Eckert & Ziegler: Strong nine-month figures. Annual forecast confirmed. Pooling of medical segments in 2020.

DGAP-News: Eckert & Ziegler Strahlen- und Medizintechnik AG / Key word(s): 9 Month figures

12.11.2019 / 08:50
The issuer is solely responsible for the content of this announcement.

Berlin, 12 November 2019. Berlin-based Eckert & Ziegler Strahlen- und Medizintechnik AG (ISIN DE0005659700, S-DAX), a specialist in isotope-related applications in medicine, science and industry, achieved earnings after tax of EUR 5.7 million or 1.11 EUR per share in the third quarter 2019. Compared to the previous year, earnings after tax for the first nine months increased by 46% from EUR 2.50 to EUR 3.66 per share. During the same period, sales increased by 8% from EUR 123.8 million to EUR 133.2 million. The main driver of growth was the Radiopharma segment, while the Isotope Products and Radiation Therapy segments essentially came in at the same level as the comparable period in the previous year. Along with top line growth, the higher net profit for the year was also attributable to a more favorable product mix.

With sales revenue of EUR 84.1 million, the Isotope Products segment continues to be the largest segment. Because the product mix was more favorable compared with the previous year, the gross margin rose by EUR 2.6 million despite a comparatively small rise in sales. The segment achieved an overall result of EUR 8.5 million and thus came in at about the level of the comparable period in the previous year.

The Radiopharma segment posted a year-on-year increase in sales revenue of EUR 9.1 million. At the same time, manufacturing costs rose at a disproportionately low level by EUR 1.4 million, resulting in a gross margin that was on whole higher by EUR 7.7 million than that in the previous year. The result for this segment therefore rose by a total of EUR 5.0 million, or 91%, compared with the first nine months of 2018.

The Radiation Therapy segment recorded a profit of EUR 0.6 million for the period, which was nearly unchanged compared with the previous year. With sales declining by EUR 0.6 million, the gross margin fell somewhat disproportionately by EUR 0.7 million.

Confirmation of forecast for 2019
Despite the strong figures of the first nine months, the Executive Board confirms its forecast for 2019 of about EUR 4.00, per share. This forecast takes into account the impairment test estimation results, which are regularly performed in the fourth quarter, and thus any foreseen one-time adjustment of specific milestone payments which may occur. In addition, the company is expecting to receive a fine from the German Federal Financial Supervisory Authority (Bundesanstalt für Finanzdienstleistungsaufsicht) due to formal mistakes in the mid-year reports for 2017 and 2018 (missing balance sheet oath). Although they are difficult to estimate, the one-time special charges may not exceed EUR 1.8 million. The sales estimation for the financial year 2019 remains of about EUR 180 million.

Pooling of medical segments
Starting January 1, 2020, Eckert & Ziegler will consolidate its Radiation Therapy and Radiopharma segments under the new name "Medical". The pooling of these two segments is intended to make better use of synergies and achieve increased efficiency. Dr. Harald Hasselmann, Executive Board member and currently responsible for the Radiation Therapy segment, will be in charge of sales within the new Medical segment starting January 1, 2020. Dr. Lutz Helmke, Executive Board member and currently responsible for the Radiopharma segment, will assume overall responsibility for operational issues. The Isotope Products segment remains unchanged.

The complete financial statements can be viewed here:
http://www.ezag.com/fileadmin/user_upload/ezag/investors-financial-reports/deutsch/euz319e.pdf

About Eckert & Ziegler.
Eckert & Ziegler Eckert & Ziegler Strahlen- und Medizintechnik AG with around 800 employees, is one of the world's largest providers of isotope-related components for radiation therapy and nuclear medicine. Eckert & Ziegler shares (ISIN DE0005659700) are listed in the SDAX index of Deutsche Börse.
Contributing to saving lives.

Contact:
Eckert & Ziegler AG, Karolin Riehle, Investor Relations
Robert-Rössle-Str. 10, 13125 Berlin
Tel.: +49 (0) 30 / 94 10 84-138, karolin.riehle@ezag.de, www.ezag.com

12.11.2019 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

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