
Org Δ, % Jan-Jun
2022
Jan-Jun
2021
Org Δ, % Jan-Dec
2021
Capital goods 1,082 920 9.9 1,960 1,755 4.7 4,475
Recurring revenue1) 965 854 5.1 1,815 1,648 3.1 3,489
Total 2,047 1,774 7.6 3,775 3,402 3.9 7,965

1) Consumables, service and spare parts

Underlying earnings trend1)

Apr-Jun Apr-Jun Jan-Jun Jan-Jun Jan-Dec
SEK M 2022 2021 2022 2021 2021
Net sales 2,047 1,774 3,775 3,402 7,965
Adjusted gross profit 854 738 1,529 1,384 3,304
Margin, % 41.7 41.6 40.5 40.7 41.5
Adjusted EBITDA 248 134 311 205 949
Margin, % 12.1 7.6 8.2 6.0 11.9
Depreciation, amortization and write-downs of
intangible assets and tangible assets -139 -138 -279 -274 -559
Adjusted EBITA 109 -4 32 -69 390
Margin, % 5.3 -0.2 0.9 -2.0 4.9

1) See Note 3 for depreciation and write-downs and Note 5 for other items affecting comparability.

Events in the business area

  • In April, Getinge announced an agreement to acquire FLUOPTICS SAS, a French leader in fluorescence imaging as an aid to surgery. The technology enables scanning of vital organs in real time during surgery, which means increased safety and effectivieness. The acquisition was closed after the quarter, on July 1.
  • Since May 2022, the production site in Rastatt, Germany, has been converted to climate neutral gas, making the energy use carbon neutral and thereby contributing to the overall business goal of becoming CO2 neutral by 2025. In addition, the business area has invested in solar panels for the production sites in Rastatt and in Suzhou, China, and in a geothermal heating system in the production site in Ardon, France.

  • The organic order intake for Surgical Workflows decreased slightly as a result of lower order intake in Infection Control in APAC and lower order intake for OR products in EMEA.

  • Solid growth in Americas in all product categories.
  • Net sales grew organically in all product categories in Surgical Workflows. Digital Health Solutions reported the highest share of growth, followed by OR products.
  • Solid growth in all product categories in both APAC and EMEA. The decline in organic sales in Americas was primarily attributable to Infection Control.
  • Supply chain challenges negatively impacted net sales.
  • Net sales increased on a broad front even in terms of the distribution between capital goods, consumables, service and spare parts.
  • The adjusted gross margin was essentially unchanged, despite higher expenses for input goods and supply chain challenges. This was due to higher sales volumes, productivity improvements and currency effects.
  • Adjusted operating expenses increased by 0.4%, mainly due to negative currency effects. These expenses fell organically by 4.8% compared with Q2 2021, due to continued productivity effects and lower variable employee-related costs.
  • The higher sales volumes contributed to an increase of SEK 113 M in adjusted EBITA and an improvement of 5.5 percentage points in the margin.
  • Currency effects impacted sales by SEK 137 M, adjusted gross profit by SEK 72 M and adjusted EBITA by SEK 35 M.

Other information

Russian invasion of Ukraine

Getinge conducts operations in Russia via a small sales company and in accordance with international sanctions and regulations. The activities in the country are currently limited to fulfilling existing customer commitments and selectively participating in tender processes. Since Getinge's mission is to save lives irrespective of nationality and background, Getinge has decided not to fully withdraw from the Russian market. In 2021, sales in Russia and Ukraine represented about 1% of the Group's total net sales and equity represented less than 1% of the Group's equity.

Despite the limited direct impact of the invasion on Getinge's operations in Russia and Ukraine on the Group, the Russian invasion of Ukraine may nevertheless have a negative impact on the development of the Group's earnings and position. It is not possible at the current time to assess the future consequences of the conflict and its impact on the Group. However, Getinge does not conduct any manufacturing operations in Russia or Ukraine and has no major suppliers in these countries. A potential negative effect is that the supply of natural gas at the Group's plants in Poland and Germany may be affected, and for this reason measures have been initiated to mitigate the effects of such a situation.

Changes to Getinge Executive Team

Lena Hagman will leave Getinge and her role as EVP Quality Compliance, Regulatory & Medical Affairs. She will continue in her current role until her successor has been appointed, but no longer than December 31, 2022.

On July 14, Agneta Palmér was appointed Executive Vice President Operational Services and member of the Getinge Executive Team. The newly established function covers Group Purchasing, Logistics, IT and Academy and has been established to further strengthen group synergies. Agneta joined Getinge in 2018 and most recently held the position as Vice President Corporate Control at Getinge. Prior to Getinge, she held similar positions at AB Volvo within the area of Business Controlling and Management consulting. In her new role, Agneta will be a member of the Getinge Executive Team and report to Mattias Perjos, President & CEO. She takes up the position on September 15, 2022.

Events after the end of the reporting period

Getinge completed the acquisition of FLUOPTICS SAS on July 1, 2022, which was previously communicated in a press release.

On July 14, Agneta Palmér was appointed Executive Vice President Operational Services (see above, Changes to Getinge Executive Team).

Seasonal variations

Getinge's sales and earnings are affected by seasonal variations. The highest net sales are usually generated in the fourth quarter, followed by the second, third and first quarters. The shares of sales derived from capital goods and recurring revenue also normally changes during the year, with a higher share of sales of capital goods toward the end of the year.

Transactions with related parties

Getinge carried out normal commercial transactions with Arjo (which was distributed to shareholders in December 2017) for the sale and purchase of goods and services. In addition, no other significant transactions with related parties occurred during the period other than transactions with subsidiaries.

Forward-looking information

This report contains forward-looking information based on the current expectations of company management. Although management deems that the expectations presented by such forwardlooking information are reasonable, no guarantee can be given that these expectations will prove correct. Accordingly, the actual future outcome could vary considerably compared with what is stated in the forward-looking information, due to such factors as changed conditions regarding finances, market and competition, changes in legal and regulatory requirements and other political measures, and fluctuations in exchange rates.

Getinge's financial targets 2022-2025 and dividend policy

  • Average annual organic growth in net sales: 4-6%
  • Average adjusted earnings per share growth: >10%
  • Getinge's dividend policy is to pay dividends of 30-50% of net profit to shareholders.

