Straumann Holding AG

Good morning or afternoon to all of you. Thank you for attending this conference call on the Coman Group's third quarter 2026 results. Please take note of the disclaimer in our media release and on slide two. During this conference call, we are going to refer to the presentation slides that were published on our website this morning. As usual, the discussion will include some forward-looking statements. As shown on slide 3, I will start with the performance overview. Isabelle will then cover the financial details and afterwards I will share strategic updates and our outlook. We will be happy to answer your questions at the end of the presentation. With this, let's move directly to slide 5. I am very pleased to present another strong quarter for the Stroman Group. Organic growth accelerated to 9.2% despite a continued volatile microenvironment showing that we keep gaining market share in the segments we are playing in. Third quarter revenue reached 667.1 million, an increase of 10.8% in Swiss francs. For the first nine months of the year, we generated just over 2 billion Swiss francs in revenue with organic growth of 8.3%. EMEA and Asia-Pacific were a highlight. The EMEA region increased growth rates for the third time in a row over the past quarters, and Asia-Pacific is back to double-digit growth. I will come to those retro dynamics in a moment. In implantology, our IXL implant system continues to be the major driver of winning new customers in the premium segment, while Neodent is gaining significant share in the challenger segment across all our regions. The opening of the third new manufacturing Curitiba gives the brand the capacity to further support its global expansion. Today, I would like to take a closer look at our newest important innovation, the Stroman Fast Full-Arch Treatment solution, enabled by the new Sirius APS technology. It reflects the lead we are taking in shortening time to teeth through our important R&D investments combining product and digital innovation together. Hence, those developments give us confidence in confirming the full year outlook. Let me now turn to slide six and our regional performance during this quarter. Starting with EMEA, organic growth reached 10.5% in the third quarter and 8.9% for the first nine months. iXcel supported further premium customer conversions while Neodent and Ontogea contributed to the challenger segment. Germany, Switzerland and Austria performed well alongside Poland, Romania and Hungary. Our clinical education events played also a key role in this dynamic, helping us in producing our new solutions and deepening customer relationships as education is critical for innovation adoption and fast market penetration. In North America, Organic growth reached 7.5% in the quarter and 7.9% over 9 months. This is a very solid performance given cautious consumer sentiment and patient flow that remain broadly stable compared with past quarters. The dynamic pace of customer conversions in premium and challenger implantology together with continued scanner demand shows that our commercial execution is allowing us toward performing the underlying market. Asia-Pacific accelerated to 10.3% organic growth in the quarter, bringing nine-month growth to 6.1%. Asia-Pacific including China, excluding China, sorry, performed well in the third quarter with strong growth in Japan and India supported by IXL and commercial activities around our challenger brand across Southeast Asia. China also returned to growth after several challenging quarters benefiting from the combination of a stable patient flow and a lower comparative base. Finally, Latin America delivered 6.5% organic growth in the quarter and 12.1% over the first nine months. Two dynamics shape this performance. First, in Brazil, election-related uncertainty weighed on patient demand. For casing by large dental groups, softened and orthodontic case volumes decline, while scanner cells remain healthy, although below previous levels. We expect patient demand to recover as this uncertainty eases and we remain confident in the market's growth potential. Second, dynamics in Latin America continue to expand in Hispanic markets, particularly Mexico and Colombia, where implant penetration remains low. Overall, we will continue to focus on revenue quality and further market share gains in private practices in Brazil. With that regional overview, I will now hand over to Isabelle to take you through the financial performance in more detail.

