IBA Reports Half Year Results for 2019
22 Août 2019 - 07:00AM
IBA Reports Half Year Results for 2019
- Group revenue up 13.8% to EUR
102.8 million, with higher revenues
expected over H2 2019
- Market leadership confirmed in all business lines and
major geographies
- Two Proteus®ONE solutions sold in Italy and
USA
- Contract for five-room Proteus®PLUS
solution in China signed and financially
activated
- Nine Other Accelerator systems sold at June 30 (15 sold
year to date)
- Equipment and services backlog reaches all-time high at
EUR 1.1 billion
- Strong performance for Dosimetry, which continues to be
held for sale
- Positive FY 2019 REBIT guidance
reiterated
Louvain-La-Neuve, Belgium, August 22,
2019 - IBA (Ion Beam Applications SA, EURONEXT), the
world’s leading provider of proton therapy (PT) solutions for the
treatment of cancer, today announces its consolidated results for
the first half of 2019.
|
H1 2019 (EUR 000) |
H1 2018 (EUR 000) |
Variance (EUR 000) |
Variance % |
PT & Other Accelerators |
102 815 |
90 353 |
+12 462 |
+13.8% |
Total Net Sales |
102 815 |
90 353 |
+12 462 |
+13.8% |
REBITDA* |
-1 546 |
-3 072 |
+1 526 |
+49.7% |
% of Sales |
-1.5% |
-3.4% |
|
|
REBIT* |
-7 118 |
-6 156 |
-962 |
N/A |
% of Sales |
-6.9% |
-6.8% |
|
|
Profit Before Tax |
-6 150 |
-8 025 |
+1 875 |
+23.4% |
% of Sales |
-6.0% |
-8.9% |
|
|
Discontinued operations |
1
959 |
662 |
+1
297 |
+195.9% |
NET RESULT* |
-5 317 |
-7 015 |
+1 698 |
+24.2% |
% of Sales |
-5.2% |
-7.8% |
|
|
* IFRS 16 – Leases became effective on January
1, 2019. The effect of this accounting standard at June 30, 2019 is
an improvement of REBIT by EUR 0.1 million and of REBITDA by EUR
1.9 million. The impact on the net result is immaterial.
Olivier Legrain, Chief Executive Officer
of IBA SA, commented: “IBA experienced a strong order
intake across all business lines in the first half, particularly in
Other Accelerators. Three new Proton Therapy orders, and nine new
orders in Other Accelerators, helped revenues increase by 13.8%
from a year earlier.
“Backlog conversion in the second half of the
year is due to be strong for Proton Therapy with at least six rooms
expected to start installation and more than ten expected to be
delivered to customers. As a result, we are reiterating full-year
guidance of a positive REBIT, driven by the substantial rise in PT
and Other Accelerators backlog conversion, continued growth in
service revenues and a sustained focus on cost control. Dosimetry
had an excellent first half in terms of both revenue growth and
profitability. We continue to retain it as an asset held for sale
as we actively review the most value enhancing option for its
future growth and development.
“While carefully managing our costs as we seek
to achieve sustained profitability, IBA is continuing to invest in
R&D initiatives that will drive future growth and maintain our
superior technology offering. We were particularly encouraged by
progress to bring Flash irradiation to clinical treatment in the
Netherlands and the UK in the first half, demonstrating IBA’s
leadership in the development of this novel technique which has the
potential to dramatically change the landscape of radiotherapy and
patient cancer care.”
Financial highlights
- Total Group H1 revenues of EUR 102.8 million, up 13.8% (H1
2018: EUR 90.4 million), driven by significant Proton Therapy and
Other Accelerator sales from new prospects and backlog conversion
of the strong order intake in 2018
- EUR 1.1 billion equipment and service backlog, up more than
12%
- Total operating expenses up 6% to EUR 36.1 million, reflecting
targeted R&D investment including in ARC and Flash therapy
research
- REBIT loss of EUR -7.1 million versus EUR -6.2 million in the
prior year, reflecting a slower Proton Therapy backlog conversion
in H1, pricing pressure from competition and increased investment
in R&D. The REBITDA line in the period was positively impacted
by an IFRS16 adjustment of EUR 1.9 million.