Getinge's sustainability targets 2022–2025

  • Customer quality index >70 %
  • Employee commitment >70%
  • CO2 neutral in own operations by 2025
  • All employees trained in business ethics and responsible leadership

Risk management

Getinge's primary risks

Description Potential consequences Management
New competitors
and new
technology
Certain markets and product
segments have niche players who
offer solutions outside customary
market behavior.
These competitors could capture
market shares from more established
companies such as Getinge, resulting in
a negative effect on Getinge's sales and
earnings.
Getinge's long-term strategy includes active business intelligence of the competitive
landscape to react to this type of competitor. The industry is also considered to have
high barriers to entry since medical devices are subject to extensive regulatory
requirements.
External shocks,
such as geopolitical
risks, natural
disasters,
terrorism,
pandemics, etc.
These are often quickly escalating
situations that affect large parts of
the world, a country, a region or a
specific site.
The primary consequence of this type of
risk is that employees could be injured.
There is also the risk of business
interruptions that could have a negative
impact on sales and earnings.
Active business intelligence can detect some of these risks at an early stage and the
Group will then have the chance to adapt to the new situation. A process to further
enhance the Group's work on continuity risks was started in 2021. As part of this
process, scenarios based on external shocks will also be included in the risks that
Getinge proactively works on. During the first half of 2022, parts of the Chinese
market (the Shanghai region) went into lockdown as a result of a new outbreak of
COVID-19, which caused certain delivery disruptions. It cannot be ruled out that
prolonged or new lockdowns resulting from COVID-19 will delay deliveries and
invoicing to customers, primarily in the Chinese market. On February 24, Russia
invaded Ukraine. In financial terms, the invasion may have a negative impact on the
development of the Group's earnings and position. It is not possible at the current
time to assess the direct consequences. A potential indirect negative effect is that
the supply of natural gas to the Group's plants in Poland and Germany may be
affected. As a result, Getinge has initiated mitigating measures.
Quality risks from a
regulatory
perspective
Significant parts of Getinge's product
range are covered by legislation
stipulating extensive assessments,
quality control and documentation.
It cannot be ruled out that Getinge's
operations, financial position and
earnings may be negatively impacted in
the future by difficulties in complying
with current regulations and
requirements of authorities and control
bodies or changes to such regulations
and requirements.
To limit these risks to the greatest possible extent, Getinge conducts extensive work
focused on quality and regulatory issues. The Group-wide Quality Compliance,
Regulatory & Medical Affairs function has a representative in the Getinge Executive
Team and also a representative on the management teams of each business area,
and the function is represented in all R&D and production units. In addition,
Getinge's sales force and service technicians receive relevant quality and regulatory
training every other year to renew their certification. This is a requirement for
representing Getinge. The majority of the Group's production facilities are certified
according to the medical device quality standard ISO 13485 and/or the general
quality standard ISO 9001. In total, the Group allocates significant resources to
quality and regulatory matters in order to best manage this risk exposure, and
quality is the overall priority in the Group's strategy. During the quarter, an internal
investigation was completed related to potential violations of German medical
device laws associated with sterile packaging of HLS Sets, for which a total of five
current and former Getinge employees are being investigated by the prosecution
authority in Baden-Baden, Germany. As a consequence, structural changes are
being made to strengthen the quality culture. Comprehensive remediation measures
regarding packaging have already been initiated. At this stage, it is not possible to
estimate whether the final outcome of the public investigation will have any impact
on Getinge.
Product quality
from a customer
perspective
In certain cases, Getinge's products
do not meet customer expectations.
Customers experiencing shortcomings
in Getinge's product quality could chose
other suppliers. This could entail a risk
of lower sales and lower profitability
over time.
Getinge applies a far-reaching quality process that aims to ensure a high and even
level of quality to meet customers' legitimately high requirements. This is an ongoing
process that results in continuous improvements. When quality fails, it is important
to rapidly bring the right equipment on site to rectify the fault during the first service
visit. Getinge closely monitors the "first time fix" factor of its services operations and
works extensively to make improvements related to such faults or shortcomings.
Laws and
regulations mainly
on business ethics
Contraventions of competition law,
anti-corruption, data privacy (GDPR)
or trade restrictions.
Could lead to fines or penalties in one or
more markets and have a negative
impact on the Getinge brand.
Getinge has previously provided information about ongoing investigations and
agreements with the authorities regarding anti-competitive procedures in the sale of
medical devices in Brazil. It cannot be ruled out that any further agreements with
authorities may have a material impact on the company's financial earnings and
position. Getinge has a zero tolerance policy when it comes to contraventions of
these regulations. The Group's Code of Conduct is very clear in this respect. The
Ethics & Compliance corporate function was expanded during the year and the head
of the department has been a member of the Getinge Executive Team since 2020 to
further demonstrate how highly the organization prioritizes these issues. A
comprehensive training program in business ethics is provided on an ongoing basis
and the aim is for all employees to take the course at least once a year. Getinge's
business ethics regulations also apply to external distributors who sell Getinge's
products in a large number of countries in which the Group does not have its own
presence.
Digitization and
innovation
Getinge's future growth depends on
the company's ability to develop new
and successful products, particularly
in the area of digitization. Getinge's
ability to innovate is a very important
factor in retaining and establishing
leading positions for the Group's
product segments.
Innovation efforts are costly and it is not
possible to guarantee that developed
products will be commercially
successful, which could result in
impairment. In the long term, the
Group's position in the market could be
negatively affected if Getinge is
unsuccessful in this area.
As a means of maximizing the return on investments in research and development,
the Group applies a structured selection and planning process that includes careful
analyses of the market, technological progress, choice of production method and
selection of subcontractors. The actual development work is also conducted in a
structured manner and each project undergoes a number of fixed control points. The
Group is particularly concerned with ensuring access to the right skills, retaining key
individuals, being an attractive employer to recruit talent externally, and identifying
and developing talent within the organization.

