EBITDA increased by 29% in the first quarter

First QUARTER JANUARY – MARCH

• Consolidated net sales amounted to SEK 222.6 (205.7) million, an increase of 8%
• Consolidated EBITDA amounted to SEK 40.5 (31.4) million, an increase of 29%
• EBITDA margin amounted to 18 (15) per cent
• Earnings after tax from continuing operations amounted to SEK 15.1 (10.4) million
• Earnings per share amounted to SEK 0.9 (0.7)
• Cash flow from operations amounted to SEK 17.3 (27.8) million

Message from the CEO

Overall the first quarter showed good demand in most of the market segments where the group’s companies operate. Total sales increased by 8% and EBITDA by 29%.

The pandemic continued to cause challenges and uncertainty for the operations. For the manufacturing sites, where remote work isn’t possible, it is still a priority to reduce the risk of spread of infection.

Supply disruptions have been noted in several companies during the first quarter, but these have so far been managed without affecting sales. Component shortages and transportation can present a challenge going forward and are closely monitored by the companies.

The MedTech segment delivered both increased sales and profit during the first quarter. The sales increase was driven by the acquisition of Multi-Ply, as well as the strong demand for Inpac’s products in probiotics and nutrition.

The segment’s EBITDA increased significantly. Strong margins in Abilia and profitability improvement in Inpac contributed to the result and the strong margin for the segment.

Cardiolex continued to deliver and integration of the Nordic and German ECG product portfolio progressed. It was also reassuring to see that Multi-Ply’s order intake improved during the first quarter and demonstrated clear signs of recovery after the weaker fourth quarter and start of the year.

The specialty pharma segment increased profit despite a decline in sales in the first quarter. Demand in the segment continues to be impacted by the pandemic, which affects product mix, volumes and predictability.

Profit increased in the first quarter primarily due to improved results in Unimedic AB (CDMO), which develops and manufactures pharmaceuticals for Unimedic Pharma, as well as external customers. However, during the quarter it was noted that demand for certain contract manufactured products, has declined significantly, signalling a weaker outlook for Unimedic AB (CDMO) for the year.

In conclusion, the group delivered a strong first quarter and there is a lot of energy to tackle challenges and to develop ample opportunities in our companies.

Anders Dahlberg, CEO

Stockholm, 2021-05-07

This disclosure contains information that MedCap AB is obliged to make public pursuant to the EU Market Abuse Regulation (EU nr 596/2014). The information was submitted for publication, through the agency of the contact person, on 07-05-2021 06:30 CET.