Sartorius delivered another strong quarterly showing (+43.8/59.5% sales/EBITDA growth, respectively), trumping estimates on the top line as well as the bottom line. However, the re-iterated guidance implies a very conservative end to FY21. Moreover, with FY22 expected to benefit from similar pandemic tailwinds, a mid-term (FY25) guidance upgrade is likely. We will upgrade our estimates to factor in the strong showing as well as quicker than expected mid-term execution.
Companies: Sartorius AG Pref
Sartorius announced expected Q2/H1 21 earnings, which had little element of surprise following the preliminary announcement on 6 July. H1 sales (+60.1%), EBITDA margins (34.1%) as well as guidance (FY21 top line +45%, margin at 34%) were in line with the preliminary numbers. The segmental results (BPS +62.6% with 36.3% EBITDA margin; LPS +52% with 26.2% EBITDA margin) were also broadly in line with the preliminary numbers.
We do not foresee any significant change to our estimates or target pric
Sartorius Q1 21 numbers trumped estimates. Sales were up 61.6% on a cc basis – driven by both bioprocessing solutions (+61.4%) and lab products and services (+62.3). Order intake (+89.2%) implies further acceleration in the near term. EBITDA was up by 91.2%, with the associated margin expanding by 630bp.
FY21 guidance was unchanged: revenue growth of 35% and EBITDA margin of 32%. We will upgrade our estimates and target price to factor in the strong performance.
Sartorius reported street-beating FY20 numbers with 30.2%/49% growth in revenue/order book, respectively. Growth was largely driven by bioprocessing (+34.4%/+56.4% revenue/order growth). EBITDA came in at €692.2m (+39.6%), with the associated margin at 29.6%. For FY21, top-line growth is expected at 19-25% with the EBITDA margin at about 30.5%. Sartorius also raised its mid-term outlook – FY25 revenue of €5bn (vs €4bn previously) and EBITDA margin of 32% (vs 28% earlier). We will upgrade our est
Sartorius reported stronger than expected Q3 20 numbers, as sales grew by 39.5% to €623.2m, driven by 44.1% growth in bioprocessing and 26.2% growth in lab products. EBITDA was up 58.1% to €195.1, with the associated margin at 31.3% (+450 bp), benefitting from operating leverage. Management now expects FY20 growth at the top end/above the previous guidance of 22%-26% and EBITDA margin at 29.5%. We will upgrade our estimates to factor in the strong Q3 showing and sustained bioprocessing tailwinds
Sartorius reported solid Q2 20 numbers, with sales rising by 19.2% to €546.9m and the EBITDA margin at 28.5%, both ahead of our estimates as well as consensus. Momentum was driven by strength across Bioprocessing Solutions (BPS, +20.2%) and Lab Products (LPS, +16.1%).
Management upgraded its FY20 expectations (growth of 22-26% vs 15-19% earlier; EBITDA margin at 28.5% vs 27.5% previously), thanks to COVID-19-driven momentum for BPS.
Following the strong performance, we will be upgrading our es
Sartorius reported strong Q1 20 numbers (16.5% growth, 27% EBITDA margin), driven by Bioprocess solutions (BPS). Management now expects FY 20 topline growth of 15-19% (vs 10-13% earlier) with unchanged EBITDA margin expectations (27.5%).
The COVID-19 impact has so far been neutral, with BPS benefiting from stocking tailwinds and LPS hurt by worsening macro conditions. In light of the ongoing uncertainties, the firm may reduce its FY19 dividend proposal.
Factoring in the strong performance, we
Sartorius reported largely in-line Q4 19 numbers. Sales came in at €471.2m (+12.9%cc), driven by bioprocess solutions (+14.4%). Lab Products and Services (+8.7%) also ended the year on a high. EBITDA came in at €133.8m with the associated margin at 28.4%.
Management expects FY 20 topline growth of 10-13%, EBITDA margin of 27.5% and capex at 10% of sales. Following the largely in-line results, we do not expect any significant changes to our estimates.
Sartorius reported strong Q3 19 numbers. Revenue was up by 14.7% – driven by Bioprocess Solutions (+17%) and supported by Lab Products and Services (+8.3%). EBITDA came in at €123.7m (margin +30bp to 26.8%). Management upgraded its FY 19 top-line growth guidance to the upper end of the earlier 10-14% range while re-iterating its EBITDA margin expectations (slightly above 27%). The company also announced the acquisition of parts of Danaher’s life science business. Following the strong performance
Sartorius reported strong Q2 19 results – beating our estimates as well as the consensus. Sales were up 15.1%, on a cc basis, driven by Bioprocess Solutions (+20.5%), which more than offset the weakness in Lab Products and Services (+0.6%). EBITDA came in at €123.5m (margin +130bp to 26.9%). Management upgraded its FY 19 top-line growth guidance to 10-14% (vs 7-11% earlier) while re-iterating its EBITDA margin expectations (27%). Following the strong Q2 performance, we will be upgrading our esti
Sartorius reported strong Q1 19 numbers – beating estimates on the top-line as well as the bottom-line. The bioprocess solutions business, up ~21%, was the clear growth driver, more than offsetting the softness in the lab products segment (5.9%). Looking ahead, management reiterated its FY 19 guidance: 7-11% top-line growth and an EBITDA margin of 27%. Factoring in the strong performance, we will be upgrading our estimates marginally. However, our recommendation will remain unchanged.
