UPDATE 1-Straumann cautious after Q1 sales edge higher

* Analysts had expected Q1 net revenue of 195 mln Sfr

* Group still looking to outperform slight market growth


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ZURICH, April 27, 2010 (Reuters) - Swiss dental implant maker Straumann Holding AG (STMN.S) still sees sluggish demand in the market this year as consumers hesitate about spending on non-urgent dental treatments.

First-quarter sales at Straumann, the world's second largest maker of dental implants, edged up 1.5 percent to 199.2 million Swiss francs, beating analysts expectations in a Reuters poll. [ID:nLDE63L1VV] Demand was 3.1 percent higher in local currencies.

"With continuing uncertainty in the global economy, Straumann remains cautious about forecasting when sustainable, underlying growth will return to the market," Straumann said in a statement on Tuesday.

Straumann said the group was still looking to outperform the rest of the market, which was likely to see unchanged demand or growth in the low-single-digit range in 2010.

The group has weathered the recession better than its main rival, Swiss peer Nobel Biocare (NOBN.VX), as it was less exposed to the economic downturn in the United States.

U.S. rivals Zimmer (ZMH.N) saw demand for its dental products rising 6 percent on the year, while Biomet [LVBHAB.UL] reported a slight decline in sales in local currencies. (Reporting by Katie Reid; editing by Karen Foster)


* Dental implant maker's sales rise 1.5 pct to 199.2 mln Sfr