Thank you, Guillaume, and good morning, good afternoon also from my side. It's a pleasure to walk you through our financial performance for the first nine months of 2026. Let me begin with the revenue bridge on slide eight. Revenue for the first nine months reached more than 2 billion Swiss francs, up 8.3% organically and 4.9% in Swiss francs. The difference between those growth rates mainly reflects currency movements. Let me walk you through the bridge from left to right. We start the prior year revenue at around 1.95 billion Swiss francs and translating that base at current exchange rates reduces it by around 60 million while the M&A effect rounds to zero, giving us a comparable base of 1.89 billion. The regional contributions to organic growth then at around 157 million Swiss francs. EMEA contributed 68 million or 43% of that increase followed by North America with 38 million, APAC with 29 million, and Latin America with 22. This brings us to the rounded closing figure of 2.05 billion Swiss francs shown on the right of the graph. Currency still reduced nine-month revenue, but the headwind became a tailwind in the third quarter. Growth in Swiss francs reached 10.8%, exceeding organic growth of 9.2%. EMEA made the largest absolute contribution to organic growth as you see in the graph. This brings me to China and the next phase of volume-based procurement on slide nine. As Guillaume mentioned, our business in China regained momentum in the third quarter after several challenging quarters marked by uncertainty around the next round of volume-based procurement or the VBP 2.0. The improvement is encouraging while the tender process remains at an early stage and the rules have not yet been announced. We expect the tender process to be implemented in the first quarter of 2027. We will be able to assess the commercial implications more precisely once rules are available, but the important point is that we enter this next phase with a broader portfolio across price segments and a strong local manufacturing base. Together, these capabilities give us the flexibility to respond to different purchasing conditions and continue developing a market where implant penetration remains very low. With that, I will now hand back to Guillaume for the strategy update and outlook.

Thank you, Isabelle. Let me now turn to the strategy update, starting with the size of our market opportunity on slide 11. When we look at our market position today, two things stand out. The strength of the business we have built on the one side and the size of the opportunities still ahead on the other side. This is the logic behind our perform and transform strategy on which we are continuing to make strong progress. On the perform side, we build from real strength. We are the clear global leader in implantology and together with Regeneratives, our brands, Clinical Heritage and Innovation give us a powerful platform to keep outperforming the market. Leadership is obviously not the ceiling, though. With 35% share in our core implant business, there is still significant headroom to grow, especially with a strong innovation pipeline. The transform side adds a certainly important dimension of growth. In clear aligners, digital equipment and CAD CAM prosthetics Our positions are still small relative to the opportunity. But as seen in previous quarters, the innovations we have invested in and launched lately are now starting to deliver results. Altogether, this gives us a very attractive runway for sustained growth. Now, let me talk about how we turn this opportunity into growth by combining product leadership with a better, more efficient experience for clinicians on slide 12. Product leadership starts with innovation. Differentiated solutions, such as Stroman IXL implant performance system or the Serio6 free intraoral scanner. They expand clinical applications, simplify treatment, and improve clinical outcomes. But being a product champion is only one part of the equation. Health professionals also expect connected solutions that simplify daily practice, support predictable clinical outcomes and improve profitability. Stroman Access brings these solutions together in an integrated digital ecosystem, while education gives clinicians the skills and confidence to adopt them. Across implantology, orthodontics, and prosthetics, the same logic applies. Innovation creates differentiation. Digitalization improves efficiency and engagement. and Education Drives Adoption. So we are making great progress on this strategy and our latest investments in product innovation and digitalization are translating now into a real competitive advantage. Let me turn to slide 13 and highlight three areas of very significant progress. First, our scanner business continues to grow strongly and outperform the competition. We now have an installed base of more than 65,000 intraoral scanners across our markets. That scale matters. The scanner is the entry point to digital treatments, and a broad installed base creates more opportunities to connect clinicians to our ecosystem. Our own brand accounts for the larger share of our scanner sales, and in the first nine months of 2026, We sold more intraoral scanner units than it's in all of 2025. Secondary of strong progress, our Stroman access platform is gaining a lot of momentum. The platform now has more than 20,000 regular active users who connect to access through their intraoral scanners and use the services and treatment solutions available for it. The investment we made in the platform is now driving customer loyalty with access users substantially more likely to reorder our solutions than non-users based on some initial revenue per customer analysis. Third area of strong progress are unique end-to-end treatment solutions leveraging our IXL system and specifically delivered through access are gaining now significant traction. Together with higher reorder rates, this points to deeper customer engagement and the potential to grow our share of implants and prosthetic sales over time. It shows our product leadership and a connected digital experience reinforce each other. On slide 