Siemens Healthineers AG (SHL) Earnings Call Transcript & Summary

Ladies and gentlemen, dear shareholders, as Chairman of the Supervisory Board, I hereby open the 2026 Annual Shareholders' Meeting of the Siemens Healthineers AG and assume the chairmanship in accordance with the Articles of Association. On behalf of the Supervisory Board and the Managing Board, I warmly welcome all shareholders and their proxies as well as all current and former employees of Siemens Healthineers. I am particularly pleased that so many of you have joined today, thereby, of course, expressing your commitment to Siemens Healthineers AG. I would also like to welcome the representatives of the media and all other viewers. A very warm welcome to all of you. On stage at today's AGM at [indiscernible] in Munich. I welcome all members of the management board, Dr. Bernhard Montag, Dr. Jochen Schmitz, Ms. Darleen Caron and Ms. Elisabeth Staudinger-Leibrecht. They are all members of the Managing Board. Furthermore from the Supervisory Board, we have Mr. Karl-Heinz Streibich here on stage, whom I have asked to represent me as Chairman of the meeting in accordance with Article of Association in the event of my absence. Last but not least, notary public, Dr. Robert Walz is here today to take the notarial minutes. The other members of the Supervisory Board are also present today with the exception of Mr. Dow Wilson and are participating from the meeting room in the very same building here. Mr. Dow Wilson is participating in alignment with me according to Paragraph 14, Paragraph 7 of the Article of Association via audio and video broadcast from Salt Lake City in the United States of America. Also present here in the room are the -- is the proxy appointed by Siemens Healthineers AG, Ms. Stephanie Fernandez [indiscernible] and the proxy appointed by the company, Mr. Christian Schulz. For the sake of clarity, I will refer to both of them collectively as the proxies. In conducting today's virtual AGM, we are particularly concerned with protecting your rights as shareholders. I will, therefore, provide you with information on how to exercise your rights as the Annual Shareholders' Meeting progresses. The entire Annual Shareholders' Meeting will be broadcast live in audio and video for our shareholders and their proxy via the shareholder portal as well as for the very first time for the interested public on our website. The link to the website is now displayed on your screen. There, you will also find a link to the shareholder portal. The ASM will be broadcast in German with English simultaneous interpretation as well as in German sign language. You can prefer -- select your preferred language version. Specific information on accessing the shareholder portal can be found in the notice convening the ASM, which is also available on our website. Following the ASM, a recording of the speeches by Dr. Montag and myself will be available there. In order to ensure that today's ASM can be held properly, the technical arrangements for the live broadcast have been carefully checked. Our notary public, Dr. Walz, has personally verified that everything is working properly and will continue to do so throughout the entire ASM. Now in the unlikely event that the broadcast will be interrupted, we will provide you with information via pop-up messages. If we're unable to reestablish the connection, we will further provide information on our website. If you experience any individual technical difficulties, please contact our shareholder service directly. You can find their contact details on our website, and they are also displayed on screen. During today's virtual ASM, our duly registered shareholders who are connected to the ASM electronically or their proxies will have the opportunity to communicate with us live via video and to exercise their speaking rights, request information and submit motion to the full extent. As already announced in the invitation and notice, I hereby stipulate the rights of information may only be exercised by means of video communication as may right to speak and submit motions. If you wish to speak at today's ASM, you must register your request to speak via the virtual request to speak desk set up on the shareholder portal under the Request To Speak/Motion button. This has been possible since 09:45 a.m. this morning. Now in the interest of a speedy process, I kindly ask you to register your request to speak or motion as early as possible. Please provide a phone number and optionally an email address so that we can contact you if we have any questions or technical problems. Please also provide key words relating to the topics you would like to speak on. Once you have registered your request to speak or your motion, a pop-up window will ask you to enter a virtual waiting room where our media coordination team will check that your microphone and your video communication are working properly. If functionality cannot be ensured, we reserve the rights to reject your request to speak. Recommendations for an ideal audio and video communication functionality can be found on our website. Once the functionality of the video communication has been successfully checked, you can follow the image and the sound transmission of ASM until I call on you in the general debate when you will be switched on to live. Please note that you must appear in person on camera and be heard when you request to speak. Now following your contribution, the video communication with you will be terminated and you can continue to follow the ASM via the shareholder portal. Please note that for technical reasons, there is a slight delay in the transmission via the shareholder portal. Let us now move on to the exercising of your voting rights. As stated in the notice, duly registered shareholders or their proxies may exercise their voting rights exclusively via written vote or by issuing a proxy and instructions to