Other risks of major importance

Description Potential consequences Management
Risks related to
health care
reimbursement
systems
Political decisions can change the
conditions for health care through
changed reimbursement models for
health care providers.
Changes to the health care
reimbursement system can have a
major impact on individual markets by
reducing or deferring grants.
It is difficult to influence this risk since these decisions are outside the Group's
control but the risk is limited by Getinge being active in a large number of
geographical markets.
Product liability
risks
Health care suppliers
run a risk, like other players in the
health care industry, of being subject
to product liability and other legal
claims.
Such claims can involve large amounts
and significant legal expenses. Getinge
carries the customary indemnity and
product liability insurance, but there is a
risk that this insurance coverage may
not fully cover product liability and
other claims.
The best way of managing these risks is the extensive quality-related and regulatory
activities performed by the Group. Sources of potential future claims for damages
are monitored through active incident reporting. Corrective and protective action
(CAPA) is initiated when necessary to investigate the underlying cause, after which
the product design may be corrected to remedy the fault. Settlement regarding
surgical mesh implants, which Getinge previously announced, is expected to be
finalized and payments to be made at the end of 2022 as requested by
representatives of the counterparties.
Risks related to
intellectual
property rights
Getinge's leading positions in many of
the Group's product segments are
based on patent and trademark
rights. These rights could lead to
disputes with competitors.
Getinge invests significant resources in
product development that results in
patent rights. There is a risk that the
Group will be involved in costly disputes
concerning such rights and thus a risk
that invested resources will not
generate the expected return if such a
dispute is lost.
To secure returns on these investments, Getinge actively upholds its rights and
monitors competitors' activities closely. If required, Getinge will protect its
intellectual property rights through legal processes.
Financial risks Getinge is exposed to a number of
financial risks in its operations.
Financial risks principally pertain to
currency risks, interest-rate risks, and
credit and counterparty risks.
Fluctuations in exchange rates and
interest rates and changes in
counterparties' credit profiles could
adversely affect the Group's income
statement and balance sheet.
Risk management is regulated by the finance policy adopted by the Board
and a Treasury directive decided by the Getinge Executive Team based on the
finance policy. The ultimate responsibility for managing the Group's financial risks
and developing methods and principles of financial risk management lies with the
Getinge Executive Team and the treasury function. For more detailed information
concerning these risks, refer to Note 28 of the Annual Report.
Information and
data security
Leaks of confidential information or
hacking into the Group's IT system
resulting in restricted availability or
interruptions of business-critical
systems.
Leaks of personal data could lead to
high fines. Hacking into IT systems
could lead to business interruptions. A
loss of sensitive information may
adversely affect confidence in the
company.
The Group's IT structure is considered to be decentralized, which reduces the
consequence of any unauthorized access. The Group improved user authentication
during the year to prevent hacking. This work will continue in the year ahead. The
Group also closely monitors critical systems to prevent hacking.
Deficiencies in
cyber security
Security deficiencies in the Group's
digital offering, such as connected
machines at customer sites and
stricter legal requirements for
processing personal data.
Restricted availability of equipment
delivered by Getinge to its customers,
which could result in interruptions to
the hospital operations and it not being
possible to offer patients sufficient care
in critical situations.
Getinge works diligently to ensure the integrity of its equipment that is connected to
the Internet. In-depth access testing and other measures are carried out before
these solutions are offered to the Group's customers.
Business
interruptions
Unforeseen and sudden events, such
as natural disasters, fires, etc. that
result in disruptions to production or
the supply chain.
Potential interruptions and higher costs
in the supply chain and production
could lead to more costly or delayed
deliveries or, in a worst case scenario,
non-delivery to Getinge's customers.
Such a situation risks negative
consequences for the Group's earnings.
In the second half of 2022, there is a continuing risk of temporary business
interruptions linked to a further deterioration in the global availability of electronic
components as a result of the ongoing pandemic. The Group continuously works on
claims prevention to ensure a high level of availability and delivery reliability.
External experts inspect the Group's production units on a regular basis to identify
and take action on potential interruption risks, following a Group-wide standard. The
process of further improving the Group's business continuity will continue in 2022.
Profitability
dependent on
certain products
and markets
In certain cases, a relatively large
share of the total profitability of a
product is linked to shares in a
certain market.
The consequence of such a situation is
that profitability can be adversely
affected if sales volumes were to
decline due to a changed competitive
situation in the market.
Getinge works actively to monitor profitability per product and market in order to
ensure profitability over time. To reduce the sensitivity of profitability, the Group
actively works on ensuring that it has the right cost level in relation to the current
price levels in the market. Getinge also works actively to establish itself in new
markets.
Dependence on
external suppliers
External suppliers that deliver critical
components to the Group are a highly
important part of Getinge's
manufacturing process. Production
disruptions may arise if these
components are not supplied on
schedule.
One of the potential consequences of
this is that life saving equipment may
not be delivered to hospitals as required
for maintaining critical health care.
Getinge works actively to monitor critical deliveries. This process is initiated when
the partnership is established and is then continuously monitored. The purchasing
organization has tools for evaluating risk and for training in this area. The Group also
works on ensuring that it has adequate levels of critical components in stock, either
in its own operations or with the relevant supplier. Interruptions of critical deliveries
are also included in the general activities related to business continuity risks. Refer
to "Business interruptions" above.

Assurance

The Board of Directors and CEO assure that the interim report provides a true and fair review of the Parent Company and the Group's operations, position and earnings and describes the material risks and uncertainties faced by the Parent Company and the Group.

Gothenburg, July 19, 2022

Johan Malmquist Chairman, AGM-elected Board member

Cecilia Daun Wennborg AGM-elected Board member

Mattias Perjos President & CEO, AGM-elected Board member

Fredrik Brattborn Board member

Carl Bennet Vice Chairman, AGM-elected Board member

Barbro Fridén AGM-elected Board member

Malin Persson AGM-elected Board member

Peter Jörmalm Board member Representative of Unionen

Johan Bygge AGM-elected Board member

Dan Frohm AGM-elected Board member

Kristian Samuelsson AGM-elected Board member

Representative of the Swedish Metalworkers' Union

This interim report is unaudited.

