PROBIOTEC LIMITED PROBIOTEC LIMITED
ABN 91 075 170 151 | 83 CHERRY LANE, LAVERTON NORTH, VIC 3026 |
PROBIOTEC LIMITED AND ITS CONTROLLED ENTITIES
Preliminary Final Report
For the Period ended 30 June 2020
Appendix 4E
As required by ASX Listing Rule 4.3A
Probiotec Limited
Preliminary final report
For the year ended 30 June 2020
Results for announcement to market
Current Reporting Period: Year ended 30 June 2020
Previous Corresponding Period: Year ended 30 June 2019
Reported results | Movement | ($'000) | ||
Sales Revenue from ordinary activities | Up | 46.4% | to | 107,220 |
Earnings before interest, tax, depreciation & amortisation | Up | 72.4% | to | 16,349 |
(EBITDA) | ||||
Earnings before interest and tax (EBIT) | Up | 75.5% | to | 11,188 |
Net profit / (loss) from ordinary activities before tax | Up | 96.8% | to | 8,897 |
attributable to owners | ||||
Net profit / (loss) after tax for the period attributable to | Up | 72.3% | to | 6,442 |
owners | ||||
Earnings per share | Up | 51.3% | to | 9.14 |
cents |
Underlying Results1 | Movement | ($'000) | ||
Sales Revenue from ordinary activities | Up | 46.4% | to | 107,220 |
Earnings before interest, tax, depreciation & amortisation | Up | 78.0% | to | 16,872 |
(EBITDA) | ||||
Earnings before interest and tax (EBIT) | Up | 87.0% | to | 12,577 |
Net profit / (loss) from ordinary activities before tax | Up | 111.2% | to | 10,287 |
attributable to owners | ||||
Net profit / (loss) after for the period attributable to | Up | 90.7% | to | 7,800 |
owners | ||||
Earnings per share | Up | 67.5% | to | 11.07 |
cents |
Dividends (Ordinary shares) | Record Date | Amount per | Franked Amount |
Security | per Security | ||
Final Dividend | 23 October 2020 | 3.0 cents | 3.0 cents |
Dividends
The directors have today declared a final dividend of 3.0 cents per ordinary share, fully franked, and to be paid on 30 October 2020. The dividend will be payable to shareholders of record on 23 October 2020. The company's Dividend Reinvestment Plan will not be operational for this dividend. This dividend does not relate to any conduit foreign income.
This dividend brings the total dividends for the year to 4.5 cents per share, an increase of 29% on the prior year.
1 Underlying Results exclude amortisation of acquired intangibles ($0.9 million) and non-recurring transaction costs ($0.5 million).
PROBIOTEC LIMITED
ABN 91 075 170 151 | 83 CHERRY LANE, LAVERTON NORTH, VIC 3026 |
Review of Results
Key Highlights
Record sales revenue, first time over $100m
EBITDA at upper end of guidance at $16.9m (guidance $16 to $17m)
Successfully completed acquisition of ABS (Aus) Pty Ltd
Successfully completed acquisition of assets and customer relationships from
CPSA
Managed through unprecedented COVID-19 disruptions
Key Achievements
The year was one of considerable activity as the Group:
- Record sales of $107.2 million;
- Acquired ABS (Aus) Pty Ltd for $26.4 million, a high quality pharmaceutical and consumer product packing business;
- Acquired the assets and customer contracts of CPSA, a packer of prescription and specialty pharmaceutical products;
- Completed an on-market share placement for ~$10.6m;
- Completed construction of a purpose-built warehouse and manufacturing facility at 85 Cherry Lane, Laverton North (adjacent to our primary manufacturing facility);
- Continued to acquire and on-board new customers and contracts.
Pleasingly, the executive team at Probiotec was able to execute the above whilst still continuing to deliver growth across all financial metrics, including significant growth in contract manufacturing revenue and earnings.
Results snapshot | ||||||||||||
In $'m | Underlying | Adj. | Actual | Underlying | ||||||||
vs PCP | ||||||||||||
Sales Revenue | 107.2 | -- | 107.2 | +46% | ||||||||
EBITDA | 16.9 | (0.5)1 | 16.4 | +78% | ||||||||
EBIT | 12.6 | (1.4) 2 | 11.2 | +87% | ||||||||
Net Profit After Tax | 7.8 | (1.4) 2 | 6.4 | +91% | ||||||||
Earnings Per Share | 11.1¢ | (2.0¢) | 9.1¢ | +68% | ||||||||
PROBIOTEC LIMITED
ABN 91 075 170 151 | 83 CHERRY LANE, LAVERTON NORTH, VIC 3026 |
- $0.5m of non-recurring transaction costs excluded from Underlying Results at EBITDA level.
- $1.4m adjustment reflects non-recurring transaction costs ($0.5m) and amortisation of acquired intangibles ($0.9m)
Strong sales and earnings growth
SALES (A$m)
107.2 | ||
73.2 | ||
52.3 | ||
2018 | 2019 | 2020 |
EBITDA (A$m)
16.9 | ||
7.6 | 9.5 | |
2018 | 2019 | 2020 |
- Managed through unprecedented COVID- 19 disruptions with all facilities operational throughout
- Organic growth from both new customers and new products from existing customers
- Organic growth supplemented by acquisitions of ABS and CPSA
- Sales growing drove additional growth margin, together with operational leverage at higher volumes
- 11 month contribution from ABS acquisition, which has performed well in first year of ownership despite some Covid-19 impacts due to supply of bulk product from overseas manufacturers
- Some short term cost impacts (FX, Cleaning and PPE) as a result of Covid-19
Acquisition of ABS (Aus) Pty Ltd
On 31 July 2019, the Company acquired all of the issued shares of ABS (Aus) Pty Ltd, which includes the business and assets formerly comprising Australian Blister Sealing Incorporated ("ABS").
ABS is a leading pharmaceutical and consumer products contract packer that has been established for over 40 years. It has capability to pack a very wide range of formats including foil, carded and clamshell blister, bottle filling, labelling, secondary packaging and additional services for the pharmaceutical, cosmetic and food industries. ABS has long standing relationships with many Australian and global pharmaceutical, cosmetic and food companies.
The acquisition was settled in cash for $26.4 million, after settlement of all adjustments and earn outs. No further contingent amounts are payable.
Acquisition of assets from CPSA
On 10 December 2019, the Company acquired the business assets, including major customer contracts and the plant and equipment required to fulfil the requirements of said contracts from Contract Pharmaceutical Services of Australia Pty Ltd CPSA ("CPSA")
CPSA is a leading high-end pharmaceutical contract packer that has been established for over 30 years. It provides a very wide range of packing services and formats including foil, carded and clamshell blister packing, bottle filling, labelling, secondary packaging and additional services for the pharmaceutical, cosmetic and food industries. CPSA has long standing relationships with many Australian and global pharmaceutical and cosmetic companies.
The acquisition was settled in cash, for a base amount of approximately $4 million plus inventory (at cost).
PROBIOTEC LIMITED
ABN 91 075 170 151 | 83 CHERRY LANE, LAVERTON NORTH, VIC 3026 |
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Probiotec Limited published this content on 26 August 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 26 August 2020 23:36:05 UTC
