AUBAGNE, France, Jan. 27, 2021 /PRNewswire/ — Sartorius Stedim Biotech, a number one companion of the biopharma trade, recorded exceptionally sturdy progress in 2020 that was pushed by sturdy natural growth, a number of acquisitions and extra momentum from enterprise associated to the coronavirus pandemic. In response to preliminary figures, the Group closed the 12 months with important double-digit progress charges in gross sales income, order consumption and earnings, recording additional good points throughout all geographies.
“The pandemic 12 months of 2020 was distinctive and really difficult additionally for our firm. At the start, we’re glad that we didn’t must report any excessive numbers of infections or critical diseases amongst our staff. On the similar time, our sturdy enterprise outcomes as soon as once more underscore the energy and resilience of our technique and enterprise mannequin. On this demanding surroundings, we have been in a position to each obtain very substantial progress and shut just a few strategically very related acquisitions. And greater than that: We’re an important contributor towards overcoming this pandemic; every day, we ship important merchandise and applied sciences to vaccine producers everywhere in the world. An enormous thanks goes out to your entire worldwide Sartorius Stedim Biotech group for mastering all these challenges and for performing a unbelievable job,” mentioned Joachim Kreuzburg, Chairman of the Board of Administrators and CEO.
present 12 months and to the longer term, Kreuzburg stays optimistic: “The pandemic just isn’t but over so defending the well being of our staff continues to be our high precedence. In such an surroundings, even short-term forecasts are topic to elevated uncertainty. From right now’s perspective, we anticipate steady sturdy progress for 2021 and past. That is why we’ll speed up and prolong the enlargement of our manufacturing capacities very considerably, above all at our main websites in Germany, Puerto Rico, and China. Furthermore, we significantly raised our mid-term targets for 2025 and now plan to develop our gross sales to 4 billion euros.”
Enterprise growth of the Group
In response to preliminary figures, Group gross sales income surged by 34.6 p.c to 1,910 million euros in fixed currencies (reported: +32.6 p.c). Sartorius Stedim Biotech thus exceeded its forecast issued in the beginning of the 12 months, which had projected a rise in gross sales income by 11 p.c to 14 p.c and had been raised through the 12 months. This was notably due to two results: Along with sturdy natural progress, consolidation of the latest acquisitions contributed shut to six proportion factors to non-organic enlargement. Moreover, the preparations of a number of biopharmaceutical clients to fabricate coronavirus vaccines and Covid-19 therapeutics additionally had a optimistic impression. The affect of those pandemic-related results on consolidated progress was a very good 12 proportion factors.
Order consumption1 grew much more dynamically than gross sales income and was up 56.7 p.c in fixed currencies to 2,381 million euros (reported: +54.3 p.c). Pandemic-related orders accounted for near 19 proportion factors of progress.
Underlying EBITDA1, the Group’s most necessary earnings indicator, additionally rose very considerably and overproportionately to gross sales income by 43.5 p.c to 605 million euros. The respective margin climbed 12 months over 12 months from 29.3 p.c to 31.7 p.c. Economies of scale primarily performed a task on this substantial improve in profitability, but the underproportionate growth of prices in some areas, i. e. because of much less enterprise journey and fewer hires in non-production models additionally added to this impact. The newest acquisitions had a barely optimistic impact on the earnings margin, whereas forex headwinds had a considerably dilutive impression. Related web revenue1 rose by 45.9 p.c to 384 million euros. Underlying earnings per share surged by 45.9 p.c from 2.85 euros a 12 months earlier to 4.16 euros.
Enterprise growth of the areas
The Group elevated its revenues by double digits in all three geographies but once more. Significantly within the areas of EMEA2 and the Americas, Sartorius Stedim Biotech benefited from extra demand in reference to the manufacture of coronavirus vaccines and Covid-19 therapeutics. Income within the Americas, which accounts for about 35 p.c of whole Group gross sales, rose sharply, additionally as a result of acquisitions, by 34.0 p.c to 670 million euros. Gross sales income within the EMEA2 area that contributes the best share of round 40 p.c to whole Group income amounted to 761 million euros, up 33.0 p.c. Producing round 25 p.c of Group gross sales, the Asia | Pacific area recorded gross sales income totaling 479 million euros, a acquire of 38.3 p.c. (All gross sales income progress figures in fixed currencies)
Key monetary indicators
Sartorius Stedim Biotech invested considerably in increasing its capability in 2020 as a way to meet excessive demand. The ratio of capital expenditures (CAPEX) to gross sales income1 was throughout the expectations at 8.3 p.c (earlier 12 months: 9.4 p.c). Fairness rose at year-end from 1,189 million euros to 1,483 million euros. The fairness ratio of the Group continued to stay at a stable stage of 48.3 p.c even after closing of the acquisitions and the elevated steadiness sheet whole because of a considerably expanded money place (December 31, 2019: 64.4 p.c). Following the acquisitions, web debt to underlying EBITDA1 elevated as anticipated, from 0.3 at year-end 2019 to 0.8 for the interval ended December 31, 2020.
