Coloplast A/S - Coloplast presents new 5-year strategy, Impact4

Core Viewpoint - The company is launching a new 5-year strategy called Impact4, which aims to place customers at the center of its operations and help 4 million people in the long term [1][2]. Strategic Priorities - The Impact4 strategy focuses on four key priorities: innovative customer offerings, efficiency gains, embracing technology, and cultivating a sustainable company culture [4]. - The company will reorganize into two distinct business units: Chronic Care and Acute Care, to better address market dynamics and customer needs [1]. Financial Ambitions - The long-term financial goals include organic revenue growth of 7-8% (5-year CAGR until FY 2029/30) and absolute EBIT growth in line with or above revenue growth [5]. - The company targets a ROIC of more than 20% by FY 2029/30, with a gradual improvement expected over the period [5]. - Additional financial metrics include a capex-to-sales ratio of 4-5%, a tax rate around 22%, and a net debt/EBITDA ratio decreasing to approximately 1.5x by FY 2029/30 [5]. Non-Financial Ambitions - The company aims for a 90% reduction in Scope 1+2 emissions by 2029/30 and a 10% reduction in Scope 3 emissions per product by FY 2029/30 [5]. - It plans to use 15-20% less materials in product and packaging by FY 2029/30 and improve employee engagement scores to the top quartile of the industry [5]. Business Unit Goals - In Chronic Care, the company aims for organic revenue growth above market levels and profitability improvements, focusing on areas like Ostomy Care and Intermittent Catheters [5]. - The Wound and Tissue Repair segment targets double-digit growth and improved profitability through innovation [11]. - Interventional Urology aims for mid-single to high-single digit growth, with a focus on launching new products like Intibia™ [11]. Market Context - The expected market growth during the period is projected at 4-5%, with a stable macroeconomic environment and no significant changes in tariffs or trade restrictions [12].