First-quarter Figures: Sartorius Off to a Dynamic Start in 2011
By Sartorius Ag, PRNETuesday, April 19, 2011
Consolidated Sales Revenue Rises 14.4% to 172.1 Million Euros
GOETTINGEN, Germany, April 20, 2011 - Sartorius started off fiscal 2011 with double-digit growth
rates in order intake, sales revenue and profit. "We are currently seeing
dynamic growth fueled by both divisions and all business regions. Compared
with the year-earlier quarter, though also slightly below average, we have
achieved highly encouraging rates of increase in revenue and profit," said
CEO Dr. Joachim Kreuzburg. "Based on our first-quarter results, we confirm
our ambitious targets that we have set for the full year of 2011."
Business Development of the Sartorius Group
In the first three months of 2011, Sartorius increased its
sales revenue from the year-ago quarter by 14.4% from 150.4 million euros to
172.1 million euros (in constant currencies: +12.6%). In the same period,
order intake rose 15.8% from 167.2 million euros to 193.5 million euros (in
constant currencies: +13.9%). Sales revenue grew in all business regions,
again led by Asia/Pacific. There, sales were up 28.1% to 38.3 million euros.
In the regions of Europe and North America, Sartorius expanded its business
by 8.9% to 92.0 million euros and by 7.3% to 35.0 million euros, respectively
(all regional growth rates given in constant currencies).
The gain in profit was even stronger than in sales revenue:
Operating earnings* rose overproportionately again in the first quarter and,
at 22.8 million euros, were more than one third higher than the year-earlier
quarterly figure of 16.4 million euros (+38.8%). The Group's respective
operating EBITA margin improved from 10.9% to 13.3%. Relevant net profit
amounted to 10.9 million euros, up from 6.9 million euros in the year-ago
quarter. This profit figure is calculated by excluding extraordinary items of
+0.3 million euros (Q1 2010: -0.9 million euros) and non-cash amortization of
1.9 million euros (Q1 2010: 1.8 million euros). The corresponding earnings
per share were 0.64 euro compared with 0.41 euro in the year-earlier quarter,
up 58.3%.
* Earnings before interest, taxes and amortization and
adjusted for extraordinary expenses = underlying EBITA
Development of the Divisions
Sartorius Stedim Biotech
The Biotechnology Division, which operates under the name of
Sartorius Stedim Biotech (SSB) and contributes a good two-thirds to
consolidated sales, increased its revenue after the first three months of
business by 10.6% to 110.7 million euros (in constant currencies: +8.9%).
Order intake, which was up 16.8%, rose even more strongly to 128.9 million
euros (in constant currencies: +15.0%). Single-use products for
biopharmaceutical applications, especially filters, were much in demand.
Regional analysis showed that the division's sales developed most dynamically
in Asia/Pacific, at a rate of 35.1%. In North America, business grew 6.4%; in
Europe, 2.9% (all regional growth rates given in constant currencies).
In view of earnings, the Biotechnology Division succeeded
again in overproportionately increasing its profit compared with sales
revenue. Its operating EBITA improved 20.0% from 14.6 million euros to 17.5
million euros; the division's respective margin was at 15.8%, up from 14.6%
in the year-earlier quarter.
Sartorius Mechatronics
While the economy recovered, business for the Mechatronics
Division also expanded robustly in the first three months of 2011. Its sales
revenue climbed 22.1% to 61.5 million euros (in constant currencies: +19.9%).
Order intake likewise rose significantly by 13.8% to 64.6 million euros (in
constant currencies: +11.6%). Both of the division's businesses with
laboratory instruments and industrial weighing and control equipment,
respectively, contributed to this positive development. The regional pattern
reveals that the division grew especially strongly in Europe (+21.0%) and in
Asia/Pacific (+20.5%); in North America, business increased 10.6% (all
regional figures given in constant currencies).
In comparison with the weak year-ago quarter overshadowed by
the crisis, the Mechatronics Division nearly tripled its operating earnings
(+187.0%). The division achieved an operating EBITA of 5.3 million euros
relative to 1.8 million euros in the year-earlier reporting period.
Accordingly, its operating EBITA margin substantially rose from 3.7% to 8.6%.
Outlook
Based on the first-quarter results, management confirmed its
full-year forecast for 2011. Sartorius expects sales to grow between 6% and
8% in constant currencies for both divisions and thus for the entire Group in
the current year. Along with growth in sales, profitability is projected to
further increase. Without any currency effects considered, the operating
EBITA margin at Group level is forecasted to increase to around 14%. The
Biotechnology Division is expected to contribute an operating margin of
approximately 17% and the Mechatronics Division a margin of around 8% to this
result. Furthermore, management anticipates a significantly positive
operating cash flow.
