Business Wire

Business Figures for the First Half of 2017: Sartorius Continues to Grow

Del

Sartorius (FWB:SRT), a leading international laboratory and pharmaceutical equipment supplier, continues on the growth track. In the first half of 2017, solid organic business development and two acquisitions led to a significant increase in sales revenue and earnings1.

"Sartorius has continued its dynamic, profitable development," said CEO and Executive Board Chairman Dr. Joachim Kreuzburg in commenting on the company's first-half performance. "Both divisions achieved solid organic growth in an environment that was especially challenging in North America, and have made quick progress in integrating the businesses most recently acquired. In the Lab Products & Services Division, the bioanalytics unit newly created by our acquisitions has already contributed significant revenues and earnings. We see further considerable growth potential ahead for this business just as for the field of bioprocess data analytics, which our Bioprocess Solutions Division recently entered through an acquisition. For the second half, we expect a somewhat improved market environment in North America and confirm our sales and earnings forecast for both divisions and the Group."

Business development of the Sartorius Group

In the first half of 2017, sales revenue rose by 11.5% in constant currencies (reported: 12.6%) from 625.4 million euros to 704.1 million euros. The Asia/Pacific region recorded the highest gain, with sales up 34.8% to 172.2 million euros. In the EMEA2 and Americas regions, Sartorius sales grew by 5.9% to 302.9 million euros and by 4.8% to 229.0 million euros, respectively, against a high prior-year revenue base (all regional growth figures in constant currencies).

Earnings in the reporting period increased overproportionately again relative to sales. Underlying EBITDA thus rose 13.8%, primarily due to economies of scale, from 153.4 million euros to 174.5 million euros. The respective margin reached 24.8% relative to 24.5% a year ago. Relevant net profit3 for the Group increased 13.6% from 62.4 million euros to 70.9 million euros. This corresponds to earnings per ordinary share of 1.03 euros (H1 2016: 0.91 euros) and per preference share, 1.04 euros (H1 2016: 0.92 euros).

The company's key financial indicators remained at robust levels even after the most recent acquisitions of Essen BioScience in March 2017 and Umetrics in April 2017. At the end of the reporting period, the company's equity ratio was 32.6% and its ratio of net debt to underlying EBITDA stood at 2.7 (Dec. 31, 2016: 42.0%% and 1.5, resp.). At 12.9%, the capex ratio in the first half was within the range expected. Investment activities focused on expansion of the plant for manufacturing single-use bags and filters in Yauco, Puerto Rico, as well as on the combination and expansion of Group headquarters in Goettingen, Germany.

As of the reporting date on June 30, 2017, Sartorius employed 7,364 people total, 453 more than as of December 31, 2016 (around +7%).

Business development of the divisions

As expected, market growth for the bioprocess business normalized after 2015 and 2016, two years of extraordinarily strong expansion. Sales revenue of the Bioprocess Solutions Division, which focuses on single-use products for the manufacture of biopharmaceuticals, rose despite the high comparable base of the previous year, by 8.0% in constant currencies to 510.9 million euros (reported: +8.8%). In particular, development in the Americas was influenced by relatively soft customer demand and limited delivery capacity for cell culture media, while business in Asia grew very dynamically, especially due to relatively large equipment projects. Consolidation of kSep acquired in July 2016 and Umetrics purchased in April 2017 contributed close to one percentage point to growth. Underlying EBITDA for Bioprocess Solutions rose overproportionately with respect to sales, by 10.0% to 140.8 million euros. The division's corresponding margin was 27.6% relative to 27.3% in the prior-year period.

The Lab Products & Services Division, which offers laboratory instruments and technologies primarily for the pharma sector and public research, expanded very dynamically in the first six months. This was also due to its acquisition of cell analysis specialist Essen BioScience. Its sales thus rose 22.1% (reported: +24.1%) to 193.2 million euros. While organic growth was about 7%, acquisitions contributed around 15% to the division's revenue growth. Reporting a gain of 33.1%, Lab Products & Services significantly increased its underlying EBITDA overproportionately from 25.3 million euros to 33.7 million euros. Its corresponding margin was 17.5% relative to 16.3% in the previous period.