Consolidated financial statements

Consolidated income statement

Apr-Jun Apr-Jun Jan-Jun Jan-Jun Jan-Dec
SEK M Note 2022 2021 2022 2021 2021
Net sales 2 6,670 6,587 12,853 12,756 27,049
Cost of goods sold -3,521 -3,160 -6,650 -6,248 -13,469
Gross profit 2, 3 3,150 3,427 6,203 6,507 13,580
Selling expenses -1,185 -1,092 -2,343 -2,226 -4,590
Administrative expenses -855 -892 -1,702 -1,686 -3,337
Research and development costs -265 -216 -519 -418 -851
Acquisition costs -2 -11 -6 -12 -35
Restructuring costs 0 -2 -13 -90 -61
Other operating income and expenses 68 -10 72 89 -336
Operating profit (EBIT) 2, 3 911 1,205 1,691 2,164 4,371
Net financial items 2 -44 -48 -76 -104 -183
Profit after financial items 2 867 1,157 1,615 2,060 4,188
Taxes -255 -351 -466 -602 -1,187
Net profit for the period 611 806 1,149 1,459 3,000
Attributable to:
Parent Company shareholders 603 798 1,137 1,442 2,970
Non-controlling interests 8 9 13 17 31
Net profit for the period 611 806 1,149 1,459 3,000
Earnings per share, SEK1) 2.21 2.93 4.17 5.29 10.90
Weighted average number of shares for calculation of
earnings per share (000s)
272,370 272,370 272,370 272,370 272,370

1) Before and after dilution

Consolidated statement of comprehensive income

SEK M Apr-Jun
2022
Apr-Jun
2021
Jan-Jun
2022
Jan-Jun
2021
Jan-Dec
2021
Net profit for the period 611 806 1,149 1,459 3,000
Other comprehensive income
Items that cannot be restated in profit for the period
Actuarial gains/losses pertaining to defined-benefit pension
plans 487 -5 887 140 -5
Tax attributable to items that cannot be restated in profit -133 2 -240 -33 10
Items that can later be restated in profit for the period
Translation differences and hedging of net investments 1,926 -406 2,428 594 1,614
Cash flow hedges -47 6 -26 -22 -22
Tax attributable to items that can be restated in profit 2 -4 -5 -6 -17
Other comprehensive income for the period, net after tax 2,235 -408 3,044 674 1,580
Total comprehensive income for the period 2,846 399 4,193 2,132 4,580
Comprehensive income attributable to:
Parent Company shareholders 2,823 397 4,160 2,114 4,543
Non-controlling interests 23 1 33 18 37
Total comprehensive income for the period 2,846 399 4,193 2,132 4,580

Consolidated balance sheet

June 30 June 30 December 31
SEK M
Note
2022 2021 2021
Assets
Intangible assets 26,389 22,437 24,148
Tangible assets 3,306 2,923 3,060
Right-of-use assets 1,307 1,022 1,060
Financial assets 1,122 1,279 1,217
Inventories 5,907 4,852 4,767
Accounts receivable 4,276 3,997 4,695
Other current receivables 2,026 1,683 1,532
Cash and cash equivalents
6
4,147 3,468 4,076
Total assets 48,480 41,660 44,555
Equity and liabilities
Equity 28,274 22,769 25,176
Provisions for pensions, interest-bearing
6
2,619 3,215 3,378
Lease liabilities
6
1,286 997 1,036
Other interest-bearing liabilities
6
4,103 4,511 3,270
Other provisions 4,711 3,154 4,186
Accounts payable 1,964 1,579 1,921
Other non-interest-bearing liabilities 5,523 5,436 5,587
Total equity and liabilities 48,480 41,660 44,555

Changes in equity for the Group

Other Non
capital Retained controlling Total
SEK M Share capital provided Reserves1) earnings Total interests equity
Opening balance at January 1, 2021 136 6,789 -323 14,422 21,024 462 21,486
Total comprehensive income for the period - - 1,568 2,974 4,543 37 4,580
Dividend - - - -817 -817 -41 -858
Transactions with non-controlling interests - - - - - -32 -32
Closing balance at December 31, 2021 136 6,789 1,245 16,579 24,750 427 25,176
Opening balance at January 1, 2022 136 6,789 1,245 16,579 24,750 427 25,176
Total comprehensive income for the period - - 2,376 1,784 4,160 33 4,193
Dividend - - - - 1,089 -1,089 -6 -1,095
Closing balance at June 30, 2022 136 6,789 3,621 17,273 27,820 454 28,274

1) Reserves pertain to cash flow hedges, hedges of net investments and translation differences.

Consolidated cash flow statement

SEK M Note Apr-Jun
2022
Apr-Jun
2021
Jan-Jun
2022
Jan-Jun
2021
Jan-Dec
2021
Operating activities
Operating profit (EBIT) 911 1,205 1,691 2,164 4,371
Add-back of depreciation, amortization and write-downs 3 437 445 875 894 1,814
Other non-cash items 2 -37 0 -70 460
Add-back of restructuring costs1) 0 2 13 90 61
Paid restructuring costs -7 -66 -36 -99 -203
Financial items -42 -53 -82 -112 -192
Taxes paid -310 -160 -578 -281 -693
Cash flow before changes in working capital 991 1,336 1,884 2,586 5,618
Changes in working capital
Inventories -235 -138 -710 -286 -71
Operating receivables -139 257 360 1,299 805
Operating liabilities -193 6 -464 -103 208
Cash flow from operating activities 424 1,461 1,070 3,495 6,560
Investing activities
Acquisition of operations 8 6 - -29 -34 -715
Investments in intangible assets and tangible assets -300 -235 -539 -419 -930
Divestment of non-current assets 5 2 18 178 316
Cash flow from investing activities -289 -233 -551 -275 -1,329
Financing activities
Change in interest-bearing liabilities 808 -2,535 686 -4,812 -5,989
Depreciation of lease liabilities -104 -98 -200 -193 -389
Change in long-term receivables 6 0 5 1 -1
Dividend paid -1,095 -817 -1,095 -817 -858
Cash flow from financing activities -385 -3,450 -604 -5,821 -7,237
Cash flow for the period -250 -2,222 -84 -2,601 -2,006
Cash and cash equivalents at the beginning of the period 4,319 5,691 4,076 6,056 6,056
Translation differences 78 -2 156 13 26
Cash and cash equivalents at the end of the period 4,147 3,468 4,147 3,468 4,076

1) Excluding write-downs on non-current assets

Note 1 Accounting policies

The Group's interim report has been prepared in accordance with IAS 34 Interim Financial Reporting and the Swedish Annual Accounts Act. For the Parent Company, the report has been prepared in accordance with the Swedish Annual Accounts Act and RFR 2. The accounting policies adopted are consistent with those applied for the 2021 Annual Report and should be read in conjunction with that Annual Report.

