Carl Zeiss Meditec Group
Investor Presentation
Investor Relations
May 2023
Agenda
01
At a Glance
02
Strategy
03
Facts and Figures
04
Outlook
05
Appendix
ZEISS
Page 2
Leading market position in Ophthalmology and Microsurgery
Solid revenue development over last 5 years
Total revenue
2021/22
€ 1,902.8 million
2020/21
MCS
23%
OPT
of total revenue
€ 1,647 million
2019/20
2017/18
of total revenue
€ 1,335 million
2018/19
Reporting date September 30, 2022
€ 1,459 million
€ 1,281 million
EBIT margin
2021/22
20.9%
2020/21
2019/20
22.7%
13.3%
2018/19
2017/18
ZEISS
77%
18.1%
15.4%
 Headquarters in Jena, Germany
 Around 4,224 employees worldwide
 Listed on the MDAX and TecDAX
 59% of shares held by Carl Zeiss AG
 Leading market positions:
#2 in Ophthalmology - #1 in Microsurgery
Page 3
Our markets benefit from structural tailwinds
Attractive outlook for Medical Technology
1
2
3
4
5
ZEISS
Aging of the population and growing affluence
Continuously increasing volume of cataract surgeries
Accelerating myopia and high myopia prevalence
Demand on premium vision quality
Growing patient load requires more efficient workflows
Digitalization to re-shape healthcare
Increasing information access and awareness
Need to improve surgical treatment outcomes
Rising access to health care in RDEs
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Ophthalmology
Advancing eye care - Every step of the way
€ 1,469.3 million revenue
2021/22
€ 1,255.7 million
2020/21
2019/20
OPT
€ 990.6 million
2018/19
77%
€ 1,068.6 million
2017/18
of total revenue
€ 933.2 million
Ophthalmic Diagnostics
Reporting date September 30, 2022
Refractive Laser Surgery
Surgical Ophthalmology
Market size1:
Market size1:
Market size1:
€ 2.2 to 2.4bn
€ 1.2 to 1.4bn
€ 7.5 to 8.0bn
Diagnosis and chronic disease
management
Corneal surgery for visual correction
Cataract and retinal treatment
Customers: ophthalmologists, optometrists, ambulatory surgery centers, hospitals / eye clinics
1
CZM internal estimates
ZEISS
Page 5
Microsurgery
Redefining surgical visualization
€ 433.6 million revenue
2021/22
2020/21
€ 391.1 million
2019/20
MCS
€ 344.8 million
2018/19
23%
€ 390.7 million
2017/18
of total revenue
€ 347.6 million
Visualization
Neuro, ENT, Spine,
Plastic & Reconstructive,
Dentistry
Reporting date September 30, 2022
In-Vivo Pathology
Real-time feedback on
tissue microstructure
Surgical Oncology
Intraoperative radiation
Market size1:
> € 0.7bn
Customers: clinics and hospitals, dental offices/clinics
1
CZM internal estimates
ZEISS
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ZEISS has leading positions in most markets
Leading position in Microsurgery
ZEISS
> 60%
Leading position in fragmented Ophthalmic Diagnosis Market
ZEISS
~ 20%
HaagStreit
LEICA
Challenger position in large Surgical Ophthalmology market
Leading position in Refractive Laser Surgery
ZEISS
> 30%
Ziemer
J&JV
Alcon
NIDEK
TOPCON
Olympus
HaagStreit
Nikon
STAAR
SCHWIND
ZEISS
~ 7%
Hoya
J&JV
Alcon
B&L
B&L
Source: CZM internal estimates, Marketscope
ZEISS
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Agenda
01
At a Glance
02
Strategy
03
Facts and Figures
04
Outlook
05
Appendix
ZEISS
Page 8
Strong position in key technologies and leading in market shaping
innovation
ZEISS innovates to drive customer value through
superior solutions.
R&D ratio
16.4%
14.1%
15.3%
R&D expenses
in € million
291
219
2019/20
232
2020/21
2021/22
High commitment to R&D investment resulting in
technology leadership across our portfolio.
ZEISS
1
2
3
4
LEADING INNOVATION AND PUSHING THE BOUNDARIES OF TECHNOLOGY
Shaping technological progress by turning state-of-the-art technology into superior applications
History of gold standards in optical technologies
DEVELOPING WITH THE CUSTOMER
Involving customers and key opinion leaders from an early stage - integrated into optical R&D network
of the ZEISS Group
Application-driven development
CONNECTIVITY & DATA MANAGEMENT
Specific applications and workplaces to handle data and to support decision-making
Lead the digitization of our business
WORKFLOW- AND OUTCOME-DRIVEN SOLUTIONS
Integrated solutions supporting strong treatment outcomes and efficient workflows
We integrate our products into systems
Page 9
APAC has become the largest region for Carl Zeiss Meditec AG
Carl Zeiss Meditec Group’s largest markets in terms of revenue
Carl Zeiss Meditec Group’s regional split
Ranked by proportion of total revenue
US #2
ZEISS
Germany
#3
France
#6
In % of total revenue 2021/22
Americas
25.6%
EMEA
24.1%
APAC
50.3%
China #1
South Korea #5
Japan #4
Page 10
Broad and diversified portfolio with growing share of recurring revenue
Share of recurring revenue has advanced steadily over two
decades
2021/22
~46%
2002/03
9%
of total revenue
of €1,902.8 million