the proxies bound by their instructions. During today's Annual Shareholders' Meeting, declarations regarding your vote can only be made via our shareholder portal until the time specified by me during the voting process. The proxies will cast their votes in accordance with the instructions deposited at that time for the individual agenda items. In this way, they will be included in the voting results as well as will the written votes received at that time. The instructions given to the proxies to date have already been entered into our electronic data processing system. This also applies to the postal votes and written votes already received. I will inform you in good time in advance of the date -- of the time from which it will no longer be possible to cast votes via the shareholder portal. Please submit your votes and any changes in good time. If you've authorized any third party, meaning not any of the proxies or wish to do so, please remember that this authorized person must have sufficient time to cast the votes. In order to provide you with comprehensive information in advance of the ASM, we have voluntarily published the main points of today's speech by Dr. Bernhard Montag as well as my own speech in advance. Shareholders or their proxies also had the opportunity to submit comments on the items on the agenda by e-mail in advance of the ASM. We received one such comment within the relevant deadline. This has also been made available to all of the shareholders and registered proxies on the shareholder portal. Shareholders or their proxies who are duly registered and connected to the ASM electronically may object to resolutions of the ASM via the shareholder portal from the beginning to the very end of the ASM. Furthermore, shareholders who are duly registered and connected to the ASM or their proxies may request via the shareholder portal until the very end of the ASM that questions be included in the notarial record and minutes as unanswered or insufficiently answered. The notary, Dr. Walz, will receive any objections and complaints directly via the shareholder portal. Ladies and gentlemen, following the report of the Managing Board, I will announce the attendance. The list of participants is already available on the shareholder portal for the shareholders participating electronically and their proxies and will be continuously updated until the end of the ASM. Finally, I would like to point out that no stenographic record of the entire ASM will be recorded or taken. Both audio and video recordings of this ASM and its broadcast are not permitted. Now before we move on to the agenda, I would like to note that today's ASM was convened in due form and time by publication of the notice of the meeting in the Federal Gazette on December 17, 2025. Siemens Healthineers AG did not receive any requests to supplement the agenda in the run up of today's ASM. [Foreign Language] However, posed 2 countermotions on agenda item 3 and 6. These were, of course, uploaded on our website in due time. In accordance with paragraph 167 of the Stock Corporation Act, these countermotions have now been officially filed. Countermotions are null and void if the agenda items of the management for agenda item 3 and 6 are actually passed with the required majority. Due to the fact that the countermotions submitted are targeting the management's proposals not be approved, you can simply vote no. And with that, the countermotions will also be void. You also received, of course, all of this information on the documents. All of the information also is provided on the agenda. I would, therefore, believe that we can move on to agenda item 1. Agenda item 1 concerns the presentation of the adopted annual financial statement and the approved consolidated financial statements as well as the combined management report for Siemens Healthineers AG and the group as of September 30, 2025, as well as the Supervisory Board report for fiscal 2025. The Supervisory Board has approved the annual financial statements and consolidated financial statements prepared by the Managing Board. The annual financial statements are thus adopted. A resolution on agenda item 1 is not required. Agenda item 2, the resolution on the appropriation of the unappropriated net income of Siemens Healthineers AG. I would like to point out the following: As Siemens Healthineers AG has transferred additional shares to employees as part of employee share programs, the number of no-par value shares entitled to dividends for fiscal 2025 has changed. As announced, the following amended resolution proposal will therefore be put to the vote. The Managing Board and the Supervisory Board proposed that the net income of Siemens Healthineers AG for fiscal 2025 in the amount of EUR 2,040,048,698.48 be appropriated as follows: dividend of EUR 1 per dividend bearing no par value share for the fiscal 2025, EUR 1,117,816,392.00 will be used. The profit carried forward are EUR 922,232,306.48. The adjusted proposal for the appropriation of profits will be published on our website. Ladies and gentlemen, fiscal 2025 was another successful year for Siemens Healthineers. Your company, dear shareholders, once again set itself very ambitious goals and, as in the past 8 years, has achieved them. Despite difficult conditions, Siemens Healthineers has once again proven itself to be a stable and responsible partner for its customers and their patients for you, shareholders, for its employees and for the societies in which Siemens Healthineers operate around the globe. Revenues rose on a comparable basis by 5.9% to EUR 23.4 billion with adjusted EBIT of EUR 3.9 billion. Based on these strong results in fiscal 2025, the company is raising its dividend proposal by EUR 0.05 to EUR 1 per share. This repeated business success is all the more commendable given that the geopolitical and the macroeconomic environment remained very challenging and