Coloplast across regions and business areas
2
CHAIRMAN/CEO’S LETTER • AT A GLANCE • 2022/23 IN BRIEF • 2023/24 OUTLOOK AND GUIDANCE
3
The Management’s Report
Highlights 4
At a glance 4
2022/23 in brief 6
Chairman and CEO’s letter 8
Five-year financial and sustainability highlights and
ratios 10
2023/24 outlook and guidance 12
Our business 14
Mission and business model 14
Strive25 strategy 16
Business areas; strategy, markets and performance 22
Ostomy Care 22
Continence Care 26
Voice and Respiratory Care 30
Advanced Wound Care 33
Interventional Urology 37
2022/23 Financial performance 40
Financial results 40
2022/23 Sustainability performance 44
Governance, materiality and stakeholders 44
Improving products and packaging 48
Reducing emissions 53
Responsible operations 58
EU Taxonomy 65
Risk management 68
Risk management 68
Governance and Ownership 74
Corporate governance 74
The Board of Directors 78
The Executive Leadership Team 80
Ownership and major shareholders 81
The Financial Statements
Consolidated financial statements 84
Statement of comprehensive income 84
Statement of cash flows 85
Assets, equity and liabilities 86
Statement of changes in equity 88
Notes 90
The Sustainability Statements
Consolidated Sustainability performance tables 141
Basis of preparation 142
Environmental data 142
Social data 147
Governance data 149
Management’s Statements and Auditor’s Reports
Statement by the Board of Directors and the Executive
Management 151
Independent auditors’ reports 152
Independent limited assurance report 158
The Financial Statements of the Parent Company
Parent company financial statements 161
Income statement 161
Balance sheet 162
Notes 163
Additional information (part of Management’s Report)
Shareholder information 170
Table of contents
HIGHLIGHTS
4
*Reported revenue in DKK
HIGHLIGHTS
Coloplast across regions and business areas
Regions and business areas revenue
Coloplast Group
24.5 bn*
+8%
Organic growth at
constant exchange rates
Voice and
Respiratory Care
2.7 bn*
Continence Care
1.9 bn*
Advanced Wound Care
2.9 bn*
Interventional Urology
9.0 bn*
Ostomy Care
8.0 bn*
Heat- and moisture
exchangers, voice prostheses
and adhesives
Intermittent catheters,
collecting devices
and bowel care
Products in the advanced
dressings and biologics wound
care segments, skin care and
contract manufacturing
Ostomy bags, plates and
supporting products
Implantable products and
disposable surgical products for
treatment of urological conditions
AT A GLANCE • 2022/23 IN BRIEF • CHAIRMAN/CEO’S LETTER • FIVE-YEAR HIGHLIGHTS AND RATIOS •
2023/24 OUTLOOK AND GUIDANCE
5
European markets
Western, Northern and
Southern Europe
Other developed
markets
USA, Canada, Japan,
Australia and New Zealand
Emerging markets
All other markets
13.9 bn
Reported revenue in DKK
+5%
Organic growth at constant
exchange rates
6.5 bn
Reported revenue in DKK
+9%
Organic growth at constant
exchange rates
4.1 bn
Reported revenue in DKK
+14%
Organic growth at constant
exchange rates
European markets
Other developed markets
Emerging markets
HIGHLIGHTS
2022/23 in brief
6
Organic growth was 8%, with all
business areas contributing to growth.
Our Chronic Care businesses, Ostomy
Care and Continence Care, were the
main growth contributors, growing 8%
and 7% respectively. Solid contribution
from Interventional Urology and Voice
and Respiratory Care, both growing
10%, as well as our Advanced Wound
Care business which posted 7% organic
growth.
Revenue in DKK amounted to 24,500
million, which was a 9% increase from
22,579 million last year. Revenue from
acquisitions contributed 3%-points to
reported growth and includes a four-
months impact from the acquisition of
Atos Medical and a one-month impact
from the acquisition of Kerecis.
Currencies had a negative impact and
detracted 2%-points from reported
growth.
EBIT before special items amounted to
DKK 6,845 million, a 1% decrease from
DKK 6,910 million last year.
The decrease in EBIT was a result of
inflationary headwinds on input costs
and an increase in operating expenses,
which also included PPA amortisation
related to acquisitions of around DKK
219 million. Currencies also had a
negative impact on the EBIT margin.
The negative impact on EBIT was only
partly offset by pricing benefit, leverage
on fixed costs and efficiency gains from
Global Operations Plan 5, as well as
prudent management of operating
expenses.
The EBIT margin after special items was
also 28%.
ROIC after tax before special items was
17%, against 27% last year. 2022/23
ROIC includes a full year impact from
the increase in invested capital related
to the Atos Medical acquisition in
January 2022. ROIC was further
impacted by the acquisition of Kerecis in
August 2023.
HIGHLIGHTS
2022/23 in brief
REVENUE (DKK MILLION)
GROSS PROFIT AND EBIT (DKK MILLION)
DEVELOPMENT IN ROIC AFTER TAX
BEFORE SPECIAL ITEMS
24,500
22,579
2022/23 2021/22
16,328
15,529
6,845
6,910
2022/23 2021/22
Gross profit EBIT (before special items)
17%
27%
2022/23 2021/22
8
%
Organic revenue
growth in 2022/23.
Growth was broad-
based
28
%*
EBIT margin
impacted by higher
input costs
* Before special items
17
%*
ROIC after tax
impacted by
acquisitions
* Before special items
AT A GLANCE • 2022/23 IN BRIEF • CHAIRMAN/CEO’S LETTER • FIVE-YEAR HIGHLIGHTS AND RATIOS •
2023/24 OUTLOOK AND GUIDANCE
7
Cash flows from operating activities
amounted to DKK 4,226 million, against
DKK 5,099 million last year. The
negative development in cash flows
from operating activities was mainly due
to higher income tax paid and increases
in financial items and inventories, partly
offset by an increase in operating profit
(EBIT).
Cash flows from investing activities was
an outflow of DKK 8,957 million in
2022/23 due to the Kerecis acquisition
compared with DKK 11,759 million last
year mainly due to the acquisition of
Atos Medical.
The free cash flow was an outflow of
DKK 4,731 million compared to an
outflow of DKK 6,660 million last year.
Coloplast’s absolute scope 1 and 2
emissions decreased by 10% in 2022/23
compared to the base year 2018/19.
The scope 1 and 2 emissions reduction
was mainly driven by energy efficiency
improvements, phasing out natural gas
usage and electrification of energy
consumption. The reduction in scope 1
and 2 emissions was partly offset by
increased emissions from the fleet of
company cars and the inclusion of Atos
Medical in sustainability-related metrics.
Excluding Atos Medical, scope 1 and 2
emissions decreased by 15% in FY
2022/23.
In 2022/23, more than 260,000 new
users enrolled in Coloplast Care,
compared to more than 250,000 in
2021/22.
Coloplast Care is our flagship patient
support programme, designed to
provide personalised support and
education for people with intimate
healthcare needs. The programme is
available to users in more than 30
markets and is tailored to the needs of
each individual market.
CASH FLOW (DKK MILLION)
SCOPE 1 AND 2 EMISSIONS (TONNES
CO2)
NEW USERS ENROLLED IN OUR PATIENT
SUPPORT PROGRAMME
4,226
5,099
-4,731
-6,660
2022/23 2021/22
Operating cash flow Free cash flow
21,200
23,500
2022/23 2018/19 base year
260,000
250,000
2022/23 2021/22
-4,713 m
Free cash flow in
DKK impacted by
acquisitions
10
%
Scope 1 and 2
emissions reduction
since 2018/19 base
year
260,000+
New users in the
Coloplast® Care
patient support
programme
HIGHLIGHTS
A message from the Chairman and the CEO
8
Dear shareholders,
While the COVID-19 pandemic is largely
behind us, its consequences on
healthcare systems globally continue to
reverberate. In addition to the current
staffing shortages and procedural
backlogs, demographic trends and
economic constraints will continue to
put more pressure on healthcare
systems in the coming decades. At the
same time, current macroeconomic and
geopolitical trends have significantly
challenged our operating environment.
At Coloplast, we are building the
consumer healthcare company of the
future – a company that helps keep
people out of the hospital and
empowers them to take care of
themselves. This is our business model.
While macroeconomic challenges,
including COVID-19 and inflation, have
put pressure on our performance in the
first half of the Strive25 strategic period,
they have also confirmed the strength
of our model as we have been able to
maintain solid organic growth and
industry-leading profitability levels. We
aim to emerge even stronger in the
second half of Strive25 and position
ourselves for long-term value creation.
Strive25 strategy update
Innovation remains a key driver of our
organic growth. Through differentiated
technologies, we have been winning in
our Chronic Care core businesses,
Ostomy Care and Continence Care, for
decades. We have a strong pipeline in
Chronic Care with a significant number
of new product launches over the next
few years, starting with Luja
TM
, our new
intermittent catheter.
This is the first product from our Clinical
Performance Programme and the most
important product launch in Continence
Care in the last decade.
At the same time, with our Strive25
strategy we set out to actively pursue
M&A opportunities to build growth and
value creation options for the mid- and
long-term. In the last three years, we
have strengthened our portfolio with
three significant acquisitions. First, the
Intibia technology for treatment of over-
active bladder in Interventional Urology,
which we expect to launch in 2025/26.
Second, the addition of Voice and
Respiratory Care, a new chronic care
business area, through the Atos Medical
acquisition, which we expect to grow 8-
10% p.a. And finally, with the latest
addition of Kerecis we obtain a long-
term growth business, expected to
contribute around 1%-point to organic
growth as of 2024/25, with strong
profitability expansion potential and EPS
accretion expected from 2026/27.
The current inflationary environment
has represented a temporary setback
for our profitability. As we look towards
the second half of our Strive25 period,
we expect to come back to an EBIT
margin of 30%, before impact from the
Kerecis acquisition, driven by an easing
of the inflationary pressure and
continued support from our Global
Operations Plans.
Through a balanced mix of organic and
inorganic initiatives during the first half
of the Strive25 period, we are well
positioned to accelerate our long-term
organic growth to 8-10%, while
maintaining our long-term commitment
to industry leading profitability of more
than 30%.
Acquisition of Kerecis
A key highlight from the past year is the
acquisition of Kerecis, an emerging
category leader in the biologics wound
care segment, with a clinically
differentiated technology based on
intact fish skin. With Kerecis, we obtain a
unique opportunity to transform our
presence in the wound care market and
accelerate group growth.
Our companies share many similarities
and fit well together. We are both on a
mission to help more people in need of
advanced wound treatment, we are
leaders in innovation and sustainability,
and we both share values rooted in
Nordic cultures. Kerecis has a strong
commercial presence in the US,
providing immediate scale in the market,
while Coloplast’s footprint and
infrastructure provide a global
expansion backbone for Kerecis’ fish-
skin technology beyond the US. The
acquisition is a natural extension of our
intent to build growth platforms for the
mid- and long-term beyond our chronic
care core businesses.
The acquisition of Kerecis was financed
through an equity capital raise, which
marked the first time since 1995 that
Coloplast has used the capital markets
to raise funds. We would like to thank
our shareholders for the strong interest
and participation in the equity raise.
Business performance highlights
We delivered 8% organic growth and an
EBIT margin of 28% in 2022/23. The
result reflects strong growth above the
market across businesses and regions,
once again proving the strength of our
business model and offering. Our EBIT
margin reflects the negative impact
from inflation across cost categories.
A message from the Chairman and the CEO
Through a balanced mix of organic and inorganic initiatives during the
first half of the Strive25 period, we are well positioned to accelerate our
long-term organic growth to 8-10%, while maintaining our long-term
commitment to industry leading profitability of more than 30%.
AT A GLANCE • 2022/23 IN BRIEF • CHAIRMAN/CEO’S LETTER • FIVE-YEAR HIGHLIGHTS AND RATIOS •
2023/24 OUTLOOK AND GUIDANCE
9
Looking at our geographical priorities,
our US Ostomy Care business delivered
another strong year with double-digit
growth, while in China we maintain a
strong market leadership position
despite short-term impact form the
pandemic and consumer sentiment.
2022/23 is the final year of our Global
Operations Plan 5, with focus on
automation and ramp up of our
manufacturing site in Costa Rica. We are
now launching our Global Operations
Plan 6, which will support continued
growth and profitability though
initiatives on managing input prices,
continued optimisation of operations,
and a new manufacturing site in
Portugal.
At the core of our success are our
people and culture. We have a purpose
driven organisation, with above industry
engagement, and a stable voluntary
turnover level. With 54% share of
diverse teams and 26% share of senior
female leaders, we continue to advance
our diversity and inclusion agenda.
As we continue growing our business,
we aim to do so in a sustainable way.
We have an ambition to reduce our
emissions and improve our products and
packaging, while operating responsibly.
In 2022/23, we reduced our scope 1
and 2 emissions by 10% from the
2018/19 base year. We also increased
our waste recycling rate to 75%.
Governance
The Board of Directors and the
Executive Leadership Team continued
their strong collaboration during the
year, based on mutual respect and trust.
Key topics this year were the acquisition
of Kerecis and the current
macroeconomic environment, as well as
the launch of our Global Operations
Plan 6, which was a key topic at the
annual strategy days that the Board
held in Hungary this year.
In 2022/23, Coloplast’s largest and
second largest shareholders, Niels Peter
Louis-Hansen and Aage og Johanne
Louis-Hansen A/S, established a new
holding company, as part of a
generational change. The aim of the
new holding company is to secure a
long-term and stable ownership of
Coloplast.
Finally, we would like to thank our
colleagues at Coloplast for their
commitment and hard work this year.
We would also like to thank our
customers and investors for their
continued trust and support.
Proposed dividend per
share of DKK 16.00
in addition to a half-year dividend of
DKK 5.00.
The Board of Directors recommends
that the shareholders attending the
general meeting approve a year-end
dividend of DKK 16.00 per share. This
brings the total dividend paid for
2022/23 to DKK 21.00 per share,
compared to DKK 20.00 in 2021/22.
DIVIDEND PER SHARE (DKK)
5.0 5.0 5.0
14.0
15.0
16.0*
2020/21 2021/22 2022/23
Half-year dividend Year-end dividend
Lars Rasmussen
Chairman of the Board of Directors
Kristian Villumsen
President & CEO
HIGHLIGHTS
Five-year financial and sustainability highlights and ratios
10
Five-year financial and sustainability highlights and ratios
Financial highlights and ratios
Income statement, DKK million
2022/23
2021/22
2020/21
2019/20
2018/19
Revenue
24,500
22,579
19,426
18,544
17,939
Research and development costs
-872
-866
-755
-708
-692
Operating profit before interest, tax, depr. and amort. (EBITDA)
7,840
7,369
6,947
6,705
5,807
Operating profit before interest, taxes and amortisation (EBITA) before special
items
7,179
7,170
6,484
6,013
5,707
Operating profit (EBIT) before special items
6,845
6,910
6,355
5,854
5,556
Special items
-74
-471
-200
-
-400
Operating profit (EBIT)
6,771
6,439
6,155
5,854
5,156
Net financial income and expenses
-746
-312
78
-388
-128
Profit before tax
6,025
6,127
6,233
5,466
5,028
Net profit for the year
4,783
4,706
4,825
4,197
3,873
Revenue growth
Annual growth in revenue, %
9
16
5
3
9
Growth breakdown:
Organic growth, %
8
6
7
4
8
Currency effect, %
-2
4
-2
-1
1
Acquired operations, %
3
6
0
-
0
Balance sheet, DKK million
Total assets¹⁾
48,159
37,446
15,841
13,499
12,732
Capital invested
37,255
27,679
11,576
9,864
8,748
Net interest-bearing debt
18,660
18,091
2,112
1,162
539
Equity at year end
17,299
8,292
8,168
7,406
6,913
Cash flows and investments, DKK million
Cash flows from operating activities
4,226
5,099
5,290
4,759
4,357
Cash flows from investing activities
-8,957
-11,759
-2,011
-901
-591
Investments in property, plant and equipment, gross
-1,020
-927
-919
-846
-617
Free cash flow
-4,731
-6,660
3,279
3,858
3,766
Cash flows from financing activities
5,265
6,591
-3,176
-3,857
-3,714
Key ratios
Average number of employees, FTEs
14,903
13,650
12,578
12,250
11,821
Operating margin (EBIT margin) before special items, %
28
31
33
32
31
Operating margin (EBIT margin), %
28
29
32
32
29
Operating margin before interest, tax, depr. and amort. (EBITDA margin), %
32
33
36
36
32
Gearing ratio, NIBD/EBITDA before special items
2.4
2.3
0.3
0.2
0.1
Return on average invested capital before tax (ROIC), %²⁾
21
35
58
59
62
Return on average invested capital after tax (ROIC), %²⁾
17
27
45
46
48
Return on equity, %
59
64
70
66
65
Equity ratio, %¹⁾
36
22
52
55
54
Net asset value per outstanding share, DKK
77
39
38
35
33
Key ratios have been calculated and applied in accordance with the Recommendations and Financial Ratios issued by the Danish Society of Financial Analysts.
1)
The opening balance for goodwill has been adjusted due to changes in the purchase price allocation of Atos Medical Group, as a result of the subsequent
transfer of the intangible assets to Coloplast A/S is considered an integral part of the transaction, and thus, a deferred tax step-up is recognised as part of the
purchase price allocation. This resulted in an increase in goodwill of DKK 2,490 million and an increase in deferred tax liability of DKK 2,490 million.
2)
This item is provided before special items. After special items, ROIC before tax was 21%/33%/57%/61%/60%, and ROIC after tax was 17%/25%/44%/47%/46%.
AT A GLANCE • 2022/23 IN BRIEF • CHAIRMAN/CEO’S LETTER • FIVE-YEAR HIGHLIGHTS AND RATIOS •
2023/24 OUTLOOK AND GUIDANCE
11
Share data
2022/23
2021/22
2020/21
2019/20
2018/19
Share price, DKK
748
776
1,007
1,004
825
Share price/net asset value per share
10
20
26
29
25
Average number of outstanding shares, in million
214
213
213
213
212
PE, price/earnings ratio
34
35
44
51
45
Dividend per share, DKK¹⁾
21.0
20.0
19.0
18.0
17.0
Payout ratio, %²⁾
96
84
81
91
86
Earnings per share (EPS), diluted
22.20
22.11
22.63
19.67
18.18
Free cash flow per share
-22
-31
15
18
18
Sustainability highlights and ratios
2022/23
2021/22
2020/21
2019/20
2018/19
Strive25 ambitions³⁾
Improving products and packaging
90% of packaging recyclable⁴⁾ ⁸⁾
72%
72%
75%
75%
-
80% of packaging consisting of renewable materials⁴⁾ ⁸⁾
66%
65%
70%
70%
-
75% of production waste recycled
75%
71%
58%
41%
32%
Reducing emissions⁵⁾
100% reduction of scope 1 & 2 emissions by 2030⁵⁾ ⁶⁾
10%
8%
–7%
-3%
0%
100% renewable energy
78%
72%
67%
67%
67%
100% electric company cars by 2030
8%
4%
2%
1%
-
50% reduction of scope 3 emissions per product by 2030⁵⁾ ⁶⁾
8%
9%
10%
0.3%
0%
10% reduction of air travel⁵⁾ and then freeze
41%
55%
81%
45%
0%
5% limit on goods transported by air
2%
3%
2%
4%
-
Responsible operations
100% white collars trained in Code of Conduct
99%
100%
99%
98%
98%
2.0 Lost Time Injury frequency⁷⁾ ⁸⁾
2.6
2.5
2.2
2.5
2.5
40% representation of female senior leaders (VP+) by 2030
26%
21%
24%
23%
23%
75% share of diverse teams
54%
55%
50%
51%
-
Engagement score above industry benchmark⁹⁾
8.1
8.2
8.2
7.9
-
1)
The figure shown for the 2022/23 financial year is the proposed dividend.
2)
This item is before special items. After special items, the payout ratio is 97%/90%/84%/91%/93%.
3)
Sustainability highlights and ratios for 2022/23 includes Voice and Respiratory Care, except for the ratios related to 75% share of diverse teams and
Engagement score above industry benchmark.
4)
Due to improved data quality in our reporting methodology, the packaging data for 2022/23 and 2021/22 is not comparable with data previously reported.
5)
From the base year 2018/19.
6)
Target validated by the Science Based Targets initiative (SBTi)
7)
In parts per million.
8)
Figure for 2021/22 has been restated due to improved data quality.
9)
Due to the introduction of a new engagement survey, the engagement score for 2019/20 is not comparable with data previously reported.
HIGHLIGHTS
2023/24 outlook and guidance
12
Long-term financial
guidance
8-10%
Organic growth p.a.
above 30%
EBIT margin beyond 2024/25
(at constant exchange rates)
The long-term organic growth guidance
includes around 1%-point accretion
from Kerecis as of financial year
2024/25. For the remaining Strive25
strategic period running until end of
2024/25, the EBIT margin is expected
to remain below 30% and assumes
dilution of around 100 basis points p.a.
from Kerecis (including PPA
amortisation).
Key assumptions
Current macroeconomic and industry-
specific trends, including an ongoing
widespread anti-corruption campaign in
China, are continuously monitored and
their potential impact on our business is
evaluated on an ongoing basis. As such,
the financial guidance is subject to a
higher degree of uncertainty due to the
changing environment.
The addressable market in which
Coloplast operates is expected to
continue growing at 4-5%.
Revenue growth
Organic growth is expected around 8%
in constant currencies. The guidance
assumes growth across business areas
and regions to be largely in line with the
Strive25 ambitions, except for China.
a. Chronic Care:
• Improvement in growth in China,
however, China is not expected
to return to the Strive25
ambitions of double-digit growth,
due to continued impact from
average value per patient, which
remains below pre-COVID levels,
impacted by consumer
sentiment.
b. Advanced Wound Care is expected
to deliver growth above the market.
c. Interventional Urology is expected
to deliver high-single digit growth.
d. Voice and Respiratory Care is
expected to grow at 8-10%.
e. No current knowledge of significant
health care reforms; positive pricing
impact is expected. The expectation
of long-term price pressure of up to
1% annually is unchanged.
f. A stable supply and distribution of
products across the company.
