Biotest AG: Continuing growth
Biotest AG / Half Year Report
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Biotest AG: Continuing growth
· First half year of 2006: Sales rise by 19.1% to €137.2 million, an even
more marked increase in operating profit than in sales
· Success from coagulation agents and immunoglobulins
· Contract with ImmunoGen a key milestone in the development of
biotherapeutics
Dreieich, 14 August 2006. In the first half-year of 2006, the Biotest Group
achieved sales of €137.2 million, 19.1% more than the same period of the
previous year. In the second quarter, sales were 3.3% above those in the
first three months of the year, at €69.7 million. Despite substantially
increased expenditure on research and development, at €14.3 million the
EBIT for the first half-year was 26.5% higher than the same period of 2005.
Earnings before tax (EBT) soared by 75.4% to €10.7 million.
The main success factor was the dynamic business growth in the
Pharmaceutical segment. In the first half-year, the Pharmaceutical segment
made sales of €98.4 million, an increase of 28.1% over the previous year.
The growth is the result of a marked expansion in sales within Europe –
rising by 17.2% to €76.4 million – and a special delivery of plasma
proteins to Iraq in the first quarter. Growth was driven, in particular, by
a sharp upturn in sales of immunoglobulins Pentaglobin® and Intratect®.
At €38.8 million, the Diagnostic segment sold 1.0% more than in the first
six months of 2005. Growth stemmed almost entirely from products for
hygiene monitoring. Business in reagents and systems for transfusion and
transplantation diagnostics was still characterised by difficult market
conditions. In both areas of production, sales in the first half-year were
below the 2005 level.
The overproportional earnings increase was achieved, despite higher
research and development expenses. They have been increased by 63.8% to
€13.1 million, due largely to investment in developing three monoclonal
antibodies in the Biotherapeutic segment. The share of manufacturing costs
of total sales fell from 54.3% to 48.1%. Reasons for the positive trend are
the higher yields achieved through new manufacturing procedures and the
high capacity utilisation in pharmaceutical production.
The marked improvement in the financial result had a positive impact
following the significant reduction in financial liabilities. Cash flow
from operating activities of
€11.9 million was more than doubled than in the first half of 2005. Cash
outflow from investment activity of €5.1 million in the first half-year was
slightly lower than the comparable period of 2005. Cash outflow from
funding activity totalled €6.3 million and was significant lower than in
the previous year.
Total assets of €359.4 million as of 30 June exceeded the figure for the
end of financial year 2005 (€348.6 million). On the asset side, growth
resulted primarily from an 8.3% expansion in inventories and a 5% rise in
trade accounts receivable. The rises are due to the marked improvement in
the level of orders and higher sales volumes. The equity ratio of 47.8% as
of 30 June was slightly below the figure for 31 December 2005 (48.5%).
As of 30 June 2006, the Biotest Group had a staff complement of 1,105
full-time staff, 31 more than end of 2005. The higher staffing levels are
due to further expansion in research and development in the Biotherapeutic
segment and in regulatory affairs, as well as additional posts in
production and sales.
Biotest expects to expand sales to the tune of 15% over the entire year and
– despite steep increases in expenditure on research and development – an
increase in operating performance (EBIT) over the previous year. Growth
will stem mainly from expanded business in the Pharmaceutical segment.
Further marketing of Intratect® in Europe will make its full impact on
sales over the coming months.
In July, Biotest signed a collaboration and licensing agreement with the US
company, ImmunoGen, Inc. which secures global marketing rights to the
cancer therapy under development (DM-toxins) in connection with the
monoclonal antibody, BT-062.
The complete quarterly report can be viewed at www.biotest.com under
Investor Relations/Publications.
About Biotest
Biotest AG, Dreieich, Germany, is a company that researches and
manufactures pharmaceutical, biotherapeutic and diagnostic products and has
specialised in immunology and haematology. In its Pharmaceutical segment,
Biotest develops immunoglobulines, clotting factors and albumins based on
human blood plasma. These are used for diseases of the immune system or
haematopoietic system. In addition, Biotest also researches into the
clinical development of monoclonal antibodies, including in the indications
of rheumatoid arthritis and blood cancer. The Diagnostic segment spans
reagents and serology and microbiology systems which are used, for example,
in blood transfusions. Biotest has around 1,100 employees worldwide and its
shares are listed in the Frankfurt Stock Exchange's Prime Standard.
Biotest AG: Dr. Michael Ramroth, Tel. +49 (0)6103 801-338
Fax: +49 (0)6103 801-347, e-mail: michael.ramroth @biotest.de
Biotest AG, Landsteinerstr. 5, D-63303 Dreieich, www.biotest.de
DGAP 14.08.2006
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Language: English
Issuer: Biotest AG
Landsteinerstr. 5
63303 Dreieich Deutschland
Phone: +49 - 6103 / 801 - 0
Fax: +49 - 6103 / 801 - 150
E-mail: mail@biotest.de
WWW: www.biotest.de
ISIN: DE0005227201, DE0005227235
WKN: 522720, 522723
Indices:
Listed: Amtlicher Markt in Frankfurt (Prime Standard); Freiverkehr in
Berlin-Bremen, Düsseldorf, Hamburg, Stuttgart
End of News DGAP News-Service
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