Tag: EuroEyes

EuroEyes’s Revenue in 2019 Rose by 14%, Launch New Clinics and Services in 2020 to Boost Future Growth

EuroEyes International Eye Clinic Limited (“EuroEyes” or the “Company”, stock code: 1846), is one of the leading brands in the vision correction industry that combines German ophthalmology excellence and 25 years of experience with individualised customer-care and principally engaged in the provision of vision correction services in Germany, Denmark and the People’s Republic of China (“the PRC”).

2019 Annual Results Highlights
– Total Revenue for the year 2019 reached approximately EUR49 million, up approximately 14% YoY
– Gross Profit for the year 2019 reached approximately EUR20.3 million, up approximately 16.3% YoY
– Adjusted Gross Profit1 for the year 2019 was approximately EUR20.6 million, up approximately 18.4% YoY
– Adjusted Gross Profit Margin for the year 2019 was 42.1%, increased 1.6 percentage points YoY
– Adjusted Net Profit after tax2 for the year 2019 reached EUR5.7 million, up approximately 4.2% YoY

The Revenue by Geographical Regions
– Total revenue in Germany increased by 12.5% YoY
– Total revenue in the PRC increased by 6.8% YoY
– Total revenue in Denmark increased by 45.7% YoY

EuroEyes is pleased to announce its annual results for the year ended 31 December 2019 (the “Year 2019”).

For the Year 2019, the Group’s revenue increased by approximately 14.0% on a year-on-year (“YoY”) basis to approximately EUR49.0 million, adjusted gross profit increased by 18.4% YoY to approximately EUR20.6 million, and the adjusted gross profit margin was 42.1%, representing a YoY increase of 1.6 percentage points.

In respect of geographical regions, the operating revenue from Germany, the PRC and Denmark was EUR30.2 million, EUR12.9 million and EUR5.8 million accounting for 61.7%, 26.4% and 11.9% of total revenue, respectively. .

In respect of the types of surgery, the total revenue for the Year 2019 generated from lens exchange surgery was EUR22.9 million, accounting for 46.8% of total revenue. Lens exchange surgery consists of monofocal and trifocal lens exchange surgery. The total revenue generated from phakic lens (ICL) surgery was EUR6.7 million, accounting for 13.7% of the total revenue.

During the Year 2019, the Group’s total revenue in Germany increased by 12.5% YoY, of which EUR13.4 million was from lens exchange surgery, representing an increase of 23.8% YoY. The Group’s revenue in Germany has grown each year since 2016 as the Group established its position as the market leader in Germany. In Denmark market, the Group’s revenue for the Year 2019 increased by 45.7% YoY. The Group achieved strong revenue growth in Denmark, mainly as a result of the Company’s effective marketing strategy. In addition, the revenue of lens exchange surgery recorded EUR4.9 million, representing a YoY increase of 39.8%.

During the Year 2019, the Group’s revenue in the PRC increased by 6.8% YoY. The growth rate of the Company’s business in the PRC market is expected to increase as the Group expands operations and executes new marketing strategies throughout the PRC. Revenue generated from lens exchange surgery was EUR4.6 million, representing a YoY increase of 27.8%

Strategic Steps Taken
As a leading vision correction company in the world, EuroEyes is committed to be the go-to eye clinic group in Europe and the PRC as it provides patients with the best service combined with state-of-the art German technology and expertise. The Group is actively expanding its business into the PRC while maintaining top quality of the services in Germany, Denmark, and the PRC.

The Group opened two new clinics in the PRC in 2019. The Hangzhou Clinic commenced its operation in June 2019 while the Beijing (East) Clinic opened in September 2019. Further, the Company began construction of the Chongqing Clinic in December 2019, which is expected to commence its operation along with the new Fuzhou Clinic in 2020. In addition, the Company plans to open two new clinics in Chengdu and Qingdao.