Forecast for the full year confirmed

Based on the company's first-half business performance, management confirms its forecast raised at the beginning of April for the full year. Management thus projects that Group sales revenue for the full year will grow by about 12% to 16% and the underlying EBITDA margin will increase slightly more than by half a percentage point over the prior-year figure of 25.0%. The capex ratio for the current fiscal year is projected to remain at around 12% to 15%.

Regarding the two divisions, management continues to anticipate that sales for Bioprocess Solutions will grow by about 9% to 13%, which includes a good one percentage point of non-organic growth to be contributed by the acquired companies kSep and Umetrics. With regard to delivery capacities for cell culture media, management assumes that this situation will normalize during the third quarter of the current year. The division's underlying EBITDA margin is projected to rise by about half a percentage point over the prior-year figure of 28.0%.

For the Lab Products & Services Division, Group management continues to project that, assuming an overall stable economic environment, sales will increase by about 20% to 24%. This includes non-organic growth of around 17 percentage points to be contributed by the companies acquired, IntelliCyt, ViroCyt and Essen BioScience. The division's underlying EBITDA margin is expected to rise by nearly two percentage points compared with the prior-year figure of 16.0%.

All forecasts are based on constant currencies.

1 Sartorius uses underlying EBITDA (earnings before interest, taxes, depreciation and amortization and adjusted for extraordinary items) as the key profitability indicator

2 EMEA = Europe | Middle East | Africa

3 After non-controlling interest, adjusted for extraordinary items and non-cash amortization, as well as based on the normalized financial result and corresponding tax effects

This press release contains statements about the future development of the Sartorius Group. The content of these statements cannot be guaranteed as they are based on assumptions and estimates that harbor certain risks and uncertainties. This is a translation of the original German-language press release. Sartorius shall not assume any liability for the correctness of this translation. The original German press release is the legally binding version. Furthermore, Sartorius reserves the right not to be responsible for the topicality, correctness, completeness or quality of the information provided. Liability claims regarding damage caused by the use of any information provided, including any kind of information which is incomplete or incorrect, will therefore be rejected.

Current image files

Dr. Joachim Kreuzburg, CEO and Executive Board Chairman of Sartorius AG

www.sartorius.com/fileadmin/media/global/company/Sartorius_Kreuzburg.jpg

Sartorius products used in the manufacture of medications

www.sartorius.com/mediafile/corp/Sartorius_0232_PG9_01_RGB.jpg

Sartorius products used in pharmaceutical research

www.sartorius.com/mediafile/corp/Sartorius_0424_PG14.jpg

Conference call

Dr. Joachim Kreuzburg, CEO and Executive Board Chairman of Sartorius, will discuss the company's results with analysts and investors on Friday, July 21, 2017, at 3:30 p.m. Central European Time (CET) in a teleconference. You may register by clicking on the following link:

http://services.choruscall.de/DiamondPassRegistration/register?confirmationNumber=8963117&linkSecurityString=256e3090d

Alternatively, you can dial into the teleconference, without registering, at:

+49 (0) 69 566 03 6000

His presentation will be available on July 21, 2017, starting at 3:15 p.m. CET, for viewing on our website at:

http://www.sartorius.com/com/group/investor-relations/sartorius-ag/

Upcoming financial dates

October 24, 2017 Publication of nine-month figures (January to September 2017)

A Profile of Sartorius

The Sartorius Group is a leading international pharmaceutical and laboratory equipment provider with two divisions: Bioprocess Solutions and Lab Products & Services. Bioprocess Solutions with its broad product portfolio focusing on single-use solutions helps customers produce biotech medications and vaccines safely and efficiently. Lab Products & Services, with its premium laboratory instruments, consumables and services, concentrates on serving the needs of laboratories performing research and quality assurance at pharma and biopharma companies and on those of academic research institutes. Founded in 1870, the company earned sales revenue of more than 1.3 billion euros in 2016. More than 6,900 people work at the Group's 50 manufacturing and sales sites, serving customers around the globe.