For practical reasons, the figures in this interim report have not been rounded off, which is why notes and tables may not total correct amounts. Unless otherwise specified, all figures pertain to SEK M and figures in parentheses pertain to the year-earlier period. The interim report provides alternative performance measures for monitoring the Group's operations.

Note 2 Segment overview

Apr-Jun Apr-Jun Jan-Jun Jan-Jun Jan-Dec
Net sales, SEK M 2022 2021 2022 2021 2021
Acute Care Therapies 3,598 3,930 7,082 7,704 15,527
Life Science 1,026 882 1,996 1,649 3,558
Surgical Workflows 2,047 1,774 3,775 3,402 7,965
Total 6,670 6,587 12,853 12,756 27,049
Gross profit, SEK M Apr-Jun
2022
Apr-Jun
2021
Jan-Jun
2022
Jan-Jun
2021
Jan-Dec
2021
Acute Care Therapies 2,004 2,408 4,054 4,597 9,132
Life Science 364 350 764 662 1,419
Surgical Workflows 781 669 1,385 1,248 3,028
Total 3,150 3,427 6,203 6,507 13,580
Apr-Jun Apr-Jun Jan-Jun Jan-Jun Jan-Dec
Operating profit (EBIT), SEK M 2022 2021 2022 2021 2021
Acute Care Therapies 715 1,188 1,482 2,216 3,685
Life Science 170 145 360 286 702
Surgical Workflows 104 -9 16 -141 369
Group functions and other (incl. eliminations)1) -78 -120 -166 -196 -386
Operating profit (EBIT) 911 1,205 1,691 2,164 4,371
Net financial items -44 -48 -76 -104 -183
Profit after financial items 867 1,157 1,615 2,060 4,188

1) Group functions and other refer mainly to central functions such as finance, communication, HR and other items, such as eliminations.

Note 3 Depreciation, amortization and write-downs

SEK M Apr-Jun
2022
Apr-Jun
2021
Jan-Jun
2022
Jan-Jun
2021
Jan-Dec
2021
Acquired intangible assets -43 -67 -84 -133 -273
Intangible assets -159 -159 -320 -328 -661
Right-of-use assets -107 -101 -213 -199 -398
Tangible assets -128 -119 -257 -234 -483
Total -437 -445 -875 -894 -1,814
of which write-downs - 0 -1 -1 -7
SEK M Apr-Jun
2022
Apr-Jun
2021
Jan-Jun
2022
Jan-Jun
2021
Jan-Dec
2021
Cost of goods sold -206 -197 -414 -402 -813
Selling expenses -107 -127 -214 -251 -513
Administrative expenses -113 -111 -224 -220 -442
Research and development costs -11 -11 -23 -22 -47
Total -437 -445 -875 -894 -1,814
of which write-downs - 0 -1 -1 -7

Note 4 Quarterly results

SEK M Apr-Jun
2022
Jan-Mar
2022
Oct-Dec
2021
Jul-Sep
2021
Apr-Jun
2021
Jan-Mar
2021
Oct-Dec
2020
Jul-Sep
2020
Net sales 6,670 6,182 7,987 6,306 6,587 6,169 8,839 7,976
Cost of goods sold -3,521 -3,129 -4,048 -3,173 -3,160 -3,089 -4,681 -3,846
Gross profit 3,150 3,053 3,939 3,133 3,427 3,080 4,158 4,130
Operating expenses -2,239 -2,273 -2,828 -2,038 -2,222 -2,120 -2,548 -2,217
Operating profit (EBIT) 911 780 1,112 1,094 1,205 960 1,610 1,913
Net financial items -44 -32 -36 -43 -48 -56 -69 -72
Profit after financial items 867 749 1,075 1,052 1,157 903 1,541 1,841
Taxes -255 -210 -300 -285 -351 -251 -437 -446
Net profit for the period 611 538 775 767 806 652 1,104 1,395

Note 5 Adjustment items

Apr-Jun Apr-Jun Jan-Jun Jan-Jun Jan-Dec
Adjusted EBITA, SEK M 2022 2021 2022 2021 2021
Acute Care Therapies 747 1,211 1,543 2,280 4,444
Life Science 177 151 380 302 729
Surgical Workflows 109 -4 32 -69 390
Group functions and other
(incl. eliminations) -76 -109 -160 -184 -351
Total 956 1,250 1,794 2,329 5,212
Apr-Jun Apr-Jun Jan-Jun Jan-Jun Jan-Dec
Adjustments of EBITA, SEK M 2022 2021 2022 2021 2021
Specification of items affecting comparability that impact EBITA
Restructuring costs, Acute Care Therapies - -1 - -23 -1
Restructuring costs, Life Science 0 0 -7 -3 -2
Restructuring costs, Surgical Workflows 0 -1 -6 -64 -58
Capital gain on divestment of property, Acute Care Therapies1) - 34 - 72 72
Provision related to surgical mesh implants, Acute Care Therapies1) - - - - -601
Other, Surgical Workflows 1) - - - - 56
Group functions and other (incl. eliminations) -2 -11 -6 -12 -35
Total -2 21 -19 -31 -568
Items affecting comparability per segment
Acute Care Therapies - 33 - 48 -530
Life Science 0 0 -7 -3 -2
Surgical Workflows 0 -1 -6 -64 -2
Group functions and other (incl. eliminations) -2 -11 -6 -12 -35
Total -2 21 -19 -31 -568

