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Non-cash impairment of
SEK 4.3 billion in the fourth quarter 2023, relating to the impairment of goodwill attributed to the acquisition of Igenomix in 2021. -
Igenomix, now known as the business area Genetic Services, remains a core part of the new corporate strategy for the
Vitrolife Group , however we have challenges to navigate in the short term. Vitrolife Group also announces preliminary figures for Q4, with sales ofSEK 904 million , corresponding to 6% growth in SEK, gross margin of 56.9% and EBITDA margin of 32.5%.
Non-cash impairment charge
The impairment is partially caused by inflated goodwill, through appreciation of the share price between signing and the issuance of new shares during the deal transaction of Igenomix in 2021. This was in accordance with IFRS. The growth required to balance the book value is increasingly challenged in the short term, however the
Business area Genetic Services is a key component of the new corporate strategy for the
Update on Q4 2023
Preliminary non-audited earnings SEK (millions) | Q4 | Q4 | FY | FY |
2023 | 2022 | 2023 | 2022 | |
904 | 855 | 3,512 | 3,234 | |
Of | 290 | 303 | 1,160 | 1,144 |
Of EMEA | 343 | 316 | 1,286 | 1,163 |
Of APAC | 271 | 236 | 1,066 | 927 |
Gross Margin (%) | 56,9% | 54,2% | 56,3% | 55,0% |
Impairment charge | 4,300 | 4,300 | ||
EBITDA | 294 | 273 | 1,136 | 1,050 |
EBITDA Margin (%) | 32,5% | 31,9% | 32,3% | 32,5% |
Operating Cash Flow | 171 | 166 | 757 | 636 |
Sales growth for the fourth quarter was 6% in SEK and 5% in local currencies. Market region
The full year growth in SEK was 9% and 10% excluding discontinued business. In local currencies the growth was 4% and excluding discontinued business, 5%. In local currencies and excluding discontinued business, market region
This disclosure contains information that
Contact:
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E-mail: info@vitrolife.com. Website: www.vitrolifegroup.com.
This release may contain forward-looking statements, which reflect the Board of Directors and the management's current views with respect to the market, certain future events and financial performance. Although the statements are based upon estimates, the management believes that the expectations reflected in these forward-looking statements are based on reasonable assumptions, and no assurance can be given that the expectations will prove to be correct. Forward-looking statements are based on the circumstances at the date of publication and actual outcome could be materially different.
This is a translation of the Swedish version of the press release. When in doubt, the Swedish wording prevails.
https://news.cision.com/vitrolife-ab--publ-/r/vitrolife-group-makes-an-impairment-charge-of-sek-4-3-billion-relating-to-igenomix-and-provides-prel,c3914112
https://mb.cision.com/Main/1031/3914112/2558669.pdf
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