Reported growth in DKK is expected to
be around 12% and assumes:
a. Contribution from the Kerecis
acquisition is expected around 4%-
points (11 months impact).
b. Limited negative impact from
currencies.
EBIT margin
The reported EBIT margin before
special items is expected at 27-28%,
and includes the following assumptions:
a. Input costs development:
• Raw materials – mid single-digit
price increase.
• Tailwind from total energy costs
of around DKK 100 million on
the gross margin.
• Tailwind from freight cost.
• Wages in Hungary – double-digit
increase, similar to 2022/23.
b. A one-off tailwind from the provision
related to the Italian pay-back.
reform of around 40 basis points on
the gross margin.
c. Prudent management of operating
costs, expected to grow below
reported revenue in DKK (excluding
acquired growth).
d. Incremental investments at the
lower end of the Strive25 guidance
(up to 2% of sales in incremental
OPEX investments).
e. Benefit from operational synergies
related to integration of Atos
Medical on Coloplast infrastructure.
f. Negative impact from Kerecis of
around 100 basis points, which
includes around DKK 100 million in
PPA amortisation.
g. Negative impact from currencies of
around 50 basis points.
Outlook and financial guidance
2023/24 outlook and guidance
Our guidance
for 2023/24
Around 8
%
Organic revenue growth at
constant exchange rates
27-28
%
Reported EBIT margin
(before special items)
Around 1.4 bn
Capital expenditure in DKK
Around 22
%
Effective tax rate
AT A GLANCE • 2022/23 IN BRIEF • CHAIRMAN/CEO’S LETTER • FIVE-YEAR HIGHLIGHTS AND RATIOS •
2023/24 OUTLOOK AND GUIDANCE
13
Special items of around DKK 50 million
in financial year 2023/24, related to the
integration of Atos Medical.
Capex includes investments in new
manufacturing site in Portugal, part of
Global Operations Plan 6, investments in
new machines for existing and new
products, IT and sustainability
investments, as well as Atos Medical
integration capex.
Effective tax rate and tax payments
The effective tax rate is expected to be
around 22%, positively impacted by the
transfer of Atos Medical Intellectual
Property (IP).
Following the IP transfer there will be an
extraordinary net tax payment of DKK
2.5 billion in Q2 2023/24. The payment
will be offset by reduced tax payments
the following years.
Dividend policy
The Board of Directors intends to
distribute excess liquidity to the
shareholders through dividends and
share buybacks, with a target payout
ratio of 60-80% of net profit.
Forward-looking
statements
The forward-looking statements in this
announcement, including revenue and
earnings guidance, do not constitute a
guarantee of future results and are
subject to risk, uncertainty and
assumptions, the consequences of
which are difficult to predict.
The forward-looking statements are
based on our current expectations,
estimates and assumptions and are
provided on the basis of information
available to us at the present time.
Major fluctuations in the exchange rates
of key currencies, significant changes in
the healthcare sector or major
developments in the global economy
may impact our ability to achieve the
defined long-term targets and meet our
guidance. This may impact our
company’s financial results.
Exchange rate exposure
Our financial guidance for the 2023/24
financial year has been prepared on the
basis of the following assumptions for
the company’s principal currencies:
Overview of exchange rates for key
currencies against DKK
GBP
USD
HUF
Average exchange
rate 2021/22
878
688
1.97
Average exchange
rate 2022/23
855
698
1.92
Change in average
exchange rates for
2022/23 versus
2021/22
-3%
1%
-3%
Spot rate on
7 November 2023
859
697
1.97
Change in spot
rates compared
with average
exchange rate
2022/23
0%
0%
3%
Revenue is particularly exposed to
developments in USD and GBP relative
to DKK. Fluctuations in HUF against
DKK impact the operating profit
because a substantial part of our
production, and thus of our costs, are in
Hungary, whereas our sales there are
moderate.
Effect over 12 months of a 10% initial
drop in exchange rates for key currencies
(DKK million)
Revenue
EBIT
USD
-710
-220
GBP
-350
-220
HUF
-
130
OUR BUSINESS
Mission and business model
14
Mission
Coloplast is a purpose-driven company.
Our mission is to make life easier for
people living with intimate healthcare
needs. This has been at the very core
since our company was founded more
than 65 years ago.
In 2022/23, we continued to help more
than two million people living with
intimate healthcare needs across 140
countries. We also welcomed more than
260,000 new users to our patient
support programme, Coloplast® Care.
Coloplast has been committed to raising
standards of care and leading the
categories we operate in for more than
six decades. We have done so through
product and service innovation, user
support, and partnering with healthcare
professionals.
Despite the decades-long innovation,
we continue to see unmet needs in the
market. We also see that the standard
of care in our chronic categories,
measured through product utilisation
per capita, remains low in most markets
outside of Northern Europe. Many
patients continue to be underserved,
with limited access to products and
services. And many do not have access
to the latest technologies.
We will continue to live our mission
through a strong commitment to raising
standards of care and ensuring more
users get proper access to the products
they need to live a better life.
OUR BUSINESS
Mission and business model
Mission and business model
MISSION AND BUSINESS MODEL • STRIVE25 STRATEGY
15
16
1)
For more information, please refer to the guidance section
Strive25 strategy
OUR BUSINESS
MISSION AND BUSINESS MODEL • STRIVE25 STRATEGY
17
18
OUR BUSINESS
Strive25 strategy
MISSION AND BUSINESS MODEL • STRIVE25 STRATEGY
19
20
Coloplast is the market leader in
continence care. At the core of our
success is innovation. Almost 25 years
ago, Coloplast introduced SpeediCath®,
an instantly ready-to-use hydrophilic
catheter, which transformed the
standard of care for people with urinary
retention and secured Coloplast’s
position as the market leader. Now, we
aim to set a new standard of care with
Luja, our latest launch in intermittent
catheters.
Within intermittent catheterisation,
preventing Urinary Tract Infections
(UTIs) remains one of the biggest unmet
needs. 45% of users consider UTIs to be
their greatest challenge and 47% of
users worry about whether they have
emptied their bladder. Users of
intermittent catheters have, on average,
2-3 UTIs per year.
To address key UTI risk factors related
to intermittent catheterisation, Coloplast
developed Luja, an intermittent catheter
with a novel Micro-hole Zone
Technology. The technology, which
features a drainage zone with more
than 80 micro holes, is designed to
directly tackle residual urine, which is
considered an important risk factor for
UTI development. In addition to the new
technology, Luja includes the benefits
from other Coloplast’s catheters – a
hydrophilic coating and a hygienic
sleeve.
Luja is the first product launch from our
Clinical Performance Programme,
initiated to address the biggest issues
users face, and is backed by a
comprehensive evidence programme,
including clinical data from two
randomised controlled studies.
Thomas Bøhne is 32 years old and lives
in Gießen, Germany. Thomas was born
with Spina Bifida and has been in a
wheelchair since he was a child. He
started playing wheelchair basketball
when he was 10 years old and today, he
is a professional athlete. Thomas is also
enrolled in a distance learning course in
sports management, which he aims to
work with after his sports career.
Thomas is a football fan and enjoys
watching football, spending time with
friends, and going out to restaurants.
Thomas is also an intermittent catheters
user. Self-catheterisation has given him
freedom and independence from an
early age.
Innovation: Setting a new standard in
intermittent catheterisation with Luja™
OUR BUSINESS
Strive25 strategy
The biggest concern is actually that you have to struggle with a bad
UTI. I always have this question, how do I ensure I get it (bladder) completely
empty that nothing is left, so I don’t somehow get UTIs or other problems.
The worry that my bladder is not completely empty is of course always there,
especially because I can't really feel whether there is still something in it or
whether it is really completely empty. Repositioning with a regular catheter is
not quite so easy. With a conventional catheter, it is sometimes difficult for me
to readjust it by pushing it in and out again. It takes me a little longer to go to
the toilet when I have to reposition the catheter. When I am in a hurry, I don’t
have the time to check whether everything is really out by pulling it in and out
three or four times.
I was curious to try out Luja, just to see if it was better than my current
catheter. The big difference was that when I used it, I realised I don’t have to
check whether there’s still urine left behind in my bladder. With Luja,
everything was just out in one flow. I didn’t have to readjust the catheter in
any way. I don’t have to check a couple of times to see if everything is really
out. With Luja, I am confident that my bladder is completely empty, I don’t
need to worry about that anymore. I would definitely want to continue using
Luja.’’
Thomas Bøhne, an intermittent catheter user
Case study
MISSION AND BUSINESS MODEL • STRIVE25 STRATEGY
21
With the acquisition of Kerecis in 2023,
Coloplast obtains a long-term growth
business with strong profitability
expansion potential, well-positioned for
long-term value creation. Kerecis is the
only FDA-approved manufacturer of
fish-skin technology for wound
treatment, which has already been used
to treat tens of thousands of patients
and is used across hundreds of hospitals
in the US. Since the launch of its
patented technology in 2016 in the US-
centric biologics wound care segment,
Kerecis has become the fastest growing
company in the segment, reaching a
number five position and a market share
of around 5%.
Coloplast and Kerecis are a strong fit
with complementary geographical
footprint and portfolios. Both companies
are on a mission to help many more
patients through innovative
technologies, and both have strong
focus on sustainability. With Kerecis,
Coloplast expands its footprint in the US.
And with its global reach and industry-
leading infrastructure, Coloplast can
support Kerecis’ mission to reach
patients outside of the US.
Behind the strong performance and
attractive business case is an innovative
technology with a waste-to-value
proposition produced using cod fish skin,
a by-product of Icelandic fisheries.
The story of Kerecis started in 2009 in
Isafjordur, a fishing town in the North-
West of Iceland when Kerecis’ founder,
Fertram Sigurjonsson, realised that cod
fish skin can be used for treatment of
wounds and human tissue trauma.
The structure and the properties of cod
fish skin are very similar to human skin.
And, as there is no known viral disease
transmission risk from cold water fish to
human, the fish skin can be gently
processed. This preserves the natural
structure and components of the fish
skin, resulting in improved wound
healing which is supported by
compelling clinical evidence with more
than 40 publications, including several
randomised controlled clinical trials.
The fish-skin portfolio is produced in the
Westfjords, an area in the Arctic known
for its commitment to environmental
protection. The fish skin used in Kerecis’
products is derived from wild, locally
harvested and certified sustainable fish
stock. The manufacturing process uses
exclusively renewable energy.
Kerecis is a good example of how
circular solutions can create significant
value for all stakeholders, while
minimising the impact on our
environment. To better engage in the
broader conversation on sustainability,
Kerecis supports groups such as the
Arctic Circle, the Ocean Cluster, and
Festa, Iceland’s leading corporate social
responsibility organisation.
Kerecis is included in the reporting
under Advanced Wound Care. For more
information please refer to pages 33-36.
Kerecis: Improving wound treatment
through a waste-to-value proposition
Early on in my career, I
worked in the prosthetics
industry, where I was surprised
to learn that the overwhelming
part of the prosthetic users were
people that had been
amputated because of a chronic
wound. I became very interested
in the problem of difficult-to-
heal wounds and possible
solutions.
As a boy, I spent a lot of time in
the fishing town Isafjordur
having summer jobs where I
handled fish and fish skin. Fast
forward to my career in the
medical device industry, from
time to time I got to handle
freshly excised human skin - the
feeling of having the skin in your
hands, its elasticity, reminded
me of cod skin. Seeing the
Kerecis products used on
patients, seeing hope emerging
on people’s faces after they
have struggled with wounds for
some time, it is very rewarding. I
see the same passion to help
people at Coloplast, and I am
excited to continue reaching
more patients together.’’
Fertram Sigurjonsson, founder of
Kerecis
Case study
Isafjordur, Iceland
22
Underlying conditions and users
A stoma is a surgically created opening
in which a part of the digestive or
urinary system is redirected to the
abdominal wall, allowing waste to be
removed from the body through the
abdomen. A stoma is created in the
case of bowel or bladder dysfunction
due to a disease, accident, or congenital
disorder. People with a stoma use an
ostomy bag, which adheres to the
peristomal skin and collects the output
from the stoma. Supporting products
are used in combination with an ostomy
bag to secure the fit, as well as care for
the peristomal skin.
A stoma surgery can be performed on
the colon (colostomy), small intestine
(ileostomy), or urinary bladder
(urostomy). An estimated half of the
procedures are colostomies, typically
caused by cancer, around a third are
ileostomies, typically caused by
inflammatory bowel diseases, and the
remaining procedures are urostomies,
caused by bladder cancer.
An ostomy surgery can be permanent,
resulting in a life-long usage of ostomy
bags, or temporary, resulting in product
usage for only a limited period. The
majority of surgeries are permanent,
however, over the past decade, medical
advances have led to an increase in the
incidence of temporary stomas.
Globally, between 2 and 3 million people
live with a stoma, of which around
three-quarters are in the developed
markets. Each year, up to around
300,000 stoma surgeries are performed
in the developed markets and China.
Ostomy Care products
The idea for the world’s first adhesive
ostomy bag was conceived by a nurse,
Elise Sørensen, in the 1950s. Based on
Elise’s idea, Aage Louis-Hansen, a civil
engineer and plastics manufacturer, and
his wife Johanne Louis-Hansen, a trained
nurse, created the first adhesive ostomy
bag. This marked the foundation of
Coloplast.
Ostomy bags consist of an adhesive
base plate which is connected to a bag
and can be either 1-piece (when the
adhesive base plate is bonded together
with the bag) or 2-piece (consisting of
two separate parts in which the bag is
replaced more often than the base
plate). It is important for users to avoid
leakage and skin irritation, so they can
live a normal life. Therefore, the
adhesive must ensure a good fit to the
user’s body, enabling a constant and
secure seal that prevents leakage, and it
must also be easy to remove without
causing damage or irritation to the skin.
Since the creation of the first ostomy
bag, Coloplast has continued to evolve
the ostomy care offering around the
central idea of creating a personalised
fit to match the needs of the individual
user through innovation. Coloplast’s
ostomy care portfolio spans the full
range from bags and baseplates to
supporting products. The approach has
been to launch a new product range
every 8-10 years. Today, the portfolio
consists of the brands Alterna®,
Assura®, SenSura®, SenSura® Mio, and
the Brava® range of supporting
products.
The commitment to innovation and
bringing differentiated technologies to
the market are at the core of Coloplast’s
market leadership position in ostomy
care and a key driver of the strong
growth trajectory in the segment for
more than six decades.
A chronic category
The Ostomy Care business is referred to
as Chronic Care, which is characterised
by treatment of a chronic condition,
solid reimbursement, and stable inflow
of loyal users.
In most cases, people use the products
for an average of around 10 years to
manage their chronic condition.
More than 90% of product sales in
Ostomy Care are covered by
reimbursement. One exception is China,
where product usage outside of the
hospitals is largely out of pocket.
Finally, more than 90% of the sales are
made in the community, after users
have been discharged from a hospital or
clinic. Users tend to be very loyal to the
products they are introduced to during
their hospital stay, and in most cases,
they continue to use the same products
after discharge. Therefore, the choice of
product and sales through a hospital or
clinical setting is essential for Coloplast,
and so is the personalised support
provided through our patient support
programme, Coloplast® Care.
Consumer focus
For around a decade, Coloplast has
been investing in building stronger ties
with end users and has embarked on a
journey of becoming a consumer
healthcare company.
The Coloplast Care programme
supports people living with a stoma
across more than 30 markets. Coloplast
also sells products directly to users in
more than 10 markets, ensuring ostomy
users have access to the most
innovative products, coupled with a high
level of service.
Ostomy Care description
BUSINESS AREA
Ostomy Care
OSTOMY CARE • CONTINENCE CARE • VOICE AND RESPIRATORY CARE • ADVANCED WOUND CARE • INTERVENTIONAL UROLOGY
23
Strive25: Sustaining
growth leadership
Coloplast’s ambition for the Ostomy
Care business is to continue to deliver
strong growth above the market.
As a market leader, we are fully
committed to leading and improving
standards of care through differentiated
technologies and a superior product
offering, support and services for our
users, and training and education for
healthcare professionals.
It all starts with innovation which is our
first priority. With our broad product
offering covering bags, baseplates, and
supporting products, we aim to provide
users with a personalised fit. We will
continue to bring differentiated
technologies to the market through our
Clinical Performance Programme and
product launches in existing categories.
Heylo™, the world’s first ostomy digital
leakage platform, and new line
extensions of the SenSura® Mio portfolio
are expected to be launched in the
second half of the strategic period.
One of Coloplast’s biggest opportunities
in Ostomy Care is the US market, where
we have a market share between 15-
20%. The strategy is to win across the
patient pathway in the US. With access
to around 75% of the acute channel,
through the two biggest Group
Purchasing Organisations (GPOs),
Vizient and Premier, we are well
positioned to execute on the strategy.
Another priority is building on our
market leading position in China, where
we aim to continue to grow above the
market. Beyond the impact from
COVID-19 and weakened consumer
sentiment, China is expected to
constitute a significant share of our
global Ostomy Care growth. To
maintain above market growth, we will
continue to drive value upgrade and
expand the consumer business with
China-specific digital solutions. To
ensure broad coverage of the market,
we will also continue to cater for
different abilities to pay by offering
products across price tiers.
In Emerging Markets beyond China, we
focus on a number of large core
markets, where we aim to improve the
standard of care and build out our e-
commerce business. Market access is
key to establishing our categories in
new markets and to improving funding
in existing markets. The ambition for
Emerging Markets is to deliver
consistent double-digit growth.
In Europe, we aim to sustain our
leadership position and to continue to
grow above the market. We will achieve
this by leveraging our innovation, as well
as our services and direct businesses.
We still see many pockets of growth in
Europe. The UK, where our market
share is below the European average, is
the most prominent example.
Across markets, we continue to
leverage our, Coloplast® Care
programme, as well as our direct
businesses and digital solutions, to
provide support and services to users
once they are released from the
hospital. We also continue to leverage
our Coloplast® Professional online
platform to provide training and tools to
healthcare professionals and support
them in developing their clinical
expertise within intimate healthcare.
Key strategic
highlights 2022/23
During the year, Coloplast made
significant progress on Heylo. The
results of the first pivotal clinical study,
published in August 2023, showed that
using Heylo significantly improved
Quality of Life (QoL) and reduced the
burden of living with an intestinal
ostomy, compared to the Standard of
Care. The positive effect of Heylo on
QoL was further supported by a
significant, 31% reduction in leakage
incidents outside the baseplate.
Reimbursement negotiations in
Germany and the UK are ongoing, and
the product is now expected to be
launched in the first half of 2024.
The US Ostomy Care business
continued its market share gains, on the
back of the GPO wins and sales force
expansion in the first half of the Strive25
period. Vizient, the largest GPO in the
US, extended Coloplast’s contract until
end of June 2026. In April, the second
largest GPO, Premier Inc., renewed
Coloplast’s contract for another three
years until end of April 2026.
SenSura Mio, only brand on the market
that provides a flat, convex, and
concave solution to users.
Ostomy Care strategy
OUR BUSINESS
Ostomy Care
24
Market description
In 2022/23, the global market for
ostomy care products was worth an
estimated DKK 22-23 billion. The bags
and plates category accounted for
around 85% of the market, with the
remaining around 15% in the supporting
products category.
The market size is primarily impacted by
the prevalence of colorectal and
bladder cancer and inflammatory bowel
diseases. Another significant driver is the
availability of reimbursement for ostomy
products across different geographies.
The ostomy market is a chronic market,
with the majority of product usage
happening in the community setting, i.e.,
after users have been discharged from a
hospital.
Market growth
The annual market growth is estimated
at 4-5%.
Market volume growth is driven by the
ageing global population, increase in
cancer screenings, and improved access
to healthcare in emerging markets.
Another volume growth driver is
compliance and usage rates across
markets. The increase in the incidence
of temporary stomas over the past
decade has had a negative impact on
volume growth.
Price and mix also have an impact on
market growth. As markets mature,
there is an increased demand for more
advanced product categories, as well as
an increased usage of supporting
products. Historically, healthcare
reforms have led to a negative price
pressure, but no significant healthcare
reforms were implemented during
2022/23.
Market volume growth in 2022/23 was
negatively impacted by China, where
the COVID-19 restrictions continued to
impact procedural volumes and led to a
lower inflow of new patients in the first
half of 2022/23. Inflow of new patients
was largely normalised to pre-COVID
levels in the second half of 2022/23,
following the lifting of the restrictions.
The Chinese market also continued to
be impacted by lower average value per
patient in 2022/23, as a result of
continued economic uncertainty which
has negatively impacted consumer
sentiment. The long-term growth
outlook of the Chinese market remains
intact.
Market shares
Coloplast is the global market leader,
with a market share of 35-40% in the
ostomy care market.
In addition to Coloplast, there are two
larger global manufacturers in the
ostomy market as well as a few local
manufacturers, especially in the UK and
China.
Regional market shares
40-50%
Share of European markets
15-25%
Share of Other developed markets
45-55%
Share of Emerging markets
Supporting products market
The market for ostomy supporting
products is estimated at around DKK 4
billion, with an estimated annual
segment growth of 6-8%.
Coloplast has a market leading position
within this segment, with a market share
of 35-40%.
Ostomy care market
22-23 bn
Market size
globally in DKK
4
%
-5
%
Market growth
annually
35
%
-40
%
Market share
globally
#1
Market position
globally
European markets
Other developed markets
Emerging markets
Source: Coloplast
Global market
by region
OSTOMY CARE • CONTINENCE CARE • VOICE AND RESPIRATORY CARE • ADVANCED WOUND CARE • INTERVENTIONAL UROLOGY
25
Ostomy Care generated 8% organic
sales growth for the year, with reported
revenue in DKK growing by 5% to DKK
9,024 million.
The SenSura® Mio portfolio was the
main contributor to growth, with solid
performance across the product range
which includes Convex, Concave and
Flat products. The Brava® range of
supporting products also made a solid
contribution to growth. At the product
level, SenSura Mio Convex was the main
growth contributor driven by Europe, in
particular the UK and Germany, as well
as the US. The SenSura and
Assura/Alterna® portfolios continued to
contribute to growth in the Emerging
markets, where they are being actively
promoted, most notably LATAM.