unfortunately, still are. The consequences of the COVID-19 pandemic had a longer-lasting impact than originally assumed. Inflation disrupted supply chains, reduced procurement from China, import tariffs and currency fluctuations have significantly clouded the economic environment for many companies. The Managing Board has once again successfully steered Siemens Healthineers through these major global challenges. I'm therefore delighted that Dr. Bernhard Montag and Dr. Jochen Schmitz already in March 2025, agreed to the extend their terms of office ahead of schedule until the end of February 2031. This was preceded by a unanimous decision by the Supervisory Board. The entire Healthineers team has therefore minimized the impact of the crises on its business and closely related to this, of course, on global health care. You, dear Healthineers, have once again shown the world that you give hope to millions of patients and their families and take away their fears every single day. On behalf of the Supervisory Board, I would like to express my sincere thanks to all 74,000 employees for this special achievement. Ladies and gentlemen, the end of the successful fiscal year 2025 also marked the scheduled and successful completion of the new ambition strategy phase. The new ambition said it all. I think the name is in the title. Siemens Healthineers had set itself ambitious goals for the fiscal year 2022 to 2025. It is no exaggeration to say that Siemens Healthineers has become an even more relevant company in many ways during the new ambition strategy phase. First, the company demonstrated its enormous capabilities during the COVID-19 pandemic. At the same time, literally during the pandemic, it became a global leader in cancer therapy through its merger with the U.S. company, Varian. Additionally, Siemens Healthineers defined a very ambitious sustainability program during the new ambition phase and has raised its targets year after year. Now in this context, I would like to draw your attention to the new sustainability report, which complies with the requirements of European standards for sustainability reporting and the EU taxonomy regulation and can be found from Page 41 of our 2025 annual report onwards. Please also refer to the website now displayed on your screen, where you will be able to find the German and English versions of the report. Ladies and gentlemen, in November of 2025, the Healthineers management team presented the next phase of the company's development. This phase is themed elevating health globally or elevating for short. Essentially, this phase is about raising health care worldwide to a new level, elevating follows on from a new ambition and builds on its successes. Dr. Montag will go into more detail about the elevating phase, which is set to run through fiscal 2030 in just a brief moment. Almost simultaneously with the start of the elevating phase, Siemens AG announced its intention to divest its majority stake in Siemens Healthineers from currently around 67% and reduce its financial stake in the medium term to a pure financial investment. To this end, Siemens AG plans to transfer approximately 30% of Siemens Healthineers shares to Siemens AG shareholders preferably by way of a direct spin-off. As a result, Siemens Healthineers would no longer be part of the Siemens Group. The advantages of the planned transaction for both companies would include, in particular, greater scope for strategic development and significantly greater transparency and reduce complexity for the capital market. In addition, the spin-off would multiply the shareholder base of Siemens Healthineers without requiring the sale of the transferred shares on the stock market. The planned transaction is, of course, subject to final regulatory approvals and the approval of the Board and Annual Shareholders' Meetings of Siemens AG and Siemens Healthineers AG. Ladies and gentlemen, both the planned transaction as well as the new elevating strategy phase served to further develop and secure the future of Siemens Healthineers as a leading global medical technology company. On behalf of the Supervisory Board, I would like to express my sincere thanks to all of you, our shareholders, for your continued trust in this fantastic company. I would like to also express my sincere gratitude to all of my colleagues in the Supervisory Board for our continued great work and excellent collaboration. Each and every single one of us is deeply committed to the future of Siemens Healthineers. And it is a personal honor and pleasure for me to chair this Board. Thank you very, very much for your trust put in me. I will now move on to the Supervisory Board's report, ladies and gentlemen. The Supervisory Board fulfilled its duties in fiscal 2025 in accordance with the law, the Articles of Association and the rules of procedure. It held 6 regular meetings. In addition, one resolution was passed by -- the subjects of our regular plenary discussion were the net assets, financial position and results of operations, the strategic process of the company, sustainability issues, personnel matters relating to the Managing Board and the long-term succession planning of the Managing Board. We are also focused on developing the medium-term corporate strategy with the process of realigning the company and its individual business unit strategically for the 2026 fiscal year becoming increasingly important over the course of the financial year. Particular attention was paid to the topics identified for the new strategy phase as well as to China and the development of the global value chain. Other topics included geopolitical challenges and activities related to talent development for executives, including long-term succession planning for the Managing Board. We also approved the construction of a new magnetic resonance factory in Oxford, which falls within the remit of the plenary session and dealt with the