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Revenue at September 30, 2017

31.10.2017 08:38

Revenue at September 30, 2017   €597.4 million at constant exchange rates: +5.1%   Level of activity in line with expectation

Villepinte, October 25, 2017 - Guerbet (FR0000032526 GBT), a global specialist in contrast agents and solutions for medical imaging, is reporting revenue of €601.4 million for the first 9 months of 2017, up 5.1% at constant exchange rates and 5.8% at current exchange rates. For the third quarter, reported revenue totaled €194.3 million, up 4.2% at constant exchange rates and 1.4% at current exchange rates, a negative exchange rate effect of €5.4 million.


Consolidated Group revenue (IFRS)

Guerbet’s revenue over the first 9 months of 2017 is up in Europe and in Other Markets. This positive development has come despite the gradual withdrawal of certain products as part of the plan to streamline Guerbet’s product range, such as Oxilan®, Hexabrix®, and Optimark®, and the arrival of new generics of Dotarem® on certain European and Asian markets.


For the third quarter, revenue in Europe was up 8.6% (€91.8 million) at constant exchange rates and 7.0% at current exchange rates. The negative exchange rate effect over the quarter was €1.3 million.


Guerbet brought an infringement action against Austrian company Sanochemia Pharmazeutica AG and three other companies to the Munich court, whose decision is expected in late 2018. Confident that the validity of its patent will be confirmed by the European Patent Office, Guerbet will continue to protect its significant investments in research and development, particularly through intellectual property, and assert its rights against any unauthorized use.


Sales on Other Markets in the third quarter at current exchange rates were up by 0.8% at constant exchange rates (€108.0 million) but down by 3.0% at current exchange rates. This slowdown in growth at constant exchange rates is explained mainly by the timing of deliveries in China and by supply difficulties. The negative exchange rate effect over the quarter was 4.1 million.


At constant exchange rates, cumulative activity at the end of September changed as follows:

  • On the MRI segment, revenue increased by 14.4% (€207.5 million) thanks to the good performance of Dotarem
  • The X-Ray segment gained 1.5% to €277.4 million, driven mainly by sales of Optiray®
  • On the IRT segment, sales continued to fall by 4.7% to €38.4 million due to supply difficulties, which should be controlled by the end of the year
  • The Imaging Solutions and Services (ISS) increased by 4.8% to €59.3 million, confirming the trend that began in the first half.

 

Outlook

For the 2017 fiscal year, the Group’s objectives remain unchanged. Guerbet is targeting annual revenue growth of 3% to 4% (at constant exchange rates) with EBITDA outpacing revenue.

Read the press release 

EBITDA: Operating income + net amortization, depreciation, and provisions
Calculation of exchange rate effect: difference between the indicator’s value for period N, converted at the exchange rate for period N-1, and the indicator’s value for period N-1