GUERBET : H1 2024 results.
H1 2024 results
Very dynamic business
activity
- H1
revenue: €419.2m, up 11.8% at
CER1
- A
trajectory driven by all activities and geographical areas
Solid increase in
profitability
- The
restated EBITDA margin2 was 15.4%, compared to 12.7% a
year earlier
-
Operating income almost tripled to €30.3m
Upward revision of annual
guidance
- Revenue:
expected growth of over 9% like-for-like and at CER (>8%
previously)
-
Profitability: restated EBITDA margin rate higher than in 2021
(14.4%)
Villepinte, 25 September 2024, 5.45
p.m.: Guerbet (FR0000032526 GBT), a
global specialist in contrast agents and solutions for medical
imaging, is publishing its consolidated financial statements for
the first half of the current financial year.
On 30 June 2024, the Group’s sales totalled
€419.2m, up 10.7% compared with the same period in 2023. Excluding
the currency effect (-€4.1m), growth in business activity at
constant exchange rates (CER1) came to 11.8%, a change
that included an acceleration in the second quarter (+14.5% at
CER), following an already very positive momentum in the first
quarter (+8.8%).
The EMEA region saw a temporary
freeze on the French market following the reform, on 1 March 2024,
of the supply circuit for contrast products. Business activity
nevertheless increased by 2.4% at CER over the period, with the
decline in Q1 (-6.2% at CER) being fully recovered in Q2
(+11.0%).
In the Americas, revenue at
mid-year was €127.3m, up 29.1% at CER. This performance was driven
by the continuation of the remarkable catch-up initiated in Q4 2023
in the US, as well as by significant market share gains in Latin
America – particularly in Brazil.
In Asia, growth remained strong
in Q1 (+11.5% at CER), despite a slowdown in Q2 largely linked to
the situation in South Korea, affected by a major strike by
doctors.
By business activity, Diagnostic
Imaging revenue increased by 10.7% at CER in H1 2024,
thanks to:
- Very
positive momentum in X-rays (+13.9% at CER),
driven by sales of both Xenetix® and
Optiray®.
- A solid
performance by the IRM division due to an
acceleration in Q2 (+13.5%), notably in the wake of the growth of
Elucirem TM in the US and the first sales in
Germany.
As of 30 June 2024, Interventional
Imaging revenue rose 20.8% at CER, a remarkable change
assisted by a favourable base effect and driven by very positive
momentum for Lipiodol®, in terms of volumes and
prices.
In € millions
Consolidated financial statements (IFRS) |
H1 2023
Published |
H1 2024
Published |
Revenue |
378.6 |
419.2 |
EBITDA* |
45.9 |
61.0 |
% of revenue |
12.1% |
14.6% |
Operating income (expense) |
10.3 |
30.3 |
% of revenue |
2.7% |
7.2% |
Net income/(loss) |
1.3 |
10.0 |
% of revenue |
0.4% |
2.4% |
Net debt |
342.3 |
364.9 |
** EBITDA = Operating income + net
allowances for depreciation, amortisation and provisions
Solid improvement in operating
profitability and strong increase in net income, to
€10m
During the first half of the year, the Group
posted a strong rise in its EBITDA (+32.9%) to €61.0m, reflecting a
margin rate of 14.6% of revenue. Restated for exceptional costs
related to the optimisation of the operating plan and changes in
the sales model, the EBITDA margin reached 15.4% over the period,
versus 12.7% in the first half of 2023. This improvement was
fuelled by favourable trends in selling prices and the product mix,
as well as continued good financial discipline. Operating income
stood at €30.3m as of 30 June 2024, almost trebling from its level
a year earlier (€10.3m).
Net income came to €10.0m, versus €1.3m in H1
2023. In line with the Group's expectations, it includes a
significant increase in financial expenses, to €11.2m (€3.8m a year
earlier). Lastly, the tax expense more than doubled to €4.7m.
Improved free cash flow compared to last
year
On the balance sheet, equity totalled €389m at
30 June 2024, compared to €378m at the end of 2023. Net debt stood
at €365m, reflecting a net debt/EBITDA ratio of 3.2x, an
improvement from its level a year earlier (3.5x).
In line with traditionally unfavourable
seasonality in the first half of the year, free cash flow (FCF) was
negative, amounting to -€29.1m. This level is significantly better
than in the first half of 2023 (-€72.0m) despite the increase in
working capital requirements linked to strong business activity and
the sustained level of investments to secure future growth.
