Annual Report
2016/17
Letter to shareholders
For Sonova, 2016/17 marked an important year in our strategic transformation. We significantly strengthened our position as a complete provider of innovative hearing care solutions and took a great stride towards further implementing our fully integrated business model.
Strategy and businesses
Sonova
We are energized by our vision: a world where everyone enjoys the delight of hearing and therefore lives a life without limitations. We bring this closer to reality each day through continuous, customer-driven innovation.
Hearing instruments business
Our three strong brands – Phonak, Unitron and Hansaton – make us the world’s leading provider of hearing instruments. By driving innovation and staying focused on our customers, we deliver ever better hearing for millions of people worldwide.
There is no comprehensive, practical training available to produce qualified hearing care professionals in China. Sonova’s new training center in Suzhou bridges this gap with advanced courses, and the company is also keen to communicate a new, customer-focused approach in its audiology courses.
Retail business
The AudioNova Group is dedicated to delivering best-in-class service and technology solutions for people with hearing loss.
Users can browse the latest information from the “We´re all Ears” community on a tablet: Connect Hearing’s online platform in Australia already has 12,000 fans. The content they post is first and foremost about dealing with hearing loss rather than about products.
Cochlear implants business
Advanced Bionics is committed to creating high-quality, reliable cochlear implant systems that our recipients can depend on each and every day.
The mother knocks the spoon against the saucepan as she stirs and asks her son, “Hear that? That’s what metal sounds like!” Five-year-old Deekshit nods – he is wearing an Advanced Bionics cochlear implant. The constant training at home is paying off – the boy can understand speech well and speaks clearly.
Hearing instruments business
Our three strong brands – Phonak, Unitron and Hansaton – make us the world’s leading provider of hearing instruments. By driving innovation and staying focused on our customers, we deliver ever better hearing for millions of people worldwide.
There is no comprehensive, practical training available to produce qualified hearing care professionals in China. Sonova’s new training center in Suzhou bridges this gap with advanced courses, and the company is also keen to communicate a new, customer-focused approach in its audiology courses.
Retail business
The AudioNova Group is dedicated to delivering best-in-class service and technology solutions for people with hearing loss.
Users can browse the latest information from the “We´re all Ears” community on a tablet: Connect Hearing’s online platform in Australia already has 12,000 fans. The content they post is first and foremost about dealing with hearing loss rather than about products.
Cochlear implants business
Advanced Bionics is committed to creating high-quality, reliable cochlear implant systems that our recipients can depend on each and every day.
The mother knocks the spoon against the saucepan as she stirs and asks her son, “Hear that? That’s what metal sounds like!” Five-year-old Deekshit nods – he is wearing an Advanced Bionics cochlear implant. The constant training at home is paying off – the boy can understand speech well and speaks clearly.
Governance & compensation
Corporate governance
Transparency is one of the key elements of good corporate governance, to which Sonova is committed.
Compensation
Sonova is all about people: the value and success of our company strongly depend on our highly dedicated employees. We therefore aim to attract and retain the best talent available in a very competitive global employment market. As custodians of shareholders’ equity, we take very seriously our responsibility to uphold a transparent and sustainable approach to compensation.
Corporate social responsibility
At Sonova, we strive to bring the delight of hearing to everyone, while taking responsibility for our actions towards our employees, our business partners, and our planet.
Tablet in hand, engineer Hot Xi and Corporate Social Responsibility Manager Rex Ge monitor the array of solar collectors on the roof of Sonova’s operation center in the Chinese city of Suzhou. The system generated 500,000 kWh in 2016, making it possible to reduce the Sonova Group’s CO2 emissions by 3.5%.
Corporate governance
Transparency is one of the key elements of good corporate governance, to which Sonova is committed.
Compensation
Sonova is all about people: the value and success of our company strongly depend on our highly dedicated employees. We therefore aim to attract and retain the best talent available in a very competitive global employment market. As custodians of shareholders’ equity, we take very seriously our responsibility to uphold a transparent and sustainable approach to compensation.
Corporate social responsibility
At Sonova, we strive to bring the delight of hearing to everyone, while taking responsibility for our actions towards our employees, our business partners, and our planet.
Tablet in hand, engineer Hot Xi and Corporate Social Responsibility Manager Rex Ge monitor the array of solar collectors on the roof of Sonova’s operation center in the Chinese city of Suzhou. The system generated 500,000 kWh in 2016, making it possible to reduce the Sonova Group’s CO2 emissions by 3.5%.
Hear the World Foundation
The Hear the World Foundation contributes towards Sonova’s vision – a world in which everyone gets the chance to enjoy good hearing – by helping disadvantaged people, particularly children, with hearing loss around the world.
Highlights & key figures
The Sonova Group achieved strong progress in the 2016/17 financial year, with solid growth across our businesses. Moreover, the acquisition of AudioNova marks a major milestone in the Group’s transformation to a fully integrated business model that extends along the entire hearing care value chain.
+15.3% in local currencies
+12.1% in local currencies
*normalized
Payout ratio* of 41%
*normalized
Financial review
In the 2016/17 financial year, Sonova generated sales of CHF 2,395.7 million, an increase of 15.3% in local currencies or 15.6% in reported Swiss francs. Normalized for one-time costs, Group EBITA rose by 12.1% in local currencies and 11.8% in reported Swiss francs to CHF 481.4 million.