gn resound audio performance

GN Releases Interim Report Q3 of 2018: Double Digit Organic Growth, with Audio Division Continuing to Deliver Strong Results

BALLERUP, DENMARK — In the third quarter of 2018, GN Hearing continues to report strong performance in the independent sector, in what the company said is in line with its 2017-2019 strategy, particularly in North America, where the company says it has witnessed double digit organic revenue growth driven by the LiNX 3D hearing aid family, and somewhat by the release of its newest device, the LiNX Quattro.

The company is especially optimistic about response to its newest device, the LiNX Quattro, which offers lithium-ion rechargeability. It was released beginning on August 31st of this year to the independent market, and was released into the Department of Veteran’s Affairs (VA) on November 1st.

In Q3, we launched our new Premium-Plus hearing aid ReSound LiNX Quattro, which was very positively received by audiologists and users. Also, in the quarter we continued our strong performance in the important independent market. With this, together with strong demand for our ReSound LiNX 3D product family, we are well on track to deliver on our objectives for 2018.”

–Marcus Desimoni, Interim CEO of GN Hearing

 

Company Performance in Q3:

  • GN Store Nord delivered 12% organic revenue growth in Q3 2018. Revenue growth was 12% including around (1)% impact from the development in foreign exchange rates and 1% impact from M&A
  • EBITA margin increased to 18.0% 
  • EPS increased 10% compared to Q3 2017  
  • Continued strong cash conversion at 76% in Q3 2018
  • The financial guidance for 2018 is confirmed
  • GN Hearing delivered 6% organic revenue growth in Q3 2018 driven by continued strong growth in the independent market. Revenue growth was 5% including around (2)% impact from the development in foreign exchange rates and 1% impact from M&A
  • Encouraging initial launch feedback regarding ReSound LiNX Quattro™, the world’s first Premium-Plus hearing aid
  • EBITA increased 5% to DKK 269 million. The EBITA margin reached 19.3%, in line with Q3 2017, reflecting a strong gross margin increase, but off-set by the development in foreign exchange rates as well as some launch costs
  • GN Audio delivered an exceptionally strong 20% organic revenue growth in Q3 2018 reflecting strong, broad based performance across businesses, geographies and channels. Revenue growth was 22% including around 1% impact from the development in foreign exchange rates and 1% impact from M&A
  • New product launches support GN Audio’s strong current momentum and fortifies its position as innovation leader

René Svendsen-Tune, CEO of GN Audio, commented on the company’s performance in the third quarter:

“Q3 2018 was yet another very strong quarter for GN Audio with strong, broad-based organic revenue growth. I’m very pleased with the strong execution and performance across the entire organization. Our CC&O business continued to deliver market leading double digit organic revenue growth, and our consumer business continued its recent momentum and delivered strong organic revenue growth.”

 

Source: GN Store Nord

 


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