Growth in the Brava range of
supporting products was driven by the
US and Europe, in particular Germany,
and broad-based contribution from
Emerging markets.
From a geographical perspective, all
regions contributed to growth. In
Europe, growth was driven by solid
contributions from key market, such as
the UK and Germany. The US had
another solid year with continued
market share gains and double-digit
growth. Growth in Emerging markets
was broad-based, led by LATAM.
China delivered low single-digit growth
for the year, negatively impacted by
COVID-19 and consumer sentiment, as
expected. Despite this, Coloplast
maintains its strong leadership position
in the ostomy care market. Sales
returned to double-digit growth in the
second half of 2022/23, following a
normalisation in inflow of new patients
to pre-COVID levels, while the average
value per patient remains below pre-
COVID levels, impacted by consumer
sentiment.
Ostomy care performance
9.0 bn
Reported revenue
in DKK for 2022/23
8
%
Organic growth
at constant
exchange rates
5
%
Reported growth
in DKK
Reported revenue included a
positive effect from FX rates.
European markets
Other developed markets
Emerging markets
56%
18%
26%
22/23
geographical
revenue split
OUR BUSINESS
26
Underlying conditions and users
Within Continence Care, Coloplast helps
people that have two types of bladder
control issues: urinary retention and
urinary incontinence.
People suffering from urinary retention
are unable to empty their bladder. To
manage urinary retention, people can
use an intermittent catheter, which is
inserted through the urethra of the
urinary tract and empties the bladder.
One of the main groups of users of
intermittent catheters are people with a
spinal cord injury. Other user groups are
people with multiple sclerosis, people
with congenital spina bifida, and men
with benign prostatic hyperplasia.
Globally, around 6 million people live
with urinary retention. Only 4 out of 10
are discharged with an intermittent
catheter, and an estimated half of them
will drop out in the first five years due to
physical and mental barriers. Thus, a
significant number of people with
urinary retention are left with
suboptimal solutions, compromising
bladder health and quality of life.
Urinary incontinence is an inability to
hold urine which results in an
uncontrolled or involuntary release. The
condition disproportionality affects older
people, because the sphincter muscle
and the pelvic muscles gradually
weaken as people grow older.
Within Continence Care, Coloplast also
helps people that have lost the ability to
control bowel movements and suffer
from bowel incontinence or
constipation. An example of a typical
user is a person with a spinal cord injury.
Continence Care products
With the launch of the first of its kind,
instantly ready-to-use hydrophilic
coated catheter SpeediCath® in 1999,
Coloplast, transformed the standard of
care for people in need of intermittent
catheterisation and secured its market
leading position.
Coloplast’s portfolio of intermittent
catheters consists mostly of hydrophilic,
ready-to-use catheters. The portfolio
also includes uncoated catheters, the
usage of which today is mostly limited to
the US.
The portfolio consists of the brands
SelfCath®, SpeediCath, and the latest
launch Luja™. The SpeediCath range of
catheters consists of male and female
products, and covers standard,
compact, and flexible catheters, as well
as set solutions. The latest launch, Luja,
is also a hydrophilic intermittent
catheter with a Micro-hole Zone
Technology.
Innovation and bringing differentiated
technologies to the market are at the
core of Coloplast’s market leadership
position in continence care and a key
driver of the strong growth trajectory in
the segment for more than three
decades.
Within Collecting Devices, Coloplast
offers a wide range of urine bags and
urisheaths for capturing and storing
urine, under the Conveen® brand.
In Bowel Care, Coloplast offers the
Peristeen® anal irrigation system for
controlled emptying of the bowels.
A chronic category
Similar to the ostomy care business, the
continence care business is also referred
to as Chronic Care, which is
characterised by treatment of a chronic
condition, solid reimbursement, and
stable inflow of loyal users.
People use the products up to 30 years
to manage their chronic condition.
More than 90% of product sales in
continence care are covered by
reimbursement.
Finally, more than 90% of the sales are
made in the community, after users
have been discharged from a hospital or
clinic. Users tend to be very loyal to the
products they are introduced to during
their hospital stay, and in most cases,
they continue to use the same products
after discharge. Therefore, the choice of
product and sales through a hospital or
clinical setting is essential for Coloplast,
and so is the personalised support
provided through our patient support
programme, Coloplast® Care.
Consumer focus
For around a decade, Coloplast has
been investing in building stronger ties
with end users and has embarked on a
journey of becoming a consumer
healthcare company.
The Coloplast Care programme
supports people living with a stoma
across more than 30 markets. Coloplast
also sells products directly to users in
more than 10 markets, ensuring
continence care users have access to
the most innovative products, coupled
with a high level of service.
Continence Care description
Continence Care
OSTOMY CARE • CONTINENCE CARE • VOICE AND RESPIRATORY CARE • ADVANCED WOUND CARE • INTERVENTIONAL UROLOGY
27
Strive25: Sustaining
growth leadership
Coloplast’s ambition for the Continence
Care business is to continue to deliver
strong growth above the market.
As a market leader, we are fully
committed to leading and improving
standards of care through differentiated
technologies and a superior product
offering, support and services for users,
and training and education for
healthcare professionals.
Like Ostomy Care, the first priority is
innovation and bringing clinically
differentiated products to the market.
An example of this is our new
intermittent catheter platform, Luja™,
with a new technology designed to
reduce the risk of urinary tract
infections.
One of the key opportunities in
Continence Care is the US, where we
have a market share of around 30%.
The strategy in the US is to upgrade the
market to hydrophilic, ready-to-use
intermittent catheters, and we do this
through product innovation and
partnership with healthcare
professionals to enable better patient
outcomes. We will also utilise our direct-
to-consumer setup in the US with
Comfort Medical to provide superior
support and service for our users.
In Europe, we aim to sustain our
leadership position and to continue to
grow above the market. We will achieve
this by leveraging our innovation and
services, as well as our direct
businesses. We will also continue with
market development initiatives, aimed
at treatment penetration and
compliance. We still see many pockets
of growth in Europe. Germany, where
our market share is below the European
average, is the most prominent
example.
In Emerging Markets, we focus on
establishing our categories in new
markets and improving funding in
existing markets. Today, across most
Emerging Markets, the level of
penetration of intermittent catheters,
and especially hydrophilic catheters, is
very low, due to a lack of clinical
awareness and a lack of
reimbursement. Market access work on
improving clinical standards and
securing reimbursement is key to driving
growth. The ambition for Emerging
Markets is to deliver double-digit
growth.
Across markets, we continue to
leverage our Coloplast® Care
programme, as well as our direct
businesses and digital solutions, to
provide support and services to users
once they are released from the
hospital. We also continue to leverage
our Coloplast® Professional online
platform to provide training and tools to
healthcare professionals and support
them in developing their clinical
expertise within intimate healthcare.
Key strategic
highlights 2022/23
In 2023, Coloplast initiated the launch of
the new intermittent catheter platform,
Luja. The male version of the product is
now available in six markets. In the US,
Luja received a 510(k) clearance from
the FDA and in the UK, Luja was
awarded reimbursement by the UK
Drug Tariff. Commercial launch in the
UK and the US, as well as other key
markets, is expected in the first half of
2023/24. The female version of the
product is expected to be launched in
the second half of the Strive25 strategic
period.
The product launch is supported by two
clinical studies, presented in 2023, which
showed significant improvement in
bladder emptying with the Micro-hole
Zone Technology, compared to
conventional eyelet catheters. More
specifically, the studies showed that
catheterisation with Luja results in full
bladder emptying in an uninterrupted
free flow, with no need to reposition the
catheter, addressing important risk
factors for urinary tract infections.
Luja™, a new male catheter with a
unique Micro-hole Zone Technology.
Continence Care strategy
OUR BUSINESS
Continence Care
28
Market description
In 2022/23, the global market for
continence care products was worth an
estimated DKK 17-18 billion.
The intermittent catheters category
accounted for around 75% of the
continence market, the collecting
devices category accounted for around
20% of the market, and bowel care
accounted for the remaining around 5%
of the market.
The market size is primarily influenced
by the number of people suffering from
spinal cord injuries, multiple sclerosis,
benign prostatic hyperplasia, and people
born with congenital spina bifida.
Another driver is the availability of
reimbursement for continence care
products across markets. The
continence market is a chronic market,
and the majority of product usage
happens in the community setting, i.e.,
after users have been discharged from
the hospital.
Market growth
The annual market growth is estimated
at 5-6%.
Intermittent catheters account for
majority of the growth in the segment,
growing at a mid-single digit rate.
Growth in the intermittent catheters
segment is driven by increased
treatment penetration of intermittent
catheters as an alternative to
permanent or indwelling catheters. The
underlying volume growth is driven by
the number of spinal cord injured
patients, the ageing global population,
and increasing access to healthcare in
emerging markets. Another volume
growth driver is compliance and usage
rates across developed markets.
Price and mix also have an impact on
market growth. As markets mature,
there is an increased demand for more
advanced product categories.
Historically, healthcare reforms have led
to negative price pressure, but no
significant healthcare reforms were
implemented during 2022/23.
The bowel care segment is the fastest
growing segment in the continence care
market with a high-single digit growth
rate.
The collecting devices segment grew at
a low-single digit rate. The segment is
characterised by many suppliers,
including low-cost providers.
Market shares
Coloplast is the global market leader in
continence care, with a market share of
40-45%. The continence care market is
characterised by four larger global
manufacturers, including Coloplast.
There are also several local and low-
priced manufacturers.
Regional market shares
45-55%
Share of European markets
25-35%
Share of Other developed markets
40-50%
Share of Emerging markets
Continence care market
17-18 bn
Market size
globally in DKK
5
%
-6
%
Market growth
annually
40
%
-45
%
Market share
globally
#1
Market position
globally
European markets
Other developed markets
Emerging markets
Source: Coloplast
Global market
by region
OSTOMY CARE • CONTINENCE CARE • VOICE AND RESPIRATORY CARE • ADVANCED WOUND CARE • INTERVENTIONAL UROLOGY
29
Continence Care generated 7% organic
sales growth for the year, with reported
revenue in DKK growing by 4% to DKK
7,958 million.
The SpeediCath® ready-to-use
hydrophilic intermittent catheters were
the main drivers of revenue growth.
Sales growth in the SpeediCath portfolio
was broad-based across standard,
compact, and flexible catheters, and
driven by the US and Europe, in
particular France and the UK.
SpeediCath Flex Set, a flexible
hydrophilic catheter with a new
integrated sterile bag, has been
launched in nine markets and continues
to perform well. SpeediCath Navi, a
hydrophilic catheter specifically
designed for emerging markets and
lower priced developed markets, also
contributed nicely to growth.
Bowel Care made a solid contribution to
growth, driven by Peristeen® Plus in
Europe and the US.
Collecting Devices delivered flat growth
for the year as sales were negatively
impacted by backorders on Conveen®
urisheaths in the first half of 2022/23.
From a geographical perspective,
growth was driven by the US and
Europe, in particular the UK.
The Emerging markets region also
contributed to growth, led by LATAM.
Markets with recent reimbursement
openings, such as Poland, Australia,
Japan, and South Korea, continued to
perform well and posted double-digit
growth
Continence care performance
8.0 bn
Reported revenue
in DKK for 2022/23
7
%
Organic growth
at constant
exchange rates
4
%
Reported growth
in DKK
Reported revenue included a
positive effect from FX rates.
European markets
Other developed markets
Emerging markets
64%
26%
10%
22/23
geographical
revenue split
OUR BUSINESS
30
Voice and Respiratory Care is the
business area added through the
acquisition of Atos Medical, completed
in January 2022. The business is
expected to grow between 8-10% p.a.,
with an EBITDA margin in the mid-30s.
The laryngectomy segment accounts
for two-thirds of the sales, with the
remaining one-third coming from
tracheostomy. Laryngectomy is
expected to grow at a high-single to low
double-digit rate, while tracheostomy
growth is expected to be mid- to high-
single digit. More than half of the sales in
laryngectomy are directly to consumers.
Laryngectomy description
There are around 50,000 new total
laryngectomies performed per year. A
total laryngectomy is a procedure in
which the larynx (voice box) is removed.
The procedure is non-elective and
irreversible. With the removal, the
patient loses the ability to produce voice
and depends on a Voice Prosthesis (VP)
to speak. The procedure also leads to a
loss of the upper airways function. The
patient is required to breathe through a
stoma in the throat and relies on Heat-
and Moisture Exchangers (HMEs) for
humidification and filtration of the air.
Patients need to manage a chronic
condition and use the products for an
average of 8-10 years. After surgery, a
VP is inserted by a healthcare
professional. The patients apply the
HMEs themselves daily, with an
adhesive to keep the HMEs in place. The
recommended change frequency is 3-4
VPs per year, 2-3 HMEs per day and 1-
2 adhesives per day.
Strategic focus: Eliminate white space
In laryngectomy, our strategy revolves
around addressing the large unserved
patient population in existing and new
markets. We refer to this as a ‘white
space’ opportunity. Coloplast is seeking
to eliminate the white space by
increasing treatment penetration and
compliance in existing markets, while
opening and developing new markets.
To ensure better user experience and
compliance with the recommended
change frequency, a new product
portfolio, Provox® Life, has been
introduced in 16 markets, providing
products for situational use. The direct-
to-consumer model is also utilised to
improve user compliance.
To increase penetration in existing
markets, we strive to set the clinical
standards and drive market access. In
2023, the results of a new clinical study
were presented, demonstrating
significant improvement in pulmonary
health and related symptoms when
using Provox Life. This is part of a
growing body of evidence which shows
that the Provox Life HMEs lead to
improved clinical outcomes.
Outside of the existing markets, we are
working on obtaining reimbursement in
new markets, with recent successes in
South Korea, Brazil, Japan, and Poland.
A key opportunity is China, where
around a fifth of the global new
procedures take place. Today, there are
no products in China, and the treatment
standard is not established. Coloplast is
working on building the market, and as
a first step towards establishing the
standard of care the full product
portfolio was registered in 2023.
Tracheostomy description
A tracheostomy is a procedure in which
an opening is created in the throat to
facilitate breathing. A tracheostomy is
an invasive, last in line treatment to aid
patients in breathing. Patients
undergoing a tracheostomy surgery
suffer from a variety of underlying
conditions, including head and neck
cancer, lung infections, or trauma.
Patients get a cannula inserted by a
healthcare professional and may apply
HMEs themselves. While HMEs are
important for pulmonary health, HME
use is less prevalent compared to
people living with a laryngectomy.
In contrast to a total laryngectomy, a
tracheostomy procedure is reversable,
and the patient pool consists of a mix of
temporary and chronic patients. There
are around 1 million procedures
performed per year, and on average,
one in three patients use tracheostomy
products for more than six months. A
small segment of the patients will be
chronic, with a product usage of a
couple of years.
Strategic focus: Build the business
In tracheostomy, our strategy focuses
on establishing a chronic segment.
Tracheostomy today is mostly a hospital
business, and chronic patients living with
a tracheostomy are mostly unserved.
To address the chronic segment, we are
developing a new tracheostomy specific
model. The focus is to develop a new
go-to-market model with community
and direct-to-consumer focus and to
adapt our product offering and services
to the needs of tracheostomy patients.
Provox® Life HMEs
Voice and Respiratory Care
Voice and Respiratory Care
OSTOMY CARE • CONTINENCE CARE • VOICE AND RESPIRATORY CARE • ADVANCED WOUND CARE • INTERVENTIONAL UROLOGY
31
Laryngectomy Market description
In 2022/23, the global laryngectomy
market was worth an estimated DKK 1-
1.5 billion.
A total laryngectomy is the preferred
treatment for advanced laryngeal and
hypopharyngeal cancer. The market
size is primarily impacted by the
prevalence of these two cancer types,
driven by a growing ageing population,
and impacted by smoking and alcohol
consumption. Another significant driver
is the availability of reimbursement for
laryngectomy products across different
geographies.
Laryngectomy is a chronic market, with
most of the product usage happening in
the community setting, i.e., after users
have been discharged from the hospital.
Laryngectomy Market growth
The annual market growth is estimated
at 8-10%.
Market growth in laryngectomy is driven
by underlying growth in the number of
procedures, treatment penetration, and
increase in compliance and product
consumption in existing markets.
The market penetration in the
laryngectomy segment today is low,
with a large unserved patient population
in both existing and new markets. The
low market penetration is due to a lack
of clinical standards in existing markets,
low treatment compliance, and a lack of
reimbursement in emerging markets.
In the existing markets today, mostly
Europe and the US, a large unserved
patient population remains, despite the
availability of solid reimbursement. In
Northern Europe, which is the most
developed region, treatment
penetration is high and almost all
patients with a total laryngectomy use
products to manage their chronic
condition. In Southern Europe, despite
existing reimbursement, it is estimated
that only around 50% of the existing
patients use the relevant products.
Treatment penetration in the US drops
further, to around 40%. Finally, outside
of Europe and the US, both product
coverage and usage are very limited.
Price and mix also drive market growth.
In existing markets, users typically
choose to upgraded to the more
advanced Provox® Life product
portfolio, which is also priced at a
premium compared to the older
generation of products.
Laryngectomy Market shares
Coloplast is the global market leader in
laryngectomy with a market share of
around 85%.
In addition to Coloplast, there are two
competitors, with mostly local presence,
in the UK, US, and Germany. Outside
these markets, competition is limited.
Regional market shares
80%-90%
Share of European markets
80%-90%
Share of Other developed markets
95%-100%
Share of Emerging markets
Tracheostomy market
In 2022/23, the global tracheostomy
market was worth an estimated DKK4-6
billion. The annual market growth is
estimated at 5-6%.
Coloplast has a global market share of
around 10% in the tracheostomy
market.
Voice and respiratory care market Voice and respiratory care market
1-1.5 bn
Market size*
globally in DKK
8
%
-10
%
Market growth
annually
~85
%
Market share
globally
#1
Market position
globally
European markets
Other developed markets
Emerging markets
* Market data for Laryngectomy only
Source: Coloplast
Global market
by region
OUR BUSINESS
32
Voice and Respiratory Care delivered
reported revenue of DKK 1,939 million
for the year. The Voice and Respiratory
Care acquired growth contribution to
Group reported growth was 3%-points
(four months impact), with high-single
digit underlying growth.
The organic growth for the period since
February 1, 2023 was 10%, with solid
contribution from both Laryngectomy
and Tracheostomy.
Laryngectomy delivered high single-digit
organic growth. Growth was driven by
an increase in patients served in existing
and new markets and an increase in
patient value driven by the Provox®
Life™ portfolio, Atos Medical’s new
personalised solution and product line
which has been launched in 16 markets.
The Provox Life portfolio is designed to
optimise patient’s breathing ability under
different circumstances, further enabling
24/7 use of Heat and Moisture
Exchangers (HMEs) for improved
pulmonary health.
Tracheostomy and ENT (Ear, Nose and
Throat) posted double-digit organic
growth, driven by solid demand and
positive impact from forward integration
in key European markets and the US.
From a geographical perspective, all
regions contributed to growth, led by
the biggest region Europe.
The US also delivered a solid
contribution to growth, while the fastest
growing region was Emerging markets.
During the year, we made solid progress
on integrating Voice and Respiratory
Care into Coloplast’s infrastructure, with
integration of the IT infrastructure
finalised in May 2023. In addition, a
number of Coloplast’s and Atos
Medical’s subsidiaries were merged into
one legal entity during the year.
Voice and respiratory performance
Voice and Respiratory Care
1.9 bn
Reported revenue
in DKK for 2022/23
7
%*
Organic growth
at constant
exchange rates
3
%
Acquired growth
impact
Reported revenue included a
positive effect from FX rates.
European markets
Other developed markets
Emerging markets
* Eight months impact
75%
22%
3%
22/23
geographical
revenue split
OSTOMY CARE • CONTINENCE CARE • VOICE AND RESPIRATORY CARE • ADVANCED WOUND CARE • INTERVENTIONAL UROLOGY
33
The advanced wound care business
includes four segments where Coloplast
competes: advanced dressings, skin
care, contract manufacturing, and our
most recent addition, biologics, which
was added through the acquisition of
Kerecis in 2023.
Advanced dressings
The advanced dressings wound care
segment consists of products for
exudate management. The dressings
are used to treat mostly patients with
chronic wounds such as diabetic foot
ulcers, venous leg ulcers, and pressure
ulcers, as well as other wound types
such as surgical and burn wounds.
A well-managed moist wound
environment provides the best
conditions for optimal wound healing.
Most chronic wounds contain exudate in
varying amounts. A good dressing
removes excess exudate while
maintaining a moist healing
environment, protects the peri-wound
skin, is easy for clinicians to change, and
ensures that patients are not
inconvenienced by liquid or odours.
Coloplast entered the wound care
market in 1982, with the launch of
Comfeel®, a hydrocolloid dressing and a
derivative of the adhesive baseplates
produced within ostomy care. Today,
the portfolio consists of the brands
Biatain® Silicone, an advanced foam
dressing with a 3DFit Technology,
Biatain®, and Comfeel. Coloplast is also
present in the gelling fibres segment
with the Biatain® Fiber product range.
Biatain Silicone
Strive25: Focused
category leadership
Coloplast aims to deliver growth above
the market and improve profitability in
our advanced dressings business.
We will continue to focus on the fast-
growing silicone category with our
Biatain Silicone portfolio with 3DFit
Technology, which is our point of
differentiation, as well as the gelling
fibres category, in which we launched
Biatain Fiber during 2020/21.
As with Chronic Care, two individual
markets really matter – China and the
US, where we will structure for success
to deliver on the global ambition.
In China, we aim to scale our business
by strengthening our commercial
foundation and building a stronger
position in the silicone market. In
Emerging Markets outside of China, we
will selectively invest in key markets to
accelerate growth.
In the US, we will scale our business in
the hospital channel with 3DFit
Technology. We also aim to strenghten
our product offering with US-specific
solutions, and in 2023/24 we will launch
a dedicated Pressure Injury Prevention
portfolio.
In Europe, we aim to take market
leadership positions as we continue to
build on the momentum created with
the 3DFit Technology and Biatain Fiber.
