Revenue at 30 June 2019
Revenue of €400.6 million for the 1st half of the year, in line with annual targets:
• +2.8% at current exchange rates
• +1.8% at constant exchange rates
Villepinte, 25 July 2019 – Guerbet (FR0000032526 GBT), a global specialist in contrast agents and solutions for medical imaging, today reported €400.6 million in revenue for the first half of 2019 at 30 June, up 2.8% compared with the first half of 2018, including a favourable forex impact of €4.1 million. Taken at constant exchange rates, sales were €396.5 million, up 1.8%.
After a good Q1 2019, the Group anticipated a slower second quarter (-1.5% at current exchange rates compared with Q2 2018). This decrease was related to the planned reduction of a subcontracting agreement inherited from the CMDS businesses (third-party business representing 2.8% of Group revenue in the first half of the year). This non-strategic agreement contributes very little to the Group’s operating profitability. Excluding the impact of the decrease in the subcontracting business, revenue growth at constant exchange rates was 3.1% for the first half of the year and stable in Q2 compared with the same periods last year.
The growth in the first half of 2019 was consistent with the annual objective of moderate sales growth.
Consolidated Group revenue (IFRS)
In Europe, first-half revenue at constant exchange rates increased +2.9%.
Our sales continued their upward trajectory in the United States, as no Dotarem® generic was launched in that market. Sales are increasing in Asia as a result of the switch to direct distribution in Japan as well as good sales in South Korea.
Diagnostic Imaging revenue grew 2.2% to €351.9 million at constant exchange rates. At current exchange rates, revenue totalled €354.6 million at 30 June.
These figures show:
› 1.8% growth for the MRI division** to €135.9 million at constant exchange rates and like-for-like period and scope (€136.4 million at current exchange rates). The first-half activity reflects the growth of Dotarem®, still driven by the United States and partially offset by a lasting adverse effect associated with the gradual withdrawal of Optimark from the market.
› The CT/Cath Lab** division’s 3% sales growth to €211 million at constant exchange rates thanks to the good level of sales of Optiray® and despite the decline in Xenetix® sales. At current exchange rates, revenue totalled €212.9 million for the first half of the year.
Interventional Imaging, the Group’s growth driver, generated €33.8 million in revenue at constant exchange rates, up 15.9%. At current exchange rates, sales were €34.9 million.
The change in activity in the first half of 2019 was in line with the annual targets. The Group expects sales to grow at a moderate pace. Sales of Dotarem® are expected to continue to grow despite the extension of generics to new countries. Optiray® sales should continue to grow, especially in Japan. The sales of DraKon™ and SeQure® microcatheters will act as a growth driver for the Group’s Interventional Imaging business when sales come on stream in the United States and then in Europe with a CE marking obtained in April 2019.
* At constant exchange rates: amounts and rates of growth are calculated by cancelling out the exchange rate effect, which is defined as the 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.
** As a reminder, the MRI and CT/Cath Lab divisions now include sales of injection systems and related services.
Publication of 2019 half-year earnings
25 September 2019 after trading