More recurring revenue has allowed for profitable growth and less cyclicality

We steadily broaden our service offering to complement our product offering and enhance the share of recurring revenue

Recurring revenue has reached a new record level of around 46% in 2021/22 (+5 pps yoy)

Key components of recurring revenue: Surgical consumables (e.g. intraocular lenses (IOLs), refractive treatment packs, OVDs, viscoelastics, phaco
cassettes, drapes etc. ) and service
ZEISS
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Global IOL surgeries projected to grow strongly over next five years
Myopia prevalence to significantly expand in next decades
Premium IOL trend until 20271
Global myopia prevalence2
in million units
in million people
40
35
30
20
10
5
0
5000
25%
4000
20%
25
15
30%
12.0%
3.3
2021
2022 2023 2024 2025
All IOLs
Premium IOLs
15%
14.9%
10%
5.7
5%
2026 2027
Unit share
0%
 Premium IOLs include Bifocal, Trifocal, EDoF, Accomodating,
Presbyopia correcting etc.
 Premium IOL unit share (Premium IOL units / all IOL units)
reached 12% while its revenue share reached 40% in 2021
 Growth to accelerate further: Premium IOL unit share to
approach 15% while its revenue share to reach 48% in 2027
1
2
49.8%
34.0%
3000
2000
1000
0
22.9%
5.2%
2.7%
2000
9.8%
2010
2020
Myopia
2030
2040
2050
High Myopia
 Myopia: -0.5D or less, high myopia: -5.0D or less
 Myopia and high myopia estimates suggest significant
increases in prevalence globally
 Currently 1/3 of world population is myopic, 1/20 highmyopic; in 30 years around 1/2 of world population is
myopic, 1/10 high-myopic
Marketscope 2022
Estimates by American Academy of Ophthalmology
ZEISS
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OPT - ZEISS ophthalmic surgical solutions cover a patient‘s entire ocular
lifecycle
Solution
Solutions
s
Condition
Age
0
ZEISS
18 +
40
45
65
85
Ametropia (Myopia, Hyperopia, Astigmatism)
Presbyopia
Cataract
LVC
Lenticule Extraction SMILE®
LASIK
PRESBYOND®
PRK
IOLs
Monofocal & Monofocal toric
CT LUCIA ® / CT ASPHINA ® / CT SPHERIS ® / AT TORBI ®
EDoF
AT LARA ® family
Multifocal (trifocal/bifocal)
AT LISA ® & AT LISA ® tri family
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OPT - ZEISS provides the most comprehensive diagnostic and surgical
solution portfolio in eye care
Diagnostics
Routine Diagnostics
Retinal Imaging
Perimetry
Biometry
Surgical
Therapeutic Laser
Refr. Laser Surgery
Surgical Microscopy
Phaco & IOLs
+
+
+
+
+
+
+
+
+
+
+
+
+
+
+
+
+
+
+
+
+
+
+
+
+
+

