Slides
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January 30, 2026 Elekta Strategy Update
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Peter Nyquist Head of Investor Relations Jakob Just-Bomholt President & CEO Christopher Busch Chief Product and Technology Officer Anming Gong Head of Region China Ardie Ermers Head of Region Americas The Elekta team today
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Elekta’s performance in Radiotherapy Welcome & Introduction Elekta’s 4 “Must-Win Battles” Q&A Peter Nyquist, Head of Investor Relations Jakob Just-Bomholt, President & CEO Jakob Just-Bomholt, President & CEO Christopher Busch, Chief Product and Technology Officer Anming Gong, Head of Region China Ardie Ermers, Head of Region Americas Peter Nyquist, Head of Investor Relations 02. 01. 03. 04. Agenda
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Important information This presentation includes forward-looking statements including, but not limited to, statements relating to operational and financial performance, market conditions, and other similar matters. These forward-looking statements are based on current expectations about future events. Although the expectations described in these statements are assumed to be reasonable, there is no guarantee that such forward-looking statements will materialize or are accurate. Since these statements involve assumptions and estimates that are subject to risks and uncertainties, results could differ materially from those set out in the statement. Certain of these risks and uncertainties are described further in the Annual Report in section “Risks and uncertainties”. Elekta undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law or stock exchange regulations. This presentation is intended for investors and analysts only. Some products are still in research and/or not cleared/approved in all markets. Cancer statistics are given to show the potential market in the respective area and does not mean that Elekta currently has products to treat these indications.
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Elekta’s performance in Radiotherapy Welcome & Introduction Elekta’s 4 “Must-Win Battles” Q&A Peter Nyquist, Head of Investor Relations Jakob Just-Bomholt, President & CEO Jakob Just-Bomholt, President & CEO Christopher Busch, Chief Product and Technology Officer Anming Gong, Head of Region China Ardie Ermers, Head of Region Americas Peter Nyquist, Head of Investor Relations 02. 01. 03. 04. Agenda
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Radiotherapy has grown 6% CAGR and is expected to remain an attractive market going forward 5.1 5.5 5.7 6.2 6.7 20/21 21/22 22/23 23/24 24/25 6% Market Size by Revenue, BUSD RT Market growth over the last 5 years, BUSD Key levers of growth • Market expansion through innovation • Replacements and upgrades in mature markets • Expanding access in emerging markets • Need for improved treatment accuracy, throughput, and efficiency
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1. At constant exchange rates Elekta has grown slower than market and margins have declined over the last 5 years 13.8 14.5 16.9 18.1 18.0 20/21 21/22 22/23 23/24 24/25 3%1 41% 37% 38% 37% 37% 20/21 21/22 22/23 23/24 24/25 Gross margin (%) Elekta’s Revenue over the last 5 years, BSEK Elekta’s gross margin over the last 5 years, % Elekta Revenue, BSEK
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Elekta is not operating at our full potential Positioned for growth in Radiotherapy • Well positioned in an attractive and growing MedTech segment • Market leading position in Neuro and Brachy • Strong footholds in key markets outside U.S. • A strong portfolio with a well recognized brand, and direct sales force • Current level of R&D investments support delivery of best-in-class solutions • Solution and service sales strengthened by profitable software upgrades and new market offerings • Layered organizational structure with unclear accountability and performance culture • Commercial execution; U.S. market position not at full potential • Long innovation cycles • Dependency on single source suppliers • Cost and processes discipline • Unclear link between reported EBIT and cash flow (EBIT to cash) Elekta to address key challenges
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For the next 6 – 18 months, Elekta will focus on 4 “Must-Win Battles” Simplify, Empower, Speed Expand in China Win in the U.S. Focused Innovation Continuous COGS Reduction Jakob Just-Bomholt President & CEO Christopher Busch Chief Product and Technology Officer Jakob Just-Bomholt President & CEO Profitable growth Anming Gong Head of Region China Ardie Ermers Head of Region Americas
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For the next 6 – 18 months, Elekta will focus on 4 “Must-Win Battles” Simplify, Empower, Speed Expand in China Win in the U.S. Focused Innovation Continuous COGS Reduction Jakob Just-Bomholt President & CEO Christopher Busch Chief Product and Technology Officer Jakob Just-Bomholt President & CEO Profitable growth Anming Gong Head of Region China Ardie Ermers Head of Region Americas
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• Reset of Elekta’s operating model • Increased speed of product development, commercial and operational execution • Decentralized organization and P&L ownership Clear accountability Speed and agility through delayering Cost discipline across the organization Bring product and operation decisions closer to our customers Simplify, Empower, Speed
