Nobel Biocare profit drops, slashes targets

The world's largest maker of dental implants Nobel Biocare slashed its outlook as it shocked markets with a 25 percent drop in first-quarter net profit on the back of slower demand and management troubles.
By 0956 GMT, shares in the group, which was due to release its figures next week, had tumbled over 16.6 percent to 37.12 Swiss francs, adding to the nearly 27 percent lost so far this year on fears of a US recession.
First-quarter net profit at the group slumped to 32.9 million euros ($52.46 million), falling short of an average estimate of 44 million euros in a Reuters poll of 13 analysts, the group said on Thursday. Demand for the group's products has been hit by consumers reining in spending due to growing economic uncertainty, with first-quarter sales falling in Europe, Middle East and Africa and stagnating in North America.
"We have a business mix which is more weighed towards large treatments, more expensive treatments, price tags in the range of $20,000 to $40,000 for example," said Chief Executive Domenico Scala, who took over last year after the surprise exit of charismatic CEO Heliane Canepa.