Factors | Initial Effect | Expected 1yr Recovery | Comments |
---|---|---|---|
Company Sales/Revenue | Strong | Moderate | Nearly all aesthetic procedures will be delayed or cancelled, strongly impacting company revenues Some MNCs have extended the payment terms for aesthetic offices to ensure stable cash flows. |
Procedure Volumes | Strong | Moderate | Most aesthetics markets are elective and initial guidance from physician associations/regulatory bodies was to postpone elective procedures; however, as earlier restrictions are now easing in a number of countries (or certain states, provinces, and cities), some procedures will be resumed |
ASPs | Strong | Moderate | For most elective procedures and products, the initial commentary from KOLs and industry sources has been that discounted pricing will be used to draw customers back to these procedures once the pandemic eases |
New Product Launches | Moderate | Moderate | The launch of injectable products will be delayed in China because the CFDA was closed for some of Q1 2020. Similar delays will be seen in the US and Europe in Q2 2020; implementation of the EU MDR is postponed by one year. |
Clinical Trials | Moderate | Moderate | Ongoing trials will proceed but will face delays in cases where patients must be present in person. |
Supply Chain | Weak | Strong | Production delays are expected in some regions in the short term |