ZUTPHEN, The Netherlands, Aug. 19, 2014 (GLOBE NEWSWIRE) -- Implementation of first three business units completed, launch of Genoma will drive the Group to the next level before the end of the year.
Esperite NV (Euronext.: ESP, 'Esperite' or 'the Group'), the European leader in stem cells cryopreservation, now entering the fields of predictive medicine and translational regenerative medicine R&D, has published its financial results for the six months which ended on June 30, 2014.
In the first semester 2014 net revenues decreased to €13.5 million ((1 HY 2013: €15.5 million) but underlying* operating expenses before depreciation, amortisation and impairments were at €8.4 million (1 HY 2013: €9.3 million). Despite the Gross Profit decreased vs. 1 HY 2013 (- 6,4 %) the Gross Profit Margin was improved by 4,6 percentage points. HY 2014 EBITDA is positive at €0.3 million (1 HY 2013: -€0.1 million). 1 HY operating results (EBIT) are at -€1.2 million (1 HY 2013: -€2.2 million).
This is a result of the comprehensive cost saving measures which were introduced during 2013 as well as of the significant improvements in operational excellence, development of new products, new territories and the realisation of synergies in many areas following the acquisition of Salveo Biotechnology's laboratory and related activities. These synergies are expected to have further positive impact on the results during the 2nd half of the year.
During the first half of 2014 the group went through a major reorganisation. Three distinct business units have been created in order to support the refocus of the activities.
The Group has been re-named Esperite and has obtained a secondary listing at Euronext Paris in order to strengthen its position in the life sciences sector.
Under the strong leadership of Frederic Amar an innovative growth and expansion strategy is being implemented, diversifying the Group's activities beyond the current scope into proteomics and genomics predictive medicine and translational regenerative medicine R&D.
CryoSave : The leading international stem cell processing and cryo-conservation company and the largest family stem cell bank in Europe saw the markets for umbilical cord blood and cord tissue under strong pressure. During the last year and until Q1 2014, the activity was globally following a negative trend. Q2 2014 shows a positive development regarding new client intake and sales, results of the major changes in management and organisation.
Genoma : The new launch portfolio will initially comprise innovative tests based on sequencing and genomics: Tranquility, a non-invasive prenatal test (NIPT) and proteomics: Verity, a metabolic disorder test and Omega Test, an omega-3 test. The Group is already working on the development of some other exclusive technologies in collaboration with the market leaders in this field.
The Cell Factory : Esperite's know how sets The Cell Factory, its R&D division, at the heart of the value chain, between stem cells collection & storage and the existing and future treatments the regenerative medicine is developing. Esperite, mainly focused on autologous treatments, will play a key role in research for the development of new medical treatments, in partnership with medical research center, public universities and private partners.
Frederic Amar, Chief Executive Officer commented:
"We are pleased to report a positive trend already visible in Q2. The first half-year was highly sensitive to the performance of the overall market for umbilical cord blood and cord tissue. Right now, the priorities for the Company are to return to more consistent profitability and improved return on invested capital. We are fully committed in implementing plans targeted towards positive gross margin improvement and earnings growth. This is a comprehensive process that will be focused on improving the commercial execution of our international business across Cryo-Save and the new Genoma business unit, strengthening our relationship with partners, better leveraging our overhead structure and allocating investment to priority markets and products."
Espertite - Interim report June 2014 http://hugin.info/143308/R/1849656/645682.pdf
Esperite + 31 (0) 575 548 998
Frédéric Amar, Chief Executive Officer
Piet Heinstraat 11a
7204 JN Zutphen
Tel. +31 (0)575 50 91 00
Fax +31 (0)575 50 91 16