Grifols : April 21, 2020 Grifols maintains its operational levels and continues to reinforce its commitment to society Read more

Barcelona, April 21, 2020.- Grifols (MCE: GRF, MCE: GRF.P, NASDAQ: GRFS) reports solid results in the first quarter of 2020. The company grew by 11.8% (9.3% cc¹) to EUR 1,293 million in revenues.

Amid the current global health crisis caused by COVID-19, Grifols' plasma centers, industrial and commercial sites remain operational, making possible the continued production and supply of plasma-derived medicines, and diagnostic and hospital solutions with the fewest delays possible.

The Bioscience Division continues to lead the company's growth. The division's sales grew by 13.6% (10.9% cc) to EUR 1,040 million. The Diagnostic Division and the Hospital Division revenues remained stable at EUR 168 million (1.4%; -0.3% cc) and EUR 31 million (0.6%; 0.8% cc) respectively. The Bio Supplies Division grew by 24.5% (21.9% cc) to EUR 64 million.

Reported EBITDAtotaled EUR 351.1 million, denoting a 14.9% growth and a 27.2% margin (26.4% in 2019). Core EBIDTA² amounted to EUR 343.6 million (EUR 307.8 million in the first quarter of 2019), representing 27.3% of revenues (26.8% in 2019).

Taking internal, external and investee projects into account, Grifols allocated a total of EUR 83.3 million (EUR 89.3 million in the first quarter of 2019) to net R+D+i investments.

Grifols is leading a clinical trial on the efficacy of an anti-SARS-CoV-2 hyperimmune immunoglobulin in collaboration with the U.S. Food and Drug Administration (FDA) and other health agencies. The company is also working with health authorities in the U.S., Spain and Germany to test the efficacy of direct plasma transfusions, previously inactivated by methylene blue, from recovered COVID-19 patients (convalescent plasma) as a treatment. At the same time, Grifols has developed a highly sensitive SARS-CoV-2 detection test.

The company allocated EUR 60.2 million to capital investments (CAPEX)in the first quarter. As part of its response to COVID-19, Grifols announced the expansion of its virus-inactivated plasma systems (methylene blue) in its Clayton (North Carolina, USA) industrial complex. This facility also has an isolated plant to manufacture anti-SARS-CoV-2 immunoglobulin.

Grifols' investment levels in R+D+i and CAPEX highlight and reinforce its commitment to growth and long-term vision, in addition to its ongoing efforts to help mitigate the global health emergency triggered by the COVID-19 outbreak.

The company's financial resultstotaled EUR 16.8 million. This figure includes a reduction of the financial expenses of EUR 21 million due to the refinancing process that was closed in November 2019. Additionally, it includes a EUR 11.4 million negative impact due to exchange differences, as well as the positive impact of EUR 56.5 million related to the closing of the Shanghai RAAS transaction.

Reported net profitstands at EUR 186.4 million due to the solid operating performance and lower financial results.

Excluding the impact of IFRS 16³, Grifols' net financial debtstands at EUR 5,803.6 million and its net financial debt over EBITDA ratio improved to 4.12x. As shown by the progressive deleveraging over the last quarters, debt management remains a key priority for the company.

Grifols has the necessary resources and liquidity to fulfill its short and medium-term obligations. As of March 31, 2020, the company had EUR 638 million in cash positions and approximately EUR 570 million in undrawn lines of credit, placing its liquidity position above EUR 1,200 million.

In addition, in light of the COVID-19 outbreak, Grifols is preemptively taking all necessary measures to further bolster its already-solid liquidity position.