1) Reported in Other operating income and operating expenses

Apr-Jun Apr-Jun Jan-Jun Jan-Jun Jan-Dec
EBITA, SEK M 2022 2021 2022 2021 2021
Acute Care Therapies 747 1,245 1,543 2,328 3,914
Life Science 177 152 373 298 727
Surgical Workflows 109 -5 26 -133 388
Group functions and other (incl. eliminations) -78 -120 -166 -196 -386
Total 954 1,271 1,776 2,298 4,643
Adjustments of EBIT, SEK M Apr-Jun
2022
Apr-Jun
2021
Jan-Jun
2022
Jan-Jun
2021
Jan-Dec
2021
Items affecting comparability that impact EBITA (according to above) -2 21 -19 -31 -568
Total -2 21 -19 -31 -568
Apr-Jun Apr-Jun Jan-Jun Jan-Jun Jan-Dec
Adjustment of tax, SEK M 2022 2021 2022 2021 2021
Amortization and write-down of acquired intangible assets1) 43 67 84 133 273
Items affecting comparability 2 -21 19 31 568
Adjustment items, total 45 45 103 164 841
Tax effect on adjustment items2) -12 -14 -28 -47 -209
Adjustment for tax items affecting comparability - - - - -
Total -12 -14 -28 -47 -209

1) Excluding write-downs classified as items affecting comparability

2) Tax effect on tax deductible adjustment items

Note 6 Consolidated net interest-bearing debt

SEK M June 30
2022
June 30
2021
December 31
2021
Other interest-bearing liabilities, current 387 515 475
Other interest-bearing liabilities, long-term 3,716 3,996 2,795
Provisions for pensions, interest-bearing 2,619 3,215 3,378
Lease liabilities 1,286 997 1,036
Interest-bearing liabilities 8,008 8,722 7,685
Less cash and cash equivalents -4,147 -3,468 -4,076
Net interest-bearing cash/debt 3,861 5,254 3,609

Note 7 Key figures for the Group

Apr-Jun Apr-Jun Jan-Jun Jan-Jun Jan-Dec
Financial and operative key figures 2022 2021 2022 2021 2021
Key figures based on Getinge's financial targets
Organic growth in net sales, % -7.5 3.6 -6.9 7.8 -4.8
Earnings per share1), SEK 2.21 2.93 4.17 5.29 10.90
Other operative and financial key figures
Organic growth in order intake, % -5.0 -6.1 -4.7 -15.1 -3.0
Gross margin, % 47.2 52.0 48.3 51.0 50.2
Selling expenses, % of net sales 17.8 16.6 18.2 17.4 17.0
Administrative expenses, % of net sales 12.8 13.5 13.2 13.2 12.3
Research and development costs, gross as a % of net sales 5.8 4.6 5.8 4.6 4.4
Operating margin, % 13.7 18.3 13.2 17.0 16.2
EBITDA, SEK M 1,348 1,650 2,566 3,058 6,185
Average number of shares, thousands 272,370 272,370 272,370 272,370 272,370
Number of shares at the end of the period, thousands 272,370 272,370 272,370 272,370 272,370
Interest-coverage ratio, multiple 45.4 39.6 47.5
Net debt/equity ratio, multiple 0.14 0.23 0.14
Net debt/Rolling 12m adjusted EBITDA, multiple 0.6 0.7 0.5
Operating capital, SEK M 29,324 29,999 28,561
Return on operating capital, % 15.2 19.5 17.3
Return on equity, % 10.6 17.9 12.9
Equity/assets ratio, % 58.3 54.7 56.5
Equity per share, SEK 103.81 83.60 92.43
Number of employees 10,986 10,771 10,729

1) Before and after dilution

Alternative performance measures

Alternative performance measures refer to financial measures used by the company's management and investors to evaluate the Group's earnings and financial position and that cannot be directly read or derived from the financial statements. These financial measures are intended to facilitate analysis of the Group's performance. Accordingly, the alternative performance measures should be considered a supplement to the financial statements prepared in accordance with IFRS. The financial measures recognized in this report may differ from similar measures used by other companies.

Gross profit
3,150
3,427
6,203
6,507
13,580
Add-back of:
Depreciation, amortization and write-downs of intangible assets
and tangible assets
206
197
414
402
813
Other items affecting comparability
-
-
-
-
-
Adjusted gross profit
3,355
3,624
6,616
6,909
14,392
Apr-Jun
Apr-Jun
Jan-Jun
Jan-Jun
Jan-Dec
Adjusted EBITDA, SEK M
2022
2021
2022
2021
2021
Operating profit (EBIT)
911
1,205
1,691
2,164
4,371
Add-back of:
Depreciation, amortization and write-downs of intangible assets and
tangible assets
395
379
791
761
1,542
Amortization and write-down of acquired intangible assets
43
67
84
133
273
Other items affecting comparability
-
-34
-
-72
473
Acquisition and restructuring costs
2
13
19
103
95
Adjusted EBITDA
1,350
1,629
2,585
3,089
6,754
Apr-Jun
Apr-Jun
Jan-Jun
Jan-Jun
Jan-Dec
Adjusted EBITA, SEK M
2022
2021
2022
2021
2021
Operating profit (EBIT)
911
1,205
1,691
2,164
4,371
Add-back of:
Amortization and write-down of acquired intangible assets
43
67
84
133
273
Other items affecting comparability
-
-34
-
-72
473
Acquisition and restructuring costs
2
13
19
103
95
Adjusted EBITA
956
1,250
1,794
2,329
5,212
Apr-Jun
Apr-Jun
Jan-Jun
Jan-Jun
Jan-Dec
Adjusted EBIT, SEK M
2022
2021
2022
2021
2021
Operating profit (EBIT)
911
1,205
1,691
2,164
4,371
Add-back of:
Other items affecting comparability
-
-34
-
-72
473
Acquisition and restructuring costs
2
13
19
103
95
Adjusted EBIT
913
1,183
1,710
2,195
4,939
Apr-Jun
Apr-Jun
Jan-Jun
Jan-Jun
Jan-Dec
Adjusted net profit for the period, SEK M
2022
2021
2022
2021
2021
Apr-Jun Apr-Jun Jan-Jun Jan-Jun Jan-Dec
Adjusted gross profit, SEK M 2022 2021 2022 2021 2021
Net profit for the period
611
806
1,149
1,459
3,000
Add-back of:
Amortization and write-down of acquired intangible assets
43
67
84
133
273
Other items affecting comparability
-
-34
-
-72
473
Acquisition and restructuring costs
2
13
19
103
95
Tax items affecting comparability
-
-
-
-
-
Tax on add-back items
-12
-14
-28
-47
-209
Adjusted net profit for the period
644
838
1,224
1,576
3,632
The calculation of adjusted earnings per share,
before and after dilution, attributable to the Parent Company's
shareholders, is based on the following information:
Apr-Jun
2022
Apr-Jun
2021
Jan-Jun
2022
Jan-Jun
2021
Jan-Dec
2021
Earnings (numerator), SEK M
Adjusted net profit for the period 644 838 1,224 1,576 3,632
Adjusted net profit for the period attributable to non-controlling
interest -8 -9 -13 -17 -31
Adjusted net profit for the period attributable to the Parent
Company shareholders, which form the basis for calculation of
adjusted earnings per share
636 829 1,212 1,559 3,601
Number of shares (denominator) Apr-Jun
2022
Apr-Jun
2021
Jan-Jun
2022
Jan-Jun
2021
Jan-Dec
2021
Weighted average number of ordinary shares for calculation of
adjusted earnings per share (thousands) 272,370 272,370 272,370 272,370 272,370
Adjusted earnings per share, SEK 2.33 3.04 4.45 5.72 13.22