As Chinese households become wealthier, they have a greater disposable income to afford high quality eye treatments. This increase in the middle-class is propelling the growth of the ophthalmic market in the PRC. Since entering the PRC in 2013, EuroEyes has provided advanced German technology and 100% German services to patients with myopia, hyperopia, presbyopia and cataracts, enabling them to have clear vision without glasses. Dr.Jorn Slot Jorgensen, founder and the chairman of EuroEyes has successfully completed over 100,000 ophthalmological surgeries and helped patients in Europe and the PRC to have clear vision without glasses.

New Services Was Launched in EuroEyes Clinics
Around 30 years ago, less than 1 % of the Chinese adult population had diabetes. These levels today, however, have increased to around 12 %. This is approximately 114 million diabetic patients in China. The longer a patient has diabetes, the higher his or her chances of developing diabetic retinopathy. Up to 80% of those who have had diabetes for 20 years or more develop diabetic retinopathy. The Chinese government is paying greater attention to prevent diabetic retinopathy as it is the leading cause of new cases of blindness in adults in China. In recent years, Chinese government initiated the “Chinese type II diabetes prevention and treatment guideline (2017)”, stating that diabetic patients need to have their eye screened once every one to two years (or more frequently depending on his or hers condition). It is estimated that at least 90% of new cases could be reduced with proper treatment and monitoring of the eyes by detecting the disease at its early stage.

Against this backdrop, EuroEyes will launch its new service for eye screening in the PRC in April 2020 subsequent to its successful commence of the same service in Germany and Denmark.

EuroEyes will also launch its new service of EDOF treatment in Germany in the second half of 2020 for the people of age 45-55. Given the ICL treatment has been well received in the market for the people of age over 55, the Company believes the new service will become a new revenue growth driver for the Group as it is expected 75%-80% of the people of age 45-54 would accept vision correction surgery for presbyopia.

Recent Development

As at 18 March 2020, EuroEyes’s clinics in Germany and Denmark saw a steady business growth during the majority time Q1 2020. Adjusted Gross Profit Margin for the year 2019 was 42.1%, increased 1.6 percentage points YoY. Meanwhile, the clinics in the PRC resumed their operation in mid-February and received a strong demand for surgery booking via its online platforms.

The Company has incorporated various measures to minimize the impact from Covid-19, such as opening online consultations and online info lectures, maintaining close connection with patients, operating on a reservation-only basis, taking strict measures on disinfection and cleaning of the clinics and consultation centers etc.

The Company believes the volume of surgery will grow steadily in Germany, Denmark and the PRC market after the end of Convid-19 outbreak based on the indicated interest and recorded bookings.

Dr.Jorn Slot Jorgensen, the Founder, Chairman and CEO of EuroEyes commented, “Thanks to all our supporting parties and diligent staff of the Group, EuroEyes has seen a substantial return as it has experienced outstanding business development in the Year 2019. With the strategy of expansion and strong marketing efforts by the Company, we have seen an aggressive surge in the company’s overall revenue and the growth rate of lens exchange surgery in all three countries where EuroEyes is located. We are extremely pleased with the pace of opening our new clinics and plan to continue opening two to three new clinics each year in the PRC. During the Year 2019, the Group continued to fulfil the huge market demand for vision correction using our in-depth experience and technology. In the coming years, the Company will continue to deploy its strategies and resources with a combination of prudent and proactive approaches with an aim to realise our goal of “Nie wieder Brille!” (No More Glasses).”

About EuroEyes International Eye Clinic Limited
EuroEyes was established in 1993 and is one of the leading brands in the vision correction industry that combines German ophthalmology excellence and over 25 years of experience with individualized customer care. EuroEyes is one of the few eye clinic groups with a far-reaching geographical coverage, with operations in Germany, Denmark and the PRC. The Group’s vision correction services include (i) refractive laser surgery (which includes ReLEx smile and Femto LASIK); (ii) phakic lens (ICL) surgery; (iii) lens exchange surgery (which includes the monofocal and trifocal lens exchange surgery) and (iv) others (which include PRK/LASEK and ICRS implantation).