The recently-announced medium-term targets for 2025 are surprisingly ambitious, compelling us to reconsider our stance on the stock. The targets speak giant numbers (14%/15.5% CAGR sales/EBITDA between 2017 and 2025) and reflect a robust outlook for Sartorius’ underlying markets. Biosimilars are expected to play a key role and so are China and the US. We acknowledge management’s optimism and bump up our out-year revenue growth/EBITDA growth rates from 8%/10% to 13.5%/15%. Our recommendation chan
Coming in the wake of a profit warning issued on 16 October, Sartorius’ Q3 17 results were expectedly weak with both top-line and profitability trending materially below ours and the market expectations (both top-line and profitability). Net sales grew 3.3% in cc to €339.5m (flat on a reported basis) vs. our expectation of 7-8% growth. This included a good 4.6ppt contribution from acquisitions (Essen Bioscience and Vericyte), so that organic growth was effectively negative (-1.4% to be precise).
Sartorius reported its Q1 17 results slightly ahead of the Street’s expectations, driven by a combination of strong organic growth and higher than expected M&A contribution in the Lab Products division (IntelliCyt, ViroCyt and Essen Bioscience). Net sales increased 13.6% yoy (12.2% in cc) to €343.1m (vs. our expectation of c.€337m) while adjusted EBITDA margin rose 70bp to 24.7%. At the segmental level, strong double-digit growth in the Lab Product segment (21% cc growth, of which 11% was contri
We are initiating coverage on Sartorius (market cap. of c.€4.8bn and a free float of c.42%) with a “Reduce”
recommendation and a target price of €63.1 per share (c.2% downside). Sartorius is one of the top five
players in the high growth €5-6bn oligopolistic bioprocessing industry (the top-five players together control
>80% of the total market) with a market share of 15-20%. The industry presents robust growth opportunities
and is expected to grow at 9-10% pa over the next five years, driven
Research Tree provides access to ongoing research coverage, media content and regulatory news on Sartorius AG.
We currently have 0 research reports from 0
Yourgene has experienced strong demand for its Covid-19 tests, which propelled H1’22 revenues to £17.5m, ahead of the >£15.0m indicated at the AGM last month. This is more than double the revenues booked in H1’21 and close to the whole of FY21. Both Genomic Services and Genomic Technologies grew strongly in the period, with Covid-related revenues now acting as much more than a natural hedge in both segments. Despite the ongoing uncertainties and lack of forward visibility around Covid-testing vo
Companies: Yourgene Health Plc
Softline, the global solutions and services provider in digital transformation and cybersecurity, with its headquarters in London, has issued GDRs to the Standard Listing Segment of the Official List, and on the Moscow Exchange. The Group had a turnover of US$1.8bn for the year ended 31 March 2021, employs c.6,000 people globally, and operates in more than 50 countries across emerging markets. Primary proceeds from the Offer are expected to be around US$400m. At the $7.5 offer price. Mkt
Companies: ULS CRU TM17 TEK ACSO RST ABC
Recruitment resumed the Phase 2a trial of the lead programme hRPC in retinitis pigmentosa (RP) with the treatment of the first UK-patient in Oxford. The protocol gives greater infection control after the safety issue (a possible infection) in June. Five patients were treated up to mid-October and the remaining four could be treated by December 2021. By late March 2022, ReNeuron expects to give an interim update. The full data set should be available around mid-2022. This will enable regulatory d
Companies: ReNeuron Group plc
No Joiners Today.
No Leavers Today.
What’s cooking in the IPO kitchen?
Devolver Digital to join AIM, an award-winning digital video games publisher and developer in the indie games space. Recently awarded indie 'Publisher of the Year 2021' by GamesIndustry.biz. Offer TBA. Due early Nov.
Life Science REIT to join AIM raising up to £100m. This will be the first London listed real estate investment trust (REIT) focused on UK life science properties providing investors with exposure
Companies: SYS1 ARE SO4 SNG TMG TMT OHG IDE KIBO MRL
SkinBioTherapeutics has made significant progress through 2021, and ahead of the launch of its first product, AxisBiotix-Ps on World Psoriasis Day, we provide an overview of the company, its commercial channels and its progress. With the imminent launch of AxisBiotix-Ps, the company is at a significant inflection point, transitioning from a development organisation to a commercial operation. Importantly SkinBioTherapeutics has four further commercial channels in progress behind this lead opportu
Companies: SkinBioTherapeutics Plc
No joiners today.
