Scienza e Tecnologia
The Agfa-Gevaert Group in Q3 2024: stable sales, adjusted EBITDA at 15 million euro - regulated information
Regulated information
November 14, 2024 - 7:45 a.m. CET
The Agfa-Gevaert Group in Q3 2024: stable sales, adjusted EBITDA at 15 million euro
The Agfa-Gevaert Group posted double-digit revenue growth and a strong profitability step up in Digital Printing and Chemicals, and a significant increase in order intake in HealthCare IT, with a high share of cloud-based and net new customer contracts. This was counterbalanced by an accelerated market decline in traditional film activities. The 50 million euro savings program to align the cost base with the accelerated market decline of the film-related business is in full preparation. Savings will start to materialize in the second half of 2025, with the full potential to be realized in 2027.
Mortsel (Belgium), November 14, 2024 – 7:45 a.m. CET – Agfa-Gevaert today commented on its results in the third quarter of 2024.
“I am pleased with the evolution of our growth engines. The Digital Print & Chemicals division reported double-digit top line growth and doubled its adjusted EBITDA, driven by Digital Print Solutions and Green Hydrogen Solutions. HealthCare IT's order intake is growing strongly, powered by our cloud solutions attracting net new customers. Our first go-live of our cloud-based Enterprise Imaging platform was a full success, demonstrating the robustness of our solutions. Having a reference site will add to the momentum we are seeing for this technology. Finally, the plan to adjust the cost base of our traditional film activities to the reality in the market is on track. We expect that this self-funding program will allow us to reduce the cost base of these activities by 50 million euro by the end of 2027. The first savings will start to materialize in the second half of 2025,” said Pascal Juéry, President and CEO of the Agfa-Gevaert Group.
(*) Adjusted EBIT/EBITDA with the deduction of adjustments and restructuring expenses reconciles to 'Results from operating activities'(EBIT)/EBITDA
Definitions of non-IFRS financial measures (APMs): see page 8 .
Agfa-Gevaert Group
(*) before adjustments and restructuring expenses
(**) Adjusted EBIT/EBITDA with the deduction of adjustments and restructuring expenses reconciles to 'Results from operating activities'(EBIT)/EBITDA
Third quarter
Financial position and cash flow
Outlook
In 2024, the Agfa-Gevaert Group expects a continuation of the trends seen in the previous year.
2024 outlook per division:
The working capital situation is expected to trend downward by the end of 2024.
The outstanding receivable in connection with the sale of the Offset Solutions division to Aurelius Group is still partly under discussion. The issue has been submitted to an independent expert, who will have to establish the final purchase price.
The program to adjust the cost base of the film-related activities to the reality in the market is on track. Overall, the program is expected to be cash accretive. It is expected to reduce the cost base by 50 million euro by the end of 2027 and the first savings are expected to materialize in the second half of 2025. On November 14, the intention to reorganize the film-related business was presented to the social partners in Belgium at an Extraordinary Works Council meeting. If the intended plan would be executed, this would impact up to 530 employees in Belgium.
HealthCare IT
(*) Adjusted EBIT/EBITDA with the deduction of adjustments and restructuring expenses reconciles to 'Results from operating activities'(EBIT)/EBITDA
Third quarter
Digital Print & Chemicals
(*) Adjusted EBIT/EBITDA with the deduction of adjustments and restructuring expenses reconciles to 'Results from operating activities'(EBIT)/EBITDA
Third quarter
Division performance
The division's adjusted EBITDA margin increased strongly from 4.3% in the third quarter of 2023 to 8.0%.
Digital Printing Solutions
Green Hydrogen Solutions
Radiology Solutions
(*) Adjusted EBIT/EBITDA with the deduction of adjustments and restructuring expenses reconciles to 'Results from operating activities'(EBIT)/EBITDA
Third quarter
Contractor Operations and Services – former Offset
(*) Adjusted EBIT/EBITDA with the deduction of adjustments and restructuring expenses reconciles to 'Results from operating activities'(EBIT)/EBITDA
End of message
Management Certification of Financial Statements and Quarterly Report
This statement is made in order to comply with European transparency regulation enforced by the Belgian Royal Decree of November 14, 2007 and in effect as of 2008.
"The Board of Directors and the Executive Committee of Agfa-Gevaert NV, represented by Mr. Frank Aranzana, Chairman of the Board of Directors, Mr. Pascal Juéry, President and CEO, and Fiona Lam, CFO, jointly certify that, to the best of their knowledge, the consolidated financial statements included in the report and based on the relevant accounting standards, fairly present in all material respects the financial condition and results of Agfa-Gevaert NV, including its consolidated subsidiaries. Based on our knowledge, the report includes all information that is required to be included in such document and does not omit to state all necessary material facts.”
Statement of risk
This statement is made in order to comply with European transparency regulation enforced by the Belgian Royal Decree of November 14, 2007 and in effect as of 2008.
"As with any company, Agfa is continually confronted with – but not exclusively – a number of market and competition risks or more specific risks related to the cost of raw materials, product liability, environmental matters, proprietary technology or litigation."
Key risk management data is provided in the annual report available on
www.agfa.com .
Definitions of non-IFRS financial measures (APMs)
Contact:
Viviane Dictus
Director Corporate Communication
Septestraat 27
2640 Mortsel - Belgium
T +32 (0) 3 444 71 24
E
viviane.dictus@agfa.com
The full press release and financial information is also available on the company's website: www.agfa.com.
Consolidated Statement of Profit or Loss (in million euro)
Unaudited, consolidated figures following IFRS accounting policies.
Consolidated Statement of Comprehensive Income for the quarter ending September 2023 / September 2024 (in million euro)
Unaudited, consolidated figures following IFRS accounting policies.
Consolidated Statement of Comprehensive Income for the period ending September 2023 / September 2024 (in million euro)
Unaudited, consolidated figures following IFRS accounting policies.
Consolidated Statement of Financial Position (in million euro)
Unaudited, consolidated figures following IFRS accounting policies.
Consolidated Statement of Cash Flows (in million euro)
Unaudited, consolidated figures following IFRS accounting policies.
The Group has elected to present a statement of cash flows that includes all cash flows, including both continuing and discontinuing operations.
Consolidated Statement of changes in Equity (in million euro)
Unaudited, consolidated figures following IFRS accounting policies.
Reconciliation of non-IFRS information (in million euro)
(Adjusted) Free Cash Flow
Reconciliation of non-IFRS information (in million euro)
Adjusted EBIT
Attachments
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