(1) Adjusted gross profit is derived from adding pre-operating expenses for two clinics in the People’s Republic of China (the “PRC”) in 2019 to the gross profit.
(2) Adjusted net profit is derived from adding pre-operating expenses for two clinics in the PRC, listing expenses and foreign exchange loss to the net profit for the year.

Leading the Industry in Germany for Years, EuroEyes to Provide China with Vision-Correcting Power

EuroEyes was awarded “The World Champion in implanting the most Zeiss trifocal lenses worldwide”

This famous Chinese saying is believed to be the true portrayal of every successful company during its development phase. Standing on the top of the world, those are the companies that have undoubtedly succeeded more than their competitors to reach the peak.

EuroEyes opened its first ophthalmology clinic in Hamburg, Germany in 1993. Since this beginning, EuroEyes has combined technological innovation with exceptional service as it established itself as a leader in the field of ophthalmology and vision correction. As early as in 1986, Dr. Jorn Slot Jorgensen, the founder and chairman of EuroEyes, provided outpatient cataract surgery in Hamburg. Over three decades later, Dr. Jorgensen continues to use world-recognised and advanced diagnostic technology and equipment when treating patients. For the past 26 years, under the direction of Dr.Jorgensen, EuroEyes, has led the industry in advancing vision correction treatments. The company was one of the first to use innovative technologies such as LASIK surgery and phakic lens (ICL) surgeries in the field. In 2004, EuroEyes began using the more advanced blade-free LASIK and in 2014, the company added ReLEx SMILE to its services. EuroEyes has also led the industry by being one of the first-movers to offer Zeiss trifocal lens exchange surgery as a standalone treatment option to presbyopia in its 26 ophthalmology clinics located in Germany, Denmark and China.

No. 1 in the world
Within the international ophthalmology industry, EuroEyes’ achievements have long exceeded its peers. This is not merely reflected in its consistent top ranking in the industry for advanced lens exchange surgery and refractive surgery (excluding PRK / LASEK) in Germany and Denmark but also in the number of the cutting-edge vision correction operations performed. In 2018, EuroEyes was acknowledged by Staar Surgical for having performed the most phakic lens (ICL) surgeries in Europe. EuroEyes was also recognized by Carl Zeiss for having performed the most ReLEx SMILE procedures in Germany and the most trifocal lens exchange surgeries in the world for five consecutive years. Carl Zeiss is the leading German manufacturer of optical systems and optoelectronics with 37.6% of its revenue generated from the Trifocal lens. The ZEISS award reflects EuroEyes’ leading position in the global application of Trifocal IOL Implantation.

According to market analysis, the use of trifocal IOL implantation is an ideal treatment for presbyopia. Presbyopia usually occurs after the age of 45 when the eye lens loses its elasticity, making it difficult to focus on nearby objects. After the trifocal IOL implantation, patients with myopia and presbyopia can easily and clearly focus on near, medium and distant things without glasses. Furthermore, lens replacement surgery is an ideal treatment for cataracts eliminating the need to wear thick glasses or special contact lenses.

Huge opportunity for market growth as 560 million Chinese people predicted to have presbyopia by 2024
As people better understand the benefits of lens replacement surgery, the number of people undergoing the procedure around the world continues to rise. According to Frost and Sullivan, from 2014 to 2018, the market size of advanced lens exchange surgery and refractive surgery (excluding PRK / LASEK) in Germany and China increased at a compound annual growth rate (CAGR) of 9.3% and 37.8%, respectively. An aging population combined with an increasing desire for improved vision and quality of life, as well as increasing consumption power is motivating more and more people to undergo trifocal IOL replacement surgery. Industry analysts predict that from 2018 to 2023, the market size in Germany and China will expand at a CAGR of 7.2% and 29.5%, respectively.

According to the U.S. Census Bureau’s 2019 refractive surgery market report, 50% of Germany’s population have presbyopia while 36.4% of China’s population have the condition. With over 1.4 billion people living in China, approximately 505 million Chinese people have presbyopia. Industry analysts expect that by 2024, 39.6% of the population in China or about 557 million Chinese people will have presbyopia. Currently the penetration rate of the most advanced Trifocal IOL exchange surgery is very low in China. In 2018, the penetration rate in Germany was 4.3 times that of the Chinese market. In other words, China’s Trifocal IOL replacement surgery market has tremendous upside potential for growth.

