Elekta develops clinical solutions for the treatment of cancer and neurological diseases, including radiation therapy and radiosurgery, as well as software systems for devices used throughout the spectrum of cancer care. One of Elekta’s strengths is applying life-cycle analysis across its product development process. For example, by implementing ecoDesign for medical devices, Elekta has developed products which use up to 30% less electrical consumption than competing products. In addition, Elekta participated in the creation of, and is currently adopting, the International Electrotechnical Commission’s 60601-1-9 requirements for environmentally conscious design of medical devices. By adopting these principles, Elekta has reduced the amount of steel, brass, and lead while simplifying the design of subassemblies, which allows for a reduction in the total number of components needed and packaging required.
In July 2014, the European Union’s Restriction of Hazardous Substances Directive* (RoHS) began to cover medical devices. While the Directive is required only for equipment sold in the European Union, all of Elekta’s products are RoHS compliant, regardless of where they are sold. Elekta has committed to reducing its direct and indirect greenhouse gas emissions by 35% per unit of revenue by the close of 2015 (from a 2009 baseline). The company’s main facilities have ISO 14001 certified environmental management systems and it tracks its key performance indicators. However, Elekta currently only discloses its greenhouse gas emissions and electricity consumption through its participation in the Carbon Disclosure Project; the company does not report on other key performance indicators. We have encouraged Elekta to begin this practice.
To the best of our knowledge the above information is accurate and was obtained from sources we believe to be reliable. Neither the information presented above nor any opinion expressed shall be construed as an offer to sell or a solicitation to buy the security. The views expressed are those of portfolio management as of 08/31/15 and may not reflect current opinions or subsequent events.