Note 8 Acquisitions

Acquisitions in 2022

In January 2022, all of the participations in German development company Irasun GmbH, domiciled in Munich, were acquired. Irasun develops products for venous drainage and temperature control, which can be used in combination with heart lung machines and equipment for extracorporeal life support (ECLS). The products are not yet commercially available but in the long term are intended to strengthen the Group's offering in innovative solutions for surgical perfusion. The purchase price amounted to SEK 77 M, of which SEK 62 M pertained to goodwill that is attributable to strategic advantages in the form of growth opportunities and a broader product range. The costs of the acquisition amounted to SEK 2 M and were charged to earnings for 2021 and 2022. Following the acquisition, the company did not have any material impact on Getinge's sales or earnings. At the time of publication of this report, the acquisition analysis was still preliminary.

The purchase price for the acquisition of Talis Clinical LLC was adjusted in the second quarter of 2022, entailing that Getinge received repayment of SEK 6 M from the sellers.

Note 9 Restatement of comparative figures

All net sales of DPTE®-BetaBags in Life Science are recognized as recurring revenue (consumables, service and spare parts) instead of capital goods as from January 1, 2022. Comparative figures for 2021 have been restated.

Restatement of the distribution of net sales between capital goods and recurring revenue

Per quarter in the Group, SEK M Jan-Mar
2021
Apr-Jun
2021
Jul-Sep
2021
Oct-Dec
2021
Net sales reclassified from capital goods to recurring revenue 224 238 249 258
Restated net sales of capital goods 2,641 2,531 2,405 3,715
Restated net sales of recurring revenue 3,528 4,055 3,901 4,272
Total 6,169 6,587 6,306 7,987
Jan-Mar Jan-Jun Jan-Sep Jan-Dec
Accumulated in the Group, SEK M
Net sales reclassified from capital goods to recurring revenue
2021
224
2021
462
2021
711
2021
969
Restated net sales of capital goods
Restated net sales of recurring revenue
2,641
3,528
5,173
7,583
7,577
11,484
11,292
15,757
Per quarter in Life Science, SEK M Jan-Mar
2021
Apr-Jun
2021
Jul-Sep
2021
Oct-Dec
2021
Net sales reclassified from capital goods to recurring revenue 224 238 249 258
Restated net sales of capital goods 340 436 395 557
Restated net sales of recurring revenue 427 446 472 486
Total 767 882 866 1,043
Accumulated in Life Science, SEK M Jan-Mar
2021
Jan-Jun
2021
Jan-Sep
2021
Jan-Dec
2021
Net sales reclassified from capital goods to recurring revenue 224 462 711 969
Restated net sales of capital goods 340 776 1,171 1,727
Restated net sales of recurring revenue
Total
427
767
873
1,649
1,344
2,515
1,830
3,558

Parent Company financial statements

Parent Company's income statement

SEK M Apr-Jun
2022
Apr-Jun
2021
Jan-Jun
2022
Jan-Jun
2021
Jan-Dec
2021
Net sales 47 97 94 147 271
Administrative expenses1) -86 -97 -144 -153 -302
Operating loss -39 0 -50 -6 -31
Result from participations in Group companies2) 3,501 0 3,501 0 1,820
Interest income and other similar income3) 7 0 7 0 1
Interest expenses and other similar expenses3) -20 -66 -61 -125 -263
Profit/loss after financial items 3,449 -66 3,397 -131 1,527
Appropriations - - - - 102
Taxes -3 -6 -2 -5 -29
Net profit/loss for the period4) 3,446 -72 3,395 -136 1,600

1) In previous reports, net sales and administrative expenses were presented net on the same line.

2) Consist mainly of dividends from Group companies completed throughout the year

3) Interest income and other similar income and interest expenses and other similar expenses include exchange-rate gains and losses attributable to the translation of financial receivables and liabilities measured in foreign currencies

4) Comprehensive income for the period corresponds to net profit for the period

Parent Company's balance sheet

SEK M June 30
2022
June 30
2021
December 31
2021
Assets
Intangible assets 5 18 8
Tangible assets 4 5 4
Participations in Group companies 28,333 27,953 28,795
Deferred tax assets 103 108 94
Long-term receivables from Group companies 134 - -
Current receivables from Group companies 560 554 233
Current receivables 49 55 36
Cash and cash equivalents 1,101 600 1,330
Total assets 30,289 29,293 30,500
Equity and liabilities
Equity 24,108 20,066 21,802
Long-term liabilities 2,044 570 1,170
Other provisions 18 47 15
Current liabilities to Group companies 3,915 8,367 7,238
Current liabilities 204 243 275
Total equity and liabilities 30,289 29,293 30,500

Definitions

Financial terms

Equity/assets ratio: Equity in relation to total assets.

Adjusted earnings per share: Adjusted net profit for the period attributable to Parent Company shareholders in relation to average number of shares.

Adjusted EBIT: Operating profit (EBIT) with add-back of acquisition and restructuring costs and other items affecting comparability.

Adjusted EBITA: EBITA with add-back of acquisition and restructuring costs and other items affecting comparability.

Adjusted EBITDA: EBITDA with add-back of acquisition and restructuring costs and other items affecting comparability.

