Eurobio Scientific : 2018 MID-YEAR RESULTS
2018 MID-YEAR RESULTS
Significantly positive EBITDA at +€2.4M
A first time in the Group History, thanks to the strategy implemented mid 2017
Paris, October 9, 2018 - 8.00 pm
Eurobio Scientific (FR0013240934, ALERS, eligible PEA-PME), a leading French group in the field of specialty in vitro medical diagnostics and life sciences, presents its financial results as at June 30, 2018.
Significantly positive EBITDA and strong growth of overall results
|In €k||June 30,2018||
June 30 2017
|June 30, 2017|
|IVD product sales||24,989||24,564||19,464|
|Cost of goods sold||(15,920)||(15,859)||(12,914)|
|Marketing and sales expenses||(4,775)||(5,537)||(4,625)|
|Net result before amortization of goodwill||474||(3,948)||(4,100)|
|(1) For better legibility, the company is now presenting a non-restated EBITDA. The restated EBITDA, previously reported, (i.e. including equipment lease expenses and Eurobio Scientific R&D tax credit) reached €2,023K at June 30, 2018 vs. €233K pro forma at June 30, 2017.|
Eurobio Scientific reported improved half-year results with an EBITDA which increased significantly at +€2.4M compared to +€0.1M proforma for the first semester of 2017. The operating result reached +€1.2M compared to a proforma loss of -€1.2M for the first semester of 2017.
This performance is a first in the Group's history and is the outcome of the strategy implemented by the new management, following the merger between Diaxonhit and Eurobio at the end of march 2017. The achievement of this first profitability goal takes place in an environment of moderate growth during the first semester, with a proforma turnover growing by +2%.
Eurobio Scientific implemented a plan of substantial cost reduction that reduced significantly operating expenses. The reduction in force following the merger between Diaxonhit and Eurobio, and the operating synergies implemented within the new Group, generated a significant profitability for the first semester of 2018.
R&D expenses were also reduced, in line with the Group's new strategy that included termination of several programs supported by Diaxonhit. They should represent approximately €1M per year.
Financial expenses stand at €0.5M, reaching a normative level that represents interests payment related to the Group's financial debt and equipment leases.
Over the semester, Eurobio Scientific recorded - €0.4M of extraordinary results that correspond to remaining expenses in connection with the Group's restructuring.
After taking into account the €1.4M goodwill amortization, net result stands at -€0.9M at June 30, 2018, compared with a proforma net result at -€5.5M for the same period last year. Excluding amortization of goodwill, net result is positive at +€0.5M.
With respect to the Group's balance sheet, total cash at June 30, 2018 stands at €6.8M and shareholders' equity reaches €30.1M. After the successful capital financing undertaken to fund the acquisition of Capforce Plus (Eurobio), the use of non-dilutive debt was favored and at June 30, 2018, Eurobio Scientific's financial debt stood at €16.1M, including bonds issued to private individuals and institutional investors for €2.5M in April 2018.
Continued profitable growth for the full year 2018
« In just a few short months, we succeeded, as announced, to significantly improve the Group's profitability and take advantage of the many synergies linked to the merger of our various structures within Eurobio Scientific. Sized for growth, we are pursuing our goal of profitable development driven by the dynamism of the infectious diseases segment, particularly by molecular biology, in France and internationally. We continue to anticipate growth on a like-for-like basis for 2018 and focus on our objective of significant EBITDA improvement for the Group throughout the year. We are confident in the future of the Group and reiterate our goal of 25% growth in sales by 2020 » concluded Jean-Michel Carle, CEO of Eurobio Scientific.
Upcoming financial events
2018 Turnover: January 29, 2019
About Eurobio Scientific
Eurobio Scientific (ex Diaxonhit) is a key player in the field of specialty in vitro diagnostics. It is involved from research to manufacturing and commercialization of diagnostic tests in the fields of transplantation, immunology and infectious diseases, and sells instruments and products for research laboratories, including biotechnology and pharmaceutical companies. Through many partnerships and a strong presence in hospitals, Eurobio Scientific has established its own distribution network and a portfolio of proprietary products in the molecular biology field. The Group has approximately 120 employees and two production units based in the Paris region and in the United States.
For more information, please visit: www.eurobio-scientific.fr
The company is publicly listed on the Euronext Growth market in Paris
Euronext Growth BPI Innovation, PEA-PME 150 and Next Biotech indices.
Symbol : ALERS - ISIN Code: FR0013240934 - Reuters : ALERS.PA - Bloomberg : ALERS:FP
Eurobio Scientific Group
Denis Fortier, General Manager
Hervé Duchesne de Lamotte, General Manager
Tel. +33 1 69 79 64 80
Sophie Levesque / Mathieu Calleux
Tel. +33 1 53 65 68 68
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Source: Eurobio Scientific via GlobeNewswire