ZEISS provides gold standard systems and solutions across eye diagnostics and surgery based on deep application know-how in
optics and imaging.

Connectivity of imaging and surgical devices used to support surgeons’ quest for premium treatment outcomes and workflow efficiency.
All trademarks are property of the respective owner.
ZEISS
Page 14
ZEISS Medical Ecosystem - Roll-out underscores lead in digital solutions
ZEISS Medical Ecosystem represents a fully integrated environment where a combination of devices, data
management, software applications and services enable our customers to stay connected to each other and to
their patients.
Connected Devices
Our devices generate vast
amounts of data.
Cloud-based data management
Software & AI applications
Cloud based digital platform to store
Applications enable customers to benefit
the customer data in a secure and
from a streamlined workflow, improved
compliant environment accessible or
clinical planning and algorithms designed
retrievable from anywhere.
to monitor performance and contribute to
patient outcome quality.
ZEISS
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ZEISS Medical Ecosystem - Cataract Workflow
Integrated solutions to provide highest level of care
ZEISS
Page 16
ZEISS Medical Ecosystem - Tumor Workflow
Integrated solutions to provide highest level of care
ZEISS
ZEISS
Tumor Workflow
See.
Check.
Treat.
Reconsidered brain tumor
treatment standard, striving for
the best possible treatment of
patients.
Visualize of small and
fluorescence-stained structures
during tumor treatment.
Enable real-time feedback on
tissue microstructure through
digital pathology consultation.
Precisely target and
intraoperatively irradiate the
tumor cavity.
ZEISS KINEVO 900
ZEISS CONVIVO
ZEISS INTRABEAM 600
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MCS - At the forefront of innovation for decades, applying our specialized
know-how

We have grown the market by replacing the installed base with next generation technology and driving system value
(intraoperative diagnostics)

Kinematics & Robotics – providing a maximum of flexibility, movement and ergonomics for the surgeon

Intra-Operative Diagnostics – seeing beyond - additional diagnostic information live during surgery

Digital Imaging – improving image quality in ocular and attached screens and facilitating video transmission on local and remote screens
ZEISS
Page 18
MCS - Strong position with a durable competitive advantage
Largest R&D team for surgical visualization
Leading in bringing robotic and advanced
video technology to microsurgery
Close collaboration with our customers
Technology leadership
Strong brand
High customer loyalty
High market share
Long product lifecycles
ZEISS
Page 19
MCS - Continue to benefit from several growth drivers
+
+
+
Innovation – We remain at the cutting edge – our products
provide added clinical value and/or efficiency gains
for our customers
Shortening of Replacement Cycles – Technological progress
and new applications lead to shorter replacement
cycles, driving unit growth
Demand in RDEs – Rapidly Developing Economies are
becoming an ever more important source of our
growth, already accounting
for > 25% of revenue
+
Pricing Power – We have been
able to slightly raise
ASPs over time
ZEISS
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Agenda
01
At a Glance
02
Strategy
03
Facts and Figures
04
Outlook
05
Appendix
ZEISS
Page 21
Solid revenue growth in 6M 2022/23
Weaker product mix amid ongoing strategic investment leads to reduced EBIT
Revenue
6M 2022/23
6M 2021/22
€ 974.5 million

FX-adj. revenue growth of +12.4%
+13.9%

Positive revenue trend in both SBUs and all regions despite continuing supply chain
constraints and macroeconomic challenges