Key strategic
highlights 2022/23
The Biatain Silicone portfolio continues
to be the key growth driver, enabling
above market growth. Coloplast is the
third largest player in the silicone foams
market in Europe.
Our two key focus markets, China and
the US, returned to solid contribution,
following the negative impact from
COVID-19 last year.
In the US, we created a new, dedicated
organisational setup, to prepare the
organisation for the upcoming launch of
the Pressure Injury Prevention portfolio.
Skin Care
In Skin Care, patients are treated for
skin damage associated with moisture,
incontinence, skin folds, and obesity, as
well as prevention of skin impairments.
Coloplast’s skin care products consist of
disinfectant liquids or creams used to
protect and treat the skin and clean
wounds. For the treatment and
prevention of skin fold problems such as
fungal infections, damaged skin, or
odour nuisance, Coloplast markets
InterDry®. Skin care products are mostly
sold in hospitals in the US and Canada.
Compeed contract
manufacturing
The advanced wound care business
includes contract manufacturing of
Compeed®, a plaster for blisters and
cold sores.
Advanced Wound Care
OUR BUSINESS
34
Kerecis (Biologics)
On 31 August 2023, Coloplast
completed the acquisition of Kerecis, an
innovative and fast-growing company in
the biologics wound care segment.
Biologics wound care segment
The biologics wound care segment
consists of tissue-based products, used
for treatment of difficult-to-heal
wounds. The products are used to
replace the function and form of the
skin and thus support wound closure.
The biologics products are typically used
in combination with an advanced
dressing, to optimise wound healing,
making the Kerecis and Coloplast
portfolios a good fit.
Biologic dressings are used to treat
various wound types: chronic wounds
(diabetic foot ulcers, venous leg ulcers,
pressure ulcers), acute wounds (surgical
and trauma wounds) and burn wounds.
The biologics segment is concentrated
in the US, with good availability of
reimbursement coverage and a solid
level of clinical acceptance. The majority
of the biologics products are based on
either human tissue (allografts) or based
on animal tissue from different species
(xenografts). Most xenografts are
derived from porcine or bovine skin,
while Kerecis is the only company that
markets products based on fish skin.
The Kerecis fish-skin technology
The fish-skin technology that Kerecis
has developed is gently processed,
clinically differentiated, sustainable, and
scalable.
As there is no know viral disease
transmission risk from cold water fish to
humans, the fish skin is gently processed
and the natural structure and
components of the skin with proteins,
elastin, glycans, and lipid structures,
remain intact. This results in a product
that is highly similar to human skin,
which is a key enabler of improved
wound healing and documented by a
compelling body of clinical evidence.
The combination of gentle processing
and an inexpensive raw material result
in a highly cost-efficient manufacturing
setup, with a gross margin of around
90%, accretive to Coloplast.
Another benefit of the technology is
simple logistics. The products can be
stored at room temperature and have a
long shelf life of three years.
Finally, the technology
is scalable, as the full product portfolio is
made from the same processed fish skin
with differences in the form factor, to
address different wound types and
clinical settings.
Product portfolio
Kerecis has
developed a broad
product portfolio,
adapted to wound
types and care
settings, and with
that also to different
reimbursement
categories.
Strategy
Kerecis is expected to continue its
strong growth trajectory across wound
types and care settings.
A significant share of growth is expected
to come from Kerecis’s proven
commercial model in the hospital,
through continued penetration of
existing accounts, expansion into new
territories across the US, and expansion
of the existing product portfolio.
From a geographical perspective,
Kerecis is mostly a US business today,
(98% of revenues). The US will remain a
key growth driver and focus market in
the years to come.
For the medium and long-term, there is
potential to apply the unique fish-skin
technology to other indications. There
are also opportunities to expand
Kerecis’s presence in markets outside of
the US and leverage Coloplast’s
footprint in the wound care market in
Europe and Emerging markets.
Advanced Wound Care
OSTOMY CARE • CONTINENCE CARE • VOICE AND RESPIRATORY CARE • ADVANCED WOUND CARE • INTERVENTIONAL UROLOGY
35
Advanced dressings
Market description
In 2022/23, the global market for
advanced dressings was worth an
estimated DKK 26-28 billion. Coloplast is
focused on two attractive segments -
Silicone Foams and Gelling Fibres, which
account for roughly 45% of the market.
To a large extent, the advanced
dressings market is a hospital market,
especially in the US and China. In
Europe, wounds are to a greater extent
treated in community.
Market growth
The annual market growth is estimated
at 2-4%. The silicone foams market,
where Coloplast markets its Biatain®
Silicone products, is growing faster at 4-
6% per year, while Gelling Fibres, where
Coloplast markets Biatain® Fiber, is
growing on par with the market.
The underlying market growth is driven
by the aging global population, obesity,
and diabetes. The above-mentioned
demographic drivers lead to an increase
in the treatment of chronic wounds and
to a growing number of preventive
wound care treatments. Increased
competition between manufacturers,
pricing pressure due to lower public
healthcare budgets, and a lower degree
of perceived product differentiation
impact the market growth negatively.
Market growth was also impacted by
the COVID-related restrictions in China
in H1 2022/23 due to limited hospital
access and procedural volumes. Market
growth improved in H2 2022/23, as the
COVID-related restriction were lifted.
The long-term growth outlook of the
Chinese market remains intact.
Market shares
Coloplast has a global market share of
5-10% in advanced dressings, with a
number five global position.
The market consists of many direct
competitors, from global manufacturers
to small, local manufactures.
Regional market shares
5-10%
Share of European markets
0-5%
Share of Other developed markets
5-10%
Share of Emerging markets
Biologics
Market description
In 2022/23, the global market for
biologics was worth an estimated DKK
15-16 billion. More than 90% of the
market is in the US, while the remaining
less than 10% mostly in Europe.
The underlying market growth is driven
by the aging global population, obesity,
and diabetes. Market growth is also
driven by increasing penetration of
biologics for treatment of various wound
types, including acute, chronic, and burn
wounds.
The market is characterised by a
number of competitors, with the top five
players accounting for around three-
quarters of the market.
Market growth
The annual market growth is estimated
at 6-8%, driven by the US.
Market shares
Kerecis has a market share of around
5%, with presence mostly in the US.
Advanced wound care market
41-44 bn
Market size*
globally in DKK
Advanced dressings / Biologics
2-4
%
/6-8
%
Market growth*
annually
Advanced dressings / Biologics
5-10
%
/ ~5
%
Market share*
globally
#5
Market position*
globally
European markets
Other developed markets
Emerging markets
* Market size for Advanced Dressings and Biologics
Source: Coloplast
Global market
by region
(Advanced
Wound Care)
OUR BUSINESS
36
Advanced Wound Care generated 7%
organic sales growth for the year, with
reported revenue in DKK growing by 8%
to DKK 2,905 million. The reported
revenue includes one month of impact
(DKK 75 million) from the acquisition of
Kerecis, which was completed on 31
August 2023.
Advanced wound dressings in isolation
delivered 6% organic growth for the
year.
The Biatain® Silicone portfolio was the
main contributor to growth. Biatain
Fiber continues to perform well and also
contributed to growth.
Skin Care, which is mostly a US hospital
business, and the Compeed contract
manufacturing both contributed to
growth in the year.
The Compeed contract manufacturing
grew double-digit, driven by solid
consumer demand.
From a geographical perspective,
growth was broad-based across Europe,
led by Germany, the US, and Emerging
markets, led by China.
China delivered a solid year, with flat
growth in first half of the year due to
COVID-19 related restrictions. Growth
improved in second half of the year,
driven by a lower baseline and
normalisation of hospital activities,
following the lifting of the COVID-19
related restrictions.
Kerecis
2022/23 pro-forma revenue for Kerecis
amounted to DKK 772 million, with
growth of around 50%, in line with
expectations. Revenue growth was
broad-based, with main growth
contribution from the hospital channel
and surgical wounds.
In 2022/23, around 50% of the sales
came from surgical applications, around
40% from chronic wounds, and the
remaining 10% from burn wounds.
By care setting, around 80% of sales
originate from the hospital setting, with
the remaining 20% from the private
office setting.
By geography, the US accounted for the
vast majority of both sales and growth.
Advanced wound care performance
Advanced Wound Care
2.9 bn
Reported revenue
in DKK for 2022/23
7
%
Organic growth
at constant
exchange rates
8
%
Reported growth
in DKK
Reported revenue included a
positive effect from FX rates.
European markets
Other developed markets
Emerging markets
50%
29%
21%
22/23
geographical
revenue split
OSTOMY CARE • CONTINENCE CARE • VOICE AND RESPIRATORY CARE • ADVANCE WOUND CARE • INTERVENTIONAL UROLOGY
37
Underlying conditions
Coloplast is present in four segments of
the Interventional Urology market –
Men’s Health, Women’s Health,
Endourology and Bladder Health.
Within Men’s Health, men are treated
for erectile dysfunction. Around 25% of
men aged 40-70 years old experience
moderate to severe erectile dysfunction.
Within Women’s Health, women are
treated for pelvic organ prolapse and
stress urinary incontinence. Around
50% of women 50-79 years old report
experiencing pelvic organ prolapse
symptoms. An estimated 32% of
women suffer from stress or mixed
urinary incontinence.
In Endourology and Bladder Health,
patients are typically treated for kidney
stones and other urological conditions,
such as prostate disorders, urethral
strictures, and voiding dysfunctions.
Interventional Urology products
Coloplast entered Interventional
Urology through the acquisitions of
Mentor in 2006 and Mpathy Medical
Devices in 2010, through which we
strengthened our continence care
offering and expanded our presence in
adjacent segments.
Within Men’s Health and Women’s
Health, Coloplast markets implantable
products. The Men’s Health business
includes penile implants for men with
severe impotence that cannot be
treated with drugs. The key brand in the
Men’s Health business is Titan® Touch,
an inflatable penile implant. In Women’s
Health, Coloplast markets vaginal slings,
used to restore continence, and
synthetic mesh products, used to treat a
weak pelvic floor. Key brands within this
segment are Altis® and Restorelle®.
Within Endourology, Coloplast markets a
wide range of disposable products for
stone management. Coloplast has also
launched its first laser equipment,
Thulium Fiber Laser Drive, for surgical
treatment of kidney stones via
ureteroscopy.
In Bladder Health, Coloplast markets
disposable devices for treatment of
various urological conditions.
Strive25: On the move
for patients
Interventional Urology transforms life
for patients suffering from urological
conditions by advancing interventional
treatment solutions.
The business area represents an
important growth opportunity for
Coloplast – the base case for the
business is to deliver high-single digit
organic growth and sustain strong
profitability.
On the portfolio side, we have increased
our investments into enhancing our core
businesses by substantially increasing
our investments in R&D. An example of
a product aimed at strengthening the
core portfolio offering, is Saffron™, a
tissue fixation system in the Women’s
Health portfolio launched in 2022.
We have also added new growth
options through M&A and distribution
agreements in high-growth adjacent
segments. An example of this is the
acquisition of Nine Continents Medical in
2020, with which Coloplast obtained an
early-stage technology, Intibia, for third
line treatment of over-active bladder.
Furthermore, we see good organic
opportunities in employing our existing
portfolio across geographies.
In North America, we sell implantable
devices, and we will continue to invest
and grow the implantable business. In
addition, we aim to increase our
presence in Endourology in the US. The
product portfolio has been launched,
and we have invested into a specialised
sales force.
In Europe, we focus on driving growth in
Men’s Health through patient education,
and growth in Endourology through
portfolio expansion.
Finally, we work on expanding our
presence in Emerging Markets in
selected high potential countries.
Key strategic
highlights 2022/23
The pivotal study on Intibia, initiated in
2021/22, is progressing well and
product launch continues to be
expected in 2025/26.
Titan Touch, an inflatable penile
implant
Interventional Urology
OUR BUSINESS
38
Market description
In 2022/23, the global market for
interventional urology products was
worth an estimated DKK 18-20 billion.
Around half of the interventional
urology market is within endourology,
including around DKK 3 billion in the
lasers segment, with the remaining half
of the market split almost equally
between men’s health, women’s health,
and bladder health.
The endourology and bladder health
segments consist of single-use devices,
while men’s health and women’s health
consist of implantable devices.
Market growth
The annual market growth is estimated
at 4–6%.
Market growth in the interventional
urology market is driven by the ageing
population and lifestyle diseases, as well
as advancements in treatment solutions
leading to more cost-efficient surgical
procedures. For implants, market
growth drivers include a growing
awareness of the treatment options
available for men with severe impotence
and women with urological disorders.
2022/23 was the first post-pandemic
year where elective procedures and
consequently market growth was fully
normalised and back to pre-COVID
levels.
Market shares
Coloplast holds a market share of
around 15% in the interventional
urology and is the fourth largest
manufacturer within this market.
The men’s health and women’s health
markets are US-centric and are
relatively concentrated, characterised
by a limited number of larger
manufacturers. Coloplast is the second
largest manufacturer in both the men’s
and women’s health markets.
The endourology and bladder health
segments are more fragmented, with a
larger number of global manufacturers
present in these segments. Within
endourology in Europe, which accounts
for roughly a quarter of the total
endourology market, Coloplast is the
second largest manufacturer.
Regional market shares
15-20%
Share of European markets
15-20%
Share of Other developed markets
5-10%
Share of Emerging markets
Entry into adjacent markets
Our anticipated entry into the over-
active bladder market will significantly
increase the addressable market. The
market for third line therapies for over-
active bladder is estimated at around
USD 1 billion.
Interventional urology market
Interventional Urology
18-20 bn
Market size
globally in DKK
4-6
%
Market growth
annually
Around 15
%
Market share
globally
#4
Market position
globally
European markets
Other developed markets
Emerging markets
Source: Coloplast
Global market
by region
OSTOMY CARE • CONTINENCE CARE • VOICE AND RESPIRATORY CARE • ADVANCE WOUND CARE • INTERVENTIONAL UROLOGY
39
Interventional Urology generated 10%
organic sales growth for the year, with
reported revenue in DKK growing by
10% to DKK 2,674 million. As expected,
growth for the year was front-end
loaded, reflecting baseline dynamics
which included a lower baseline in the
first half of last year.
Growth was broad-based across
business areas and geographies, with
strong contribution from the Men’s
Health business in the US, driven by the
Titan® penile implants.
The Endourology portfolio, driven by
Europe, and the Women’s Health
business in the US, also made solid
contributions to growth.
From a geographical perspective, the
US was the main growth contributor,
followed by Europe, most notably
France.
The launch of Thulium Fiber Laser
Drive, our first laser equipment, is off
to a good start and has received
positive customer feedback.
Interventional urology performance
2.7 bn
Reported revenue
in DKK for 2022/23
10
%
Organic growth
at constant
exchange rates
10
%
Reported growth
in DKK
Reported revenue included a
positive effect from FX rates.
European markets
Other developed markets
Emerging markets
33%
57%
10%
22/23
geographical
revenue split
40
Earnings
Revenue
Organic growth for the year was 8%.
Reported revenue in DKK was up by 9%
to DKK 24,500 million. Exchange rate
developments decreased revenue by
2%-points, mainly related to the
depreciation of GBP and several
emerging markets currencies against
DKK. Revenue from acquisitions
contributed 3%-points to reported
growth and includes a four-months
impact from the acquisition of Atos
Medical (October 2022-January 2023)
and a one-month impact from the
acquisition of Kerecis (September 2023).
Revenue was in line with Guidance of
around 8% organic revenue growth, as
announced in in the stock exchange
announcement no. 04/2023.
Gross profit
Gross profit was DKK 16,328 million
compared to DKK 15,529 million last
year and equivalent to a gross margin of
67%, compared to 69% last year. The
gross margin was negatively impacted
by raw material price increases, higher
energy cost, double-digit wage inflation
in Hungary, as well as ramp-up costs in
Costa Rica. The gross margin also
includes negative impact of around 40
basis points related to a one-off
provision for a pay-back reform
implemented in Italy. Further, the gross
margin included negative impact from
currencies, mainly related to the
depreciation of GBP and several
emerging markets currencies against
DKK.
The above-mentioned negative drivers
were only partly offset by positive
contribution from the inclusion of Atos
Medical, price increases, country and
product mix, as well as efficiency
savings from the Global Operations Plan
5. Coloplast continues to have a strong
focus on offsetting the inflationary
pressure, with 80+ pricing projects
across regions and business areas.
Costs
Operating expenses amounted to DKK
9,483 million. Excluding impact from
inorganic operating expenses from the
Atos Medical acquisition (4 months) and
the Kerecis acquisition (1 month)
operating expenses increased 5%, or
DKK 409 million from last year, as
expected. The increase in operating
expenses including inorganic impact
from Atos Medical and Kerecis was
10%.
Atos Medical contributed with DKK
1,140 million to operating expenses in
the year, of which around DKK 210
million were amortisation costs. Kerecis
contributed with DKK 71 million to
operating expenses, of which around
DKK 9 million were amortisation costs.
Distribution costs amounted to DKK
7,518 million, a DKK 721 million (11%)
increase from DKK 6,797 million last
year and were impacted by the inclusion
of Atos Medical. Distribution costs
amounted to 31% of revenue compared
to 30% last year, reflecting increased
sales and marketing activities, as well as
travel, post COVID-19. Distribution costs
were also impacted by higher logistics
costs and continued commercial
investments in Interventional Urology,
consumer and digital initiatives, and
Atos Medical.
Administrative expenses amounted to
DKK 1,115 million, up DKK 110 million
(11%) from DKK 1,005 million last year,
primarily impacted by the inclusion of
2022/23 FINANCIAL PERFORMANCE
Financials in line with guidance
Financial results
Income statement, DKK million
2022/23
Index
Revenue
24,500
109
Production costs
-8,172
116
Gross profit
16,328
105
Distribution costs
-7,518
111
Administrative expenses
-1,115
111
Research and development costs
-872
101
Other operating income
56
76
Other operating expenses
-34
136
Operating profit (EBIT) before special items
6,845
99
Special items
-74
n/a
Operating profit (EBIT)
6,771
105
Financial income
191
161
Financial expenses
-937
217
Profit before tax
6,025
98
Tax on profit for the year
-1,242
87
Net profit for the year
4,783
102
FINANCIAL RESULTS
41
Atos Medical. Administrative expenses
accounted for 5% of revenue against
4% last year.
The R&D costs were DKK 872 million,
comparable to last year’s R&D costs of
DKK 866 million. R&D costs amounted
to 4% of revenue, on par with last year.
Other operating income and other
operating expenses amounted to a net
income of DKK 22 million, against a net
income of DKK 49 million last year.
Operating profit before interest, tax,
depreciation and amortisation
(EBITDA) and before special items
EBITDA before special items amounted
to DKK 7,914 million, a DKK 74 million
(1%) increase from DKK 7,840 million
last year. The EBITDA margin before
special items was 32% compared to
35% last year.
Operating profit (EBIT) before special
items
EBIT before special items amounted to
DKK 6,845 million, a DKK 65 million
(1%) decrease from DKK 6,910 million
last year. The EBIT margin before
special items was 28% compared to
31% last year. The EBIT margin was
negatively impacted by the inflationary
headwinds on production costs and the
increase in operating expenses, mainly
distribution costs, which among other
include around DKK 219 million in
amortisation costs related to
acquisitions, mostly Atos Medical. EBIT
was in line with Guidance of 28-29%
reported EBIT margin before special
items, as announced in the stock
exchange announcement no. 04/2023.
Furthermore, the EBIT margin included
negative impact of around 60 basis
points from currencies, due to
unfavourable development across a
basket of currencies in the second half
of the year.
Pro-forma operating profit before
special items and excluding amortisation
for Kerecis amounted to DKK 46 million
or around 6% of revenue, in line with
expectations.
Special items
During the year, Coloplast incurred
special items expenses of DKK 74
million. The special items expenses
include DKK 200 million final provision
to cover settlements and costs in
connection to the MDL cases in the US
alleging injury from the use of
transvaginal surgical mesh products.
Coloplast now considers the MDL cases
closed and any future cases will be
considered part of normal operations of
the Interventional Urology business.
The special items also include DKK 65
million related to integration costs for
the Atos Medical acquisition and DKK
53 million in transaction costs related to
the acquisition of Kerecis.
Finally, the special items expenses were
partly offset by an income of DKK 244
million related to reversal of the
provision regarding Atos Medical US
billing compliance.
Operating profit (EBIT) after special
items
EBIT after special items was DKK 6,771
million, a DKK 332 million (5%) increase
from last year. The EBIT margin after
special items was 28%.
Financial items and tax
Financial items were a net expense of
DKK 746 million against a net expense
of DKK 312 million last year.
The net expense was impacted by
interest expenses of DKK 614 million
compared to DKK 156 million last year,
due to the financing of the Atos Medical
acquisition. Net losses on balance sheet
items of DKK 218 million, mostly driven
by the USD, and fees of DKK 81 million
also contributed to the net expense. The
financial expenses were only partly
offset by financial income of DKK 191
million, driven by interest hedges of DKK
75 million. The blended interest rate for
the debt financing of Atos Medical was
around 3.3% at the end of 2022/23,
impacted by the adjustment of the
variable interest rate on the 2-year
bond issue.
The tax rate was 21%, compared to
23% last year, positively impacted by
the transfer of Atos Medical Intellectual
Property. The tax expense amounted to
DKK 1,242 million against DKK 1,421
million last year.
Net profit
Net profit before special items was DKK
4,841 million, a DKK 228 million
decrease from DKK 5,069 million last
year. Diluted earnings per share (EPS)
before special items decreased by 6%
from DKK 23.82 last year to DKK 22.46.
The decrease was a result of a lower
net profit compared to last year due to
increased financial expenses, driven
mostly by interest expenses related to
the financing of the Atos Medical
acquisition, as well as lower operating
profit before special items. Net profit
after special items was DKK 4,783
million and diluted earnings per share
(EPS) after special items were DKK
22.20.
42
Cash flows and
investments
Cash flows from operating activities
Cash flows from operating activities
amounted to DKK 4,226 million, against
DKK 5,099 million last year. The negative
development in cash flows from
operating activities was driven by higher
income tax paid, majority of which
related to 2021/22 income driven by
interest hedging taxable upon realisation,
as well as increased interest payments
related to the Atos Medical acquisition.