Greater than 7,500 staff
On the finish of 2020, the Group employed 7,566 individuals worldwide. In comparison with the prior-year headcount, this quantity was thus 1,343 larger. Moreover the acquisitions, the rise resulted primarily from hiring extra manufacturing workers on the firm’s manufacturing websites with particularly excessive capability utilization. On the finish of the reporting interval, round 5,250 individuals have been employed within the EMEA2 area, greater than 1,200 within the Americas and about 1,100 within the Asia | Pacific area.
Forecast for 2021
Sartorius Stedim Biotech plans to develop profitably in 2021 as properly. Consolidated gross sales income is thus projected to extend by about 20 p.c to 26 p.c. Preliminary consolidation of the acquisitions is anticipated to contribute about 5.5 proportion factors to this progress, and the impression of the pandemic-related companies on Group income, which is tough to exactly estimate at current, might quantity to as much as 7 proportion factors. Concerning profitability, the corporate forecasts that its underlying EBITDA1 margin can be about 32.0 p.c, up from 31.7 p.c a 12 months earlier, with a negligible impression of the acquisitions on profitability. Resulting from very excessive natural progress, Sartorius Stedim Biotech is extending and accelerating the enlargement of manufacturing capacities. Subsequently, the CAPEX ratio is anticipated to be round 15 p.c (earlier 12 months: 8.3 p.c).
All forecasts are primarily based on fixed currencies, as prior to now years. As well as, the corporate assumes that the worldwide financial system will more and more get better as the present 12 months progresses and that offer chains will stay secure.
Mid-term targets as much as 2025 elevated
As early as 2018, administration outlined its technique and long-term ambition for the interval of 2020 to 2025. The 2025 targets have now been raised, given the sturdy outcomes achieved in 2020 and the ensuing improve within the baseline values, in addition to expectations of future natural progress.
Accordingly, Sartorius Stedim Biotech now plans to extend its consolidated gross sales income to about 4 billion euros within the five-year interval as much as 2025 (earlier goal: round 2.8 billion euros). The corporate intends to realize this improve primarily by way of natural progress in addition to moreover by acquisitions. The Group’s underlying EBITDA1 margin is forecasted to rise to round 33 p.c (former steering: round 30 p.c).
These projections are primarily based on the idea that on common the margins of future acquisitions will initially be considerably beneath and, after integration, at a stage akin to these of the Group’s current companies, and that there can be no related adjustments in the important thing forex trade charges.
Administration factors out that the dynamics and volatilities within the life science and biopharma sectors have elevated over the previous years and the coronavirus pandemic has additional amplified this pattern, in order that multi-year forecasts present even larger uncertainties than common.
1 Sartorius Stedim Biotech publishes various efficiency measures that aren’t outlined by worldwide accounting requirements. These are decided with the goal of enhancing the comparability of enterprise efficiency over time and throughout the trade
- Underlying EBITDA: earnings earlier than curiosity, taxes, depreciation and amortization and adjusted for extraordinary gadgets
- Order consumption: all buyer orders contractually concluded and booked through the respective reporting interval
- Related / underlying web revenue: revenue for the interval after non-controlling curiosity; adjusted for extraordinary gadgets and non-cash amortization, in addition to primarily based on a normalized monetary consequence and a normalized tax price
- Underlying earnings per share: related / underlying web revenue for the interval divided by the variety of shares excellent
- Ratio of web debt to underlying EBITDA: quotient of web debt and underlying EBITDA over the previous 12 months, together with the professional forma quantity contributed by acquisitions for this era
- CAPEX ratio: funding funds in relation to gross sales income for a similar interval
2 EMEA = Europe, Center East, Africa
This press launch comprises forward-looking statements in regards to the future growth of the Sartorius Stedim Biotech Group. Ahead-looking statements are topic to identified and unknown dangers, uncertainties and different components that would trigger precise outcomes to vary materially from these expressed or implied by such statements. Sartorius Stedim Biotech assumes no legal responsibility for updating such statements in mild of latest data or future occasions.
This can be a translation of the unique French-language press launch. Sartorius Stedim Biotech shall not assume any legal responsibility for the correctness of this translation. The unique French press launch is the legally binding model.
