In This Article:
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Revenue Growth: 10.5% increase in 2024, exceeding SEK 2 billion.
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Gross Margin: Improved to 62.7% for the full year; Q4 margin at 61.8%.
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Adjusted Cash from Operations: Increased by 33% year-over-year, equivalent to 106% of Adjusted EBITDA.
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Core Biotage Business Revenue: 1.3% growth excluding China; decline narrowed to -1.9% including China.
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Astrea Revenue Growth: 23% increase for the full year.
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Drug Discovery and Development Revenue: SEK 1.46 billion, accounting for 71% of total revenues.
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Analytical Testing Revenue: SEK 596 million, accounting for 29% of total revenues.
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Q4 Revenue: SEK 582 million, down 9.5% due to high weighting of Astrea revenue in Q4 2023.
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Adjusted EBITDA: SEK 167 million in Q4; SEK 547 million for the full year, up 6%.
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Adjusted Cash Flow from Operations: SEK 181 million in Q4; SEK 579 million for the full year, up 33%.
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Gross Cash: SEK 434 million at year-end.
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Net Cash: SEK 184 million at year-end.
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Integration Costs for 2025: Estimated one-off costs of SEK 25 million to SEK 30 million.
Release Date: February 19, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Biotage AB (BITGF) reported a 10.5% growth in revenue during 2024, indicating strong demand for its products and services.
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The company achieved a slightly improved gross margin, reaching 62.7%, showcasing effective cost management.
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Adjusted cash from operations increased by 33% year-over-year, demonstrating strong cash conversion capabilities.
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Astrea's full-year revenues grew by 23%, highlighting significant growth in this segment.
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The company remains committed to its long-term growth strategy, focusing on expanding its customer base in clinical phase 2.
Negative Points
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Biotage AB (BITGF) faces volatility in quarterly revenue, particularly in the Astrea segment, which is expected to continue in 2025.
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The company reported a decline in Q4 revenues by 9.5%, reflecting challenges in maintaining consistent growth.
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Margins in the Core Biotage business were impacted by softness in the Oligo service business and specific inventory provisions.
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The company is entering 2025 with a smaller backlog compared to 2024, which may impact short-term revenue outlook.
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Management changes and leadership transitions in the Astrea segment could introduce additional uncertainty and volatility.
Q & A Highlights
Q: Can you provide guidance on Astrea's performance for 2025, considering the volatility and backlog issues? A: Frederic Vanderhaegen, CEO, stated that while they do not provide full-year guidance, the long-term growth trajectory remains intact. The focus is on expanding the customer base in clinical phase two, which is crucial for long-term growth. Despite short-term volatility, they are committed to their strategic objectives, and recent leadership changes are not expected to impact short-term revenue.