.
- Period result increases 67 percent to EUR 114k
- EBITDA of EUR 0.8 million nearly at the prior year's level; EBITDA margin 13.4 percent
- Market introduction of "VitaPlusCord" [VitaPlusNabelschnur] additional product advanced further
Vita 34 AG (WKN A0BL84), a pioneer in the storage of stem cells from umbilical cord blood and tissue, and a specialist in cryo-preservation, published its financial figures for the first six months of fiscal year 2014 today. Vita 34 was able to continue the successful development of the company, and reported a 67 percent increase in its period result as compared with the prior year.
In the reporting period Vita 34 continued with the introduction of its "VitaPlusCord" [VitaPlusNabelschnur] additional product, and was able to obtain numerous official permits in Germany by the end of the reporting period. The new offer was met with growing demand in the international markets such as Austria, Switzerland, Slovenia, Romania, Bulgaria, Macedonia and Croatia, as well. In addition, Spanish subsidiary Secuvita S.L. has prepared the storage of umbilical cord tissue in the reporting period.
At the same time it has not yet been possible to provide the new offering for the cryo-preservation of umbilical cord tissue comprehensively throughout Germany, since the official permitting process is proving more time consuming than expected. The number of storages of umbilical cord blood and tissue in the reporting period was 3,395 new storages (first half-year 2013: 3,570 new storages). Correspondingly, Vita 34 AG earned operating income in the amount of EUR 6.6 million in the first half-year 2014 (prior year's period: EUR 6.9 million). In comparison with the prior year revenues decreased by 6.3 percent from EUR 6.5 million to EUR 6.1 million. According to business segment in the first six months of 2014 some EUR 5.8 million in revenue was attributable to the Stem Cell Banking segment (first half-year 2013: EUR 6.2 million). Revenues in the Biotechnology segment of some EUR 0.3 million were at the level of the same period the prior year (first half-year 2013: EUR 0.3 million).
The development of Vita 34 was shaped successfully with the cost reduction measures introduced in 2013. In particular, the selling expenses were reduced by EUR 0.2 million to EUR 2.2 million by means of more efficient marketing. Costs incurred in the stellacure subsidiary and remuneration expense vis-a-vis a former Management Board member led to a one-time increase in administrative costs to EUR 1.4 million (prior year: EUR 1.3 million). Earnings before interest, taxes, depreciation and amortization (EBITDA) were EUR 0.8 million in the first half-year 2014, nearly the prior year's level (first half-year 2013: EUR 0.9 million). Measured on revenues Vita 34 earned an EBITDA margin of 13.4 percent (first half-year 2013: 13.8 percent). EBIT was also stable as compared with the prior year at EUR 0.3 million, and the group result was increased by 67 percent to EUR 114k in the first half-year 2014 (first half-year 2013: EUR 68k).
Dr. André Gerth, Chairman of the Management Board of Vita 34 AG, commented: "Even if we have not yet attained the planned increase in profits in the reporting period, we consider ourselves to be well positioned to shape the development of Vita 34 in a positive and sustainably profitable manner on an ongoing basis. In the long term, we will energetically pursue the development from an umbilical cord blood bank to a service provider and supplier of cell products for pharmaceutical manufacturing. For the second half-year of 2014 Vita 34 is faced, in particular, with the challenge of increasing the number of new storages and the associated revenues. We have already initiated corresponding measures, and will implement them consistently."
Vita 34 will approach expecting parents in an even more targeted manner using efficient marketing and sales measures. The new Internet presence that is optimized for mobile devices, the introduction of the Vita 34 "Our Baby" app, as well as the "Thanks Mama" advertising campaign are examples of a series of measures undertaken in the area of marketing and sales. Vita 34 expects a contribution to the expansion of our market position in the German-speaking countries from the newly hired Managing Director for our Austrian subsidiary. Vita 34 has further expanded activities in the Biotechnology segment during the reporting period with research projects involving the cryo-preservation of autologous fatty tissue, as well as the development of processes for the optimized extraction of plant agents. This opens the potential to Vita 34 of participating in new discoveries and product innovations, and expanding our own product range.
Following the first half-year, the company is confident of being able to achieve its targets for the full year 2014.
The complete six-month report 2014 is available for download as of today on the website at www.vita34group.de in the "Investor Relations" section.