- REBIT margin of -6.9% (H1 2018: -6.8%)
- Dosimetry (discontinued operation) net profit EUR 2.0 million,
up 195.9% (H1 2018: EUR 0.7
million), driven by strong sales and cost
controls, and REBIT up 66%. The division remains held for sale
- Gross cash of EUR 20.3 million (including cash from Dosimetry
for EUR 1.4 million) and net debt position of EUR -58.1 million
(excluding impact of IFRS16)
Business highlights
- Strong order intake across all business lines, with total order
intake for Proton Therapy and Other Accelerators of EUR 133.4
million, up 112% from the same period last year
- Two Proteus®ONE* contracts (Kansas, US and Milan, Italy) and
one Proteus®PLUS contract (Shenzhen, China) signed and revenue
recognition initiated
- IBA selected by Shenzhen Municipal People's Government in March
as preferred vendor to install a Proteus®PLUS five-room PT
solution. Contract signed before period-end with down payment
expected imminently and revenue recognition commenced
- Proton therapy projects on track, with 24 under construction
comprising 16 Proteus®ONE and eight Proteus®PLUS solutions
- No new installations started during the first half of 2019 but
the second half is expected to be strong with two Proteus®Plus
projects (six rooms) expected to start installation. In comparison,
in 2018, two project installations (two rooms) started in the first
half while installation of five projects (five rooms) started over
the second half
- Another period of high sales in Other Accelerators for H1 2019
with nine machines sold in Asia, Europe and the US at end of June,
with another six machines sold after period end
- Growing contribution from service revenues, up 13%, including
operations and maintenance revenues from three additional PT
contracts
- Agreement signed to transfer intellectual property to dedicated
entity for the development of a hadron therapy system, as part of
IBA’s ongoing strategy to leverage its unique expertise in particle
accelerator technology; EUR 2.9 million gain on sale of intangible
assets. IBA to retain 41.8% of entity following financing by
several public and private players
- Strong cost control measures remain in place, while allowing
for strategic investments in R&D
- First Flash irradiations delivered in research model at UMCG in
Groningen, Netherlands in March, and the Rutherford Cancer Centre
in Reading, UK in June, demonstrating IBA’s leadership in this
novel, non-invasive delivery of ultra-high dose radiation
***ENDS***
FULL PRESS RELEASE AVAILABLE IN ATTACHMENT
A conference call to discuss the half year
results will be held today at 3pm CEST / 2pm BST / 9am EDT
/ 6am PDT and can be accessed online at:
http://arkadinemea-events.adobeconnect.com/iba2208/event/registration.html
If you would like to participate in the Q&A,
please dial (PIN code 62997065#):
Belgium:
+32 2 403 58
16UK:
+44 20 71 94 37
59NL:
+31 207 09 51
19LU:
+352 2 730 01
63US:
+1 64 67 22 49
16FR:
+33 1 72 72 74 03
The presentation will be available on IBA’s
investor relations website and
on:https://iba-worldwide.com/content/half-year-2019-results-press-release-conference-call-details-and-presentation
shortly before the call.
To ensure a timely connection, it is recommended
that users register at least 10 minutes prior to the scheduled
webcast.
Financial calendarThird Quarter Business
Update November 14,
2019Full Year Results
2019
March 26, 2020
About IBA
IBA (Ion Beam Applications S.A.) is a global
medical technology company focused on bringing integrated and
innovative solutions for the diagnosis and treatment of cancer. The
company is the worldwide technology leader in the field of proton
therapy, considered to be the most advanced form of radiation
therapy available today. IBA’s proton therapy solutions are
flexible and adaptable, allowing customers to choose from universal
full-scale proton therapy centers as well as compact, single room
solutions. In addition, IBA also has a radiation dosimetry business
and develops particle accelerators for the medical world and
industry. Headquartered in Belgium and employing about 1,400 people
worldwide, IBA has installed systems across the world.
IBA is listed on the pan-European stock exchange
NYSE EURONEXT (IBA: Reuters IBAB.BR and Bloomberg IBAB.BB). More
information can be found at: www.iba-worldwide.com
*Proteus®ONE and Proteus®PLUS are brand names of
Proteus 235
For further information, please contact:
IBASoumya
ChandramouliChief Financial Officer+32 10
475 890Investorrelations@iba-group.com
Thomas RaletVice-President
Corporate Communication+32 10 475
890communication@iba-group.com
For media and investor
enquiries:
Consilium Strategic
CommunicationsAmber Fennell, Angela Gray, Lucy
Featherstone, Lizzie Seeley+44 (0) 20 3709
5700IBA@consilium-comms.com
- IBA PR Half Year 2019_EN_FINAL