BICO Group AB 559050–5052 (NASDAQ STOCKHOLM: BICO).

April-June 2023 (compared with April-June 2022)

• Net sales amounted to SEK 541.1m (537.6), which corresponds to an increase of 0.7% (83.4%) compared to the corresponding quarter previous year.
• Organic sales growth for the quarter amounted to 0.5%, and 8.3% excluding covid-19 related sales in Ginolis (6.6% including Ginolis and 14.0% excluding Ginolis).
• The gross margin amounted to 63.7% (73.0%). Excluding one-off inventory write-downs the gross margin amounted to 71.4%.
• Adjusted EBITDA amounted to SEK -11.5m (11.1), corresponding to a margin of -2.1% (2.1) and SEK 11.8m (35.5) excluding covid-19 related sales in Ginolis corresponding to a margin of 2.2% (7.2%).
• EBITDA amounted to SEK 66.0m (-62.9), corresponding to a margin of 12.2% (-11.7%).
• Net profit/loss for the quarter amounted to SEK -898.4m (43.1), corresponding to earnings per share before and after dilution of SEK -12.73 (0.68). This was affected by goodwill impairment in Group companies as well as other non-cash flow one-off items.
• Cash flow from operating activities amounted to SEK -47.7m (-115.4).

January-June 2023 (compared with January-June 2022)

• Net sales amounted to SEK 1,041.8m (1,014.8), which corresponds to an increase of 2.7% (140%) compared to the corresponding period previous year.
• Organic sales growth for the period amounted to 2.0%, and 9.2% excluding covid-19 related sales in Ginolis (20.5% including Ginolis and 26.3% excluding Ginolis).
• The gross margin amounted to 66.9% (73.4%). Excluding one-off inventory write-downs, the gross margin amounted to 70.9%.
• Adjusted EBITDA amounted to SEK -20.8m (17.1), corresponding to a margin of -2.0% (1.7) and SEK 40.5m (49.8) excluding covid-19 related sales in Ginolis corresponding to a margin of 3.9% (5.2%).
• EBITDA amounted to SEK 43.5m (-82.3), corresponding to a margin of 4.2% (-8.1%)
• Net profit/loss for the period amounted to SEK -1,016.8m (-0.4), corresponding to earnings per share before and after dilution of SEK -14.40 (0.00). This was affected by goodwill impairment in Group companies as well as other non-cash flow one-off items.
• Cash flow from operating activities amounted to SEK 12.7m (-184.6).

“BICO delivered stable sales despite a slower market. In addition, we resolved on non-cash one-off items, which affects EBITDA and EBIT. The items mainly consist of goodwill impairment, predominantly due to increased WACC, write-down of assets and revised earn-out estimates. All in all, we continue our focus on transformation towards profitability and strengthening BICO’s financial position.”
Erik Gatenholm, President & CEO BICO Group AB

Q2 Key takeaways

• Strong sales growth in business areas Bioprinting and Biosciences
• Stable gross margin of 71.4% excluding effects of inventory write-down of SEK 42m.
• Divestment of Berlin property for EUR 21m which will strengthen BICO’s financial position and is expected to generate a positive cash flow contribution in Q4 2023.
• One-off non-cash flow items affecting EBIT and EBITDA, resulting in an effect on EBITDA of SEK 94m and an effect on EBIT of SEK -830m in Q2 2023.

Significant event after end of Q2

• Maria Forss appointed new President and CEO of BICO.

Presentation for media and investors A telephone conference, with the opportunity to ask questions, will be held later today, on August 22, 2023 at 10:00am CEST, at which President & CEO Erik Gatenholm and CFO Jacob Thordenberg will present the Q2 report. The presentation will be given in English.

The presentation will be available on BICO’s website from 09:00am CEST. https://bico.com/investors/

If you wish to participate via webcast, please use the link below: Via the webcast you can ask written questions.
https://ir.financialhearings.com/bico-q2-2023

If you wish to participate via teleconference, please register on the link below: After registration you will be provided phone numbers and a conference ID to access the conference. You can ask questions verbally via the teleconference.
https://conference.financialhearings.com/teleconference/?id=200862