Guerbet: 1st quarter 2020 revenue
1st quarter 2020 revenue Revenue growth over 1st quarter 2020+1.0% at current exchange rates at €199.2m+1.4% at constant exchange rates at €199.9 millionActivity affected by the COVID-19 crisis in the 2nd quarter Villepinte, April 23, 2020 – Guerbet (FR0000032526), a global leader in medical imaging, is reporting its revenue for the first quarter of its 2020 financial year. Revenue totaled €199.2 million at March 31, up 1.0%, including a favorable forex impact of €0.7 million. At constant exchange rates1, revenue totaled €199.9 million, up 1.4%.
Consolidated Group revenueIn Europe, revenue was down 14.3% at €79.7 million (-14.4% at constant exchange rates). This decline stemmed from a 2019 base effect as well as lower prices in response to the generic of Dotarem®.Revenue in the Americas reached €70.6 million, up 4.6% (+6.4% at constant exchange rates) thanks to greater volumes and despite limited price erosion.In Asia, volumes are rising sharply in almost all of the region’s countries. Revenue totaled €42.1 million, up 34% (+36.7% at constant exchange rates).Diagnostic Imaging sales increased 0.2% (+0.8% at constant exchange rates) and reached €172.2 million compared with €171.9 million in the same period in 2019.– MRI2 sales amounted to €64.4 million, down 3% (-3.2% at constant exchange rates) compared with €66.4 million in the same period in 2019. The main reason is a price effect with the arrival of the generic of Dotarem® in most countries of the Europe zone despite an increase in volumes.– CT/Cath Lab2 revenue grew 2.3% to €107 million (+3.5% at constant exchange rates) thanks to the good level of sales of Xenetix® with stable sales of Optiray®. Guerbet is once again demonstrating its strong market penetration in the segment.Still driven by Lipiodol®, Interventional Imaging had double-digit sales growth (+14.8%) with €19.2 million in revenue (+13.3% at constant exchange rates).Lockdown measures in various countries in response to the COVID-19 crisis are having significant impacts on April sales, which are expected to drop drastically (between -30% and -35%). The strong mobilization of the hospital sector in fighting the epidemic has resulted in a sudden, temporary slowdown in consultations and everyday medical examinations.However, despite this unprecedented situation in health and business, Guerbet expects sales to recover during the 2nd quarter as the lockdown is gradually lifted.As a precaution under these circumstances, Guerbet has cut its costs substantially (delaying certain non-critical projects, cutting selling and marketing costs and support function costs, etc.) while keeping all its production sites operational with the supply of its products, some of which are identified as medicinal products of major therapeutic interest.Against a background of economic uncertainty, the Group has a solid balance sheet and sufficient bank credit lines to cover its liquidity requirements even in an environment with little visibility.[1] At constant exchange rates: amounts and rates of growth are calculated by canceling out the exchange rate effect, which is defined as the difference between the indicator’s value for period N, converted at the exchange rate for period N-1, and the indicator’s value for period N-1.