14, let me then show you how we bring those strengths together with our new fast treatment workloads. Averaging the combination between product leadership and digital customer experience is at the foundation of our newly launched FAST treatment solutions. The FAST acronym standing for Fast, Accurate, Simple, and Trusted. Last quarter, we talked about our FAST MOLAB solution release, an end-to-end workflow for single tooth treatment. It can save both clinicians and patients at least one appointment and an additional 30 minutes across the remaining appointments. It also supports the use of Stroman original restorative components, creating additional value around IXL. To date, we have sold more than 100,000 specific fast molar abutments, demonstrating the rapid adoption of this unique solution. This adoption by clinicians is the proof of the significant value we are creating for each practice. It clearly demonstrates the need of connected workflow efficiency among practices and helps drive sales of IXL implants. We have now applied this approach to full arch treatment, which is one of the most interesting segments in our implant market. Let me turn to slide 15 and show how our new serials ATS technology makes that treatment simple. Full-arch treatment replaces all the teeth in one jaw with a fixed set of teeth supported by four to six implants. There are two options. Patient can wait until healing of the implant place is complete before receiving their new set of fixed teeth or they may be able to receive a fixed set right after surgery, the so-called immediate loading treatment. Many patients prefer the second option as they don't have to wear a removable denture during the healing phase. For clinicians, immediacy treatments require not only very precise but also immediate information about the final position of the implants placed during the surgical phase. The clinician needs this information to make an immediate, temporary restoration that fits the implant. Until today, practices are using a very costly specific scanner only for this. It is a cumbersome process and has extra significant costs and working time to an already demanding procedure. Our serous APS innovation makes this process simpler and much more cost efficient, powered by the new unique full-arch scanning APS technology. As you can see in the video, small reference components available exclusively for the Stroman Group implant brands help a serious intraoral scanner capture precisely their positions immediately after surgery. The digital file is then sent to the access platform where the clinician and the dental laboratory can work with the same information. This supports immediate full-arch treatment without dedicated costly scanning equipment. This serious APS technology enables the efficient Stroman fast full-arch treatment solution which will be launched in the months to come. For practices, this makes full-arch treatment simpler, more efficient, and more cost-effective. For patients, it can mean getting their new smile sooner without going through a removable dental period. And for Stroman, more conversions of full arch cases to the IXL implant system and more serious intramural scanner cells. Let me now turn to the orthodontics on slide 60. AirCorrect delivered double-digit growth in its priority markets as we continued to focus resources where the opportunity among general practitioners is most attractive. We are concentrating on commercial investment where we can build sufficient scale while improvements in production and operations continue to deliver reduced cost. Our new digital tools help general practitioners identify suitable aligner cases and treat them with greater confidence. Case assessment supports an optimal case selection. The outcome simulator helps clinicians presenting the treatment and increasing their case acceptance rate, while the remote care supports clinicians monitoring the treatment progress between visits. Together, they give clinicians more confidence from the first consultation to the final phase of the treatment so that they can increase their number of case submissions. We are beginning to see these tools enter everyday use. In September, Outcome Simulator was already used in about 30% of the case submissions while case assessments were used in almost 15%. This offering strengthens ClearCorrect's position with general practitioners while a sharper geographic focus and lower costs improve the economics as volumes grow. Together, these advances keep the business on track to reach breakeven by the end of 2027. Let's move to slide 17. We have talked about our innovations and new solutions, but success comes only with customer adoption. The first quarter was filled with sold-out clinical education events, including International Aesthetic Days in Copenhagen, with 1,600 participants in the Neodem Symposiums in the US and upcoming in Asia Pacific. These events are critical, helping us deepen customer relationships, drive adoption of our new solutions, and accelerate their market penetration. With that, let me now turn to our outlook for 2026 on slide 90. Following the strong first nine months, we are pleased to confirm our full-year outlook, including the profitability guidance we raised in June. During unforeseen even, we continue to expect high single-digit organic revenue growth and an improvement in the quarterly margin of around 140 to 170 basis points at constant 2025 exchange rates. The acceleration in revenue supports our growth outlook, while disciplined cost management and a more efficient manufacturing footprint underpin the margin improvement. We remain mindful of the different market conditions across regions and the pending VDD tender in China. Our positions in implantology, growing digital reach, and disciplined execution give us confidence in delivering the guidance. With this, We are happy to move to the Q&A session to answer your questions. As usual, we kindly ask you to limit the number of questions to two in order to give all the participants a chance to pose their questions within the available time. Coruscant, can we have the first question, please?