- Sales grow 13.8% in local currency and pass the 200 million CHF threshold
- EBIT margin of 18.5% and EBITDA margin of 27.2%
- Net income increases 9.5% to 31.8 million CHF
- Market leadership extended and American Peptide Company integrated
- About 80 new jobs created in Switzerland; expansion at all company sites
- Increase in dividend from 2.00 to 2.25 CHF proposed
- Healthy order backlog, further sustainable growth expected
In 2015 Bachem stayed sharply focused on its core peptides business, in line with the strategy announced three years earlier. Thanks to steady progress in the formulation of peptides and greater efficiency in peptide production, the peptide market remains highly attractive. Besides delivering on its targeted organic growth, Bachem expanded its market leadership in the global peptides business in 2015 by acquiring APC. This acquisition strengthens Bachem's position in the US, the world's largest peptides market, enables on-demand access to additional production capacity, and reduces the CHF portion of its cost base. Business with active pharmaceutical ingredients stayed on a growth trajectory. The portfolio of New Chemical Entities (NCE) projects, which is a key driver of future sales trends, grew significantly once again and now boasts 241 projects at different stages of development. The large number of projects in Phase II and III clinical trials provide Bachem with an outstanding platform for future growth. Sales of established generics increased by almost 26% and research ingredients sales by 25.3% in LC.
Geographically, the acquisition of APC helped to produce a slight shift in the share of sales towards North America, where Bachem generated 35.0% of its total sales (2014: 33.5%). Given the targeted strengthening of its market position and planned expansion of capacity, management expects the percentage of sales generated in the US to continue to grow.
Thanks to the good business momentum and high capacity utilization, Bachem was able to create 93 new jobs last year. Together with the 55 APC employees who were retained by Bachem, the total headcount rose by 148 compared to the previous year. As of December 31, 2015, Bachem Group employed a total of 902 people in 859 full- time-equivalent positions. In view of the good order situation, the company plans to create more jobs at all of its locations over the coming year.
Based on this strong results and in view of the company's stable financial position with a high equity ratio of 79.6%, the Board of Directors is proposing an increase in the dividend to 2.25 CHF (previous year: 2.00 CHF).
With its unfailing commitment to quality and reliability in all dealings with customers, Bachem is steadfastly working to build up its leadership position in the peptides market. Having invested a total of more than 25 million CHF at all company sites, management has set a course for steady organic growth. In addition, it is examining alliances and acquisition targets to further strengthen its presence in Asian markets. Despite the challenging economic environment, management is confident the company will be able to maintain its sales growth within the long-term target range of 6-10% p.a. in local currency. Profitability will continue to be prioritized over absolute growth.
The complete Annual Report 2015 is available at the following website: http://annualreport.bachem.com
April 18, 2016 Annual General Meeting April 22, 2016 Payout Date for Dividend
August 26, 2016 Publication of Half-Year Report 2016
Bachem is a listed technology-based company focused on peptide chemistry. The company provides a full range of services to the pharma and biotech industries. It specializes in the development of innovative, efficient manufacturing processes and the reliable production of peptide-based active pharmaceutical ingredients. A comprehensive catalog of biochemicals and exclusive custom syntheses for research labs complete the service portfolio. Headquartered in Switzerland with subsidiaries in Europe and the US, the group has a global reach with more experience and knowhow than any other company in the industry. Towards its customers, Bachem shows total commitment to quality, innovation and partnership.
Bachem. Pioneering Partner for PeptidesFax: +41 58 595 2043
www.bachem.com ir@bachem.com
Bachem Holding AG issued this content on 11 March 2016 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 11 March 2016 05:37:16 UTC
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