Company announcement no 2026-08 5 May 2026
Interim Management Statement for Q1 2026
Group organic growth of 6% driven by very strong organic growth of 9% in Hearing Aids fuelled by Oticon Zeal
Group growth in local currencies of 16% supported by the acquisition of KIND Group in 2025
Initiatives to improve profitability progressing well with several measures implemented during Q1
Outlook for 2026 is maintained, however the strong reception of Oticon Zeal makes results at the lower end of the organic growth and EBIT before special items ranges less likely
“The first quarter marked a strong start to the year for Demant and clearly illustrated the strength of our innovation capabilities. We have a leading AI-based hearing aid platform, and our ability to drive market share gains remains intact. The launch of Oticon Zeal and the market’s positive reception of the product have driven strong performance in our Hearing Aids business. This has further strengthened our confidence in the product and thus in our financial outlook for the year. During the quarter, we also implemented structural changes across the organisation to better position our business for higher growth and improved profitability. With cost-reduction initiatives underway and strong commercial momentum, I have confidence in Demant’s ability – as a leading hearing healthcare company – to improve the lives of even more people living with hearing loss,” says Søren Nielsen, President & CEO of Demant.
| Revenue (DKK million) |
| Growth | |||||
Business area | Q1 2026 | Q1 2025 |
| Organic | Acquisitive | LCY | FX | Reported |
|
|
|
|
|
|
|
|
|
Hearing Aids, total revenue | 3,356 | 3,148 |
| 11% | 0% | 11% | -4% | 7% |
Hearing Aids, internal revenue | -821 | -678 |
| 19% | 6% | 25% | -4% | 21% |
Hearing Aids, external revenue | 2,535 | 2,470 |
| 9% | -2% | 7% | -4% | 3% |
Hearing Care | 3,123 | 2,547 |
| 4% | 23% | 26% | -4% | 23% |
Diagnostics | 588 | 603 |
| 4% | 0% | 4% | -6% | -2% |
Group | 6,246 | 5,620 |
| 6% | 10% | 16% | -5% | 11% |
Our financial outlook for 2026 is maintained, however the strong reception of Oticon Zeal in Q1 makes results at the lower end of the organic growth and EBIT before special items ranges less likely:
Metric | Outlook for 2026 |
Organic growth | 3-6% |
EBIT before special items | DKK 4,100-4,500 million |
Share buy-backs | None |
The outlook is based on the following key assumptions as described below, which are unchanged:
For modelling purposes, we provide further assumptions for 2026 below, which are updated as at 4 May 2025:
Metric | Assumptions for 2026 |
Acquisitive growth | 9% based on revenue from acquisitions completed as at 4 May 2026 (previously 8%) |
FX growth | -2% based on exchange rates as at 4 May 2026, including the impact of hedging |
Special items | DKK -325 million |
Effective tax rate | Around 23% |
Demant will host a conference call on 6 May 2026 at 14:00 CEST. A live webcast of the call will be available on our website www.demant.com. If you would like to access the conference call to ask questions, please pre-register here to receive the dial-in numbers and access codes. A presentation for the call will be uploaded on our website shortly before the call.
Further information: Søren Nielsen, President & CEO Phone +45 3917 7300 | Other contacts: René Schneider, CFO Peter Pudselykke, Head of Investor Relations Gustav Høegh, Investor Relations Officer Maribel Alonso Francisco, Communication Manager |
Overall, the hearing healthcare market we address, which comprises the markets for hearing aids and diagnostic instruments and services, saw growth in Q1 2026.
Based on available market statistics, covering around two-thirds of the hearing aid market, and on our own assumptions, we estimate that the global hearing aid market saw unit growth of around 3% in Q1 compared to the same period in 2025. Growth was broad-based, with all regions seeing growth, albeit slightly below the structural unit growth rate of 4-6%. This development was as expected. We estimate that geography and channel mix changes supported the global ASP development in Q1, leading to an estimated value growth rate in the global hearing aid market of around 4%. This is at the high end of our assumed market growth rate in value for 2026.
| 2025 | 2026 | ||||
Region | Q1 | Q2 | Q3 | Q4 | FY | Q1 |
Europe | 4% | 3% | 4% | 8% | 5% | 2% |
North America | -3% | 2% | 2% | 0% | 1% | 3% |
Hereof US (commercial) | -5% | 4% | 2% | 0% | 0% | 3% |
Hereof US (VA) | -1% | 1% | 4% | -1% | 1% | 4% |
Rest of world | 4% | 5% | 4% | 3% | 4% | 4% |
Global | 2% | 3% | 3% | 4% | 3% | 3% |
We estimate that unit growth in Europe was around 2% in Q1 compared to the same period in 2025. Growth was primarily driven by Germany and France. In the UK, growth was negative despite growth in the private market, as unit growth in the NHS saw a decline following a strong Q4 in 2025. Looking beyond the three largest markets, we estimate that several medium-sized European markets delivered good growth in the period.