- Period result increases 67 percent to EUR 114k
- EBITDA of EUR 0.8 million nearly at the prior year's level; EBITDA margin 13.4 percent
- Market introduction of "VitaPlusCord" [VitaPlusNabelschnur] additional product advanced further
Vita 34 AG (WKN A0BL84), a pioneer in the storage of stem cells from umbilical cord blood and tissue, and a specialist in cryo-preservation, published its financial figures for the first six months of fiscal year 2014 today. Vita 34 was able to continue the successful development of the company, and reported a 67 percent increase in its period result as compared with the prior year.
In the reporting period Vita 34 continued with the introduction of its "VitaPlusCord" [VitaPlusNabelschnur] additional product, and was able to obtain numerous official permits in Germany by the end of the reporting period. The new offer was met with growing demand in the international markets such as Austria, Switzerland, Slovenia, Romania, Bulgaria, Macedonia and Croatia, as well. In addition, Spanish subsidiary Secuvita S.L. has prepared the storage of umbilical cord tissue in the reporting period.
At the same time it has not yet been possible to provide the new offering for the cryo-preservation of umbilical cord tissue comprehensively throughout Germany, since the official permitting process is proving more time consuming than expected. The number of storages of umbilical cord blood and tissue in the reporting period was 3,395 new storages (first half-year 2013: 3,570 new storages). Correspondingly, Vita 34 AG earned operating income in the amount of EUR 6.6 million in the first half-year 2014 (prior year's period: EUR 6.9 million). In comparison with the prior year revenues decreased by 6.3 percent from EUR 6.5 million to EUR 6.1 million. According to business segment in the first six months of 2014 some EUR 5.8 million in revenue was attributable to the Stem Cell Banking segment (first half-year 2013: EUR 6.2 million). Revenues in the Biotechnology segment of some EUR 0.3 million were at the level of the same period the prior year (first half-year 2013: EUR 0.3 million).
The development of Vita 34 was shaped successfully with the cost reduction measures introduced in 2013. In particular, the selling expenses were reduced by EUR 0.2 million to EUR 2.2 million by means of more efficient marketing. Costs incurred in the stellacure subsidiary and remuneration expense vis-a-vis a former Management Board member led to a one-time increase in administrative costs to EUR 1.4 million (prior year: EUR 1.3 million). Earnings before interest, taxes, depreciation and amortization (EBITDA) were EUR 0.8 million in the first half-year 2014, nearly the prior year's level (first half-year 2013: EUR 0.9 million). Measured on revenues Vita 34 earned an EBITDA margin of 13.4 percent (first half-year 2013: 13.8 percent). EBIT was also stable as compared with the prior year at EUR 0.3 million, and the group result was increased by 67 percent to EUR 114k in the first half-year 2014 (first half-year 2013: EUR 68k).
Dr. André Gerth, Chairman of the Management Board of Vita 34 AG, commented: "Even if we have not yet attained the planned increase in profits in the reporting period, we consider ourselves to be well positioned to shape the development of Vita 34 in a positive and sustainably profitable manner on an ongoing basis. In the long term, we will energetically pursue the development from an umbilical cord blood bank to a service provider and supplier of cell products for pharmaceutical manufacturing. For the second half-year of 2014 Vita 34 is faced, in particular, with the challenge of increasing the number of new storages and the associated revenues. We have already initiated corresponding measures, and will implement them consistently."
Vita 34 will approach expecting parents in an even more targeted manner using efficient marketing and sales measures. The new Internet presence that is optimized for mobile devices, the introduction of the Vita 34 "Our Baby" app, as well as the "Thanks Mama" advertising campaign are examples of a series of measures undertaken in the area of marketing and sales. Vita 34 expects a contribution to the expansion of our market position in the German-speaking countries from the newly hired Managing Director for our Austrian subsidiary. Vita 34 has further expanded activities in the Biotechnology segment during the reporting period with research projects involving the cryo-preservation of autologous fatty tissue, as well as the development of processes for the optimized extraction of plant agents. This opens the potential to Vita 34 of participating in new discoveries and product innovations, and expanding our own product range.
Following the first half-year, the company is confident of being able to achieve its targets for the full year 2014.
The complete six-month report 2014 is available for download as of today on the website at www.vita34group.de in the "Investor Relations" section.