Euroeyes has received the Zeiss Award for five consecutive years in recognition of the company’s excellent lens exchange technology and equipment, strong brand, and exceptional German medical standards and quality. The company is well positioned to provide Chinese customers with international leading lens exchange surgery as it becomes the go-to vision- correcting source in China. EuroEyes is in the early stage of rapidly expanding in the Chinese market. The company’s successful listing on the Main Board of the Hong Kong Stock Exchange Limited at the end of last year has provided them with the capital to open additional clinics. Within two months after listing, EuroEyes confirmed the expansion plan of two new eye clinics located in Chongqing and Fuzhou. The two new clinics combined the previous six clinics in Shanghai, Beijing East, Beijing West, Guangzhou, Shenzhen, Hangzhou, brings the total number of Euroeyes’ clinics to eight in total. The company intends to open two additional clinics in Chongqing and one in another top tier city in the future.

According to the company’s financial report, revenue generated from China in 2018 was about 94 million Yuan, accounting for 28.2% of the company’s global revenue. The CAGR for revenue and gross profit in the past three years were 85.1% and 633.7%, respectively. We are looking forward to announcing the full year performance for 2019!

EuroEyes (1846.HK) Initiates strategic cooperation with East Lake Digital Town, Officially Enters into Fuzhou Market

EuroEyes International Eye Clinic Limited (“EuroEyes” or the “Company”, stock code:1846) today held a signing ceremony of the strategic cooperation with Fuzhou East Lake Digital Town, marking its official presence in the China’s Fuzhou market. The guests at the signing ceremony included Chen Guoping, the CPPCC Standing Committee Member of Fujian Province and the Mayor of East Lake Digital Town; Dr. Jorn Slot Jorgensen, the Founder, Chairman of the Board and CEO of EuroEyes; Jannik Jorgensen, Vice President (Denmark) and Executive Director; Jenny Wang Yan, Vice President (China); Chen Guohe, the Director of Fujian New East Lake Investment Co., Ltd; and Zhang Yuanhua, the Executive Vice President of Fujian New East Lake Investment Co., Ltd.

EuroEyes Fuzhou Clinic is the Company’s eighth clinic in China after Shanghai, Beijing, Guangzhou, Shenzhen, Hangzhou, and Chongqing. EuroEyes Fuzhou Clinic is located on the third floor of FFC Fuzhou Future Center in East Lake Digital Town of Binhai New City, with an area of 800 square meters and an investment of over RMB10 million. The clinic is expected to commence its operation in October 2020, which is also committed to providing the high- quality German ophthalmology services for Binhai New City and the entire Fuzhou.

According to preliminary survey by the Fuzhou Statistics Bureau, Fuzhou achieved gross domestic product (GDP) of RMB352.853 billion in the first half of 2019, representing an increase of 8.5% year-over-year. Fuzhou is the second largest prefecture-level city in Fujian Province with GDP growth rate exceeding 8% for 8 consecutive quarters. In recent years, Fuzhou has even deliberately created a “Digital Fuzhou” and made every effort to develop new economy industries. The East Lake Digital Town, where EuroEyes opens its Fuzhou Clinic, is the new economic and industrial base of the central business district that the city has been deliberately developing. As of now, the East Lake Digital Town has attracted nearly 20,000 well-known Chinese and foreign digital enterprises in the high-tech field, including Microsoft, Starbucks, Alibaba, Tencent, and Huawei to set up their footprints in the area, forming a high-end business circle. It is expected that when the town is fully constructed in 2021, it will attract more than 1,000 digital enterprises to settle in and create over RMB100 billion of asset value. In the meantime, the presence of EuroEyes in the East Lake Digital Town also helps introducing the authentic German refractive ophthalmology technology into Fujian and propelling economic development in the region by utilizing the cutting-edge international ophthalmology technology and services. EuroEyes is a giant in the ophthalmic medical industry, with a strong team of professional ophthalmologists, advanced diagnostic equipment, and international high-quality ophthalmic diagnostic services. With the opening of EuroEyes Fuzhou Clinic in the town, it will benefit patients with various refractive diseases in Fuzhou Binhai New City and even the whole Fuzhou to enjoy high-quality ophthalmology services and to resume their clear vision for higher quality of life.

