2012 was marked by the European financial crisis, widespread expansive monetary policy and exchange rate intervention.
As in 2011, Swiss small and mid-caps underperformed.
Straumann belongs to this mid-cap segment. Our share price performance in 2012 was disappointing at -31% (or -29% taking into account the dividend of CHF 3.75). While performance was in line with the market as a whole in 2011, both of the dental stocks listed on the Swiss market lost considerable ground in 2012. Although demand for implant-supported restorations was very pleasing in North America and the emerging markets, almost 50% of the global restoration market continues to be focused in Europe. As the tooth restoration market relies on patients’ ability to finance non-reimbursed treatment, the strained economic situation, government cost-saving measures and the record high levels of unemployment in some parts of Europe are hampering demand considerably. The industry still has yet to provide proof that a return to the attractive growth rates of the past is possible