reelection and contract extension of Dr. Bernhard Montag as CEO; and Dr. Jochen Schmitz as CFO. Let us now turn our work to -- let's now turn to our work in the committees during the past fiscal year. In order to perform our tasks efficiently, we have established 7 committees, which in particularly prepare the resolutions and topics to be dealt with the plenary sessions of the Supervisory Board. These are the Executive's Committee, the Audit Committee, the Strategy, Innovation and Sustainability Committee, the Compensation Committee, the Nomination Committee, the Committee for Transactions or Related-Party Transactions and the Mediation Committee. The main topic of discussion in the Executive's Committee of the Supervisory Board as well as plenary included corporate governance issues, including a self-evaluation of the Supervisory Board, the reappointment of Dr. Bernhard Montag and Dr. Jochen Schmitz and the extension of their Managing Board service contracts as well as the long-term succession planning for the Managing Board. The Presidium also dealt with changes in various management functions within the company and the replacement of committee members. The Compensation Committee commissioned appropriateness reviews for the compensation of the Managing and Supervisory Board compensation and developed proposals for the Supervisory Board regarding the compensation of the Managing Board. It reviewed compliancy with regards to requirements for share ownership by the Managing Board and dealt with the achievement of targets by and set for -- setting of targets for the Managing Board. The Audit Committee discussed the annual financial statements, the consolidated financial statements and the management report as well as the half yearly financial reports and the quarterly reports with the Managing Board and the external auditor. It recommended that the Supervisory Board proposed PwC to the ASM as the auditor of the annual financial statement and consolidated financial statement for the 2025 financial year and prepared the recommendation for the Supervisory Board precautionary proposal to the ASM to elect PwC as auditor of the sustainability report. The quality of the audit was also assessed. The Audit Committee further dealt extensively with accounting and accounting processes, the internal control system and the risk management system, the activities of internal audit of the internal audit department, compliance reports and legal disputes. The committee also dealt with CSRD implementation and the double materiality analysis carried out by the company as part of its sustainability report. The Strategy, Innovation and Sustainability Committee discussed the company's innovation and sustainability strategy. In addition to quarterly progress reports on strategy implementation in relation to the individual business areas and on sustainability development within the company, the Committee also addressed the double materiality analysis that was carried out. The Strategy, Innovation and Sustainability Committee also discussed topics of current importance, such as the integration of the radiopharmaceutical business for diagnostic molecular imaging of advanced accelerated applications, molecular imaging assay, the Diagnostics business unit, the application and areas of use of digitalization and artificial intelligence in diagnostic imaging and selected key topics of the new corporate strategy with a focus on neurodegenerative diseases. Other items on the agenda included measures requiring approval in connection with the construction of the Photon-Counting CT sensor factory in Forchheim and the divestment of a stake in the company held by Varian in its venture capital portfolio. The Nomination Committee dealt with the long-term succession planning for the Supervisory Board. The Committee for transactions with related parties, so the RPTC, did not hold any meetings during the reporting period as there was no objective reason for this. The Mediation Committee was also not convened. The respective committee chairpersons reported to this Supervisory Board regularly and in a timely manner. The Managing Board informed the Supervisory Board regularly, promptly and comprehensively about all significant events and involved it directly at an early stage. The Supervisory Board regularly advised the Managing Board and continuously monitored its managing activities. The auditor reviewed the annual financial statements and consolidated financial statements as well as the combined management report and issued an unqualified audit opinion. The auditor then reported on this in detail to the Supervisory Board. After conducting its own thorough review, The Supervisory Board concurred with the results of the audit and approved the annual financial statements and consolidated financial statements. The Managing Board and Supervisory Board have prepared the compensation report of Siemens Healthineers AG for fiscal 2025 and are submitting it to today's ASM for approval. The sustainability report for fiscal 2025 and the disclosures on the EU taxonomy in the combined management report for Siemens Healthineers AG and the group for fiscal 2025 as well as the auditors related notes were also received, reviewed -- and reviewed by the Audit Committee and the Supervisory Board at their meetings on November 25, 2025. Ladies and gentlemen, you will find a more comprehensive report of this Supervisory Board starting on Page 222 of the 2025 annual report. Before we now move on to the other items on the agenda, I would now like to hand over to the Chairman of the Managing Board, Dr. Bernhard Montag. Thank you very much for your attention. [Presentation]