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Operating model change to drive more than 500 MSEK of run rate cost savings, restructuring charges will be 450 to 500 MSEK Run-rate cost savings expected to be >500 MSEK • Full impact starting in Q1 FY26/27 • ~30% COGS and ~70% OPEX Restructuring charges expected to total between 450 and 500 MSEK • To incur in 2H FY25/26 > 60% of planned workforce reductions already implemented • Remaining workforce under consultation, in line with local labor laws
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Elekta will focus on 4 “Must-Win Battles” Simplify, Empower, Speed Expand in China Win in the U.S. Focused Innovation Continuous COGS Reduction Jakob Just-Bomholt President & CEO Christopher Busch Chief Product and Technology Officer Jakob Just-Bomholt President & CEO Profitable growth Anming Gong Head of Region China Ardie Ermers Head of Region Americas
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Neuro & Brachy Linacs Elekta ONE Elekta has a strong product portfolio logic with technology and commercial synergies • Building solutions across our portfolio instead of isolated product initiatives • Integrating Elekta ONE workflows and software
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Elekta will continue to invest in innovation R&D expenses over the last 5 years, BSEK • Innovation pace in cancer treatment is increasing and much needed by, providers, clinicians, and patients • Elekta is expanding investments that simplify workflows for our customers to increase patient throughput, elevate treatment outcomes, and strengthen patient safety Elekta will ensure a competitive portfolio 1.5 2.0 2.2 2.2 2.2 20/21 21/22 22/23 23/24 24/25 Gross R&D expenses, BSEK 11% 14% 13% 12% 12% R&D as % of sales
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1 TIMEA region defined as Turkey, India, Middle East and Africa We have redesigned our operating model to streamline operations and to enhance customer focus • Chief Product & Technology Officer as member of Executive Committee • Product & Technology closer to our customers and commercial organization • Simplified and streamlined organization
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From To Engineering driven agenda Big bets on large, long-cycle innovations Hardware/device focus Customer and market driven “customer decision criteria” Fast innovation cycles & continuous performance improvements Workflow, Service, Solutions and Lifecycle management Expected outcomes • Fast, customer-led innovation cycle speed • Predictability of roadmap deliverables • Increased R&D efficiency • Higher ROI on R&D investments How Focused Innovation translates into concrete actions
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Elekta will focus on 4 “Must-Win Battles” Simplify, Empower, Speed Expand in China Win in the U.S. Focused Innovation Continuous COGS Reduction Jakob Just-Bomholt President & CEO Christopher Busch Chief Product and Technology Officer Jakob Just-Bomholt President & CEO Profitable growth Anming Gong Head of Region China Ardie Ermers Head of Region Americas
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Elekta has a 40+ year history of shaping and advancing Radiotherapy in the China market 1982 2000 2004 2006 2014 2018 2019 2025 Start-up of sales activities Shanghai Elekta Oncology System JV Shanghai Instrument Co. Ltd. Elekta Beijing Medical Equipment Co. Ltd. 1st Versa HD installed in China Elekta China Investment Co. Ltd. 1st Unity installed in China Local manufacturing of CT Linacs 2020 2023 2024 Sinopharm - Elekta JV Software JV (AnSheng) Local manufacturing of Neuro & Brachy Market leader in RT in China Attuned to Central Government health policy and market development Strengthen investments in China • Training and education of professionals • Localizing manufacturing and supply chains • R&D centers of excellence • Joint Ventures and Partnerships
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We are seeing recovery in the China market China’s linac market development last 5 years, linac units1 1 IQVIA MedTech China report and Elekta internal market estimate 2 China Medical Equipment Association CMEA analysis 2020 - 2024 312 342 186 178 204 2021 2022 2023 2024 2025 2026e 240-260 Linac units RT market is recovering faster than the broader MedTech sector2 • Unmet demand for radiotherapy equipment when compared to imaging and ultrasound Structural demand for RT grows as hospitals expand cancer-treatment capacity and policy pushes for wider access • Market accepts RT primary treatment, with greater willingness to invest in high-quality cancer care • RT offers improved profitability for hospitals • Recent policy calls for expanding cancer- treatment access across underserved segments
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1. IQVIA MedTech China report China growth impacted by anti-corruption probe, Elekta leads linac market with 40% to 45% market share 2.2 (16%) 20/21 2.3 (16%) 21/22 2.7 (16%) 22/23 2.8 (16%) 23/24 2.5 (14%) 24/25 13.8 14.5 16.9 18.1 18.0 Elekta Revenue ex China, BSEK Revenue China, BSEK China Revenue vs Elekta Group Revenue last 5 years, BSEK China Revenue has grown at 6% CAGR over the past 5 years, at constant exchange rate Elekta has maintained 40% to 45% of linac market share, but local competitors are gaining share1