Open orders of € 573m remain at elevated levels
855.4
EBIT
6M 2022/23
6M 2021/22
€ 143.9 million

EBIT margin at 14.8% (PY 20.7%)
-18.9%

Gross margin improvement from Q1 to Q2 mainly due to sequential recovery in consumables business,
though still under PY’s level

Higher OpEx mainly arising from strategic investments in S&M and R&D growth and innovation
initiatives

Adj. EBIT margin at 15.3% (PY 21.2%)

Lower earnings per share due to reduced EBIT despite positive impact from FX hedging
177.3
EPS
6M 2022/23
6M 2021/22
Carl Zeiss Meditec Group
€ 1.26
-12.1%
1.44
Page 22
Ophthalmology
Topline growth primarily driven by accelerating deliveries of devices
Revenue
6M 2022/23
6M 2021/22
€ 742.6 million

FX-adj. revenue growth of +12.3%
+13.9%

Delivery of devices accelerated towards end of reporting period, slight supply chain
improvements, growth in devices outpaced consumables

Weaker product mix mainly caused by COVID-19 infection wave in China, strong recovery
towards the end of the period, positive outlook for main season for refractive procedures
651.9
EBIT margin
6M 2022/23
12.3%
-7.1 pps
6M 2021/22
19.4%

EBIT margin decline affected by:
−
Weaker product mix due to slower consumables growth
−
Continued high level of strategic investment in research & development
and sales & marketing
Revenue Split
MCS
OPT
Carl Zeiss Meditec Group
76.2%
of total revenue
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Microsurgery
Robust growth despite continued supply chain strains
Revenue
6M 2022/23
6M 2021/22
€ 231.9 million

FX-adj. revenue growth of +12.7%
+13.9%

Large order backlog amid slowly improving supply chain situation
203.5
EBIT margin
6M 2022/23
6M 2021/22
22.6%

Gross margin improvement yoy despite rising procurement costs
-2.3 pps

EBIT margin reduced through continued high strategic investments in
24.9%
research & development
Revenue Split
MCS
23.8%
of total revenue
OPT
Carl Zeiss Meditec Group
Page 24
Revenue growth across all regions in 6M 2022/23
Strongest growth momentum in Americas
Americas
27.8%
Americas
6M 2022/23
6M 2021/22
€ 270.7 million
+27.6%

FX-adj. revenue increase of +19.4%

Strong growth across almost all countries, in US
particularly driven by conversion of order backlog
212.2
EMEA
25.4%
EMEA
6M 2022/23
6M 2021/22
€ 247.2 million
+7.9%

FX-adj. revenue trend of +8.4%

Good contribution from Southern European countries,
core markets such as DE, FR, UK with stable growth
229.2
APAC
46.8%
6M 2022/23
€ 456.7 million
+10.3%
APAC
6M 2021/22
414.1
Carl Zeiss Meditec Group

FX-adj. revenue growth of +11.0%

Strong performance in India and Southeast Asia

Good recovery of the consumables business in China
towards the end of the period, further acceleration
expected in H2
Page 25
P&L analysis – High level of investment continues to weigh on margins
Opex ratios trending higher yoy
Income Statement
Gross profit
Selling & marketing
expenses
General admin.
expenses
R&D expenses
EBIT
Adj. EBIT
6M 2022/23
Carl Zeiss Meditec Group
in € million
in % of sales
549.5
56.4
501.4
58.6
199.6
20.5
160.6
18.8
40.9
4.2
33.1
3.9
165.2
17.0
130.2
15.2
143.9
14.8
177.3
20.7
149.3
15.3
181.3
21.2

Gross margin down yoy based on lower share of recurring
revenue - product mix expected to improve sequentially

Rise in sales & marketing expenses due to growth
initiatives, in particular Refractive and Surgical
Ophthalmology, higher travel and advertising expenses

Research & development expenses continue on a high level
driven by strategic investments such as digitalization

