In 2008, consolidated revenues totalled DKK 5,374 million, matching a growth
rate of 2% in local currencies. Revenues were negatively impacted by exchange
rates by approximately 4%. While retaining high profitability, the business area
Diagnostic Instruments captured significant market shares in 2008 thanks to 16%
revenue growth measured in local currencies. Operating profits (EBIT) amounted
to DKK 1,042 million, or a profit margin of 19.4%. Due to the weakening of the
British pound and the US dollar, in particular, EBIT was negatively impacted by
exchange rates in the amount of approximately DKK 90 million. Despite the
financial crisis and generally unfavourable market conditions, consolidated
cash flows from operating activities totalled DKK 828 million in 2008. The
considerable cash flows generated in the period under review match last year's
cash flows and also reflect a satisfactory development in inventories,
receivables and payables. At the beginning of 2009, the Group's hearing aid
businesses have strong product portfolios, which are expected to be enhanced
even further in spring through significant new products. Based on this, we
expect corporate wholesale of hearing aids to exceed market growth by 2-4
percentage points in 2009. We maintain our decision to temporarily suspend our
buy-back of shares, as announced in November 2008. The global financial crisis
and our wish to always have substantial financial resources available for any
further expansion are the main reasons for this decision.