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To further reinforce Elekta’s market position in China, we will focus on a set of priorities Deepen localization of Elekta’s portfolio and supply chain, to strengthen competitiveness in market Strengthen innovation partnerships across China’s RT ecosystem to further reinforce Elekta’s market position and drive double digit service growth Advance China-focused product innovation to expand into under-served segments, in line with national healthcare expenditures 1 2 3
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Elekta will focus on 4 “Must-Win Battles” Simplify, Empower, Speed Expand in China Win in the U.S. Focused Innovation Continuous COGS Reduction Jakob Just-Bomholt President & CEO Christopher Busch Chief Product and Technology Officer Jakob Just-Bomholt President & CEO Profitable growth Anming Gong Head of Region China Ardie Ermers Head of Region Americas
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3.1 (23%) 20/21 3.2 (22%) 21/22 3.9 (23%) 22/23 3.9 (22%) 23/24 3.8 (21%) 24/25 13.8 14.5 16.9 18.1 18.0 Elekta Revenue ex U.S., BSEK U.S. Revenue, BSEK U.S. Revenue vs Elekta Group Revenue last 5 years, BSEK We have not performed at our full potential in the U.S. with market share of only 21% to 23% of Elekta’s Group revenue U.S. Revenue at a slight decline over the past 5 years, at constant exchange rates The U.S. share of Group Revenue has declined from 23% to 21% of Elekta total revenue over this period
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Evo cleared for the U.S. market ✓ Evo is FDA 510(k) cleared ✓ High interest from customers ✓ Already see competitive flips with previously hard-to-reach accounts ✓ Currently upgrading our reference sites ✓ Executing our first installs in Q4
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1. IMV Data Source Evo provides U.S. customers with aged installed base a competitive alternative for linac replacements Average replacement age of US linac: 14 years1 Annual US linacs installs1 Replacement window 66% of Elekta linacs in the US > 8 years in age U.S. market development • New standard of care | Evo can support the increasing need for hypo-fractionation driven by market demand for workflow efficiencies as new standard of care • Replacement cycles | Economic challenges, industry consolidation, and high anticipation of Elekta’s new technology in the U.S. impacting replacement cycles • Reimbursement | Focus remains bundled payments
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We have a competitive portfolio for the U.S. and have reorganized to take our fair share • Evo cleared for the U.S. market • Building U.S. proof points on our fast and flexible adaptive capabilities • Through our leadership position in MR-Linac adaptive therapies, we have implemented the same workflows in our CT-Linac adaptive solutions • Reimbursement for SBRT treatments is in place • Market leading products in Brachy and Neuro, with sequentially increasing share of U.S. sales • Elekta ONE to drive workflow productivity
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Elekta will focus on 4 “Must-Win Battles” Simplify, Empower, Speed Expand in China Win in the U.S. Focused Innovation Continuous COGS Reduction Jakob Just-Bomholt President & CEO Christopher Busch Chief Product and Technology Officer Jakob Just-Bomholt President & CEO Profitable growth Anming Gong Head of Region China Ardie Ermers Head of Region Americas
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Elekta’s gross margin over last 5 years, Gross Margin % Key levers to be addressed • Bill of materials & sourcing • Operating costs, including - Logistics & supply chain - Installation and order fulfilment - Service & spare parts We will address our variable cost position moving forward 40.8 37.8 FY20/21 FY24/25 -3% Gross Margin (%)
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Note: APJ region defined as Asia Pacific and Japan, TIMEA region defined as Turkey, India, Middle East and Africa We are recruiting a Chief Operating Officer who will focus on COGS reduction China Europe APJ TIMEA AmericasGroup Functions Linac & Software Solutions: Product & Technology Linac & Software Solutions: Operations Business Line: Brachy Business Line: Neuro CEO COO
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From To Single source supplier Centralized operations Manual Field Service deployment Dual source/lower cost suppliers Decentralized ownership of service & order fulfilment ops AI-enabled tools to support service workforce Expected outcomes • Reduced variable costs • Higher operational resilience Continuous COGS reduction
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Summary of key take aways & next steps RT is an attractive market Four “Must-Win Battles” for Elekta, with execution underway and high sense of urgency New leadership team in place in FY25/26 Fully implemented operating model in Q4 New way of working built into FY26/27 budget Capital Markets Day June 17, 2026 Stockholm Sweden
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Q&A
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Hope for everyone dealing with cancer.