Increase in working capital also had
negative impact on the cash flow, driven
by an increase in inventories due to a
higher safety stock level on raw
materials, price increases, and an
increase in finished goods due to the
transfer of production to Costa Rica. The
above-mentioned negative drivers were
only partly offset by higher operating
profit.
Investments
Investments amounted to DKK 1,034
million in the year or around 4% or
revenue, compared with DKK 1,126
million last year. Total cash flows from
investing activities were a DKK 8,957
million outflow, due to the acquisition of
Kerecis, against a DKK 11,759 outflow
last year, due to the acquisition of Atos
Medical.
Capital expenditures in 2022/23
amounted to DKK 1,241 million, a DKK
106 million increase compared to last
year. Capital expenditures were around
5% of revenue, on par with last year.
Free cash flow
As a result, the free cash flow was an
outflow of DKK 4,731 million compared
to an outflow of DKK 6,660 million last
year. Adjusted for acquisitions, the free
cash flow decreased by DKK 781 million
(20%) from DKK 3,973 million to DKK
3,192 million.
Capital resources
At 30 September 2023, Coloplast had
net interest-bearing debt, including
securities, of DKK 18,660 million,
against DKK 18,091 million at 30
September 2022. The gearing ratio at
the end of the period was 2.4 x EBITDA
(before special items).
Coloplast is committed to deleveraging
and bringing the gearing ratio down to
between 1x-2x EBITDA by 2024/25.
2022/23 FINANCIAL PERFORMANCE
Financial results
Key figures
(DKK)
6,845 m*
EBIT from
6,910 m last year
* Before special items
4,226 m
cash flows from
operating
activities
-8,957 m
outflow from
investing activities
FINANCIAL RESULTS
43
Statement of financial
position and equity
Balance sheet
At 30 September 2023, total assets
amounted to DKK 48,159 million, an
increase of DKK 10,713 million
compared to 30 September 2022.
Working capital
Working capital was 26% of revenue,
compared to 25% at 30 September
2022, driven by an increase in
inventories and trade receivables.
Inventories increased by DKK 335
million to DKK 3,522 million, impacted
by an increase in safety stock on raw
materials, price increases, and an
increase in finished goods due to the
transfer of production to Costa Rica.
Trade receivables increased by DKK 375
million to DKK 4,315 million due to
phasing, while trade payables increased
by DKK 52 million to DKK 1,294 million.
Coloplast’s long-term working capital-to-
revenue ratio is unchanged and expected
to be around 24%.
Equity
Equity increased by DKK 9,007 million
compared to 30 September 2022 to
DKK 17,299 million. Total
comprehensive income for year of DKK
4,075 million, share-based
remuneration of DKK 58 million, and net
effect of sale of treasury shares and loss
of exercised options of DKK 34 million
were offset by payment of dividends of
DKK 4,247 million.
To finance the acquisition of Kerecis,
Coloplast completed an equity capital
raise through an accelerated book-
building process on August 30, 2023.
Coloplast issued 12.2 million new B
shares, in a directed issue and private
placement, at an offer price of DKK 755
per new share, raising gross proceeds of
approximately DKK 9.2 billion.
Coloplast’s largest shareholder, Niels
Peter Louis-Hansen, and family
participated in the equity capital raise.
Treasury shares
At 30 September 2023, Coloplast’s
holding of treasury shares consisted of
3,539,528 B shares, which was 153,348
less than at 30 September 2022. The
decrease was due to exercise of share
options.
Return on invested capital
ROIC after tax before special items was
17% against 27% as of 30 September
2022. The decrease was driven by the
acquisitions of Atos Medical and Kerecis.
4,247 m
paid dividend in
DKK
48,159 m
total assets in DKK
26
%
working capital
in % of revenue
17
%*
return on
invested capital
* Before special items
96%*
payout
ratio
44
2022/23 SUSTAINABILITY PERFORMANCE
Governance, materiality and stakeholders
Importance to stakeholders
GOVERNANCE, MATERIALITY AND STAKEHOLDERS • IMPROVING PRODUCTS AND PACKAGING • REDUCING EMISSIONS
• RESPONSIBLE OPERATONS • EU TAXONOMY
45
46
ESG disclosure
Coloplast maintains ongoing dialogues
with users, payers, suppliers, investors
and more regarding our sustainability
work. To ensure transparency, Coloplast
has included a summary of sustainability
performance with key metrics and
updates in our interim financial reports
in addition to our annual ESG reporting.
In 2022/23, Coloplast became a
certified NASDAQ Transparency
Partner, entering the Nasdag ESG
database, thereby further contributing
to increased transparency on ESG data
in the financial markets.
As stakeholder expectations regarding
ESG disclosure evolve and intensify, the
need to focus our efforts has become
key. Coloplast tracks the landscape of
ESG rankings and has conducted an
analysis of relevant methodologies and
the interests of key stakeholders. Based
on this analysis and our priorities, we
have chosen to participate in a selection
of widely renowned ESG ratings.
ESG-related systems
and standards
ISO 14001
Coloplast’s environmental management
system is certified according to the ISO
14001 standard. Coloplast operates 11
production sites and have secured
certification for nine production sites
and the global headquarters. In
2022/23, our new production site in
Costa Rica was certified, and we have
plans in place to achieve certification for
the two production sites connected to
Voice and Respiratory Care in 2024/25.
The existing ISO 14001 certifications
correspond to an 84% coverage of
Coloplast employees at production sites,
distribution centres and global
headquarters. Our sales subsidiary in
Sweden is also ISO 14001 certified.
ISO 45001
Coloplast’s health and safety
management system is certified
according to the ISO 45001 standard,
covering nine production sites, three
major distribution centres and the
corporate headquarters. In 2022/23,
our new production site in Costa Rica
was certified, and we plan to achieve
certification of Voice and Respiratory
Care in 2024/25. Our current ISO
45001 certifications correspond to a
92% coverage of Coloplast employees
at production sites, distribution centres
and our global headquarters.
ISO 13485
Coloplast’s quality management
systems are certified according to ISO
13485 at all sites involved in design or
manufacturing activities. Selected
distribution centres and sales
subsidiaries are also certified according
to this standard. In total, 28 Coloplast
sites are ISO 13485 certified, including
Voice and Respiratory Care.
Furthermore, all sites involved in design
and manufacturing activities are
included in the EU Medical Device
Regulation (MDR) Quality System
certificate as well as the Medical Device
Single Audit Programme (MDSAP)
certificate. MDSAP includes national
requirement from Australia, Brazil,
Canada, Japan and the USA.
Governance, materiality and stakeholders
2022/23 SUSTAINABILITY PERFORMANCE
ESG ratings
Corporate Knights
Coloplast was included on the
Global 100 list in 2023 –
ranked as no. 1 within Medical
Equipment Manufacturing and
as no. 43 overall.
MSCI
Coloplast received an AA
rating in 2023 – placing
Coloplast within the top 37%
among Healthcare Equipment
& Supplies companies.
Sustainalytics
Coloplast was given a 15.1
score in 2023 – indicating a
low risk and ranking Coloplast
in the top 6
th
percentile within
the Healthcare industry.
CDP
Coloplast received a C score in
2022, which is on par with the
Medical Equipment & Supplies
sector average.
GOVERNANCE, MATERIALITY AND STAKEHOLDERS • IMPROVING PRODUCTS AND PACKAGING • REDUCING EMISSIONS
• RESPONSIBLE OPERATONS • EU TAXONOMY
47
ISO 27001
Coloplast follows the ISO 27001
standard to drive improvement and
validate performance of our information
security management system through
audits and risk management. All sites
within the ISO 27001 certification scope
are internally audited on an annual basis
in addition to external audits as required
under the certification. The certificate
covers 95% of Coloplast sites with
manufacturing operations and most
strategic sales markets.
ISO 14155
Clinical investigations conducted by
Coloplast follows the ISO 14155
standard to ensure good clinical
practice for design, conduct, recording
and reporting as well as to protect the
rights, safety and well-being of human
subjects. All clinical investigations are in
scope for internal audits in addition to
external audits as required.
48
2022/23 SUSTAINABILITY PERFORMANCE
Improving products and packaging
STAKEHOLDERS, MATERIALITY AND GOVERNANCE • IMPROVING PRODUCTS AND PACKAGING • REDUCING EMISSIONS •
RESPONSIBLE OPERATONS • EU TAXONOMY
49
50
2022/23 SUSTAINABILITY PERFORMANCE
Improving products and packaging
STAKEHOLDERS, MATERIALITY AND GOVERNANCE • IMPROVING PRODUCTS AND PACKAGING • REDUCING EMISSIONS •
RESPONSIBLE OPERATONS • EU TAXONOMY
51
52
2022/23 SUSTAINABILITY PERFORMANCE
Improving products and packaging
STAKEHOLDERS, MATERIALITY AND GOVERNANCE • IMPROVING PRODUCTS AND PACKAGING • REDUCING EMISSIONS •
RESPONSIBLE OPERATONS • EU TAXONOMY
53
54
2022/23 SUSTAINABILITY PERFORMANCE
Reducing emissions
STAKEHOLDERS, MATERIALITY AND GOVERNANCE • IMPROVING PRODUCTS AND PACKAGING • REDUCING EMISSIONS •
RESPONSIBLE OPERATONS • EU TAXONOMY
55
56
Reducing emissions
2022/23 SUSTAINABILITY PERFORMANCE
STAKEHOLDERS, MATERIALITY AND GOVERNANCE • IMPROVING PRODUCTS AND PACKAGING • REDUCING EMISSIONS •
RESPONSIBLE OPERATONS • EU TAXONOMY
57
58
Coloplast constantly strives to improve
how we operate. Strive25 includes
targets on product quality, employee
health and safety, business ethics and
compliance and people and culture.
Product quality
Quality standards
Delivering safe and reliable products is
essential to Coloplast. Our unified
quality management system establishes
processes for managing quality and risks
in product development, production and
distribution as well as extensive post-
market surveillance. All complaints and
adverse events are individually handled
to identify the root cause and generate
input for mitigation and future product
development. Our products and quality
management system meet strict
regulatory standards, and compliance is
verified on site through external audits
by independent auditors and notified
bodies. All Coloplast sites involved in
design, production, packaging and
central distribution are certified
according to one or more of the
following standards and regulations:
ISO9001, ISO13485, MDSAP, EU MDD
and EU MDR. In 2022/23, Coloplast had
104 full-day audits on quality and
system conformity.
Medical Device Regulation
In response to The Medical Device
Regulation (MDR), Coloplast has
updated our quality management
system and are in the final stage of
revising all relevant product
documentation. We have obtained
certification for more than 40 product
groups. In addition, all class I non-sterile
products are MDR compliant. In total,
MDR compliant products represent
around 90% of our revenue. Within
Voice and Respiratory Care, we also see
momentum with the MDR certification
process for Provox® Vega, while the
Tracoe Experc Set has received its first
MDR certificate.
Product recalls
If customer feedback or internal
controls reveal quality defects with
potential safety risks in delivered
products, Coloplast initiates a voluntary
product recall. Coloplast had four
voluntary product recalls in 2022/23:
In-KA® Ureteral balloon dilatation
catheter kit: 81 lots across 25 countries
due to incorrect labelling.
Titan® Penile Prosthesis: 35 lots across
26 countries due to product values
below specification.
Tracoe Vario P-tube, Tracoe Experc
Set Vario, Tracoe Twist Plus P-tube,
Tracoe Experc Set Twist Plus:
Voluntary recall of all lots produced
within 5 years impacting 42 countries
due to sub-par product performance.
Tracoe Experc Set Vario, Tracoe
Experc Set Twist, Tracoe Experc Set
Twist Plus: 639 lots across 46 countries
due to missing Instructions for Use.
Animal testing
All animal testing done by Coloplast is
performed by Good Laboratory Practice
certified laboratories, and Coloplast
does not use transgenic animals in
testing. This year, Coloplast used 1,774
animals for testing. Of these, 89% were
rodents. See our Animal Testing policy
on our website.
Responsible operations
2022/23 SUSTAINABILITY PERFORMANCE
Responsible operations
Ongoing
commitments
100
%
white-collar employees
trained in Code of Conduct
2.0 ppm
Lost Time Injury frequency by
2025
40
%
representation of female
senior leaders (VP+) by 2030
75
%
share of diverse teams
Engagement
score
above industry benchmark
SDGs impacted
STAKEHOLDERS, MATERIALITY AND GOVERNANCE • IMPROVING PRODUCTS AND PACKAGING • REDUCING EMISSIONS •
RESPONSIBLE OPERATONS • EU TAXONOMY
59
2022/23 SUSTAINABILITY PERFORMANCE
60
How we manage the risks of doing business
2022/23 SUSTAINABILITY PERFORMANCE
Responsible operations
STAKEHOLDERS, MATERIALITY AND GOVERNANCE • IMPROVING PRODUCTS AND PACKAGING • REDUCING EMISSIONS •
RESPONSIBLE OPERATONS • EU TAXONOMY
61
2022/23 SUSTAINABILITY PERFORMANCE
62
How we manage the risks of doing business
Responsible operations
STAKEHOLDERS, MATERIALITY AND GOVERNANCE • IMPROVING PRODUCTS AND PACKAGING • REDUCING EMISSIONS •
RESPONSIBLE OPERATONS • EU TAXONOMY
63
2022/23 SUSTAINABILITY PERFORMANCE
64
How we manage the risks of doing business
Responsible operations
2022/23 SUSTAINABILITY PERFORMANCE
Key figures
SHARE OF DIVERSE TEAMS
SHARE OF FEMALE MANAGERS
SHARE OF FEMALE SENIOR
LEADERS
75%
54%
2025 ambition 2022/23
47%
53%
47
%
of all managers
are female in
2022/23
40%
26%
2030 ambition 2022/23
STAKEHOLDERS, MATERIALITY AND GOVERNANCE • IMPROVING PRODUCTS AND PACKAGING • REDUCING EMISSIONS •
RESPONSIBLE OPERATONS • EU TAXONOMY
65
Under the EU Taxonomy, Coloplast is
required to report on eligibility and
alignment with the environmental
objectives of climate change mitigation
and climate change adaptation for
2022/23.
The EU has recently finalised technical
screening criteria for the remaining four
environmental objectives. Coloplast sees
potential for aligned activities within
these objectives and will include the four
additional environmental objectives in
our assessment of eligibility and
alignment in our future EU Taxonomy
reporting.
Accounting policies
Assessing EU Taxonomy eligibility
During 2022/23, we have assessed
Coloplast’s core economic activities
within turnover, OPEX and CAPEX to
identify EU Taxonomy-eligibility and EU
Taxonomy-alignment. As part of the
assessment, we have completed an
initial screening of all activities as
outlined by the EU Taxonomy Compass
and Annexes I and II of the Climate
Delegated Act followed by a more
detailed evaluation of potentially
relevant activities.
Turnover
Coloplast has no EU Taxonomy-
relevant economic activities within
turnover.
OPEX
We have identified no EU Taxonomy-
eligible OPEX activities based on the
current guidance related to the EU
Taxonomy Regulation and available
data within the screened economic
activities.
CAPEX
Our assessment has identified the
following EU Taxonomy-eligible CAPEX
activities based on our current
understanding of the Taxonomy
Regulation and available data within the
screened economic activities:
• Activity 4.16 (Climate change
mitigation): Installation of electric
heat pumps at Coloplast’s
production sites at Nyírbátor,
Hungary and Zhuhai, China
• Activity 6.5 (Climate change
mitigation): Leasing of company cars
across the Coloplast group
• Activity 7.4 (Climate change
mitigation): Installation of charging
stations for electric vehicles at our
global headquarters in Denmark and
our production sites in Hungary
• Activity 7.6 (Climate change
mitigation): Various renewable
energy initiatives across sites, mainly
installation of district heating at our
two sites in Denmark, installation of
solar panels at our site in
Minneapolis, USA and preliminary
studies related to a geothermal
energy project at Nyírbátor,
Hungary.
Assessing EU Taxonomy alignment
EU Taxonomy-alignment must be based
on a robust climate risk and vulnerability
assessment to qualify for Substantial
Contribution as well as Do No
Significant Harm. This assessment must
identify which physical climate risks may
affect the performance of the economic
activity during its expected lifetime,
assess the materiality of such risks and
evaluate the adaptation solutions that
can reduce these risks.
Coloplast has completed a risk
assessment of physical and transition
risks for all sites in scope for our
sustainability reporting. However, we
have not completed detailed climate risk
assessments specifically covering our
EU Taxonomy-eligible activities and can
therefore not demonstrate EU
Taxonomy-alignment for these activities
for 2022/23.
The terminology, definitions and scope
of the EU Taxonomy are still subject to
some uncertainty in interpretation. As
our understanding of the requirements
and best practices around EU
Taxonomy reporting develops, we may
adapt our future reporting accordingly.
EU Taxonomy
2022/23 SUSTAINABILITY PERFORMANCE
66
How we manage the risks of doing business
Definitions and KPIs
Turnover: Total turnover is in
accordance with the turnover reported
in the Annual Report 2022/23. The
turnover KPI is defined as Taxonomy-
eligible turnover (numerator) divided by
total turnover (denominator). Non-
eligible turnover is defined as total
turnover minus Taxonomy-eligible and
Taxonomy-aligned turnover.
OPEX: Total OPEX consists of direct
non-capitalised costs that relate to
research and development, building
renovation, short-term lease,
maintenance and repair and any other
direct expenditures relating to the day-
to-day servicing of property, plant and
equipment. The OPEX KPI is defined as
Taxonomy-eligible OPEX (numerator)
divided by total OPEX (denominator).
Non-eligible OPEX is defined as total
OPEX minus Taxonomy-eligible and
Taxonomy-aligned OPEX.
CAPEX: Total CAPEX consists of
additions to fixed assets (including right-
of-use assets) and intangible assets in
accordance with the additions in the
Annual Report 2022/23. Additions
resulting from business combinations
are also included. Goodwill is not
included in CAPEX because it is not
defined as an intangible asset in
accordance with IAS 38. The CAPEX
KPI is defined as Taxonomy-eligible
CAPEX (numerator) divided by total
CAPEX (denominator). Non-eligible
CAPEX is defined as total CAPEX minus
Taxonomy-eligible and Taxonomy-
aligned CAPEX.
Double counting: For calculation of the
denominator of the turnover, OPEX and
CAPEX KPIs, figures have been
extracted directly from Coloplast’s
enterprise resource planning (ERP)
system. It is thereby ensured that
registrations are only counted once. For
the allocation of the numerator, we
have first identified the relevant figures
and then allocated it to the primary
related economic activity in the Climate
Delegated Act. In this way, it is ensured
that no registration is considered more
than once.
Disaggregation of KPIs: Our identified
economic activities do not require
disaggregation of KPIs.
Contextual information: Taxonomy-
eligible CAPEX consists of the activities
described above.
Minimum safeguards
According to the EU Taxonomy
Regulation, minimum safeguards are a
requirement for alignment. The
minimum safeguards cover the four
core topics of human rights, including
labour rights, bribery/corruption,
taxation and fair competition.
Irrespective of Coloplast’s current ability
to demonstrate EU Taxonomy
alignment, we are committed to
operating responsibly. Coloplast has
been a signatory to the UN Global
Compact since 2002. We respect the
internationally recognised human rights,
including labour rights, as defined in the
Universal Declaration of Human Rights
and operate in compliance with the ten
guiding principles of the UN Global
Compact. We have policies and
procedures in place addressing the four
core topics, including codes of conduct
applicable to suppliers and other key
business partners.
2022/23 SUSTAINABILITY PERFORMANCE
EU Taxonomy
STAKEHOLDERS, MATERIALITY AND GOVERNANCE • IMPROVING PRODUCTS AND PACKAGING • REDUCING EMISSIONS •
RESPONSIBLE OPERATONS • EU TAXONOMY
67
Turnover, DKK million
Taxonomy-eligible activities
Absolute
turnover
Proportion
of turnover
Environmentally sustainable activities (Taxonomy-aligned)
None
-
0%
Turnover of environmentally sustainable activities (Taxonomy-aligned)
-
0%
Taxonomy-eligible but not environmentally sustainable activities (not Taxonomy-aligned activities)
None
-
0%
Turnover of Taxonomy-eligible but not environmentally sustainable activities (not Taxonomy-aligned)
-
0%
Taxonomy-non-eligible activities
Turnover of Taxonomy-non-eligible activities
24,500
100%
Total
24,500
100%
Capex, DKK million
Taxonomy-eligible activities
Absolute
capex
Proportion
of capex
Environmentally sustainable activities (Taxonomy-aligned)
None
-
0%
Capex of environmentally sustainable activities (Taxonomy-aligned)
-
0%
Taxonomy-eligible but not environmentally sustainable activities (not Taxonomy-aligned activities)
4.16 Installation and operation of electric heat pumps
7
0%
6.5 Transport by motorbikes, passenger cars and light commercial vehicles
136
3%
7.4 Installation, maintenance and repair of charging stations for electric vehicles in buildings (and parking spaces
attached to buildings)
3
0%
7.6 Installation, maintenance and repair of renewable energy technologies
5
0%
Capex of Taxonomy-eligible but not environmentally sustainable activities (not Taxonomy-aligned)
151
3%
Taxonomy-non-eligible activities
Capex of Taxonomy-non-eligible activities
4,731
97%
Total
4,882
100%
Opex, DKK million
Taxonomy-eligible activities
Absolute
opex
Proportion
of opex
Environmentally sustainable activities (Taxonomy-aligned)
None
-
0%
Opex of environmentally sustainable activities (Taxonomy-aligned)
-
0%
Taxonomy-eligible but not environmentally sustainable activities (not Taxonomy-aligned activities)
None
-
0%
Opex of Taxonomy-eligible but not environmentally sustainable activities (not Taxonomy-aligned)
-
0%
Taxonomy-non-eligible activities
Opex of Taxonomy-non-eligible activities
1,769
100%
Total
1,769
100%
EU Taxonomy Tables
RISK MANAGEMENT
68
How we manage the risks of doing business
Risk reporting process
and governance
The risk reporting process is part of the
Group’s risk management and covers
Coloplast’s business areas as well as
global functions. It is overseen by Group
Finance and the CFO, who are also
responsible for securing appropriate
insurance coverage for insurable risks
and for assessing and facilitating the
prioritization of our principal risks.