Observe Sartorius Stedim Biotech on Twitter @Sartorius_Group and on LinkedIn.
Convention name
Dr. Joachim Kreuzburg, Chairman of the Board and CEO of the Sartorius Stedim Biotech Group, will focus on the corporate’s enterprise outcomes with analysts and buyers on January 27, 2021, at 3:30 p.m. Central European Time (CET) in a teleconference. You might register by clicking on the next hyperlink: https://78449.choruscall.com/dataconf/productusers/sar/mediaframe/42744/indexl.html
The presentation slides can be accessible on the identical day beginning at 2:30 p.m. CET for viewing on our web site at:
Present picture recordsdata
https://www.sartorius.com/en/company/newsroom/downloads-publications
Monetary calendar
February 18, 2021 Publication of Annual Report 2020
March 24, 2021 Digital Annual Shareholders’ Assembly
April 21, 2021 Publication of first-quarter figures (January to March 2021)
July 21, 2021 Publication of first-half figures (January to June 2021)
October 20, 2021 Publication of nine-month figures (January to September 2021)
Preliminary key figures for the complete 12 months of 2020
|
In tens of millions of € |
2020 |
2019 |
∆ in % |
∆ in % |
|
Order Consumption and Gross sales Income |
||||
|
Order consumption |
2,381.0 |
1,543.5 |
54.3 |
56.7 |
|
Gross sales income |
1,910.1 |
1,440.6 |
32.6 |
34.6 |
|
– EMEA |
761.0 |
575.1 |
32.3 |
33.0 |
|
– Americas |
670.2 |
511.6 |
31.0 |
34.0 |
|
– Asia | Pacific |
478.9 |
353.8 |
35.4 |
38.3 |
|
Outcomes |
||||
|
EBITDA2 |
604.7 |
421.5 |
43.5 |
|
|
EBITDA margin2 in % |
31.7 |
29.3 |
||
|
Web revenue3 |
383.8 |
263.0 |
45.9 |
|
|
Earnings per share3 in € |
4.16 |
2.85 |
45.9 |
|
|
1 In fixed currencies |
||||
|
2 Underlying EBITDA = earnings earlier than curiosity, taxes, depreciation and amortization, and adjusted for extraordinary gadgets |
||||
|
3 Related / underlying web revenue = web revenue after non-controlling curiosity; adjusted for extraordinary gadgets and non-cash amortization, in addition to primarily based on a normalized monetary consequence and normalized tax price |
||||
Reconciliation
|
In tens of millions of €, |
2020 |
2019 |
|
EBIT (working consequence) |
471.8 |
331.8 |
|
Extraordinary gadgets |
32.0 |
16.8 |
|
Depreciation and amortization |
100.9 |
72.8 |
|
Underlying EBITDA |
604.7 |
421.5 |
|
In tens of millions of €, |
2020 |
2019 |
|
EBIT (working consequence) |
471.8 |
331.8 |
|
Extraordinary gadgets |
32.0 |
16.8 |
|
Amortization | IFRS 3 |
26.3 |
13.9 |
|
Normalized monetary consequence1 |
-7.8 |
-5.1 |
|
Normalized revenue tax (26%)2 |
-135.8 |
-92.9 |
|
Underlying web consequence |
386.4 |
264.5 |
|
Non-controlling curiosity |
-2.7 |
-1.5 |
|
Underlying web consequence after non-controlling curiosity |
383.8 |
263.0 |
|
Underlying earnings per share (in €) |
4.16 |
2.85 |
|
1 Monetary consequence excluding truthful worth changes of hedging devices and forex results referring to financing actions and alter in valuation of earn-out legal responsibility |
||
|
2 Normalized revenue tax primarily based on the underlying revenue earlier than taxes and non-cash amortization |
||
A profile of Sartorius Stedim Biotech
Sartorius Stedim Biotech is a number one worldwide companion of the biopharmaceutical trade. As a complete options supplier, the corporate helps its clients to fabricate biotech medicines safely, quickly and economically. Headquartered in Aubagne, France, Sartorius Stedim Biotech is quoted on the Eurolist of Euronext Paris. With its personal manufacturing and R&D websites in Europe, North America and Asia and a global community of gross sales corporations, Sartorius Stedim Biotech has a world attain. The Group has been yearly rising by double digits on common and has been recurrently increasing its portfolio by acquisitions of complementary applied sciences. In 2020, the corporate employed greater than 7,500 individuals, and earned gross sales income of 1,910 million euros in keeping with preliminary figures.
Contact:
Petra Kirchhoff
Head of Company Communications and Investor Relations
+49 (0)551.308.1686
[email protected]
SOURCE Sartorius Stedim Biotech S.A.