2026 will be special significance for our company. Firstly, 2026 marks the beginning of our new strategic phase, elevating health globally. With this phase, we wish to make our contribution to raising health care worldwide to a new level. That is a lofty goal, but we have the technologies, the expertise and above all, the best team to achieve that. Secondly, following a possible deconsolidation from Siemens AG, we want to be an attractive investment for more owners than ever before. 2026 will be a special year, and we're looking forward to it. And with that, I too would like to extend a warm welcome to you to our 2026 Annual Shareholders' Meeting. Ladies and gentlemen, shareholders, before I go into more detail on the past fiscal year and our strategy, let me begin by briefly taking stock. Where have we come from? We saw our IPO in 2018. That's a unique opportunity, unique because as part of the Siemens Group at the time, we could already look back on a long and successful history. And now we have the chance to reinvent ourselves like a start-up. The Healthineers team successfully seized that unique opportunity. Today, we are the global leader in the imaging and precision therapy segment. 90% of the world's leading hospitals work with our systems. We are directly represented in more than 70 countries, over 700,000 of our systems are used worldwide. And most importantly, people benefited from them more than 3 billion times last year alone. We are the undisputed leader in technology and innovation. Research and development is our lifeblood, not a cost factor. We invest around EUR 2 billion in this field, and we are therefore continuously increasing our lead. Recent examples include a photon-conducting computer tomography scanners, nearly helium-free magnetic resonance imaging scanners, our key role in the dynamically developing field of theranostics and our leading position in artificial intelligence in the clinical environment, Healthcare IA (sic) [ AI ]. And I'll come back to that in a moment. Since going public, we've not only gained significant market share, but also further developed our profile from a partner at the specialist and department level to a partner within the management level, the so-called C-level of large health care organizations wants to shape the future. Currently, more than 200 major customers have committed to us for the long-term through value partnerships as we call them. The order books have a volume of EUR 6 billion. In 2025 alone, orders with a cumulative term of 360 years were added. Perhaps the most impressive example to date is the partnership to improve cancer screening and treatment for the 5 million residents of the Canadian province of Alberta. This value partnership worth CAD 800 million and running for 8 years underscores the fact that Siemens Healthineers is now much more than a supplier of leading technology. We are the partner of choice when it comes to designing entire health care systems. Ladies and gentlemen, almost 5 years ago, we completed the merger with Varian, a truly transformative move for both companies. As part of our organization, Varian was able to significantly expand its innovation leadership and to benefit greatly from our international presence and C-level access. In just 5 years, Varian has increased its market share by 10 percentage points to more than 60%. Siemens Healthineers as a whole has become an even more holistic partner. And for other businesses, they've been able to learn a lot from absolutely exemplary focus of our Varian colleagues on patient benefit. Today, 5 years after the merger of the 2 companies, we can say that this is a success story for Varian, for Siemens Healthineers and above all, for millions of patients around the world. In recent years, we've also worked and we've showing one of the patients here in the film. You can see how in Fortaleza patients are ringing the bells now because the cancer therapy has been completed successfully. In recent years, we've also worked successfully on leveraging internal synergies and where we don't see any focusing on independence and concentration. Imaging and precision therapy supported by artificial intelligence from the highly synergistic core of our company. The Diagnostics division, on the other hand, has few synergies with the other segments. As you know, Diagnostics is undergoing a phase of transformation and our colleagues are doing a very good job. The next step now is consistently to pursue our own diagnostic strategy, and based on that, to develop our own structure. I would like to [indiscernible] saying that we have achieved financial targets in almost every year since our IPO. In a period marked by a pandemic, significant supply chain problems, a temporary sharp rise in global inflation and increasing geopolitical tensions, that is no mean feat. All these achievements also played a role in Moody's rating agency's assessment. As you may have read, Moody's gave us an A3 credit rating and a strong investment-grade rating in December. We also achieved our goals in the past fiscal year 2025. Year-on-year sales rose strongly by 5.9%. The adjusted EBIT increased to EUR 3.9 billion. At EUR 2.39, adjusted undiluted earnings per share was significantly higher than in the previous year. Year-on-year, the EBIT margin rose to 16.5%, which is 80 basis points up on the previous year despite increased trade tariffs. And the very good equipment book-to-bill ratio of 1.14 means that our high order backlog has increased still further. In addition to the financial targets, we've also achieved our sustainability goals. I'd like to highlight one example in particular. We've reduced greenhouse gas emissions from our own operations by 49% since 2019. And in 2025, we were the first time ranked among the 25 best [ employees ] worldwide by Fortune World's Best Workplaces. In Germany, we're even the best workplace in a group of companies with more than 5,000 employees. Ladies and gentlemen, against the backdrop of geopolitical upheavals and in particular special tariffs, the performance of the Healthineers team is truly remarkable. I'd like to express my heartfelt thanks to my 74,000 colleagues