IBA Reports Half Year Results for 2017

Corporate
/
24.08.2017

  • Group revenues up 4.5% to EUR 152 million
  • Growing backlog in equipment of EUR 321 million and services backlog of EUR 689 million, up 21%

To read the full 2017 half year results press release with the operating review, please open the pdf document in the right column of this page

Louvain-La-Neuve, Belgium, August 24, 2017 - IBA (Ion Beam Applications SA, EURONEXT), the world’s leading provider of proton therapy solutions for the treatment of cancer, today announces its consolidated results for the first half of 2017.

 

H1 2017
(EUR 000)

H1 2016
(EUR 000)

Variance
(EUR 000)

Variance
%

Sales & services

151 613

145 128

6 485

4.5%

REBITDA

5 264

17 970

-12 706

-70.7%

  % of sales

3.5%

12.4%

 

 

REBIT

1 901

15 133

-13 232

-87.4%

  % of sales

1.3%

10.4%

 

 

Net result

-4 655

8 297

-12 952

-156.1%

  % of sales

-3.1%

5.7%

 

 

 

Financial highlights

  • Total Group H1 revenues of EUR 151.6 million, up 4.5% (H1 2016: EUR 145.1 million) impacted by Proton Therapy project delays
    • Proton Therapy and Other Accelerators revenue of EUR 123.3 million, up 1.7%
    • Dosimetry revenue up 18.7% to EUR 28.4 million
  • REBIT margin of 1.3% impacted by slow order intake, revenue recognition delays and one off exceptional items
  • Over EUR 1 billion equipment and service backlog comprising a growing period-end equipment backlog for Proton Therapy and Other Accelerators of EUR 321 million and growing services backlog of EUR 689 million, up 21% from H1 2016
  • Gross cash of EUR 50 million and net cash position of EUR 21.2 million
  • Guidance updated to:
    • FY17: 5-10% revenue growth and a low to mid-single digit REBIT margin
    • 2018/2019: flat to mid-single digit revenue growth and a mid to high single digit REBIT margin
    • Mid-term: High single-digit to low double-digit revenue growth and 13 to 15% REBIT margin
    • Dividend policy remains unchanged


Business highlights

  • H1 order intake comprising two Proteus®ONE* systems sold in Egypt and Spain and one Proteus®PLUS* solution sold in Virginia, USA
  • Completion of review into Proton Therapy project management; enhanced systems in place and all projects on track with revised timelines
  • Updated guidelines from the American Society for Radiation Oncology (ASTRO) and National Comprehensive Cancer Network (NCCN) further endorse proton therapy as a treatment option in the fight against cancer  

Olivier Legrain, Chief Executive Officer of IBA SA commented: “Whilst the first half of 2017 has been challenging for IBA, we have worked tirelessly to rectify the issues with project management, including enhanced systems to manage the risk profile of projects, the creation of dedicated regional project management, improved internal processes and discussions with dedicated construction partners. We are encouraged by our strong pipeline and a backlog of equipment and services which now stands at over EUR 1 billion and are pleased with the strong growth from our Dosimetry business over the period.

“The prospects for the proton therapy market remain strong, we have a burgeoning pipeline and the recent update of ASTRO and NCCN guidelines demonstrate the growing acceptance of proton therapy as a treatment modality for cancer. However, following on from a period of intense growth, the first half of 2017 has been slower, in line with the customary lumpiness which characterizes the proton therapy market. This combined with the increasing competition in the market is leading to limited visibility on the timing of new orders. However, IBA is optimally positioned to capitalize on the prospects on the proton therapy market and retains its focus on driving projects forward and leading the market with the most attractive proton therapy offering.”

 

***ENDS***

 

A conference call to discuss the trading update will be held today at 15:00 CEST / 14:00 BST / 09:00 EDT / 06:00PDT and can be accessed online at:
http://arkadinemea-events.adobeconnect.com/iba2408/event/registration.html
If you would like to participate in the Q&A, please dial (PIN code 83701447#):

 

Belgium:                     +32 2 402 96 40

UK:                             +44 20 304 32 440

NL:                              +31 10 713 81 94

LU:                              +352 20 88 06 96

US:                             +1 64 67 22 49 07

FR:                             +33 1 72 00 15 10

 

The presentation will be available on IBA’s investor relations website and on https://iba-worldwide.com/content/half-year-2017-results-web-conference-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 calendar
Third Quarter Business Update         November 16, 2017
Full Year Results 2017                      March 22, 2018

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 1,500 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:

IBA
Bernard Dandoy
Investor Relations

Soumya Chandramouli
Chief Financial Officer

+32 10 475 890
Investorrelations@iba-group.com 

Thomas Ralet
Vice-President Corporate Communication
+32 10 475 890
communication@iba-group.com

 

For media and investor enquiries:
Consilium Strategic Communications
Amber Fennell, Matthew Neal, Ivar Milligan
+44 (0) 20 3709 5700
IBA@consilium-comms.com

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