The most exciting aspect of Cochlear’s latest result is confirmation that the cochlear implant market continues to grow through adoption of the technology by elderly patients. The preservation of residual hearing has been a key concept in the utilisation of Cochlear’s hybrid implants and has played a convincing role in improving patient awareness. Growth in this market was most noticeable in the US where unit growth was 10% on the back of strong market growth and market share gains.
Cochlear’s investment into stimulating the market via direct to consumer marketing will help to maintain this growth.
Cochlear reported an impressive first-half FY16 net profit after tax of $94 million, up 32% on the previous corresponding period and clear of our expectations. At the same time, the company increased full-year guidance to between $180–190 million.