No leavers today.
What’s cooking in the IPO kitchen?
ATOM headquartered in Leeds, focussed on the large-scale production of green hydrogen and ammonia intends to join AIM towards the end of the year. ATOME intends to be spun-out from AIM-listed President Energy Plc, an oil and gas company which has incubated and financially supported ATOME to date, by way of a dividend in specie and flotation.
Devolver Digital to join AIM, an award-winning digital video games pu
Companies: SAE HMI MNO MSMN NSCI OMG PCA
IXICO has announced that one of its clients has put an indefinite halt on a clinical trial for which the company was providing its artificial intelligence medical image analysis. The halt is the result of unexpected preclinical data. IXICO had expected the contract to deliver £0.8m of revenues in FY22E and it represented £3.3m of the £18.8m order book as of the close September 2021. While this news is disappointing, clearly the trial halt has no reflection on the capability of IXICO's technology
Companies: IXICO Plc
No Joiners Today
No Leavers Today
What’s cooking in the IPO kitchen?
Arrow Exploration Corp. (AIM: AXL ; TSXV: AXL) , the oil and gas exploration and production company, has conditionally raised approximately £8.8m and is due to complete its dual listing on AIM on 25 Oct. Market cap c£13.1m.
Devolver Digital to join AIM, an award-winning digital video games publisher and developer in the indie games space. Recently awarded indie 'Publisher of the Year 2021' by GamesIndustry.biz.
Companies: ZYT CIC DMTR GILD LMS MMAG PYC SMRT SBI
H1 EBITDA declined by 45% YoY, albeit this was slightly better than we had anticipated after the pre-close update in August. The beat was cost related (efficiencies/savings). There was a significant gross margin drag though and, while transitory in nature and diminishing in H2, this means further savings need to be realised to hit full year forecasts. This is our view and we retain a good level of confidence in next year’s forecasts. Having de-rated, valuation looks very undemanding now on just
Companies: Venture Life Group Plc
Venture Life has announced its interim results for the six months to June 2021. As previously announced in the August trading statement, revenues were down YoY due to lower HSG sales and sales to the Chinese partner, though revenues are expected to grow subsequently, benefiting from the two recent acquisitions. H1/21 gross margin was impacted by a number of factors including supply chain costs and stockholding costs; however, the company expect margins to improve in H2/21E. Despite the set-backs
CareTech is a specialist social care and educational services provider. This morning, the group has announced an update for the year to 30 September pointing to the fact that results will be in line with market expectations. The net debt position of £259m illustrates a further reduction since the end of H1 (31 March £263.1m) and implying a reduction to 2.7x adjusted EBITDA. During the year, seven new developments have opened, with a further eight properties purchased in H2. The group's freehold
Companies: CareTech Holdings PLC
Positive headline results announcement, showing a statistically significant and clinically meaningful difference between Grass MATA MPL and placebo in hayfever patients in the exploratory field study (G309), is considered a major de-risking event. Not only does it increase the probability of successfully completing the pivotal Phase III study (G306) in the US and EU, but it underpins the broader MATA MPL platform, which includes tree and ragweed pollen, and increases the likelihood of completing
Companies: Allergy Therapeutics plc
NetScientific plc (NSCI) an active transatlantic life sciences/healthcare, sustainability and technology investment and commercialisation group announces that its corporate finance and venture capital division EMV Capital Ltd (EMVC) has advised on a £843k fundraise, into Sofant Technologies, the leading 5G and Satcom antenna developer based in Edinburgh. The fundraise consists of £300k direct investment from NetScientific, £343k from private clients and £200k matched funding from the British Bus
Companies: NetScientific plc
Q3 sales up 13%
Q3 sales were up 13% (+15% organic) to EUR37.2m of which Medical up 5% to EUR19.3m and Photonics up 27% to EUR18m. For Photonics, we note that Industrial and Scientific was up c50%, Defence and Spatial remained well oriented at +3.8% (with a stable contribution from the megajoule contract) while LIDAR was up a robust 22% in the quarter as production issues are abating.
Lumibird is comfortable with the consensus estimates for FY sales at EUR160m. It implies
Companies: Lumibird SA
Hikma’s H1 20 top-line acceleration was driven by COVID-19-related demand in Injectables and Generics and the economic recovery in Algeria propelled growth in the Branded segment. Combined with a favourable product-mix, the operating margin was up 1.5ppt. In the near term, new launches across segments should provide some respite against the ongoing pricing pressure. Given the company’s thin R&D pipeline and a robust balance sheet, M&A (probably in the biosimilars space) seems on the cards.
Companies: Hikma Pharmaceuticals Plc