around the world for this. All in all, I believe we can be very satisfied with what we've achieved over the past year. I'm aware of the fact that you would like to know further details today on when and how of the deconsolidation. However, I would like first to note that both the structure of the deconsolidation and the timetable for it will be determined primarily by Siemens AG as our current majority shareholder. It's also true, however, that we should play a decisive role in shaping that process. If Siemens AG decides to proceed with the spin-off option communicated, we shall play a significant role in its implementation, and that includes providing you with detailed information at the subsequent shareholders' meeting when we shall ask for your approval. As soon as we have final clarity about the when and how of the deconsolidation, the uncertainties that are currently weighing on the share price will also be eliminated. Some of the developments of recent years. At this point, let me briefly reflect on what distinguishes us as Team Healthineers and drives us on. Why is this important to me? Because it's the courage of this team that made our achievements possible in the first place and which will carry us through the special year of 2026 and into the next phase of the company. The Healthineers team is characterized by a particular aspiration, the aspiration to do justice to the 3 components of the term medical technology business. In other words, medicine, technology and business in an excellent manner in each case. Business in the sense that the economics of health care systems are regulated differently in each country and needs to be understood. Such a complex task can only be accomplished by listening carefully, by being curious and willing to learn every day and by approaching customers with a certain level of modesty and great respect as they ultimately dedicate their entire professional lives to helping others. For medical professionals, their work is not a job, but a life's work. And for most Healthineers, it's the same. They don't see it as a job, but as a life's work to improve health care for 8 billion people. We are pioneers and engineers of health care, in short, Healthineers. Today, 74,000 people identify themselves with this mission. They enjoy working here, and they remain loyal to the company for a long time, many even for their entire professional lives, because they see that their work makes a difference and they see what their work achieves. And because they see that the company values not only their commitment, but also their personality and feedback. This gives rise to trust and the high level of identification. And it also results in our company's outstanding global ranking as a great place to work when our employees evaluate the workplace. Shareholders, the next phase of our company's strategy is entitled and it explains what we refer to as our severance character, which I'd like go into in more detail and explain what we intend to do in the years ahead. Last year, we worked out the next strategy for our company, which is entitled Elevating Health Globally. In recent years, Siemens Healthineers has developed, what I like to call, our 2 superpowers. The first superpower is the interplay of the triangle of patients twinning, precision therapy and Healthcare AI, exactly what is needed to combat the world's most threatening diseases. Our second superpower is our teams in the countries who understand how to cover our broad portfolio, I think, globally and it remain locally anchored who can speak to clinical departments on an equal footing while also mastering the language of hospital executives and large health care providers. This puts us in an excellent position to address the challenges of our customers worldwide, mainly efficiency, clinical excellence and improved access to health care. Globally, so-called noncommunicable diseases such as dementia, stroke, heart attack and cancer are on the rise. In the meantime, 3/4 of all deaths are now attributable to noncommunicable diseases, neurodegenerative diseases. 1 in 9 people over the age of 65 worldwide has Alzheimer's disease. Cardiovascular diseases cause more than 20 million deaths a year and around 12 million people suffer a stroke every year, more than half of them die as a result. More than 20 million people worldwide develop cancer each year. By 2040, that number will rise to more than 30 million. These are precisely the diseases that we address, and we have strategically aligned our capabilities to combat that. What distinguishes these noncommunicable diseases from infectious disease? Well, put it simply, infectious diseases often have a one-size-fits-all approach. There is one vaccine for prevention. And only when someone falls ill, the treatment is usually clear and uniform. In the case of bacterial infections, for example, it's often antibiotics. In contrast to that, there's no such thing as a typical stroke. Every stroke is different. And there's no such thing as a typical cancer. Noncommunicable diseases are patient-specific. Accordingly, health care systems all over the world are faced with the enormous task of finding a personalized treatment path for a rapidly increasing number of disease, while at the same time, dealing with the shortage of skilled workers and limited budgets. Our special skills are essential in tackling this task. Patients twinning, which means the most accurate description possible of the individual patient. Precision therapy, i.e., the most individualized treatment possible for each individual based on precisely that information and Healthcare AI to multiply medical knowledge to automate processes and to reduce errors. With our strength in imaging, we have the ability to detect diseases at an early and earlier stage. Its cardiovascular diseases or cancer, we can diagnose the disease, select the appropriate therapy, simulate the therapy