Maintaining focus on the three strategic
pillars
Having pursued an offensive policy in terms of
business development and innovation in the first half of the year,
Guerbet intends to reach new milestones in the second half of 2024
on each of its three strategic pillars:
- In
Diagnostic Imaging, the ramp-up of the IRM franchise,
based on the Dotarem® / EluciremTM product
pair, is set to continue with its expansion in the US, and now in
Europe; following Germany and the UK, EluciremTM will be
launched in France by the end of the year.
- In
Interventional Imaging, new prospects are opening up for
Lipiodol® in indications other than liver cancer
treatment, including promising commercial development in vascular
embolisation (+38% in H1 2024 vs. H1 2023).
- In
Artificial Intelligence, the sales roadmap will benefit
from the April launch of the DUOncoTM brand, which
accompanied the launch of the first Guerbet product, its algorithm
dedicated to prostate cancer, integrated into the new Intrasense
Myrian® 2.12 platform.
Upward revision of 2024 financial
targets
These ambitious developments within the product
portfolio, in a context of structurally strong demand for contrast
products, enable the Group to look to the future with
confidence.
In the second half of the financial year, the
growth trajectory is expected to remain strong in all business
segments: X-rays (Optiray® in particular), IRM franchise
(expansion of EluciremTM) and Interventional Imaging
(strong momentum for Lipiodol®). Guerbet also remains
confident about the growth of its operating profitability,
supported by continued price increases and good cost control.
Given these circumstances, the Group is
forecasting sales growth of over 9% in 2024 like-for-like and at
CER (versus >8% previously) and expects its adjusted EBITDA
margin rate to exceed that of 2021 (14.4%). Free cash flow is still
expected to be in positive territory for the full year.
Next event:
Publication of 2024 3rd quarter
revenues
24 October 2024 after market close
About Guerbet
At Guerbet, we build lasting relationships so that we enable people
to live better. That is our purpose. We are a leader in medical
imaging worldwide, offering a comprehensive range of pharmaceutical
products, medical devices, and digital and AI solutions for
diagnostic and interventional imaging. A pioneer in contrast media
for 97 years, with more than 2,920 employees worldwide, we
continuously innovate and devote 10% of our sales to research and
development in four centres in France, the United States and
Israel. Guerbet (GBT) is listed on Euronext Paris (segment B – mid
caps) and generated €786 million in revenue in 2023.
Forward-looking statements
Certain information contained in this press release does not
reflect historical data but constitutes forward-looking statements.
These forward-looking statements are based on estimates, forecasts,
and assumptions, including but not limited to assumptions about the
current and future strategy of the Group and the economic
environment in which the Group operates. They involve known and
unknown risks, uncertainties, and other factors that may result in
a significant difference between the Group’s actual performance and
results and those presented explicitly or implicitly by these
forward-looking statements.
These forward-looking statements are valid only as of the date of
this press release, and the Group expressly disclaims any
obligation or commitment to publish an update or revision of the
forward-looking statements contained in this press release to
reflect changes in their underlying assumptions, events,
conditions, or circumstances. The forward-looking statements
contained in this press release are for illustrative purposes only.
Forward-looking statements and information are not guarantees of
future performance and are subject to risks and uncertainties that
are difficult to predict and are generally beyond the Group’s
control.
These risks and uncertainties include but are
not limited to the uncertainties inherent in research and
development, future clinical data and analyses (including after a
marketing authorization is granted), decisions by regulatory
authorities (such as the US Food and Drug Administration or the
European Medicines Agency) regarding whether and when to approve
any application for a drug, process, or biological product filed
for any such product candidates, and their decisions regarding
labeling and other factors that may affect the availability or
commercial potential of such product candidates. A detailed
description of the risks and uncertainties related to the Group’s
activities can be found in Chapter 4.9 “Risk factors” of the
Group’s Universal Registration Document filed with the AMF (French
financial markets authority) under number D.24-0224 on April
3, 2024, available on the Group’s website (www.guerbet.com).
1 Constant exchange rates: the exchange rate impact was
eliminated by recalculating sales for the period on the basis of
the exchange rates used for the previous financial year.
2 Excluding non-recurring costs related to the optimisation of
the operating plan and changes in the sales model.
Contacts:
Guerbet
Jérôme Estampes, Chief Financial Officer +33 1 45 91 50 00 /
jerome.estampes@guerbet.com
Christine Allard, Head of Communications +33 6 30 11 57 82 /
christine.allard@guerbet.com
Seitosei Actifin
Marianne Py, Financial Communications +33 1 80 48 25 31 /
marianne.py@seitosei-actifin.com
Jennifer Jullia, Press +33.1.56.88.11.19 /
jennifer.jullia@seitosei-actifin.com
- 24 09-25 CP GBT RS VDef 02 EN
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