In North America, unit growth was 3% in Q1. Growth in the US commercial market was also 3%, driven by private-pay channels. However, this growth rate was significantly impacted by negative growth in managed care, which weighed on overall market growth. Unit growth in VA improved sequentially, partly supported by low comparative figures, reaching 4%. In Canada, unit growth remained solid in Q1.
Looking beyond Europe and North America, we estimate that unit growth in the Rest of world region was around 4%. Growth in Japan was strong, and we estimate that the Chinese market saw growth despite continuously challenging market dynamics. Australia saw slightly negative growth in the period, but several emerging markets delivered solid unit growth in Q1.
Following improving trends in the market for diagnostic instruments and services towards the end of 2025, we estimate that market growth was slightly positive in Q1, driven by the market for diagnostic equipment and the market for services and consumables.
Organic growth in sales to external customers was 9% in Q1 2026, with the business seeing a significant growth momentum following the launch of Oticon Zeal, which delivered growth ahead of plans. This was further supported by growth in our existing portfolio of products, demonstrating the demand by our customers and users for our broad portfolio of power-efficient hearing aids with industry-leading connectivity and AI-based signal processing. Growth was also supported by the hearing aid market growing 4%, which was at the high end of our expectations. In Q1, we saw both unit growth and a strong contribution from ASP developments compared to Q1 2025, and we estimate that we have significantly increased our market share in terms of value.
In Europe, organic growth was good, driven by solid performance in Germany and the UK as well as good performance in several medium-sized markets. In France, growth was slightly positive.
In North America, we saw strong double-digit growth fuelled by performance in the US commercial market and in VA, with Oticon Zeal being available in VA since 1 May 2026. Despite a decline in the managed care market, we delivered very strong growth in the channel, however from a low comparative base. In Canada, growth was solid, supported by the launch of Oticon Zeal in Q1.
In Asia, organic growth was flat despite negative growth in Japan and China as well as in our Pacific region. Organic growth in Australia was good, and in our Rest of world region, which mostly comprises emerging markets, organic growth was strong.
Hearing Care continued the good performance, leading to organic growth of 4% despite strong comparative figures. This development was driven by very strong performance in the UK, in particular, and in North America. Acquisitive growth was 23%, primarily driven by the acquisition of KIND in Germany. Acquisitions in the UK also contributed to acquisitive growth in the latter part of the period. When looking at the organic growth rate in Q1, we see that growth was mainly driven by units, but we also saw tailwind from an increase in the ASP, primarily due to positive product mix changes.
Europe saw solid organic growth, driven by strong performance in UK and in several of our medium-sized markets, particularly Poland. In Germany, organic growth was good and was further supported by significant acquisitive growth. In France, growth was slightly negative, as unit growth was outweighed by a negative ASP due to product mix changes.
In North America, organic growth was good, driven by continuously strong momentum in Canada. In the US, organic growth remained solid, despite a strong performance relative to the market in the comparative period. Both countries saw a positive impact of the launch of Oticon Zeal on the product mix in Q1.
Looking beyond Europe and North America, we saw growth in Australia, whereas growth in China was slightly negative following a number of quarters with good performance.
Organic growth in Diagnostics was 4%, driven by growth in our businesses for diagnostic instruments and services and consumables. The business area did not see any impact of acquisitions in Q1.
In Europe, organic growth was positive, driven by particularly strong growth in the UK and Poland. In North America, growth was also positive, driven by Canada, whereas the US saw slightly negative growth. In Asia, growth was impacted by continued softness in China where we continue to see adverse effects of our limited access to public markets. In our Rest of world region, we saw negative growth despite good growth in several smaller emerging markets.
Demant is a world-leading hearing healthcare group that offers innovative technologies, solutions and expertise to help people hear better. In every aspect, from hearing care and hearing aids to diagnostic equipment and services, Demant is active and engaged. Headquartered in Denmark, the Group employs more than 26,000 people globally and is present with solutions in 130 countries creating life-changing differences through hearing health. William Demant Foundation holds the majority of shares in Demant A/S, which is listed on Nasdaq Copenhagen and among the 25 most traded stocks.