and to create a treatment plan. That is exactly what's happening on the left-hand side of the triangle. On the right-hand side, you can see precision therapy. Here, technology makes the difference in enabling personalized care. That's, for example, what we do at Varian. Imagine a robotically controlled precise beam that destroys the tumor based on imaging information or minimally invasive treatments in the catheter lab, where we're increasingly collaborating with companies such as Intuitive Surgical, Boston Scientific, Stryker and Medtronic, whose increasingly miniaturized devices can often only be used in close conjunction with our technologies. This is how these 2 parts of the triangle work together. But just as important is personalization on a large scale. And here, it's crucial to use AI specialized for the health care sector, Healthcare AI, to accelerate processes significantly to bridge the gap between diagnosis and therapy to reduce errors and to leave the burden on medical professionals. Here are just a few examples. Firstly, Alzheimer's. We are the market leader in procedures that visualize metabolic processes of the body, i.e. PET, PET/CT and MR PET. We're also the market leader in the manufacturing and distribution of radiopharmaceuticals. If something suddenly happens on the right-hand side of the triangle and the disease-modifying therapy for Alzheimer's becomes available, then the left-hand side also becomes important. Diagnosis, here, we can detect amyloid plaque burden and decide if the patient has Alzheimer's, and whether he is eligible for a disease-modifying therapy. Often, as in the case of innovative Alzheimer's treatments, a single imaging session is not sufficient. It must be performed multiple times to monitor the therapy and to rule out side effects such as microbleeding in the brain. The next example. Photon-counting CT. I hope many of you share our enthusiasm for this technology. That's only the clinical side of it. There are already 900 scientific publications, and we've received orders worth around EUR 1 billion to date. Why is this relevant to our triangle? Here, you can see the coronary arteries of a healthy patient. Coronary heart disease is a silent killer. It often begins unnoticed and it's only detected when it's already very late or too late. Photon-counting CT has the potential to become the method of choice for early detection and screening for this disease. Here in this image, you can see no plaque, no lesions, no calcification, no risk. In the past, conventional CT could not accurately assess the progression of this disease. Photon counting now provides crystal clear images. In many cases, this can replace interventional diagnostics with a cardiac catheter. And if therapy is necessary, photon-counting CT makes it possible in effect to create a detailed map of the coronary arteries and process it with AI, so the physician can then take the next step to provide the best possible care for this particular patient. A similar issue arises in strokes. We have developed a CT scanner that fits into an ambulance and still produces hospital-quality images. This allows the necessary diagnosis to be made immediately to determine the type of stroke and to transmit all the information directly to the hospital. There, a procedure such as the physical removal of the blood clot can be performed immediately guided by imaging. This procedure known as thrombectomy achieves significantly better results than traditional treatment with blood thinners. This is because valuable time is lost before the blood thinner takes effect during which time the area of the brain that is not receiving blood suffers further damage. Last group of diseases is cancer. Here our goal is to establish magnetic resonance imaging for the early detection of prostate cancer. The AI supported rapid measurement sequences used here take only about 1.5 minutes and enable a very early and reliable diagnosis, which is so precise that in many cases, tissue sampling is not even necessary. And to the next step, MRI is used, and this is a great advantage when you're the market leader in MRI, healthcare AI and radiation therapy under one roof. It is used directly for therapy planning. Another field that we advance in the field of oncology is known as theranostics. With our strength in diagnostics, molecular imaging, radiopharmaceuticals and Varian's IT systems for treatment planning, we are already in an excellent position. One last example from practice, a patient with oligometastatic disease by multiple metastases in the brain. In the past, the entire brain was [ irradiated ] in such cases with considerable side effects. Later, it was necessary to determine manually, which parts of the brain should be spared. Today, [ IE ] does this. The colors and metastases indicate the energy intensity that is fed into the linear accelerator based on imaging and AI. This enables highly precise treatment that is largely limited to metastases. Healthy tissue is spared as much as possible and diseased tissue is treated. You can see how important the triangle is. And you can see that AI plays an important role in almost all cases. This image shows how our AI road map is structured and how it is used to combat noncommunicable diseases. There are 3 steps from left to right. First from patients to image. This is about speeding up the examination and reducing staffing requirements. Second, translate the clinical image into a medical diagnosis, whether it is [ brought ] for the next doctor or as a plan for treatment. And thirdly, from plan to treatment. We're back on the path of the CT scan, the first of 3 steps can be performed fully autonomously. Imagine this as being as simple as stepping on your scales in the morning. No user interaction, everything runs automatically. Next step, translating the image into findings or into the treatment plan in order automatically to program the