The management of the business areas
and global functions is responsible for
identifying, assessing, managing, and
reporting on risks specific to their area
of responsibility. The most significant
risks to our business over a five-year
time-horizon are reported quarterly to
the Group’s risk management. This also
includes climate-related risks; however,
climate-related risks usually have a
longer time-horizon than other risks
(more than five years) and therefore not
material for Coloplast’s risk landscape.
Please refer to Sustainability section for
updates on climate-related risks.
The risk reporting process and
supporting interviews form the basis of
the risk update that is presented by the
CFO to the Executive Leadership Team
(ELT) and the Board of Directors at the
quarterly board meetings.
The ELT is responsible for defining
Coloplast’s overall risk profile, and for
setting standards for risk taking and for
aligning it with the overall strategies and
policies. They are also responsible for
launching and approving risk treatment
plans and activities to address the most
significant risks.
The Board of Directors perform risk
oversight, monitors the overall risk
landscape and reviews, the conclusions
and recommendations submitted by the
Executive Leadership Team.
The effectiveness of the risk reporting
process is regularly monitored by the
CFO together with the Board of
Directors, and the overall process is
followed by the Audit Committee on an
ongoing basis. Our aim is to have a
culture that manages risks well and not
just a strong process.
Our principal risks
In our risk reporting process, we have
identified a range of principal risks,
believed to be material and have the
potential to significantly threaten and
adversely impact the Group’s business
model, strategy, and future
performance.
Those principal risks are presented in
random order on the following pages,
along with examples of responses taken
to treat them. Each risk is linked to one
or more of the themes of Coloplast’s
strategy Strive25.
The illustration provides an aggregated
overview of our principal risks and
summarises our assessment of the risk
exposure for each risk, taking into
consideration the risk treatment plans
put in place (residual risk).
If material change has occurred to the
assessment of a risk compared to last
year, this is indicated in the illustration
by an arrow and elaborated on, in the
following pages.
The current risk landscape
RISK MANAGEMENT
How we manage the risks of doing business
Pricing and reimbursement
Information security
Legal and compliance
Production and business continuity
Product innovation and development
Product quality and safety
Increased
Unchanged
Decreased
PR
PB
PI
PQ
LC
IS
Likehood
Impact
PB
C
PI
PR
IS
LC
PQ
S
RISK MANAGEMENT
69
Pricing and reimbursement
Description
A large part of Coloplast’s products is
sold in markets that are subsidised and
eligible for reimbursement from health-
care authorities. As a result, prices are
influenced by the economic and political
developments in national and regional
markets, budgetary constraints of
governments, healthcare reforms,
bargaining power of wholesalers and
distributors, as well as the ability to
convince buyers of the economic value
of its products based on clinical
evidence, costs, and patient outcomes.
In 2022/23, we again experience higher
input costs. With a somewhat limited
possibility to offset negative effects
through price increases and
negotiations with customers, this put
our value creation under pressure.
Risk examples
Lower reimbursements and increasing
price pressure due to healthcare and
price reforms.
No bigger healthcare reforms are
currently expected for the next fiscal
year 2023/24, and global price
development remain positive in the
short term. However, in the medium to
long-term our expectation is a negative
price impact of around -1%.
Lack of or inadequate clinical evidence
to support reimbursement levels.
Global, regional, or local political
instability, emerging geopolitical drivers
of risk, and economic matters, such as
interest rate, inflation, or currency rate
fluctuations.
Claw back or other repayment schemes
introduced by health care authorities
retroactively. For example, Italy has
introduced a ceiling on national health
services expenses for medical devices. If
this threshold is exceeded, every
company must, based on revenue, pay
a percentage of the surplus back to the
authorities.
Risk responses
Monitoring markets and sales
developments, economic and political
developments, and changes to public
sector guidelines and reimbursement
schemes.
Interaction with healthcare authorities,
patient associations, and industry
associations to try to prevent, postpone
or minimise the impact.
Financial risk management, including
hedge costs of energy and other
hedging activities in accordance with
Coloplast’s financial mandate.
To address the higher input costs,
initiatives to reduce costs and enforce
prudent management of operating costs
are being implemented.
To address the repayment scheme in
Italy, Coloplast, other industry players,
and associations have opposed the claw
back and initiated legal proceedings.
Coloplast has made a provision of
around DKK 100 million towards this
claim.
RISK MANAGEMENT
70
How we manage the risks of doing business
Information security
Description
Coloplast operates in a dynamic
information risk environment with
regulatory and legislative data
compliance obligations and depend on a
wide range of information and
operational technology systems (IT and
OT), people, and suppliers to manage
the business. The company processes
highly confidential information and
legally protected personal health
information and the product portfolio
include digitally connected products, like
Heylo™.
Like previous years, there has been no
material impact on our business from
cyberattacks in 2022/23.
Artificial intelligence (AI) introduces new
threat parameters and currently there is
ongoing evaluation investigating how
this will impact the information security
risk landscape as well as where future
business opportunities can be leveraged.
Coloplast has published internal
guidelines to outline accepted rules of
engagement when using publicly
available AI services.
Risk examples
Disruption to IT and OT systems, such as
cyberattacks, human error, or
infrastructure failure resulting in
business disruption or data
confidentiality incidents like loss of
intellectual property or data privacy
breach. An intentional cyberattack or an
unintentional human error can, in a
worst-case scenario, affect business
operations and delivery performance.
Essential Coloplast business and support
processes are reliant on suppliers.
Reduced or compromised availability
and reliability of supplier's services,
systems, or materials would threaten
operations and business continuity. In
addition, some suppliers have access to
Coloplast information, which would be
collateral damage if a supplier is
breached or experiences a cyberattack.
The information security risk landscape
is increasingly affected by political
factors. This trend is evidenced by an
increasing number of legislations man-
dating localization of data that limits
cross-border transfer of data, as well as
events related to the war in Ukraine.
Risk responses
Coloplast follows the ISO 27001 to
constantly drive improvement and
validate performance of the Information
Security Management System through
audits and risk management. All sites
within the ISO 27001 certification scope
are internally and externally audited as
required under the certificate. The
certificate covers 95% of sites with
manufacturing operations, most
strategic sales markets, and is
recognized to reduce compliance
overhead with legislative requirements.
A robust Information Security risk
management process to identify, assess,
report, and mitigate risks with a direct
link to the Group’s quarterly risk
management process. The process
covers four key areas: threats, business
interactions and relations, compliance
and regulations, and employee conduct
(as elaborated in the bottom, left-side
box). All high residual risks require a risk
treatment plan that is monitored and
communicated to the Chief Information
Officer on a quarterly basis.
The Information Security awareness
program expanded to include emerging
cybersecurity scenarios for first line of
defense against threats.
Confidence in our controls is further
enhanced by internal cybersecurity
exercises and external security
assessments. Learnings directly feeds
into risk management, and IT service
and business continuity planning to
ensure continuous focus on operational
resilience.
Key threats managed in our Information Security risk management process
• Social engineering enables phishing, CEO fraud, and other cyberattack methods •
Privileged access abuse is an intentional insider threat that can include data
exfiltration to competitors • Supplier security vulnerabilities can spill over and impact
operations • Compliance with national cybersecurity and data privacy laws challenge
efficient and scalable IT system management • Geopolitics includes collateral
damage from cyber hacktivists, cyber warfare, war, data sovereignity conflicts with
business interests • System intrusion from phishing or other attack vectors; breach of
confidentiality • Human error impacts data integrity and availability • Malware /
Ransomware continues to be a lucrative business for cybercriminal organizations.
RISK MANAGEMENT
71
RISK MANAGEMENT
72
How we manage the risks of doing business
Production and business continuity
Description
Coloplast operates facilities all over the
world, the most recent addition being
production facilities in Iceland following
the acquisition of Kerecis. Most
production takes place at centralised
facilities and in some cases, Coloplast
purchases raw materials, components
used in production, and finished
products from sole suppliers for reasons
of availability, quality assurance and
cost effectiveness.
The current global macroeconomic
trends like high inflation, disrupted
supply chains, weakening consumer
sentiment, tightening monetary policies,
and geopolitical drivers of risk like the
war in Ukraine, are challenging the
operating environment, and have
resulted in an increased level of
challenges on the short- to medium-
term. Coloplast have risk responses in
place (as described to the right) and are
monitoring developments. In addition,
we maintain our focus on the timely
communication of forecasts and orders
and on execution of improvement
projects in the current Global
Operations Plan 5.
Risk examples
Major disruption at a manufacturing or
distribution facility due to natural
disasters or other emergencies, such as,
pandemics and fires may disrupt
Coloplast’s ability to manufacture and
distribute its products and compromise
the availability of products for our users
who need them to manage their
intimate healthcare condition.
A major disruption of the supply chain
due to shortfalls in delivery and quality
issues, force majeure situations, change
in market conditions, strikes, political
unrest or other events beyond
Coloplast’s control, could result in, price
increases, inability to source critical raw
materials, components, and finished
products, and the disruption of the
supply to our customers.
Geopolitical instability, conflicts, and
emerging new geopolitical areas of
concern can affect costs of production,
energy and transportation, and result in
disruptions to our operations,
commercial activities, supply chain and
ultimately negatively impact our ability
to conduct business globally.
Risk responses
Implemented emergency response plans
and contingency plans, keeping critical
processes and workflows physically
separated and having all the relevant
facilities certified to the ‘highly-
protected risk’ industry standards.
Identified high-risk suppliers and
prepared contingency plans, including
maintaining multiple inventories,
collaboration with selected suppliers to
mitigate physical risks at their facilities,
dual supplier qualification for critical raw
materials and component, and
qualification of substitute materials
where applicable.
Built up additional inventory as a
contingency for potential fluctuations in
demand or supply chain disruptions.
Re-visited worst-case scenarios for
short-term disruptions to utility supplies
like electricity for key facilities in Europe
and updated contingency plans
accordingly.
RISK MANAGEMENT
73
Product innovation and development
Description
It is essential that Coloplast maintains a
competitive and innovative product
pipeline that meets the needs of the
users. To achieve this, Coloplast relies
on its ability to interact with end users
and healthcare professionals, to protect
intellectual property against
infringement from competitors and to
understand the surgical and medical
trends that may impact or limit sales.
Risk example
Medical and technological innovations
disrupting Coloplast’s core business.
Lack of innovation increasingly resulting
in a commoditisation trend, allowing the
entry of low-cost competitors,
potentially increasing price pressures
and diminishing clinical differentiation of
the products on the market and
resulting in a loss of market share.
Infringement of intellectual property
rights may reduce Coloplast’s
competitive advantages and negatively
impact sales.
Risk response
Investing in new innovative growth
initiatives for the purpose of developing
superior and clinically differentiated
products, such as our clinical
performance programme.
Patenting to prevent competitors from
copying Coloplast products or from
producing technical equivalent
alternatives.
Monitoring surgical and medical
developments and disruptive
technologies that may impact the
various business areas.
Product quality and safety
Description
Coloplast is committed to ensuring the
quality of its products and the safety of
its users, including organising the
security of personal data. All Coloplast
products must comply with the medical
device directives and legislation imposed
by local healthcare authorities, such as
the US Food and Drug Administration
(FDA) and the new EU Medical Device
Regulation (MDR).
Coloplast passed the first MDR key
milestone in May 2021 and are working
towards having all products certified in
accordance with the transition period
authorised by MDR (by May 2025).
Risk example
Loss of licences to sell or manufacture
due to non-compliance with new laws
and regulations on medical devices in
force from time to time.
Defects and omissions and critical
product quality and safety issues in
product design and manufacturing that
could disrupt operations, sales, lead to
product recalls, bodily injury, and
product liability claims.
Non-compliance with data protection
legislation or personal data leaks that
could lead to monetary fines and
damage Coloplast’s reputation.
Risk response
Continuous investment in the
development and improvement of
control processes, quality procedures,
and supporting information
technologies, from the design phase to
post-market surveillance.
Monitoring legislation and market
standards to ensure that any
amendments or changes are
incorporated into internal procedures.
Certification of our Quality Management
Systems to national and international
standards and carrying out internal and
external audits.
GOVERNANCE AND OWNERSHIP
74
How we manage the risks of doing business
Governance structure
Coloplast has a two-tier management
structure comprised of a Board of
Directors and an Executive Leadership
Team. There are no overlapping
members.
The Board of Directors determines the
Group's objectives, strategies and
overall action plans. On behalf of the
shareholders, the Board of Directors
supervises the company's organisation,
day-to-day management and results.
The Board of Directors also sets
guidelines for the Executive Leadership
Team’s execution of the day-to-day
management of the company and for
assigning tasks among the individual
members of the Executive Leadership
Team.
The Board of Directors and the
Executive Leadership Team further
assess the company’s business
processes, the definition and
implementation of the company’s
purpose, the organisation, stakeholder
relations, strategy, risks, business
objectives and controls.
A set of rules of procedure governs the
work of Coloplast's Board of Directors.
These rules are reviewed annually by
the Board of Directors and updated as
necessary. The rules set out the
guidelines for the activities of the Board
of Directors.
Six members of the Board of Directors
are elected at the general meeting and
three members of the Board of
Directors are elected by the employees.
Four out of six shareholder-elected
members are considered independent
which is in accordance with the Danish
corporate governance
recommendations.
Nine board meetings were held in the
2022/23 financial year, of which two
was extraordinary meetings and one
was a strategy meeting.
GOVERNANCE AND OWNERSHIP
Corporate governance
Corporate governance at Coloplast
OVERVIEW OF BOARD MEMBERS
Board member
Audit
Comm.
Rem. &
Nomin.
Comm.
Indepen-
dent
Nationality
Gender
Board
tenure
Election
period
Board meetings attended
Lars Rasmussen,
Chairman
1)
No
Danish
Male
5 years
1 year
Niels Peter Louis-Hansen,
Deputy Chairman
1)
No
Danish
Male
55 years
1 year
Marianne Wiinholt
1)
Yes
Norwegian
Female
3 years
1 year
Annette Brüls
1)
Yes
Belgian
Female
2 years
1 year
Jette Nygaard-Andersen
1)
Yes
Danish
Female
8 years
1 year
Carsten Hellmann
1)
Yes
Danish
Male
6 years
1 year
Thomas Barfod
2)
No
Danish
Male
17 years
4 years
Roland V. Pedersen
2)
No
Danish
Male
5 years
4 years
Nikolaj Kyhe Gundersen
2)
No
Danish
Male
5 years
4 years
1)
Shareholder-elected board member.
2)
Employee-elected board member.
CORPORATE GOVERNANCE • BOARD OF DIRECTORS • EXECUTIVE LEADERSHIP TEAM • OWNERSHIP AND MAJOR SHAREHOLDERS
75
Committee structure
The Board of Directors has established
two committees: an Audit Committee
and a Remuneration and Nomination
Committee.
Five Audit Committee meetings were
held in the 2022/23 financial year of
which one was an extraordinary
meeting.
Four Remuneration and Nomination
Committee meetings were held in the
2022/23 financial year.
AUDIT COMMITTEE
Committee member
Meetings attended
Marianne Wiinholt, Chairman
Lars Rasmussen
Carsten Hellmann
REMUNERATION AND NOMINATION COMMITTEE
Committee member
Meetings attended
Lars Rasmussen, Chairman
Niels Peter Louis-Hansen
Jette Nygaard-Andersen
Annette Brüls
Activities and responsibilities of the
Audit Committee
Activities and responsibilities of the
Remuneration and Nomination Committee
The Audit Committee is, among others, responsible for the
oversight of:
• The financial reporting and associated processes, including the
statutory audit of the financial statements.
• The company’s internal control systems and risk management
systems, including insurance matters
• Review of the Group’s IT security and the auditors’ annual IT
audit
• The independence of the auditors, including the provision of
non-audit services to the Group
• The procedure of selecting and making recommendation to the
Board of Directors in respect of the appointment of auditors.
• Activities reported through the Coloplast Ethics Hotline.
In the 2022/23 financial year, the main activities have been:
• Overseeing the Atos integration.
• Preparing for future ESG reporting requirements.
• Evaluating the provision relating to the mesh litigation and Atos
US billing compliance.
• Acquisition of Kerecis hf. including equity raise.
The Remuneration and Nomination Committee is, among
others, responsible for the oversight of:
• The competence profile and composition of the Board of
Directors.
• Nomination of members to the Board of Directors and the
Board committees.
• The leadership pipelines.
• The remuneration policy for the members of the Board of
Directors and the Executive Management and other tasks on an
ad hoc basis as specifically determined by the Board of
Directors.
In the 2022/23 financial year, the main activities have been:
• Reviewing governing bodies and ensure proper succession
planning.
• Conducting the annual board self-assessment.
• Evaluation of remuneration structure in light of geopolitical
changes.
GOVERNANCE AND OWNERSHIP
76
How we manage the risks of doing business
Assessment of the work
performed by the Board
of Directors
Every year, the Board of Directors
conducts a self-assessment. Based on
the result of this assessment, the
organisation and efficiency of the Board
of Directors' work are discussed at a
Board meeting.
In 2023, the annual self-assessment of
the Board of Directors was performed
partly with external assistance. The self-
assessment consisted of five qualitative
questions addressing certain strategic
topics in which board members as well
as the Executive Leadership Team
responded anonymously.
The self-assessment shows that there is
an open and transparent dialogue
between the Board of Directors and the
Executive Leadership Team, and the
board committees serve as good
vehicles for framing the discussions in
the Board of Directors and ensure that
key risks are addressed.
Furthermore, the self-assessment shows
that the composition of the Board of
Directors, including relevant
competencies, to a large extent
matches what the Board of Directors
considers necessary to best perform its
tasks, such as finance, digital
transformation, customer experience,
commercialisation, sustainability,
industry knowledge incl. the US market,
general management, innovation, legal
affairs and acquisitions. However, with
the acquisition of Kerecis hf., the board
would like to strengthen its
competences within the biologics space.
During the past year, the Board of
Directors has spent time monitoring and
discussing the progress made on
Coloplast’s Strive25 strategy as well as
the company’s acquisition of Kerecis hf..
Furthermore, the Board of Directors has
spent a significant amount of time
discussing and addressing challenges
caused by current world events.
Further, the board strategy days were
held in Hungary where the board
conducted a deep dive of Global
Operations.
Clear governance and diverse board profiles ensure that the Board of
Directors can operate efficiently and support the company’s strategy.
Corporate governance
4 out of 6
shareholder-
elected members
are independent
Independent
Not independent
Gender
composition of
shareholder-
elected members
Female
Male
4/6
are independent
CORPORATE GOVERNANCE • BOARD OF DIRECTORS • EXECUTIVE LEADERSHIP TEAM • OWNERSHIP AND MAJOR SHAREHOLDERS
77
Remuneration of the
Board of Directors
and the Executive
Management
At the Coloplast Annual General
Meeting held on 2 December 2021, the
shareholders adopted an updated
Remuneration Policy for Coloplast,
which had been prepared by the Board
of Directors. The Remuneration Policy is
available on the company’s website.
Coloplast has also prepared a
Remuneration Report detailing, among
other things, the remuneration to the
Board of Directors and the Executive
Management which complies with
Section 139(b) of the Danish Companies
Act. The Remuneration Report 2021/22
was presented and adopted at the
Annual General Meeting held on
1 December 2022.
Recommendations on
Corporate governance
Coloplast is reporting on the
recommendations on corporate
governance issued by the Committee on
Corporate Governance applying to
financial years starting 1 January 2021
or thereafter. Reporting on these
recommendations is also required by
Supplement A – Nasdaq Copenhagen to
Nasdaq’s Nordic Main Market Rulebook
for Issuers of Shares. The Board of
Directors reviews the recommendations
in force on a regular basis and at least
once a year. The Board of Directors and
the Executive Leadership Team share
the committee's views and generally
complies the recommendations.
The recommendations consist of 40
individual recommendations. Coloplast
complies fully with 38 recommendations
corresponding to 95%.
Coloplast’s position on each of the
recommendations as well as a
description of the internal control and
risk management system relating to
financial reporting can be found in the
Corporate Governance Report which is
prepared pursuant to Section 107(b) of
the Danish Financial Statements Act.
Download the
Remuneration Report
www.coloplast.com/remuneration-
report
Download the Corporate
Governance Report
GOVERNANCE AND OWNERSHIP
78
The Board of Directors
Meet our Board of Directors
Lars Rasmussen
Chairman of the Board,
non-independent
Born 1959. Lars Rasmussen has extensive
executive management and board
experience from international listed
companies in the med-tech and pharma
industry. He possesses in-depth knowledge
within the commercialisation of innovation,
B2B and B2C sales models and efficiency
improvements.
Other board and management positions:
• H. Lundbeck A/S: Chairman of the
Board, Chairman of the Remuneration
and Nomination Committee and member
of the Audit Committee
• Gyldendal A/S: Board member
• Danish Committee of Corporate
Governance: Chairman
• Danish Life Science Council: Chairman
• University of Copenhagen: Board
member
Joined the Board of Directors in 2018.
Niels Peter Louis-Hansen
Deputy Chairman of the Board,
non-independent
Born 1947. Through decades of board work,
Niels Peter Louis-Hansen has gained in-depth
knowledge of the industries in which
Coloplast operates, its dynamics and key
players as well as deep insight into strategy
development. Furthermore, Niels Peter
Louis-Hansen is a key contributor to
preserving the Coloplast-culture.
Other board and management positions:
• Aage og Johanne Louis-Hansens Fond:
Chairman of the Board
• Aage og Johanne Louis-Hansen A/S:
Chairman of the Board
• Coloplast Holding ApS: Chairman of the
Board
• NPLH Holding ApS: CEO
• N. P. Louis-Hansen ApS: CEO
• NPLH Property Investments ApS: CEO
• NPLH Anpartsinvest ApS: CEO
Joined the Board of Directors in 1968.
