In This Article:
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Net Sales: EUR911.9 million, down 10% compared to 2023.
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Sales to Sanofi: Decreased by 10.7%.
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Revenue from Other Clients: Decreased by 9.4%.
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Core EBITDA: EUR50.4 million, a 45.8% decrease from 2023.
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Core EBITDA Margin: 5.5%.
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CapEx: EUR108 million, with 53% invested in growth and performance projects.
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Net Income: EUR130.6 million loss compared to EUR189.7 million loss in 2023.
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Free Cash Flow Before Financing Activities: EUR150 million, improved from minus EUR132 million in 2023.
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Net Cash Position: EUR25.2 million at the end of 2024, compared to EUR171 million net debt at the end of 2023.
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Working Capital Improvement: EUR159 million driven by inventory reduction and improved DSO.
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Non-Recurring Items: Totaled EUR94 million in 2024.
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Operating Income: Negative EUR120.4 million in 2024.
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Net Financial Expenses: Increased to EUR19.2 million in 2024.
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Income Tax: Reduced to EUR9 million in 2024.
Release Date: March 04, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Euroapi SA (EAPIF) demonstrated resilience by securing 37 new clients and 116 new CDMO projects in 2024.
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The company successfully resumed manufacturing at the Brindisi site by the end of August 2024, showcasing agility in operations.
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Euroapi SA (EAPIF) made significant progress on its FOCUS-27 roadmap, improving commercial terms with Sanofi and securing financing support from main shareholders.
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The company committed to sustainability by reducing greenhouse gas emissions and ensuring 100% of electricity for industrial sites comes from renewable sources.
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Euroapi SA (EAPIF) improved its working capital by EUR100 million, driven by a voluntary reduction in inventories and better cash collection.
Negative Points
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Net sales decreased by 10% to EUR911.9 million in 2024, impacted by the temporary suspension of production at the Brindisi site.
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Core EBITDA fell by 45.8% to EUR50.4 million, with a margin of 5.5%, due to industrial inefficiencies and unfavorable fixed cost absorption.
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Sales to Sanofi dropped by 10.7%, and revenue from other clients decreased by 9.4%, partly due to competitive pressure from Asian producers in the vitamin B12 market.
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The company faced challenges with total recordable injury rates, which increased in 2024, prompting the implementation of mitigation measures.
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Euroapi SA (EAPIF) reported a net income loss of EUR130.6 million for 2024, although this was an improvement from the previous year's loss.
Q & A Highlights
Q: Can you provide details on the impact of discontinuing 13 APIs on sales and EBITDA for 2025? A: We expect a low single-digit decrease in sales due to the discontinuation. The EBITDA impact is positive as these products had a negative EBITDA, which is why they are being discontinued.