New Syndicated Loan Agreement Signed for a Higher Total Amount
This last Tuesday, Sartorius AG signed a new syndicated loan
agreement for 225 million euros with a banking syndicate led by Commerzbank,
WestLB and Nord/LB. This agreement is for a five-year term and replaces the
facility agreement concluded by Sartorius AG in 2008 for 180 million euros of
which 60% is currently being used. As a result, Sartorius has also created
the credit facility prerequisites for implementing the company holding
structure as planned and has now gained greater leeway for taking further
strides in strategic growth. The facility agreement of around 200 million
euros for the Sartorius Stedim Biotech subgroup has remained unchanged.
Key Figures at a Glance
EUR in millions Sartorius Group Biotechnology Mechatronics (unless Division Division otherwise specified) Q1 2011 Q1 2010 Change Q1 Q1 Change Q1 Q1 in % 2011 2010 in % 2011 2010 Order intake 193.5 167.2 15.8 128.9 110.4 16.8 64.6 56.8 Sales revenue 172.1 150.4 14.4 110.7 100.1 10.6 61.5 50.4 EBITA[1] 22.8 16.4 38.8 17.5 14.6 20.0 5.3 1.8 EBITA margin[1] 13.3% 10.9% 15.8% 14.6% 8.6% Extraordinary expenses/income +0.3 -0.9 Net profit[1][2] 10.9 6.9 58.3 Earnings per share in EUR[1][2] 0.64 0.41 58.3 (table continues) EUR in millions Mechatronics (unless Division otherwise specified) Change in % Order intake 13.8 Sales revenue 22.1 EBITA[1] 187.0 EBITA margin[1] 3.7% Extraordinary expenses/income Net profit[1][2] Earnings per share in EUR[1][2]
[1] Adjusted for extraordinary items (underlying)
[2] Excluding non-cash expenses for amortization
Current Image Files:
Joachim Kreuzburg, CEO and Executive Board Chairman of
Sartorius AG:
www.sartorius.com/media/content/press/support/Kreuzburg_2011.jpg
Sartorius | Biotechnology Division (Sartorius Stedim Biotech):
www.sartorius.com/media/content/press/support/Sartoflow_2011.jpg
Sartorius | Mechatronics Division:
www.sartorius.com/media/content/press/support/Laboratory_2011.jpg
Conference Call and Webcast:
Joachim Kreuzburg, CEO and Executive Board Chairman of
Sartorius, will discuss the first-quarter results with analysts and investors
tomorrow on April 21, 2011, at 4:00 p.m. Central European Time (CET) in a
webcast teleconference. You may dial into the teleconference starting at 3:45
p.m. CET at the following numbers:
Germany: +49(0)69-5007-1305
France: +33(0)1-70-99-42-98
UK: +44(0)20-7806-1951
USA: +1-718-354-1385
The dial-in code is as follows: 1154435; to view the webcast, log onto
www.sartorius.com.
Upcoming Financial Dates:
July 2011 Publication of first-half figures (Jan. - June 2011)
October 2011 Publication of quarterly figures (Jan. - Sept. 2011)
This press release contains statements about the future
development of the Sartorius Group. The content of these statements cannot be
guaranteed as they are based on assumptions and estimates that harbor certain
risks and uncertainties.
This is a translation of the original German-language press
release. Sartorius shall not assume any liability for the correctness of this
translation. The original German press release is the legally binding
version. Furthermore, Sartorius reserves the right not to be responsible for
the topicality, correctness, completeness or quality of the information
provided. Liability claims regarding damage caused by the use of any
information provided, including any kind of information which is incomplete
or incorrect, will therefore be rejected.
A Profile of Sartorius
The Sartorius Group is a leading international laboratory and
process technology provider covering the segments of biotechnology and
mechatronics. In 2010, the technology group earned sales revenue of 659.3
million euros. Founded in 1870, the Goettingen-based company currently
employs more than 4,500 persons. The major areas of activity in its
biotechnology segment focus on filtration, fluid management, fermentation and
cell cultivation, purification, and laboratory applications. In the
mechatronics segment, the company primarily manufactures equipment and
systems featuring weighing, measurement and automation technology for
laboratory and industrial applications. Key Sartorius customers are from the
pharmaceutical, chemical and food industries and from numerous research and
educational institutes of the public sector. Sartorius has its own production
facilities in Europe, Asia and America as well as sales subsidiaries and
local commercial agencies in more than 110 countries.
Contact: Petra Kirchhoff, Vice President of Corporate
Communications
Sartorius Corporate Administration GmbH, 37070 Goettingen,
Germany
Phone: +49(0)551-308-1686; fax: +49(0)551-308-3572
E-mail: petra.kirchhoff@sartorius.com; www.sartorius.com
.
Tags: April 20, Germany, Goettingen, Sartorius Ag