Key Figures for the First Half of 2017

  Sartorius Group   Bioprocess Solutions   Lab Products & Services
in millions of € (unless otherwise specified)   H1
2017
  H1
2016
 

Δ in
%
Reported

 

Δ in
% cc1

  H1
2017
  H1
2016
 

Δ in
%
Reported

 

Δ in
% cc1

  H1
2017
  H1
2016
 

Δ in
%
Reported

 

Δ in
% cc1

Sales Revenue and Order Intake
Sales revenue   704.1   625.4   12.6   11.5   510.9   469.8   8.8   8.0   193.2   155.7   24.1   22.1
- EMEA2   302.9   288.1   5.1   5.9   209.4   207.2   1.0   2.2   93.5   80.8   15.7   15.1
- Americas2   229.0   212.3   7.9   4.8   181.3   181.1   0.1   -2.6   47.7   31.2   53.0   47.5
- Asia | Pacific2   172.2   125.1   37.7   34.8   120.3   81.5   47.6   44.4   52.0   43.6   19.2   17.2
Order intake   741.9   677.6   9.5   8.4   546.9   519.2   5.3   4.4   195.0   158.4   23.1   21.1
Earnings
EBITDA3   174.5   153.4   13.8       140.8   128.1   10.0       33.7   25.3   33.1    
EBITDA margin3 in %   24.8   24.5           27.6   27.3           17.5   16.3        
Net profit for the period4   70.9   62.4   13.6                                    
Financial Data per Share
Earnings per ordinary share4 in €   1.03   0.91   13.7                                    
Earnings per preference share4 in €   1.04   0.92   13.6                                    

1 In constant currencies abbreviated as "cc"

2 Acc. to the customer's location
3 Underlying
4 After non-controlling interest, adjusted for extraordinary items and non-cash amortization, as well as based on the normalized financial result and corresponding tax effects.

Contact information

Sartorius
Petra Kirchhoff
Vice President of Corporate Communications and IR
+49 (0)551.308.1686
petra.kirchhoff@sartorius.com

Om Business Wire

Business Wire
Business Wire
24 Martin Lane
EC4R 0DR London

+44 20 7626 1982http://www.businesswire.co.uk

(c) 2018 Business Wire, Inc., All rights reserved.

Business Wire, a Berkshire Hathaway company, is the global leader in multiplatform press release distribution.

Følg saker fra Business Wire

Registrer deg med din epostadresse under for å få de nyeste sakene fra Business Wire på epost fortløpende. Du kan melde deg av når som helst.

Siste saker fra Business Wire

Phil Brakewell Set to Lead WilsonHCG's Executive Search Efforts Across EMEA; Forbes Ranks WilsonHCG Among Best Executive Recruiting Firms22.5.2018 12:00Pressemelding

WilsonHCG, global leader and premium provider of innovative talent solutions, further expands its Executive Search division with the appointment of Director Phil Brakewell. Phil, who brings more than 14 years of talent acquisition leadership experience and most recently served as Head of Executive Search for ResourceBank, will be responsible for leading WilsonHCG’s efforts in the EMEA region. Prior to joining ResourceBank, Phil held consultant and resourcing leadership positions at Hitchenor Wakeford and The Caudwell Group – where he was responsible for developing the business internationally and drove innovative search solutions on behalf of a diverse range of clients. “WilsonHCG’s reputation speaks for itself,” said Phil. “WilsonHCG tailors its key service offerings – including Executive Search – to suit individual client needs, and I am thrilled to be part of such a dedicated, innovative team. The new Director position, covering EMEA, demonstrates our commitment to both Executive Se

FLIR Launches Radar and Thermal Products for Border Patrol and the Dismounted Warfighter22.5.2018 12:00Pressemelding

FLIR Systems, Inc. (NASDAQ: FLIR) today announced the availability of three products for use by global militaries and government agencies including border patrol agents. These products include two FLIR Ranger® mid-range panel radars, one with airborne drone and ground target detection, and the Recon® V UltraLite thermal monocular. The products, unveiled at the Special Operations Forces Industry Conference (SOFIC) 2018 in Tampa, Florida, are part of FLIR’s Soldier Solutions family and demonstrate the company’s commitment to deliver the most advanced equipment to armed services personnel. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20180522005421/en/ FLIR Ranger R8SS-3D drone-detecting radar can detect over 500 threats and their exact locations simultaneously (Photo: Business Wire) The FLIR Ranger R8SS-3D and R8SS radars, part of FLIR Ranger family of radars, offer mid-range detection capability for both fixed-based installat

