Specialist
Former director at Carl Zeiss Meditec AG
Agenda
- Sustainability of Zeiss’ competitive positioning in the IOL (intraocular lens) space, highlighting nuances across materials and product types
- Zeiss' (ETR: AFX) ability to expand EBIT margins, plus pricing outlook and likely growth expectations
- Portfolio analysis, including competitiveness of Quatera 700, highlighting potential US launch and FDA approval
- Outlook for Zeiss' US market revenue growth in ophthalmic surgery
Questions
1.
Where is the strength of Carl Zeiss’s IOL [intraocular lens] portfolio? How is demand trending for each IOL type?
2.
Could you elaborate on the hydrophilic-design IOLs at Zeiss and the problems with this material that you highlighted?
3.
How do manufacturing material involvements or manufacturing processes differ between the hydrophobic and hydrophilic platforms?
4.
Do you think a multifocal could be launched in a hydrophobic material in the next few years, or are the difficulties you outlined limiting that from taking place?
5.
You estimated that hydrophilic represents around 35% of the market, limiting that TAM. How do you see that 35% trending?
6.
What sort of growth do you think we should be assuming YoY over the next 3-5 years?
7.
What improvements do you think we need to see from Zeiss in the European market over the next 3-5 years, particularly related to the IOL portfolio?
8.
Zeiss launched the Quatera 700 in Europe in September 2021. How differentiated do you consider this product? What might uptake look like over the next 1-2 years?
9.
You mentioned that the Quatera 700 can only be integrated in equipment from Zeiss. How do you think that might limit uptake over the next 1-2 years?
10.
You mentioned Zeiss first going to its existing customer base for the Quatera 700 and that it might be quite time-consuming. How might that uptake trend and how time-consuming might that be? How rapidly do you think Zeiss can expand or ramp up?
11.
In the US market, the Quatera 700 is still awaiting FDA approval, though it’s expected in the coming months. What time frame can we have in mind for a potential launch? Zeiss is listing for a full launch in 2023. What’s your outlook and do you have any concerns?
12.
Alcon arguably has a dominant position vs the Quatera 700 and claims to hold the upper hand from a technical perspective. How do you think they compare and how differentiated do you think the Quatera is on the market vs competitors?
13.
What might be the sales pitch to convince a surgeon to switch to Quatera from a product from Alcon, Johnson & Johnson or Bausch + Lomb?
14.
How much of US market share do you think the Quatera will be able to take over the next 3-5 years?
15.
How far away would you say we are from having a hydrophobic trifocal lens that Zeiss can enter the US market with? Why do you think this is taking so long following the Aaren Scientific deal in 2014?
16.
I’ve read estimates that we can expect an FDA approval for Zeiss’ full surgical portfolio by the end of 2023 or beginning of 2024. What might uptake look like post-approval? How quickly do you think the company will be able to fully ramp up?
17.
How realistic might it be for Zeiss to take around 10% market share in US IOLs by 2026?
18.
Could you provide an update on the IanTech products – the Micor and the MiLoop – that Zeiss acquired in 2018? How likely are sales to be material for these products in the next five years?
19.
To what price point do you think the MiLoop would need to come down to be a competitive product on the market?
20.
Bausch + Lomb seems to be going to IPO rather than sell its surgical business to Zeiss. Do you think that’s a big setback for Zeiss or not? I think there were some thoughts that this acquisition could have accelerated the company’s US growth ambition.
21.
Do you think the next five years will be higher or lower organic growth for Zeiss vs the last five years, particularly when you take into account the US IOLs, phaco launch, Smile growth trajectory and microscopes?
Gain access to Premium Content
Submit your details to access up to 5 Forum Transcripts or to request a complimentary 48 hour week trial
The information, material and content contained in this transcript (“Content”) is for information purposes only and does not constitute advice of any type or a trade recommendation and should not form the basis of any investment decision.This transcript has been edited by Third Bridge for ease of reading. Third Bridge Group Limited and its affiliates (together “Third Bridge”) make no representation and accept no liability for the Contentor for any errors, omissions or inaccuracies in respect of it. The views of the specialist expressed in the Content are those of the specialist and they are not endorsed by, nor do they represent the opinion of, Third Bridge. Third Bridge reserves all copyright, intellectual and other property rights in the Content. Any modification, reformatting, copying, displaying, distributing, transmitting, publishing, licensing, creating derivative works from, transferring or selling any Content is strictly prohibited