Annette Brüls
Board member, independent
Born 1971. Annette Brüls has considerable
executive management experience within
global medical device businesses. Annette
Brüls has in-depth knowledge and
understanding of product development and
commercialisation within the med-tech
industry and in particular in chronic disease
management, including digital services and
value-based healthcare models .
Other board and management positions:
• Medela AG: CEO
Joined the Board of Directors in 2021.
See the full CVs of the Board of
Directors on our website
www.coloplast.com/about-
coloplast/management1/
CORPORATE GOVERNANCE • BOARD OF DIRECTORS • EXECUTIVE LEADERSHIP TEAM • OWNERSHIP AND MAJOR SHAREHOLDERS
79
Carsten Hellmann
Board member, independent
Born 1964. Carsten Hellmann has
considerable executive management
experience as CEO in pharma and healthcare
and extensive experience in product
development and international
commercialisation within highly regulated
industries as well as M&A activities, including
post integration.
Other board and management positions:
• Copenhagen Capacity: Board
member
• The Danish Chamber of Commerce:
Board member
Joined the Board of Directors in 2017.
Jette Nygaard-Andersen
Board member, independent
Born 1968. Jette Nygaard-Andersen has
considerable executive management and
board experience within global med-tech,
media and entertainment, and digital growth
businesses. She has extensive experience
within business and marketing strategies,
digital transformation, optimisation of
customer experience and engagement,
working with digital growth start-ups globally
and M&A activities, including post integration.
Other board and management positions:
• Entain plc: CEO & Executive Director
• BetMGM, LLC: Board member
Joined the Board of Directors in 2015.
Marianne Wiinholt
Board member, independent
Born 1965. Marianne Wiinholt has
considerable executive management
experience and extensive experience within
finance and accounting. Furthermore,
Marianne Wiinholt has considerable
knowledge and experience in leading, driving
and delivering a sustainability agenda on a
global scale.
Other board and management positions:
• WS Audiology A/S: CFO
• Widex A/S: Chairman of the Board
• Norsk Hydro ASA: Board member
and Chairman of the Audit
Committee
Joined the Board of Directors in 2020.
Thomas Barfod
Employee-elected board member
Born 1970. Title: Team Manager.
Joined the Board of Directors in 2006.
Roland V. Pedersen
Employee-elected board member
Born 1962. Title: Lead Negotiator.
Joined the Board of Directors in 2018.
Nikolaj Kyhe Gundersen
Employee-elected board member
Born 1969. Title: Skilled Precision Engineer.
Joined the Board of Directors in 2018.
GOVERNANCE AND OWNERSHIP
80
The Executive Leadership Team
Meet our Executive Leadership Team
Kristian Villumsen
President & CEO
With Coloplast since 2008.
Educational background:
MA Political Science, Aarhus University
MA in Public Policy, Harvard University
Kennedy School of Government
Other board positions:
Demant A/S: Board member and member of
the Audit Committee
Anders Lonning-Skovgaard
Executive Vice President, CFO
With Coloplast since 2006.
Educational background:
MSc Finance and Accounting, Aarhus
University
Allan Rasmussen
Executive Vice President, Global Operations
With Coloplast since 1992.
Educational background:
BSc (Mech. Eng.), Technical University of
Denmark
E*MBA, Scandinavian International
Management Institute
Other board positions:
Ferrosan Medical Devices A/S: Board
member
Paul Marcun
Executive Vice President, Growth
With Coloplast since 2015.
Educational background:
MBA in Corporate Finance and Marketing,
Sydney University of Technology
Nicolai Buhl Andersen
Executive Vice President, Innovation
With Coloplast since 2005.
Educational background:
MA in Economics and Business, Copenhagen
Business School and Sophia University, Japan
Dorthe Rønnau
Senior Vice President, People and Culture
With Coloplast since 2022.
Educational background:
MSc in industrial engineering, University of
Copenhagen
MSc Psychology in Organisations (MPO),
Roskilde University
Graduate diploma in Business Administration
CORPORATE GOVERNANCE • BOARD OF DIRECTORS • EXECUTIVE LEADERSHIP TEAM • OWNERSHIP AND MAJOR SHAREHOLDERS
81
Ownership and
shareholdings
The company had 59,299 shareholders
at the end of the financial year, which
was 5,587 more than last year.
Institutional investors based outside
Denmark held 39% of Coloplast's shares
on 30 September 2023, compared to
37% a year earlier. Registered
shareholders represented 98% of the
entire share capital.
Pursuant to the company's articles of
association, shares must be registered in
the name of the holder to carry voting
rights. Two shareholders have reported
to the company, pursuant to section 55
of the Danish Companies Act and
section 38 of the Danish Capital Markets
Act, that at the date of this annual
report they held 5% or more of the
share capital or voting rights.
Residence
Ownership
share
Voting
rights
Shareholders with ownership or
voting rights of more than 5%
Niels Peter Louis-Hansen (controls)¹⁾
Vedbæk
31.4%
55.0%
Benedicte Find
Humlebæk
3.6%
5.3%
¹⁾ Niels Peter Louis-Hansen controls 100% of the share capital and voting rights in NPLH
holds shares in Coloplast A/S personally and through his wholly owned company N.P. Louis-
Hansen ApS bringing the aggregate ownership to the numbers stated in the table above.
A shares
'000 units
B shares
'000 units
Ownership
share
Voting
rights
Ownership structure of
Coloplast A/S
Holders of A shares and their
families
18,000
83,531
44%
68%
Danish institutions
-
15,895
7%
4%
Foreign institutions
-
88,887
39%
23%
Coloplast A/S²⁾
-
3,540
2%
0%
Other shareholders
-
12,655
6%
3%
Non-registered shareholders
-
5,692
2%
0%
Total
18,000
210,200
100%
98%
²⁾ The 3,539,528 shares held by Coloplast on 30 September 2023, equivalent to 2% of the
share capital, are treasury shares without voting rights.
A shares
'000 units
B shares
'000 units
Number of
insiders
Shares held by management
Board of Directors, non-independent directors
1,094
3,450
5
Board of Directors, independent directors
6
4
Executive Management
104
5
Coloplast Holding ApS³⁾
14,791
52,512
-
Total
15,885
56,072
14
³⁾ Niels Peter Louis-Hansen, Deputy Chairman of the board (not considered an independent
board member) controls 100% of the share capital and voting rights in NPLH Holding ApS
which then holds 62.58% of the share capital and 71.13% of the voting rights in Coloplast
Holding ApS. Coloplast Holding ApS holds 29.49% of the share capital in Coloplast A/S and
51.36% of the voting rights in Coloplast A/S. In addition, Niels Peter Louis-Hansen holds
shares in Coloplast A/S personally and through his wholly owned company N.P. Louis-Hansen
ApS bringing the aggregate ownership to the numbers stated in the table above.
GOVERNANCE AND OWNERSHIP
82
Share classes and
authorisations
Following completion of a capital
increase in September 2023 through an
accelerated book-building process in
accordance with article 5(b) of
Coloplast’s articles of association,
Coloplast’s share capital is DKK 228.2
million divided into DKK 18 million A
shares and DKK 210.2 million B shares.
Each A and B share has a nominal value
of DKK 1.
Each A share entitles the holders to ten
votes and each B share entitles the
holders to one vote. The A shares are
non-negotiable instruments. The B
shares are negotiable instruments and
were listed on the Copenhagen Stock
Exchange (Nasdaq Copenhagen) in
1983. Any change of ownership or
pledging of A shares requires the consent
of the Board of Directors, whereas B
shares are freely negotiable.
The Board of Directors may increase the
company's share capital by a nominal
value of up to DKK 15 million in one or
more issues of B shares either with or
without pre-emption rights for existing
shareholders. The authorisation is valid
until and including 1 December 2027. By
decision of 29 August 2023, the Board of
Directors has partly exercised the
authority to increase the share capital by
issuance of B shares with nominally DKK
12.2 million. The remaining amount of
the authorisation is thus nominally DKK
2.8 million. Moreover, the Board of
Directors has been authorised to acquire
treasury shares of up to 10% of the
company's share capital provided that
the company’s total holding of treasury
shares does not exceed 10% of the
company’s share capital at any time. The
highest and lowest amount to be paid for
the shares by the company is the price
applicable at the time of purchase +/-
10%. This authorisation is valid until and
including 4 December 2024.
At general meetings, matters are decided
by a simple majority of votes. Resolutions
to amend the company's articles of
association require that not less than half
of the share capital is represented and
that the resolution is adopted by not less
than two-thirds of the votes cast as well
as of the voting share capital represented
at the general meeting. The resolution
lapses if the above-mentioned share
capital is not represented, or if a resolu-
tion is not adopted by two-thirds of the
votes cast. If a resolution is adopted by
two-thirds of the votes cast but without
at least half of the share capital being
represented, the Board of Directors must
convene a new extraordinary general
meeting within two weeks.
If, at this meeting, the resolution is
adopted by not less than two-thirds of
the votes cast and of the voting share
capital represented, it will be passed
irrespective of the amount of the share
capital represented at the meeting.
In the event of a change of control in the
company resulting from a change of
ownership, issued share options will be
subject to accelerated vesting. No other
important agreements are in place that
would be affected in the event of a
change of control of the company
resulting from a takeover, and no special
agreements have been made between
the company, its management or
employees if their positions are
discontinued due to a change of
ownership. There are no special
provisions governing the election of
members to Coloplast's Board of
Directors.
Ownership and major shareholders
Open and
transparent
communication
Coloplast has established a policy for
communicating information to investors
and shareholders, under which the
Executive Leadership Team and the
Investor Relations team are in charge of
communications pursuant to guidelines
agreed with the Board of Directors. The
communication of information complies
with the rules laid down by Nasdaq,
comprising:
• Full-year and interim financial
statements and the annual report.
• Replies to enquiries from analysts,
investors and shareholders.
• Site visits by investors and analysts.
• Presentations to Danish and foreign
investors.
• Capital markets days and Meet the
Management events for analysts and
investors.
• Conference calls in connection with
the release of financial statements.
• Dedicated investor relations section
on Coloplast’s corporate website.
83
Consolidated
financial
statements
CONSOLIDATED FINANCIAL STATEMENTS
84
Statement of comprehensive income
1 October – 30 September
DKK million
Note
2022/23
2021/22
Revenue
4
Production costs
5, 11, 12, 13
-8,172
-7,050
Gross profit
Distribution costs
5, 11, 12, 13
-7,518
-6,797
Administrative expenses
5, 11, 12, 13
-1,115
-1,005
Research and development costs
5, 11, 12, 13
-872
-866
Other operating income
Other operating expenses
-34
-25
Operating profit (EBIT) before special items
Special items
6
-74
-471
Operating profit (EBIT)
Financial income
7
Financial expenses
7
-937
-431
Profit before tax
Tax on profit for the year
8
-1,242
-1,421
Net profit for the year
Remeasurements of defined benefit plans
18
-9
Tax on remeasurements of defined benefit plans
-19
Items that will not be reclassified to the income statement
-4
Value adjustment of hedging
Transferred to financial items
-114
Tax effect of hedging
-23
Currency adjustment of opening balances and other value adjustments relating to
subsidiaries
-723
-409
Tax effect of currency adjustment, assets in foreign currency
-26
Items that may be reclassified to the income statement
-704
Total other comprehensive income
-708
Total comprehensive income
DKK
Earnings per share (EPS)
9
Earnings per share (EPS), diluted
9
Statement of comprehensive income and cash flows
CONSOLIDATED FINANCIAL STATEMENTS
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • LIST OF NOTES • NOTES
85
Statement of cash flows
1 October – 30 September
DKK million
Note
2022/23
2021/22
Operating profit
Amortisation
Depreciation
Adjustment for other non-cash operating items
24
-220
Changes in working capital
24
-893
-849
Interest received, etc.
Interest paid, etc.
-809
-378
Income tax paid
-1,732
-1,115
Cash flows from operating activities
Investments in intangible assets
-221
-208
Investments in land and buildings
-7
-8
Investments in plant and machinery and other fixtures and fittings, tools and equipment
-96
-41
Investments in property, plant and equipment under construction
-917
-878
Property, plant and equipment sold
Investment in other investments
-17
-2
Acquisition of subsidiaries
32
-7,923
-10,633
Net sales/purchase of marketable securities
Cash flows from investing activities
-8,957
-11,759
Free cash flow
-4,731
-6,660
Increase in share capital
Dividend to shareholders
-4,247
-4,041
Acquisition of treasury shares
-500
Sale of treasury shares and loss on exercised options
-119
Financing from shareholders
-4,660
Repayment of lease liabilities
24
-244
-239
Financing through issuing long-term bonds
24
Hedging gain
Movements on credit facilities
24
-5,398
Cash flows from financing activities
Net cash flows
-69
Cash and cash equivalents at 1 October
Value adjustment of cash and bank balances
-37
Cash and cash equivalents, acquired operations
-2
Net cash flows
-69
Cash and cash equivalents at 30 September
25
The cash flow statement cannot be derived using only the published financial data.
CONSOLIDATED FINANCIAL STATEMENTS
86
Assets
At 30 September
DKK million
Note
2023
2022¹⁾
Intangible assets
11
Property, plant and equipment
12
Right-of-use assets
13
Other equity investments
Deferred tax asset
14
Other receivables
16
Non-current assets
Inventories
15
Trade receivables
16
Income tax
Other receivables
Prepayments
Marketable securities
Cash and cash equivalents
Current assets
Assets
1)
The figures for intangible assets has been restated. Reference is made to note 11 for further information.
Balance sheet
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
87
Equity and liabilities
At 30 September
DKK million
Note
2023
2022¹⁾
Share capital
Currency translation reserve
-1,579
-910
Reserve for hedging
Proposed ordinary dividend for the year
Retained earnings
Equity
9, 10
Provisions for pensions and similar liabilities
18
Provision for deferred tax
14
Other provisions
19
Bonds
20
Other payables
Lease liability
Prepayments
Non-current liabilities
Provisions for pensions and similar liabilities
18
Other provisions
19
Bonds
20
Other credit institutions
20
Trade payables
Income tax
Other payables
Lease liability
Prepayments
26
Current liabilities
Equity and liabilities
1)
The figures for provision for deferred tax has been restated. Reference is made to note 14 for further information.
CONSOLIDATED FINANCIAL STATEMENTS
88
Notes to the consolidated financial statements
Statement of changes in equity, current year
At 30 September
Share capital
Reserves
DKK million
A shares
B shares
Currency
translation
Hedging
Proposed
dividend
Retained
earnings
Total
2022/23
Equity at 1 October
-910
Net profit for the year
Other comprehensive income
-669
-47
-708
Total comprehensive income
-669
Increase in share capital
Sale of treasury shares and loss on
exercised options
Share-based payment
Tax on share-based payment, etc.
-13
-13
Interim dividend paid out in respect of
2022/23
-1,062
-1,062
Dividend paid out in respect of
2021/22
-3,185
-3,185
Transactions with shareholders
-4,247
Equity at 30 September
-1,579
Costs related to the capital increase amounts to DKK 111 million, which is offset against retained earnings.
Statement of changes in equity
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
89
Statement of changes in equity, last year
At 30 September
Share capital
Reserves
DKK million
A shares
B shares
Currency
translation
Hedging
Proposed
dividend
Retained
earnings
Total
2021/22
Equity at 1 October
-392
-41
Net profit for the year
Other comprehensive income
-518
Total comprehensive income
-518
Acquisition of treasury shares
-500
-500
Sale of treasury shares and loss on
exercised options
-119
-119
Share-based payment
Tax on share-based payment, etc.
-50
-50
Interim dividend paid out in respect of
2021/22
-1,062
-1,062
Dividend paid out in respect of
2020/21
-2,979
-2,979
Transactions with shareholders
-4,041
-618
-4,659
Equity at 30 September
-910
CONSOLIDATED FINANCIAL STATEMENTS
90
Notes to the consolidated financial statements
Key accounting policies
1 Basis of preparation
2 Changes in accounting policies
3 General accounting policies
Profit and loss
4 Segment information
5 Staff costs
6 Special items
7 Financial income and expenses
8 Tax on profit for the year
9 Earnings per share (EPS)
10 Dividend per share
Assets and liabilities
11 Intangible assets
12 Property, plant and equipment
13 Right-of-use assets
14 Deferred tax
15 Inventories
16 Trade receivables and other receivables
17 Share options
18 Provisions for pensions and similar obligations
19 Other provisions
20 Credit institutions
21 Financial instruments by category
22 Financial risks
23 Derivative financial instruments
Cash flows and credit facilities
24 Specifications of cash flow from operating
and financing activities
25 Cash and cash equivalents
Other disclosures
26 Public grants
27 Contingent liabilities and guarantees
28 Remuneration of the Board of Directors and
Executive Management
29 Related party transactions
30 Fees to auditors appointed by the Annual
General Meeting
31 Events occurring after the balance sheet date
32 Acquisitions
33 Company overview
34 Definitions of key ratios
Notes to the consolidated financial statements
List of notes
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
91
CONSOLIDATED FINANCIAL STATEMENTS
92
Notes to the consolidated financial statements
Notes to the consolidated financial statements
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
93
CONSOLIDATED FINANCIAL STATEMENTS
94
Notes to the consolidated financial statements
Note 3, continued
Notes to the consolidated financial statements
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
95
Note 3, continued
CONSOLIDATED FINANCIAL STATEMENTS
96
Notes to the consolidated financial statements
Notes to the consolidated financial statements
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
97
Note 4, continued
CONSOLIDATED FINANCIAL STATEMENTS
98
Notes to the consolidated financial statements
Notes to the consolidated financial statements
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
99
Note 6, continued
CONSOLIDATED FINANCIAL STATEMENTS
100
Notes to the consolidated financial statements
Note 7, continued
Notes to the consolidated financial statements
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
101
CONSOLIDATED FINANCIAL STATEMENTS
102
Notes to the consolidated financial statements
Notes to the consolidated financial statements
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
103
CONSOLIDATED FINANCIAL STATEMENTS
104
Notes to the consolidated financial statements
Note 11, continued
Notes to the consolidated financial statements
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
105
Note 11, continued
CONSOLIDATED FINANCIAL STATEMENTS
106
Notes to the consolidated financial statements
Note 11, continued
Notes to the consolidated financial statements
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
107
Note 11, continued
CONSOLIDATED FINANCIAL STATEMENTS
108
Notes to the consolidated financial statements
Note 11, continued
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
109
CONSOLIDATED FINANCIAL STATEMENTS
110
Notes to the consolidated financial statements
Note 12, continued
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
111
CONSOLIDATED FINANCIAL STATEMENTS
112
Notes to the consolidated financial statements
Note 13, continued
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
113
Note 13, continued
CONSOLIDATED FINANCIAL STATEMENTS
114
Notes to the consolidated financial statements
Note 14, continued
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
115
CONSOLIDATED FINANCIAL STATEMENTS
116
Notes to the consolidated financial statements
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
117
CONSOLIDATED FINANCIAL STATEMENTS
118
Notes to the consolidated financial statements
Note 17, continued
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
119
CONSOLIDATED FINANCIAL STATEMENTS
120
Notes to the consolidated financial statements
Note 18, continued
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
121
Note 18, continued
CONSOLIDATED FINANCIAL STATEMENTS
122
Notes to the consolidated financial statements
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
123
Note 19, continued
CONSOLIDATED FINANCIAL STATEMENTS
124
Notes to the consolidated financial statements
Note 20, continued
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
125
CONSOLIDATED FINANCIAL STATEMENTS
126
Notes to the consolidated financial statements
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
127
Note 22, continued
CONSOLIDATED FINANCIAL STATEMENTS
128
Notes to the consolidated financial statements
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
129
Note 23, continued
CONSOLIDATED FINANCIAL STATEMENTS
130
Notes to the consolidated financial statements
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
131
CONSOLIDATED FINANCIAL STATEMENTS
132
Notes to the consolidated financial statements
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
133
Note 28, continued
CONSOLIDATED FINANCIAL STATEMENTS
134
Notes to the consolidated financial statements
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
135
Note 32, continued
CONSOLIDATED FINANCIAL STATEMENTS
136
Notes to the consolidated financial statements
Note 32, continued
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
137
CONSOLIDATED FINANCIAL STATEMENTS
138
Notes to the consolidated financial statements
Note 33, continued
COMPREHENSIVE INCOME • CASH FLOWS • BALANCE SHEET • EQUITY • NOTES
139
140
CONSOLIDATED SUSTAINABILITY PERFORMANCE TABLES
BASIC OF PREPARATION • ENVIROMENTAL DATA • SOCIAL DATA • GOVERNANCE DATA
141
CONSOLIDATED SUSTAINABILITY PERFORMANCE TABLES
142
Environmental data
BASIC OF PREPARATION • ENVIROMENTAL DATA • SOCIAL DATA • GOVERNANCE DATA
143
CONSOLIDATED SUSTAINABILITY PERFORMANCE TABLES
144
GHG emissions, continued
Environmental data
BASIC OF PREPARATION • ENVIROMENTAL DATA • SOCIAL DATA • GOVERNANCE DATA
145
GHG emissions, continued
CONSOLIDATED SUSTAINABILITY PERFORMANCE TABLES
146
Social data
BASIC OF PREPARATION • ENVIROMENTAL DATA • SOCIAL DATA • GOVERNANCE DATA
147
Employees, continued
CONSOLIDATED SUSTAINABILITY PERFORMANCE TABLES
148
Governance data
149
STATEMENTS
150
Executive Management
Executive Vice President
Board of Directors
STATEMENTS • INDEPENDENT AUDITOR’S REPORTS • INDEPENDENT LIMITED ASSURANCE REPORT
151
Report on the audit of the
Financial Statements
Independent Auditor’s Reports
STATEMENTS
STATEMENTS
152
Independent Auditor’s Reports
STATEMENTS • INDEPENDENT AUDITOR’S REPORTS • INDEPENDENT LIMITED ASSURANCE REPORT
153
STATEMENTS
154
Independent Auditor’s Reports
STATEMENTS • INDEPENDENT AUDITOR’S REPORTS • INDEPENDENT LIMITED ASSURANCE REPORT
155
STATEMENTS
156
Independent Auditor’s Reports
CVR no. 33 77 12 31
157
To the shareholders of Coloplast A/S
Independent limited assurance
report on selected consolidated
Social and Environmental data
for 2022/23
Coloplast A/S engaged us to provide
limited assurance on the selected
consolidated Social and Environmental
data stated on pages 141-144 and 147-
148 in the Annual Report of Coloplast
A/S for the period 1 October 2022 - 30
September 2023.