Adjusted gross profit: Gross profit with add-back of depreciation, amortization and write-downs and other items affecting comparability.

Adjusted net profit for the period: Net profit for the period with add-back of amortization and write-down of acquired intangible assets, acquisition and restructuring costs, other items affecting comparability and tax effect of add-back of income-statement items.

Adjusted profit before tax: Profit before tax for the period with add-back of amortization and write-down of acquired intangible assets, acquisition and restructuring costs and other items affecting comparability.

Capital goods: Durable products that are not consumed when used.

Currency transaction effect: Exchange of current year's volumes of foreign currency at this year's exchange rates, compared with the exchange rates in the preceding year.

Earnings per share: Net profit attributable to Parent Company shareholders in relation to average number of shares.

EBIT: Operating profit.

EBITA: Operating profit (EBIT) with addback of amortization and write-down of acquired intangible assets.

EBITA margin: EBITA in relation to net sales.

EBITDA: Operating profit (EBIT) with addback of amortization, depreciation and write-downs.

EBITDA margin: EBITDA in relation to net sales.

Equity per share: Equity in relation to the number of shares at the end of the period. Free cash flow: Cash flow from operating activities and investing activities, excluding acquisitions and divestment of operations. Gross margin: Gross profit in relation to net

sales.

Interest-coverage ratio: Rolling 12 months' adjusted EBITDA in relation to rolling 12 months' net interest.

Items affecting comparability: Comprises acquisition and restructuring costs and other items affecting comparability. Other items affecting comparability are significant revenue/expenses that impact

comparability between accounting periods. These items include, but are not limited to, write-downs, disputes and major gains and losses attributable to divestments of assets or businesses.

Net debt/equity ratio: Net interest-bearing debt in relation to equity.

Operating capital: Average total assets with add-back of cash and cash equivalents, other provisions, accounts payable and other non-interest-bearing liabilities.

Operating margin: Operating profit (EBIT) in relation to net sales.

Organic change: A financial change adjusted for currency, acquisitions and divestments of businesses.

Recurring revenue: Products that are continuously consumed as well as service, spare parts and similar items.

Return on equity: Rolling 12 months' profit after tax in relation to average equity.

Return on operating capital: Rolling 12 months' adjusted EBIT in relation to operating capital.

Medical terms

Artificial grafts: Artificial vascular implants. Cardiopulmonary: Pertaining or belonging to both heart and lung.

Cardiovascular: Pertaining or belonging to both heart and blood vessels.

DPTE®-BetaBags: Bag that ensures contamination-free transfer of components.

ECMO: Extracorporeal membrane oxygenation, meaning oxygenation outside the body through a membrane. Put simply, a modified cardiac and respiratory machine that exchanges oxygen and carbon dioxide, like an artificial lung.

Endoscope: Equipment for visual examination of the body's cavities, such as the stomach.

Endovascular: Vascular treatment using catheter technologies.

Extracorporal life support: Oxygenation of the patient's blood outside the body (extracorporeal) using advanced medical technology.

Hemodynamic monitoring: Monitoring the balance between blood pressure and blood flow.

Low temperature sterilization: A device used to sterilize surgical instruments which cannot be sterilized with high temperature steam. It is mainly used for instruments used in the minimal invasive and robotic surgery.

NAVA: Neurally Adjusted Ventilatory Assist (NAVA) identifies the electric activity that activates the diaphragm and using these signals adapts the ventilation to the patient's respiratory rhythm.

Perfusionist: A healthcare professional who operates the heart-lung machine during surgery.

Stent: A tube for endovascular widening of blood vessels.

Sterilizer: A device to eliminate microorganisms on surgical instruments, usually by high temperature with steam.

Vascular intervention: A medical procedure conducted through vascular puncturing instead of using an open surgery method.

Ventilator: Medical device to help patients breath.

Geographic areas

Americas: North, South and Central America.

APAC: Asia and Pacific (excluding Middle East).

EMEA: Europe, Middle East and Africa.

Teleconference

Teleconference with President & CEO Mattias Perjos and CFO Lars Sandström on July 19, 2022 at 10:00-11:00 a.m. CEST. Please see dial in details below to join the conference:

SE: +46-8-5051-6386 UK: +44-20-319-84884 US: +1-412-317-6300 Use the following pin code: 1863734#

A presentation will be held during the telephone conference. To access the presentation, please use this link: https://tv.streamfabriken.com/getinge-q2-2022

Alternatively, use the following link to download the presentation: https://www.getinge.com/int/about-us/investors/reportspresentations/

A recording will be available for three years via the following link: https://tv.streamfabriken.com/getinge-q2-2022

Financial information

Updated information on, for example, the Getinge share and corporate governance is available on Getinge's website www.getinge.com. The Annual Report, year-end report and interim reports are published in Swedish and English and are available for download at www.getinge.com. The preliminary dates for financial communication are provided below:

October 19, 2022 Q3 Report 2022
February 1, 2023 Q4 Report 2022

Contact

Lars Mattsson, Head of Investor Relations +46 (0)10 335 0043 [email protected]

Jeanette Hedén Carlsson, Executive Vice President, Communications & Brand Management +46 (0) 10 335 1003 [email protected]

This information is such that Getinge AB is obliged to make public pursuant to the EU Market Abuse Regulation and the Swedish Securities Market Act. The information was submitted for publication, through the agency of the contact person set out above, on July 19, 2022 at 8:00 a.m. CEST.

With a firm belief that every person and community should have access to the best possible care, Getinge provides hospitals and life science institutions with products and solutions that aim to improve clinical results and optimize workflows. The offering includes products and solutions for intensive care, cardiovascular procedures, operating rooms, sterile reprocessing and life science. Getinge employs over 10,000 people worldwide and the products are sold in more than 130 countries. Getinge has been listed on Nasdaq OMX Stockholm, Nordic Large Cap since 1993 and is included in the OMXS30 index of the 30 most actively traded shares.

Getinge AB (publ) │ Lindholmspiren 7A, 417 56 Gothenburg, Sweden │Tel: +46 (0)10 335 0000 │E-mail: [email protected] │ Corp. Reg. No.: 556408-5032 │ www.getinge.com

Talk to a Data Expert

Have a question? We'll get back to you promptly.