Sonova (SOON) Investor & Analyst Day 2024 summary

Market and Financial Outlook

• Hearing aid market is projected to grow at a 4–6% CAGR over five years, with full-year tracked market growth expected at 4–6%.

• Mid-term targets are 6–9% revenue growth and 7–11% EBITDA/EBITA growth, with FY 2024/25 outlook confirmed at these levels in local currency.

• Currency headwinds, mainly from the Swiss franc, are expected to reduce revenue by 1–2% and EBITDA by 3–4%.

• Profitability in the first half is impacted by launch costs and ASP pressure, with stronger growth and profitability anticipated in the second half.

• Restructuring and integration costs for FY 2024/25 are estimated at CHF 30–40 million.

Strategy and Strategic Initiatives

• Strategy remains unchanged, focusing on innovation, consumer access, omni-channel care, and continuous process improvement.

• Key growth drivers include leading audiological innovation, expanding omni-channel care, and leveraging M&A for growth.

• Investments are directed toward high-growth markets and digital transformation.

• Audiological care business is consolidating brands in the US under AudioNova and in Germany under GEERS, achieving market leadership.

• Over 3,700 points of sale in 20 markets, expanding through greenfield and M&A.

Innovation and Product Development

• Launched Infinio and Sphere Infinio platforms, featuring the proprietary DeepSonic AI chip for real-time speech-in-noise separation and up to 10 dB SNR improvement.

• Sphere Infinio delivers 2–3x better speech understanding than competitors and up to 50% more access to speech cues.

• Infinio platform offers improvements in sound quality, connectivity, reliability, and personalization, with 93% consumer satisfaction at first fit.

• Proprietary chip architecture and large-scale DNN training create significant technological and potential patent barriers.

• Battery life for Sphere is 16 hours with typical use, with automatic switching to optimize energy consumption.