Delayed effectiveness of price adjustments due to large
order backlog
6M 2021/22
Page 26
Adjusted EBIT margin amounted to 15.3%
Adjusted EBIT margin
6M 2022/23
€ million
6M 2021/22
€ million
Change to PY
%
143.9
177.3
-18.9
-5.4
-4.0
+35.0
Adjusted EBIT
149.3
181.3
-17.7
Adjusted EBIT in % of revenue
15.3%
21.2%
-5.9 pps.
EBIT
./. Acquisition-related special items

Acquisition related special items are amortizations on intangible assets arising from the purchase price allocations (PPA) of
around €5.4m (PY: €4.0m), mainly in connection with the acquisitions of Aaren Scientific, Inc. in 2013/14, IanTECH, Inc. in
2018/19 as well as Katalyst Surgical LLC and Kogent Surgical LLC in 2021/22.
Carl Zeiss Meditec Group
Page 27
Agenda
01
At a Glance
02
Strategy
03
Facts and Figures
04
Outlook
05
Appendix
ZEISS
Page 28
Forecast refined for FY 2022/23

Further growth at least in line with market expected despite geopolitical risks and difficult macroeconomic environment.
Revenue expected to reach around €2.1b in FY 2022/23.

Favorable long-term trends remain in place, such as aging population, growing volume of cataract surgeries, accelerating
myopia prevalence and the need to improve both treatment efficiency as well as outcomes

Ongoing high level of strategic investments in sales and marketing and research & development required to seize growth
opportunities in our markets
ZEISS

Sequentially stronger product mix expected in the second half of 2022/23, leading to recovery in EBIT margin from H1 levels

Expected EBIT margin between 17% – 20%
Page 29
Agenda
01
At a Glance
02
Strategy
03
Facts and Figures
04
Outlook
05
Appendix
ZEISS
Page 30
Medical Technology is a deeply integrated core business
for the ZEISS Group
Carl Zeiss Foundation
Heidenheim/Jena, Germany
Shared Services
across the Zeiss Group
100%
Corporate Services
Carl Zeiss AG
(e.g. Treasury, Legal)
Oberkochen, Germany
2021/22: € 8.8bn revenue
Industrial Quality &
Research
Medical Technology
Basic R&D
Semiconductor
Manufacturing
Technology
Manufacturing
Consumer Markets
Sales & Service Companies
Shareholder structure

Carl Zeiss Foundation created in 1889 as sole stakeholder of Carl Zeiss AG. Statutory goal to promote natural science, engineering.
Envisioned close partnership of industry and science.
41%

Areas of business for foundation company Carl Zeiss AG defined as optics, fine mechanics and optoelectronics.

Commitment to sustainability: safeguarding the future by responsible management, fulfilling special responsibility toward employees
and society.

Carl Zeiss Meditec AG formally created in 2002 through merger of ZEISS Ophthalmic business with listed laser technology maker
Asclepion Meditec AG (AFX) and strengthened by acquisition of Carl Zeiss‘ Surgical business in 2006.
of Carl Zeiss Meditec AG
59%
Free float
ZEISS
ZEISS Group
Page 31
Upcoming Events 2022/23
ZEISS
10 Feb. 2023
9 May 2023
12 Dec. 2023
Publication of 3M Report and Analyst
Conference
Publication of 6M Report and Analyst
Conference
Publication of FY 2022/23 Annual
Report and Analyst Conference
Annual General Meeting, virtual
Publication of 9M Report and Analyst
Conference
22 Mar. 2023
4 Aug. 2023
Page 32
Contact
Sebastian Frericks
Head of Group Finance & Investor Relations
ZEISS
Phone:
+49 (0) 36 41 / 2 20 - 1 16
Fax:
+49 (0) 36 41 / 2 20 - 1 17
Email:
investors.meditec@zeiss.com
Web:
www.zeiss.com/meditec-ag/investor-relations
Page 33