Our conclusion
Based on the procedures we performed
and the evidence we obtained, nothing
came to our attention that causes us to
believe that the selected consolidated
Social and Environmental data in the
Annual Report 2022/23 of Coloplast
A/S are not prepared, in all material
respects, in accordance with the
accounting policies developed by
Coloplast A/S as stated on pages 141-
144 and 147-148.
This conclusion is to be read in the
context of what we say in the remainder
of our report.
What we are assuring
The scope of our work was limited to
assurance over the selected
consolidated Social and Environmental
data stated on pages 141-144 and 147-
148 in the Annual Report 2022/23 of
Coloplast A/S, which includes:
• Waste generation
• Water consumption
• Energy consumption
• Share of renewable energy
• GHG emissions, scope 1, 2 and
selected scope 3 categories
• Lost time injury frequency
• Code of Conduct training
• Ethics hotline cases
We express limited assurance in our
conclusion.
Professional standards applied and
level of assurance
We performed a limited assurance
engagement in accordance with
International Standard on Assurance
Engagements 3000 (Revised)
‘Assurance Engagements other than
Audits and Reviews of Historical
Financial Information’ and, in respect of
the greenhouse gas emissions, in
accordance with International Standard
on Assurance Engagements 3410
‘Assurance engagements on
greenhouse gas statements’. The
quantification of greenhouse gas
emissions is subject to inherent
uncertainty because of incomplete
scientific knowledge used to determine
the emissions factors and the values
needed to combine emissions of
different gases.
A limited assurance engagement is
substantially less in scope than a
reasonable assurance engagement in
relation to both the risk assessment
procedures, including an understanding
of internal control, and the procedures
performed in response to the assessed
risks; consequently, the level of
assurance obtained in a limited
assurance engagement is substantially
lower than the assurance that would
have been obtained had a reasonable
assurance engagement been
performed.
Our independence and quality control
We have complied with the
independence requirements and other
ethical requirements in the International
Ethics Standards Board for
Accountants’ International Code of
Ethics for Professional Accountants
(IESBA Code), which is founded on
fundamental principles of integrity,
objectivity, professional competence
and due care, confidentiality and
professional behaviour and ethical
requirements applicable in Denmark.
PricewaterhouseCoopers is subject to
the International Standard on Quality
Control, ISQC 1, and thus applies a
comprehensive quality control system,
including documented policies and
procedures regarding compliance with
ethical requirements, professional
standards, and current statutory
requirements and other regulation.
Our work was carried out by an
independent multidisciplinary team with
experience in sustainability reporting
and assurance.
Understanding reporting and
measurement methodologies
The selected consolidated Social and
Environmental data need to be read
and understood together with the
accounting policies stated on pages
141-144 and 147-148. The accounting
policies used for the preparation of the
selected consolidated Social and
Environmental data are the applied
accounting policies developed by
Coloplast A/S, which Management is
solely responsible for selecting and
applying. The absence of a significant
body of established practice on which to
draw to evaluate and measure
sustainability data allows for different,
but acceptable, measurement
techniques and can affect comparability
between entities and over time.
Work performed
We are required to plan and perform
our work in order to consider the risk of
material misstatement of the selected
consolidated Social and Environmental
data. In doing so and based on our
professional judgement, we:
• Made inquiries and conducted
interviews with Coloplast's
management with responsibility for
management and reporting of
selected consolidated Social and
Environmental data to assess
reporting and consolidation process,
use of company-wide systems and
controls performed.
Independent limited assurance report
STATEMENTS
158
PARENT COMPANY FINANCIAL STATEMENTS
• Performed limited substantive
testing on a sample basis to
underlying documentation and
evaluated the appropriateness of
quantification methods and
compliance with the accounting
policies used for preparation of the
selected consolidated Social and
Environmental data at corporate
head office and in relation to
selected Coloplast reporting sites.
• Performed analysis of the selected
consolidated Social and
Environmental data from all
reporting sites, selected based on
risk and materiality to the Group.
• Made inquiries to significant
development in the selected
consolidated Social and
Environmental data.
• Considered the disclosure and
presentation of the selected
consolidated Social and
Environmental data.
• Assessed whether Coloplast in
relation to the reported greenhouse
gas emissions data stated on pages
143-144 has complied with the
principles of relevance,
completeness, consistency,
transparency, and accuracy outlined
in the Greenhouse Gas Protocol
(WRI and WBCSD, 2001); and
• Evaluated the evidence obtained.
Management’s responsibilities
Management of Coloplast A/S is
responsible for:
• Designing, implementing, and
maintaining internal control over
information relevant to the
preparation of the selected
consolidated Social and
Environmental data that are free
from material misstatement,
whether due to fraud or error;
• Establishing objective accounting
policies for preparing the selected
consolidated Social and
Environmental data;
• Measuring and reporting the
selected consolidated Social and
Environmental data based on the
accounting policies; and
• The content of the selected
consolidated Social and
Environmental data.
Our responsibility
We are responsible for:
• Planning and performing the
engagement to obtain limited
assurance about whether the
selected Social and Environmental
data for the period 1 October 2022
to 30 September 2023 is free from
material misstatement, whether due
to fraud or error.
• Forming an independent conclusion,
based on the procedures performed
and the evidence obtained; and
• Reporting our conclusion to the
Shareholders of Coloplast A/S.
STATEMENTS
Independent limited assurance report
Hellerup, 9 November 2023
PricewaterhouseCoopers
Statsautoriseret Revisionspartnerselskab
CVR no. 33 77 12 31
Mogens Nørgaard Mogensen
State Authorised Public Accountant
mne21404
Rikke Lund-Kühl
State Authorised Public Accountant
mne33507
159
Parent
company
financial
statements
Coloplast A/S
160
PARENT COMPANY FINANCIAL STATEMENTS
Income statement
1 October - 30 September
DKK million
Note
2022/23
2021/22
Revenue
3
15,410
14,548
Production costs
4
-8,790
-7,182
Gross profit
6,620
7,366
Distribution costs
4
-1,721
-1,256
Administrative expenses
4, 5
-311
-864
Research and development costs
4
-888
-889
Other operating income
13
11
Other operating expenses
-114
-
Operating profit (EBIT)
3,599
4,368
Profit/loss after tax on investments in subsidiaries
10
301
682
Financial income
6
1,230
183
Financial expenses
6
-1,132
-363
Profit before tax
3,998
4,870
Tax on profit for the year
7
-804
-908
Net profit for the year
2
3,194
3,962
PARENT COMPANY FINANCIAL STATEMENTS
Income statement and balance sheet
INCOME STATEMENT • BALANCE SHEET • NOTES • SHAREHOLDER INFORMATION
161
Balance sheet
At 30 September
DKK million
Note
2023
2022
Assets
Intangible assets
8
19,724
2,121
Property, plant and equipment
9
732
689
Financial assets
10
26,488
19,378
Non-current assets
46,944
22,188
Inventories
11
1,190
1,240
Trade receivables
491
478
Receivables from Group companies
3,218
3,152
Income tax
220
-
Other receivables
182
183
Prepayments
158
183
Marketable securities
-
219
Cash and cash equivalents
457
201
Current assets
5,916
5,656
Assets
52,860
27,844
Equity and liabilities
Share capital
228
216
Reserve for hedging
423
415
Proposed ordinary dividend for the year
3,595
3,185
Retained earnings
9,551
2,528
Equity
12
13,797
6,344
Provisions for pensions and similar liabilities
13
2
2
Provision for deferred tax
14
1,033
200
Other provisions
13
-
30
Payable to Group companies
16,405
16,360
Non-current liabilities
17,440
16,592
Other provisions
13
94
139
Other credit institutions
2,418
1,794
Trade payables
289
373
Payable to Group companies
17,593
1,015
Income tax
-
782
Other payables
1,229
805
Current liabilities
21,623
4,908
Liabilities
39,063
21,500
Equity and liabilities
52,860
27,844
Contingent items and other financial liabilities
15
162
Notes to Parent Company financial statements
PARENT COMPANY FINANCIAL STATEMENTS
Note 1
Accounting policies
Basis of preparation
The parent company’s financial statements are presented in accordance with the Danish Financial Statements Act for
companies in reporting class D.
The accounting policies of the parent company are the same as those of the Group, but with the addition of the policies
described below. The Group’s accounting policies are set out in note 1, 2 and 3 to the consolidated financial statements.
Other than as set out hereinabove, there have been no changes to the accounting policies relative to last year.
General information
No separate cash flow statement has been prepared for the parent company as per the exemption clause of section 86(4) of
the Danish Financial Statements Act. The consolidated cash flow statement is set out on page 85.
Intangible assets
Goodwill is measured at cost less accumulated amortisation and impairment. Amortisation is calculated using the straight-line
method over the expected useful life, estimated at 10 years. This estimate was made on the basis of estimated useful lives of the
other assets acquired in the transaction.
Property, plant and equipment
Leases, under which substantially all risk and rewards or ownership of an asset are transferred, are classified as finance leases.
Other leases are classified as operating leases. No finance leases have been recognised in the parent company’s financial
statements.
Financial assets
In the parent company’s financial statements, investments in subsidiaries and associates are recognised according to the equity
method. The share of the results of subsidiaries less unrealised intra-group gains is recognised in the parent company’s income
statement. Net revaluation of investments in subsidiaries and associates exceeding the dividend declared by such companies is
recognised in equity as reserve for net revaluation according to the equity method.
Financial instruments
The accounting policies and other information about derivative financial instruments are set out in note 23 to the consolidated
financial statements.
Tax
The parent company is taxed jointly with its domestic subsidiaries. The jointly taxed Danish subsidiaries are covered by the
Danish on-account tax scheme. Current tax for jointly taxed companies is recognised in each individual company.
Note 2
Profit distribution
DKK million
2022/23
2021/22
Profit distribution
Retained earnings
-1,463
-285
Dividend paid during the year
1,062
1,062
Proposed dividend for the year
3,595
3,185
Total
3,194
3,962
INCOME STATEMENT • BALANCE SHEET • NOTES • SHAREHOLDER INFORMATION
163
Note 3
Revenue
DKK million
2022/23
2021/22
Business areas
Intimate healthcare
15,410
14,548
Total
15,410
14,548
Geographical markets
Europe
9,538
9,411
Americas
3,962
3,361
Rest of the world
1,910
1,776
Total
15,410
14,548
Note 4
Staff costs
DKK million
2022/23
2021/22
Specification of staff costs recognised in the financial year
Salaries, wages and directors' remuneration
1,163
1,148
Pensions
103
98
Other social security costs
10
11
Total
1,276
1,257
Average number of employees, FTEs
1,371
1,378
See note 28 to the consolidated financial statements for information on the remuneration for the Board of Directors and
Executive Management.
Note 5
Fees to auditors appointed by the Annual General Meeting
DKK million
2022/23
2021/22
Statutory audit
6
5
Assurance engagements other than audit
1
1
Tax advisory
3
2
Other services
2
2
Fee to PricewaterhouseCoopers
12
10
Fee for non-audit services provided to the Parent Company by PricewaterhouseCoopers Statsautoriseret
Revisionspartnerselskab, Denmark, amounted to DKK 4 million (2021/22: DKK 4 million), relating to tax compliance, transfer
pricing, due diligence and other assurance assessments and opinions.
164
Notes to Parent Company financial statements
PARENT COMPANY FINANCIAL STATEMENTS
Note 6
Financial income and expenses
DKK million
2022/23
2021/22
Financial income
Interest income, etc.
51
7
Interest income from Group companies
403
109
Interest hedges
75
27
Net exchange adjustments
661
40
Fair value adjustments, forward contracts
40
-
Total
1,230
183
Financial expenses
Interest expenses, etc.
211
48
Interest expenses from Group companies
921
124
Fair value adjustments, forward contracts
-
191
Total
1,132
363
Note 7
Tax on profit for the year
DKK million
2022/23
2021/22
Current tax on profit for the year
15
994
Change in deferred tax on profit for the year
801
-98
Adjustment of tax relating to prior years
-12
12
Tax on profit for the year
804
908
Tax on equity entries, income
-10
8
INCOME STATEMENT • BALANCE SHEET • NOTES • SHAREHOLDER INFORMATION
165
Note 8
Intangible assets
Total
DKK million
Acquired
patents,
trademarks
and know-
how etc.
Goodwill
Software
Prepay-
ments and
intangible
assets in
progress
2022/23
2021/22
Cost at 1 October
2,743
1,546
578
166
5,033
4,837
Transfers
-
-
102
-102
-
-
Additions and improvements during the year
18,140
-
57
160
18,357
196
Disposals during the year
-
-
-37
-
-37
-
Cost at 30 September
20,883
1,546
700
224
23,353
5,033
Amortisation at 1 October
1,422
1,121
369
-
2,912
2,746
Amortisation for the year
579
96
79
-
754
166
Amortisation reversed on disposals during the year
-
-
-37
-
-37
-
Amortisation at 30 September
2,001
1,217
411
-
3,629
2,912
Carrying amount at 30 September
18,882
329
289
224
19,724
2,121
Note 9
Property, plant and equipment
Total
DKK million
Plant and
machinery
Other
fixtures
and
fittings,
tools and
equipment
Prepay-
ments and
assets
under
construc-
tion
2022/23
2021/22
Cost at 1 October
625
922
281
1,828
1,687
Transfers
64
75
-139
-
-
Additions during the year
15
59
131
205
189
Disposals during the year
-86
-125
-
-211
-48
Cost at 30 September
618
931
273
1,822
1,828
Depreciations at 1 October
387
752
-
1,139
1,026
Depreciations for the year
39
83
-
122
118
Depreciations reversed on disposals during the year
-49
-122
-
-171
-5
Depreciations at 30 September
377
713
-
1,090
1,139
Carrying amount at 30 September
241
218
273
732
689
166
Notes to Parent Company financial statements
PARENT COMPANY FINANCIAL STATEMENTS
Note 10
Financial assets
Total
DKK million
Investments in
Group companies
Receivables from
Group companies
Other securities and
investments
2022/23
2021/22
Cost at 1 October
15,575
5,074
44
20,693
5,261
Capital investments
8,993
1,294
14
10,301
16,134
Divestments
-
-15
-
-15
-3
Exchange adjustments
290
-140
-
150
-699
Cost at 30 September
24,858
6,213
58
31,129
20,693
Value adjustments at 1 October
-1,322
-
7
-1,315
-1,345
Profit after tax
301
-
-
301
682
Dividend received
-3,013
-
-
-3,013
-1,639
Exchange adjustments
-610
-
-
-610
110
Other adjustments
-4
-
-
-4
877
Value adjustments at 30 September
-4,648
-
7
-4,641
-1,315
Carrying amount at 30 September
20,210
6,213
65
26,488
19,378
See note 33 in the consolidated financial statements for an overview of subsidiaries.
Note 11
Inventories
DKK million
2023
2022
Raw materials and consumables
66
61
Work in progress
267
303
Manufactured goods
857
876
Inventories at 30 September
1,190
1,240
The company has not provided inventories as security for debt obligations.
INCOME STATEMENT • BALANCE SHEET • NOTES • SHAREHOLDER INFORMATION
167
Note 12
Statement of changes in equity
Share capital
Total equity
DKK million
A shares
B shares
Hedging
reserve
Proposed
dividend
Retained
earnings
2022/23
2021/22
Equity at 1 October
18
198
415
3,185
2,528
6,344
7,031
Net profit for the year
-
-
-
4,657
-1,463
3,194
3,962
Value adjustment of hedging
-
-
145
-
-
145
281
Transferred to financial items
-
-
-114
-
-
-114
164
Tax effect of hedging
-
-
-23
-
-
-23
11
Currency adjustment of opening
balances and other adjustments
relating to subsidiaries
-
-
-
-
-725
-725
-505
Transactions with shareholders
Transfer
-
-
-
-
-
-
-
Acquisition of treasury shares
-
-
-
-
-
-500
Increase in share capital
-
12
-
-
9,088
9,100
Sale of treasury shares and loss on
exercised options
-
-
-
-
73
73
-89
Share-based payment
-
-
-
-
37
37
33
Tax on equity entries
-
-
-
-
13
13
-3
Interim dividend paid out in respect of
2022/23
-
-
-
-1,062
-
-1,062
-1,062
Dividend paid out in respect of
2021/22
-
-
-
-3,185
-
-3,185
-2,979
Equity at 30 September
18
210
423
3,595
9,551
13,797
6,344
Note 13
Provisions
Total
DKK million
Legal
claims
Pension
2022/23
2021/22
Provisions at 1 October
169
2
171
170
Exchange adjustments
-12
-
-12
60
Provisions used during the year
-263
-
-263
-359
Additional provisions
200
-
200
300
Provisions at 30 September
94
2
96
171
Expected maturities
Non-current liabilities
-
2
2
32
Current liabilities
94
-
94
139
Provisions at 30 September
94
2
96
171
See note 19 to the consolidated financial statements for more information regarding the litigation about transvaginal surgical
mesh products.
168
Notes to Parent Company financial statements
PARENT COMPANY FINANCIAL STATEMENTS
Note 14
Deferred tax
DKK million
2023
2022
Calculation of deferred tax is based on the following items
Intangible assets
1,135
341
Property, plant and equipment
33
36
Production overhead
12
12
Provisions
-43
-46
Jointly taxed companies (recaptured balances)
-
9
Cash flow hedges
-91
-131
Other
-13
-21
Deferred tax at 30 September, net
1,033
200
Note 15
Contingent items and other financial liabilities
2023
2022
DKK million
Rent
Other
operating
leases
Total
Rent
Other
operating
leases
Total
Falling due in
Less than one year
53
25
78
54
15
69
Within 1 to 5 years
-
8
8
4
22
26
After more than 5 years
-
-
-
-
-
-
Other financial liabilities at 30 September
53
33
86
58
37
95
The parent company had provided guarantees for loans raised by Group companies amounting to DKK 648 million at 30
September 2023 (DKK 542 million at 30 September 2022).
The parent company has issued a letter of subordination to the benefit of other creditors of subsidiaries.
The parent company is involved in minor lawsuits, which, other than as described in note 19 to the consolidated financial
statements, are not expected to influence the parent company’s future earnings.
The parent company is jointly and severally liable for tax on the Group’s jointly taxed Danish income, etc.
Bonds in repo transactions have been provided as collateral for repo debt. Bonds provided as collateral were valued at DKK 0
million at 30 September 2023 (DKK 199 million at 30 September 2022).
169
Announcements 2022/23
Financial calendar 2022/23
2022
2023
09/2022 Full-year Financial Results 2021/22
10/2022 Annual Report 2021/22 and
Remuneration Report 2021/22
11/2022 Sustainability Report 2021/22
12/2022 Notice of Annual General Meeting
13/2022 Decisions of Annual General Meeting
2022
14/2022 Articles of Association
11 October Silent period until 9 November
25 October Deadline for submission of agenda points for
the Annual General Meeting
9 November Financial Statements for the full year
2022/23 and Annual Report 2022/23
7 December Annual General Meeting 2023
12 December Dividends for 2022/23 at the disposal of
shareholders
23 December Silent period until 9 February 2024
2023
2024
01/2023 Interim Financial Report, Q1 2022/23
02/2023 Interim Financial Report, H1 2022/23
03/2023 Coloplast announces agreement to acquire
Kerecis and raises long-term growth
expectations
04/2023 Interim Financial Report, 9M 2022/23
05/2023 Major shareholder notification
06/2023 Coloplast launches offering to raise around
DKK 9 billion through issue of new B shares in
a directed issue and private placement
07/2023 Coloplast announces completion of offering of
12.2 million new B shares in a directed issue
and private placement
08/2023 Coloplast announces registration of share
capital increase of 12.2 new B shares
completed
09/2023 Financial Calendar 2023-24
9 February Interim Financial Statements for Q1
2023/24
8 April Silent period until 7 May
7 May Interim Financial Statements for H1
2023/24
1 July Silent period until 20 August
20 August Interim Financial Statements for 9M
2023/24
7 October Silent period until 5 November
23 October Deadline for submission of agenda points for
the Annual General Meeting
5 November Financial Statements for the full year
2023/24 and Annual Report 2023/24
5 December Annual General Meeting 2024
10 December Dividends for 2023/24 at the disposal of
shareholders
Banks and stockbroking companies following Coloplast
ABG Sundal Collier
AlphaValue
Barclays
Berenberg
Bernstein
BofA Securities
Carnegie
CFRA
Citi
Danske Bank
DNB
Equita
Goldman Sachs
Handelsbanken
HSBC
Jefferies
J.P. Morgan
Jyske Bank
Kepler Cheuvreux
Morgan Stanley
Morningstar Inc.
Nordea
Nykredit
ODDO BHF
RBC
Redburn
SEB
Sydbank
UBS
Investor Relations contacts
Aleksandra Dimovska
Senior Director, Investor Relations
Kristine Husted Munk
Senior Manager, Investor Relations
Tel. +45 49 11 24 58
Tel. +45 49 11 32 66
SHAREHOLDER INFORMATION
Financial calendar, analysts following Coloplast and contact information
170
The Coloplast story begins back in 1954. Elise
Sørensen is a nurse. Her sister Thora has just had
an ostomy operation and is afraid to go out in
public, fearing that her stoma might leak. Listening
to her sister’s problems, Elise conceives the idea of
the world’s first adhesive ostomy bag.
Based on Elise’s idea, Aage Louis-Hansen, a civil
engineer and plastics manufacturer, and his wife
Johanne Louis-Hansen, a trained nurse, created the
ostomy bag. A bag that does not leak, giving Thora
– and thousands of people like her – the chance to
live the life they want.
A simple solution that makes a difference.
Today, our business includes Ostomy Care,
16,000 employees.
The Coloplast logo is a registered trademark of Coloplast A/S. © 2023-11.
All rights reserved Coloplast A/S, 3050 Humlebaek, Denmark.
Coloplast A/S
Company registration (CVR) No. 69 74 99 17