therapy device or to inform the physician or in future, perhaps the robotic assistant in the intervention. That is what we call Healthcare AI, which has become a central factor in innovative strength and the field, which we are expanding most strongly. That is what we do for patients and what the next phase is all about with this clear focus on the 4 disease areas I've mentioned. The other perspective on what we do is the customer perceptive. Just the challenges for our patients are the 4 disease areas, the 3 major challenges for our customers are essentially the same everywhere. The need for efficiency, the goal of clinical excellence and keeping pace with medical advances and the goal of giving more people access to modern health care. Efficiency here has long ceased to mean to just cost efficiency. The far greater challenge worldwide in emerging and industrialized countries alike is the shortage of staff. Today, more with less often means more with fewer people. This is also one of the reasons why our AI innovations resonate so strongly. Clinical excellence also has 2 dimensions. On the one hand, how individual physicians keep pace with medical advances, but increasingly importantly, how an entire institution such as a hospital chain succeeds in establishing new procedures across the board. And the third major issue is access to care for more people, which above all, means in developing modern health care systems for emerging markets. Because of these 3 global challenges, I mentioned our second superpower. There's no other organization that can offer the same depth. In other words, I want an entry-level CT scan on the same breadth. I want to improve my radiology department or oncology service line. Our team can switch from transaction to partnership. It is deeply rooted locally with Malaysia, Norway or Brazil and understands the challenges on the ground, but can also draw on global knowledge. That is the global standard of care, and that is how it is implemented locally. And this is how we are now translating it into growth areas. Firstly, further promoting value partnerships. We should help more and more large institutions in long-term partnerships to further develop the range of services and to increase efficiencies across many locations with a clear and ambitious common goal instead of negotiating numerous individual contracts. That is what value partnerships are all about. Secondly, access to care. Access to medical treatment, in other words. In emerging markets, too, noncommunicable diseases are also the leading cause of death. That is why there is significant public and private investment in cancer centers, cardiovascular care and stroke management. Our local organizations and our compact AI-driven products are helping to develop these regions as important growth drivers. We are already generating more than EUR 3 billion in revenue and achieving double-digit growth with this, and we want to continue on this path. How is all this reflected in our financial targets and reporting. We have adjusted our reporting structure by creating a Precision Therapy segment that is Varian, Advanced Therapies and Ultrasound. On to the medium-term goals, i.e., 2027 to 2030, we wanted to grow strongly and profitably. In the 2 synergistic segments of Imaging and Precision Therapy, we're aiming for 6% to 9% revenue growth on a comparable basis with slightly more growth on the Precision Therapy side. Imaging in the high single digits. Precision Therapy in the mid- to high single digits. After this year, which has also been affected by tariffs, Imaging returned to margin expansion through scaling. We're targeting a margin increase of around 100 basis points per year in Precision Therapy. Diagnostics expect to grow in the mid-single digit in term of sales and keep margins in the mid-teens on a year-on-year basis. For the company as a whole, this translates into 5% to 7% sales growth and double-digit EPS growth as the aim. Last but not least, I would like to mention our figures for the first quarter of the current fiscal year 2026. We've got off to a very good start. [indiscernible] Imaging and Precision Therapy compared to the previous year's quarter, we have grown by 6%. The book-to-bill ratio as a ratio of incoming orders to sales is on 1.12, which indicates strong growth in the quarters ahead. Despite considerable headwind from currency developments and tariffs, the adjusted EBIT margin has been kept stable at 15%. Diagnostics business is working on a transformation and I've already mentioned that. Significant market changes such as in China because of the central volume-based procurement and by the adjustment in the replacements has had an effect. The portfolio [indiscernible] has been very successful. This has grown by 20% and accounts for 70% of our business in this sector. Last but not least, our sustainability goals. We want to further increase our patient impact to 3.3 billion patient contacts a year. We want to reduce our carbon footprint in Scope 1 and 2 by 90% by 2030 and in Scope 3 by 2050. And we want to maintain a very high level of commitment to the Healthineers team with the goal of having at least 80% of Healthineers working in countries where we are certified as a great place to work. Shareholders, your Healthineers team delivered another successful year in 2025, while also setting the signals for further profitable growth in the years ahead. I should like to take this opportunity to express my sincere thanks to the entire Supervisory Board for their trust and cooperation and to you, personally, Ralf, for your advice and assistance. [indiscernible] shareholders, I'd like to thank you for your trust and support, which you have once again demonstrated today through your renewed interest in us. Thank you very much.

Thank you. So very much, Bernhard. [Statements in English on this transcript were spoken by an interpreter present on the live call.]