Biotest reaches 2017 profit guidance
- Adjusted EBIT stable
- Five new plasmapheresis centres opened in Europe
- Biotest Next Level: building acceptance obtained and successful "Good Manufacturing Practice" (GMP) inspection
Dreieich, 22 March 2018. Taking into account the results of the US business, which still belonged to the Biotest Group in 2017, the Biotest Group met the earnings guidance for the 2017 financial year adjusted in April 2017, after the human albumin recall. EBIT from continuing and discontinued operations reached EUR 18.0 million (previous year: EUR -21.5 million). The revenue of the continuing and discontinued operations amounted to EUR 541.2 million for the 2017 financial year (previous year: EUR 610.4 million).
In the 2017 financial year, the Biotest Group generated revenue of
EUR 378.1 million. This is a decrease of 7.3 % compared to the previous year, in which sales of EUR 408.0 million were generated. The EBIT in continuing operations was EUR -9.3 million in the 2017 financial year, compared to EUR 35.2 million in the previous year. The decrease in revenue and EBIT is mainly due to the recall of human albumin and the temporary interruption of human albumin production.
The core business of the Biotest Group (adjusted EBIT from continuing operations) is on previous year level, and at EUR 86.6 million it is clearly positive.
|In EUR millionen ||2016 ||2017 |
|EBIT ||35.2 ||-9.3 |
|Expenses for Biotest Next Level* ||37.8 ||53.9 |
|Expenses for monoclonal antibodies ||11.2 ||7.6 |
|Expenses for strategic reorientation ||- ||11.5 |
|Expenses for human albumin recall taking |
into account the insurance compensation
|- ||22.9 |
|Adjusted EBIT ||84.2 ||86.6 |
* The research and development cost for products that can be produced only at the new facility were added to the costs for Biotest Next Level.
The Biotest Group's total earnings after taxes (EAT) from continuing and discontinued operations amounted to EUR -3.5 million (previous year:
EUR -45.7 million). This results in earnings per share of EUR -0.09 after EUR -1.17 in the previous year.
In the past year the company made further progress regarding the important Biotest Next Level project. Obtaining the building acceptance in August 2017 was an important milestone. Moreover, the newly constructed laboratories at the Dreieich site successfully passed the "Good Manufacturing Practice" (GMP) inspection of the Darmstadt Regional Authority. The project shall allow much more effective use of plasma as a raw material in the future, increase yields in the production process and thus improve profitability.
Five new plasmapheresis centres were opened in 2017 which considerably expanded the plasma collection network in Europe. With this Biotest is securing the sufficient future supply of the most important raw material, human blood plasma.
In Creat, Biotest has a strong partner who will support the significant investments in products and facility over the coming years.
In the 2018 financial year, the Board of Management expects sales of continuing operations to increase by a mid-single-digit percentage. Earnings will be influenced by various factors in 2018. Besides the deliberately further increased expenses as part of the Biotest Next Level expansion project of
EUR 60 to 70 million - including the associated research and development costs - the price pressure that is expected to persist in Europe in 2018 and the continued tense situation in the crisis regions, especially in the Middle East, could be noticeable. Due to the above influences, the Board of Management anticipates EBIT of continuing operations in the range of EUR 10 to 12 million. Without the adverse profit effects from the Biotest Next Level project, the adjusted EBIT would be approximately EUR 70 to 80 million.
The annual report 2017 is available on the company's website at http://www.biotest.com/de/en/investor_relations/news_and_publications/publications/presentations_and_analyst_call.cfm. Also available for download from the website is the presentation for today's conference for analysts and journalists.
Biotest is a provider of plasma proteins and biological drugs. With a value added chain that extends from pre-clinical and clinical development to worldwide sales, Biotest has specialised primarily in the areas of clinical immunology, haematology and intensive medicine. Biotest develops and markets immunoglobulins, coagulation factors and albumins based on human blood plasma. These are used for diseases of the immune and haematopoietic systems. In addition Biotest develops monoclonal antibodies in the indications of cancer of plasma cells and systemic lupus erythematosus which are produced by recombinant technologies. Biotest has more than 1,600 employees worldwide. The preference shares of Biotest AG are listed in the SDAX on the Frankfurt stock exchange.
Dr. Monika Buttkereit
Biotest AG, Landsteinerstr. 5, 63303 Dreieich, Germany, www.biotest.com
Ordinary shares: securities' ID No. 522720; ISIN DE0005227201
Preference shares: securities' ID No. 522723; ISIN DE0005227235
Listing: Frankfurt (Prime Standard)
Open Market: Berlin, Düsseldorf, Hamburg/ Hanover, Munich, Stuttgart, Tradegate
This document contains forward-looking statements on overall economic development as well as on the business, earnings, financial and assets position of Biotest AG and its subsidiaries. These statements are based on current plans, estimates, forecasts and expectations of the company and are thus subject to risks and elements of uncertainty that could result in significant deviation of actual developments from expected developments. The forward-looking statements are only valid at the time of publication. Biotest does not intend to update the forward-looking statements and assumes no obligation to do so.
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