EuroEyes was established in 1993 and is one of Europe’s leading brands in the vision correction industry as well as a leading refractive ophthalmology brand in Germany and Europe, headquartered in Hamburg, Germany. EuroEyes is operated by famous German doctor Dr. Jorn Slot Jorgensen, and was awarded with many Ophthalmology prizes. EuroEyes currently operates 27 eye clinics and consultation centers in Germany, Denmark and China. According to the report of BOCI, EuroEyes was awarded with World Champion – Most Trifocal Lens Implants, European Champion – Most ICL Implants and German Champion – Most ReLEx SMILE Procedures in 2018. EuroEyes is a market leader in advanced lens exchange surgery and refractive surgery (excluding PRK / LASEK) in Germany and Denmark. In 2018, EuroEyes’ market share in Germany and Denmark was 13.2% and 10.8% respectively.

In recent years, the morbidity of various eye diseases in China has increased year by year, and the ophthalmic market has grown rapidly. Statistic data shows that from 2013 to 2017, the size of China’s ophthalmology market increased from RMB46.77 billion to RMB86.7 billion, and the CAGR during the period reached 17%. It is expected that the size of the ophthalmology market will expand at a CAGR of 13% -15% in the next five years. Since entering China in 2013, EuroEyes aims at providing advanced German technology and 100% German services to patients with myopia, hyperopia, presbyopia and cataracts, allowing them to resume a clear vision. Up to now, EuroEyes has successfully completed over 400,000 ophthalmological surgeries and help patients retaining clear vision in Europe and China without glasses. Among such patents, there were many entrepreneurs, celebrities and high net-worth individuals. According to Financial Report of EuroEyes, the revenue of China region in 2018 was approximately RMB94 million, accounting for 28.2% of the overall revenue of the Company. From 2016 to 2018, the CAGR of revenue and gross profit in China region was 85.1% and 633.7% respectively.

Dr. Jorn Slot Jorgensen, the Founder, Chairman of the board and CEO of EuroEyes said “EuroEyes is very honored to be in East Lake Digital Town, bringing German ophthalmology technology and quality services to the people in the town and nearby districts. The East Lake Digital Town is the innovative center of China’s digital economy while EuroEyes has also been committed to innovation in the field of refractive technology. Through the cooperation with the management of the town, I sincerely look forward to improving medical technology and quality in the region, as well as create the momentum to the future development of the town.”.

EuroEyes Fuzhou Clinic is another strategic development following EuroEyes’ successful listing on the main board of the Hong Kong Stock Exchange, showing its strategic determination to enter the China market and its high recognition of the sustainable development of the Fuzhou market. With the signing ceremony of Fuzhou Clinic successfully held, EuroEyes will utilize its unique advantages of “German doctors and German quality” to provide patients in Fuzhou and the surrounding cities with high-quality ophthalmology services and strive to improve the eye health-care level and quality of life of residents in China.

EuroEyes (1846.HK) Chongqing Clinic Set to Groundbreaking, Officially Enters Southwestern China

EuroEyes Chongqing Clinic Ground-breaking Ceremony

EuroEyes International Eye Clinic Limited (“EuroEyes” or the “Company”, stock code: 1846) held the ground-breaking ceremony of its new clinic in Chongqing today, marked as its 7th clinic in China. The Company enters Southwestern China officially, and will bring high-quality vision correction services to the mountain city. As told, EuroEyes Chongqing clinic is estimated to invests 30 to 40 million yuan. EuroEyes and its Chongqing partner will invest 60% and 30% respectively through joint ventures (10% by other institutional investors). Chongqing clinic is scheduled to open in the third quarter next year.

