Carl Zeiss Meditec AG Q3 2020 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Scott Bardo - Joh. Berenberg, Gossler & Co. KG, Research Division - Analyst : I wonder if you could share with us please what proportion of your revenues stem from hospital sales and what proportion stems from private practices or ambulatory surgical centers. And furthermore, is there any particular end market that you're more apprehensive or nervous about in terms of the shape of the recovery next year and beyond? So a bit of discussion about end-market channels and dynamics would be helpful. The second question, please. I guess it must have been tempting to somewhat moderate R&D spend at the time of EBIT margin pressure. You've not done that. In fact, you've further expanded your R&D efforts, which I think is very forward thinking. But would you be kind enough to please highlight some of the major buckets of investment in R&D currently and why you think that this is such a priority for the future? Perhaps you could comment a little bit about where we are with the phaco project for the North American market. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. AUGUST 05, 2020 / 7:30AM, AFXG.DE - Q3 2020 Carl Zeiss Meditec AG Earnings Call

Question: Scott Bardo - Joh. Berenberg, Gossler & Co. KG, Research Division - Analyst : Understood. Perhaps a quick follow-up. I think as we look at the market today, it is one that's underpinned by strong recurring revenues aligned with the consumable component. Is this something that you're actively developing and plan to manufacture yourselves? Does this -- is this a more difficult approval process because of the high consumable content? Maybe you can just comment a little bit further there. And lastly, please, just on your comments on the funnel management for capital equipment. I think you've had, by and large, a pretty resilient performance in microsurgery, albeit the shocks of Q3 somewhat underpinned by your order book and your development activities this year. Do you think that the demand landscape at all changes for otherwise big-ticket medical capital equipment such as microsurgical devices post-COVID? Or are you confident in the robust dynamics of this industry as we look forward?