Interim report January - June 2012
Interim report for the period January – June 2012
Second quarter April – June 2012
- Group net sales in the second quarter 2012 increased by 24 percent to 122.3 MSEK (98.6). At comparable exchange rates sales increased by 15 percent
- Operating profit in the quarter amounted to 12.9 MSEK (1.8)
- The result after tax amounted to 13.2 MSEK (2.4)
- Earnings per share amounted to 0.18 SEK (0.03)
- The cash flow from operating activities amounted to 15.2 MSEK (15.1)
- Net cash at June 30 amounted to 158.3 MSEK, compared to 179.4 MSEK at March 31
- Dividends to the shareholders were paid in May to the amount of 29.3 MSEK (19.9)
- After the resolution at the Annual General Meeting on April 27 to cancel all shares repurchased during previous repurchasing program the number of shares in Biotage totals 73,255,705. At the end of the reported period Biotage has no holding of own shares
First six months January – June 2012
- Group net sales in the first six months 2012 increased by 18 percent to
241.9 MSEK (205.8). At comparable exchange rates sales increased by 11 percent
- Operating profit in the six month period amounted to 21.5 MSEK (4.4)
- The result after tax amounted to 21.0 MSEK (3.9)
- Earnings per share amounted to 0.29 SEK (0.05)
- The cash flow from operating activities amounted to 32.4 MSEK (62.0)
- Net cash at June 30 amounted to 158.3 MSEK, compared to 198.4 MSEK at December 31 2011
Comments by CEO Torben Jörgensen
It’s with satisfaction that I note that we during the first six months have achieved Biotage’s target of 10 percent sales increase and that we are approaching the profitability target of 10 percent operating margin. The strong improvement that we report in the second quarter depends, however, to some degree on the fact that we compare with relatively weak figures the corresponding period last year.
Despite operating in a very competitive market, we have managed to increase our sales and maintain our average sales prices. Together with good cost control this forms the basis for the considerably improved operating result. However, the gross margin decreased in the quarter, as a result of the efforts we are making in growth markets like China and Latin America, among other things.
The American market continues to be Biotage’s biggest single market with 38 percent of the quarter’s sales. The sales in the EU area are increasing their relative share and amounted to 31 percent in the quarter. Japan contributes 20 percent, China 5 percent and the rest of the world 6 percent of the global net sales. We have had a good sales development in all regions.
In terms of product areas, the purification products continue to develop well, and so do the Sample Prep products in analytical chemistry. The traditional synthesis products show a slower sales growth, while the peptide synthesis products show steady growth. The evaporation products have not lived up to our expectations during the quarter, with decreasing sales figures.
In the second quarter we have completed our pilot scale plant in Lund and continued to work with our purification and separation projects in production scale.
We launched only one new product line in the quarter, and this one specifically for the Japanese market. The product launches carried out in the first quarter of the year have been successful. New product launches will take place in the third quarter, of instruments as well as consumables. We are following our strategy to increase the relative share of sales consisting of consumables. In the second quarter service and consumables contributed 58.8 percent of the total sales, compared with 57.4 percent in 2011.
Biotage continues to have a strong financial position with net cash at mid-year amounting to 158 MSEK, which gives us freedom of action concerning acquisitions, repurchasing of shares and dividends.
For further information, please contact:
Torben Jörgensen, President and CEO, phone: +46 707 49 05 84
Erika Söderberg Johnson, CFO, phone: +46 730 50 80 56
The information in this press release is of the kind that Biotage AB (publ) is required to make public according to the Financial Instruments Trading Act. The information was released for publication at 08.00 on August 17, 2012.
Biotage offers solutions, knowledge and experience in the areas of analytical chemistry and medicinal chemistry. The customers include the world’s largest pharmaceutical and biotech companies, and leading academic institutes. The company is headquartered in Uppsala and has offices in the US, UK, China and Japan. Biotage has approx. 270 employees and had sales of 428.1 MSEK in 2011. Biotage is listed on the NASDAQ OMX Nordic Stockholm stock exchange. Website: www.biotage.com
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