EuroEyes was established in 1993 and is one of Europe’s leading brands in the vision correction industry, headquartered in Hamburg, Germany. EuroEyes is operated by famous German doctor Dr. Jorn Slot Jorgensen, and was awarded with many Ophthalmology prize. EuroEyes has a far-reaching geographical coverage of 27 eye clinics and consultation centers in Germany, Denmark and the PRC. According to the report of BOCI, EuroEyes was awarded with World Champion – Most Trifocal Lens Implants, European Champion – Most ICL Implants and German Champion – Most ReLEx SMILE Procedures in 2018. EuroEyes is a market leader in advanced lens exchange surgery and refractive surgery (excluding PRK / LASEK) in Germany and Denmark. In 2018, EuroEyes’ market share in Germany and Denmark was 13.2% and 10.8% respectively.

According to statistics, there are approximately 1.4 billion people with myopia around the world, of which nearly half are in China. By 2020, China’s myopia population will reach approximately 700 million. At the same time, uncorrected presbyopia is common among middle-aged and elderly people, and the number of uncorrected presbyopia is around 371 million in the population aged over 40. In addition, the incidence of cataracts is about 80% in China’s population aged 60-89, and more than 90% aged over 90. With the increasing incidence of myopia and the aging trend in China, the gap in the demand for eye health-care and vision correction is widening.

In Europe, the market and technology in vison correction surgery is more mature, however, in China, the market is in the ascendant, and the penetration rate is comparatively low. According to Frost & Sullivan, the population ages 18-45 with myopia in Germany in 2018, 1,424 people per million received ReLEx SMILE surgery treatment, compared with only 669 people per million in China, or 1.1 times higher of receiving the medical treatment than in China; Elsewhere, the number of ICL operations in Germany is 4.3 times higher in comparison to China; the age 45 or above with presbyopia who accepted an ICL surgery in Germany is also 4.3 times higher than the number in China.

Since entering China in 2013, EuroEyes aims at providing world standard German technology and 100% German services to patients in China with myopia, hyperopia, presbyopia and cataracts, allowing them to enjoy a clear vision. According to Financial Report of EuroEyes, the revenue of China region in 2018 is approximately 94 million yuan, accounts for 28.2% of the overall revenue worldwide. From 2016 to 2018, the CAGR of revenue and gross profit in China region is 85.1% and 633.7% respectively

Benefiting from China’s huge customer market, as well as the Company’s established brand foundation and good reputation in the first tier cities, such as Beijing, Shanghai, Guangzhou and Shenzhen, it is perfect time for EuroEyes to further develop into the fast-growing super second tier and second tier cities in China. EuroEyes plans to strategically expand the layout in the second tier cities of China and accelerate its growth at the pace of opening 1-2 clinics every year.

Dr. Jorn Slot Jorgensen, the Founder, Chairman of the board and CEO of EuroEyes said that Chongqing is a major Southwestern city with the largest population in China. EuroEyes is privileged to work with local partners in Chongqing to establish its first flagship clinic in the Southwest China.

Ms. Chen Lixuan, the Chinese partner of EuroEyes Chongqing Clinic, said that her cooperation with EuroEyes was due to her mother’s receiving a trifocal lens exchange surgery at EuroEyes Shanghai Clinic in 2017, experiencing the professional service and amazing postoperative results as a genuine patient. And leveraging the rich capital and network resources accumulated from her business in service and real estate industry, Ms. Chen introduced this high-quality German brand to her hometown, benefiting more people in Chongqing.

EuroEyes Chongqing Clinic will be the first flagship clinic after the successful IPO in Hong Kong. It represents EuroEyes’ strategic determination to take root in China and it also shows EuroEyes’ confidence in its further development in the market of Southwestern China. Along with the construction of Chongqing Clinic, EuroEyes will provide high-qualified glassless surgery for the patients around “Two Rivers and Four Banks” in Chongqing with the unique advantage of “German doctor and German quality”, and strive to improve the eye health-care level and life quality of residents in Southwest.