Asuragen to Launch the AmplideX® PCR/CE DMPK Kit and Present Growing Genetic Testing Portfolio at 2018 European Society of Human Genetics (ESHG) Conference22.5.2018 12:00Pressemelding

Asuragen, Inc., a molecular diagnostics company delivering high-quality, easy to use products for complex testing in genetics and oncology, today announced the launch of the AmplideX® PCR/CE DMPK Kit* to simplify analysis of repeat expansions within the DMPK gene, which is implicated in myotonic dystrophy type I (DM1), also known as Steinert’s disease. DM1 is an inherited form of muscular dystrophy that affects the muscles as well as multiple other organ systems, and its severity is largely determined by the size of the CTG trinucleotide repeat expansion within the DMPK gene. These expansions commonly extend beyond a thousand CTG repeats and therefore have required the use of cumbersome Southern blot technology to estimate their size. “The AmplideX DMPK Kit represented a significant improvement over our existing process for analyzing large DMPK expansions,” said Doctor Sophie Rondeau, PharmD, PhD, and Professor Jean-Paul Bonnefont, MD, PhD, of the Necker-Enfants Malades Hospital in Par

Celgene to Present New and Updated Data across a Range of Blood Diseases at EHA 201822.5.2018 11:30Pressemelding

Celgene Corporation (NASDAQ:CELG) today announced that data from a broad range of early and late stage studies evaluating Celgene investigational agents and investigational uses of marketed products will be presented at the 23rd European Hematology Association (EHA) annual meeting in Stockholm, Sweden, from June 14-17, 2018. "We are proud to be sharing new and updated data around our innovative hematological therapies at EHA 2018, which further our understanding of blood cancers and other blood-related diseases and allow us to continue to have a major impact on the lives of patients," said Nadim Ahmed, President, Hematology & Oncology Franchise. "The data presented at EHA underscore the important role of immunomodulatory drugs at various stages of multiple myeloma, as well as illustrate our ongoing work in developing innovative treatment options, such as our erythroid maturation agent and CAR T cell therapies, for patients with life threatening blood disorders and cancers." At EHA this

New Research from Displaydata and Planet Retail RNG Estimates That Global Retailers Spent $104 Billion on Manually Changing Price Labels in 201722.5.2018 11:02Pressemelding

New research launched today by Displaydata and Planet Retail RNG reveals that inaccurate, inconsistent pricing – and a lack of digital technology in-store – is costing retailers in lost sales and consumer trust, as price-conscious shoppers seek out the best deal and better experiences online. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20180522005419/en/ According to a new report from Displaydata and Planet Retail RNG, over two thirds of shoppers want technologies that enhance their experiences in stores. 33% want promotions sent direct to their mobile devices; 31% want Electronic Shelf Labels (ESLs) to show accurate, real-time prices, promotions, and detailed product information; and 27% want to be identified as a loyal customer. (Photo: Business Wire) The research report, Analogue to Automated: Retail in the Connected Age – which surveyed 5000 consumers and 1000 retailers – sought to understand what consumers want from ph

Now, officially Cool! Price f(x) named “Gartner® Cool Vendor in Digital Commerce”22.5.2018 10:01Pressemelding

Price f(x), a leader in Price Optimization & Management SaaS, has been named a “Cool Vendor in Digital Commerce” in the 2018 report by Gartner®, Inc.1 This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20180522005662/en/ Price f(x) is the pioneer of native Price Optimization & Management SaaS (“PO&M SaaS”) offering uniquely flexible, functionally broad and fast to implement solutions. In the report, Gartner® highlights Price f(x) as a true disruptor in this software segment through uncompromised customer-centric approach best reflected in the commercial offering of Pricing-as-a-Service (“PraaS™”). “We are devoted to simplicity, relevance and agility, but most importantly to commercial fairness. Our solution is designed, both technically and commercially, to quickly provide value to companies of any size, in any industry, in B2B, B2C as well as B2B2C. And offering all of that entirely free of implementation costs in our PraaS™ offe