Expedeon AG: Expedeon AG reports third quarter 2019 financial results with strongest ever revenues and EBITDA

DGAP-News: Expedeon AG / Key word(s): Quarterly / Interim Statement Expedeon AG: Expedeon AG reports third quarter 2019 financial results with strongest ever revenues and EBITDA (news with additional features) 07.11.2019 / 07:30 The issuer is solely responsible for the content of this announcement. PRESS RELEASE 7 November 2019 / Interim quarterly statement Expedeon AG reports third quarter 2019 financial results with strongest ever revenues and EBITDA - Strongest revenue quarter ever and full year adjusted EBITDA guidance met in Q3 - 23% increase in revenues to EUR 11.5 million for the first nine months of 2019 versus same period 2018 - Adjusted EBITDA of EUR 2 million for the first nine months of 2019 compared to EUR 461 thousand in 2018 - Adjusted EBITDA of EUR 804 thousand for the third quarter; EBITDA of EUR 671 thousand - 2019 financial guidance: adjusted EBITDA guidance revised upwards on 29 October with full year target of EUR 2.5-3 million; revenue guidance of full year double digit growth reaffirmed Heidelberg, Germany and Cambridge, UK, 7 November 2019 - Expedeon AG (Frankfurt: EXNN; ISIN: DE000A2YN801; Prime Standard) today reported results for the third quarter of 2019 and nine-month period ended 30 September 2019. "We are very pleased with our strong operational performance year to date which has allowed us to raise our adjusted EBITDA guidance for 2019. Q3 has shown the strongest revenue quarter in Expedeon's history," said Dr. Heikki Lanckriet, CEO of Expedeon. "We continue to focus on innovative product solutions facilitating developments in medical science and patient care and we are confident that the Company is well placed to continue its exciting growth trajectory." 2019 year-to-date operational highlights: - January 2019: Licensing of Lightning-Link(R) Rapid Biotinylation technology to Cell Guidance Systems in supply agreement - May 2019: Addition of ELISA-ONE(TM) next generation cell signalling assay technology and CaptSure DIY ELISA to immunoassay technology product range - June 2019: Introduction of Lightning-Link(R) Metal Labelling Kits to support single cell analysis - August 2019: Commercial agreement with Sona Nanotech, Expedeon providing gold nanoparticle, bioconjugation technologies and expertise David Roth, CFO of Expedeon, commented: "We are pleased to report our highest ever grossing revenue quarter reflecting our very strong financial performance over the course of 2019 and are committed to further strenghtening our financial position going forward. We have achieved our full year EBITDA guidance in Q3 - earlier than expected - and raised our adjusted EBITDA guidance to reflecting the excellent operational progress."   First nine months of 2019 financial results: Total Group revenues increased by 23% to EUR 11.5 million for the first nine months of 2019 (nine months 2018: EUR 9.3 million) Adjusted EBITDA for the nine months was EUR 2 million (2018: EUR 461 thousand), with underyling reported EBITDA of EUR 945 thousand (2018: EUR 136 thousand):           2019 2018           EUR'000 EUR'000 Results of operating activities (EBIT)         (1,268) (1,577) Depreciation of property, plant and equipment       474 219 Amortisation and impairment of intangible assets     1,739 1,494 EBITDA         945 136               PPA Fair value charge for inventory acquired and now sold   0 43 Share option charges         204 282 Effect of revaluation of Acquisition Earn outs       866 0 Adjusted EBITDA         2,015 461   The result for the period included depreciation and amortisation of tangible and intangible assets (including customer lists and patents capitalised on the acquisitions of Expedeon Group, Innova Biosciences and TGR BioSciences) of EUR 2.2 million (nine months 2018: EUR 1.7 million). Results from operations reflected a loss for the period of EUR 1.3 million (2018: loss of EUR 1.6 million) which included the effect of the revaluation of Innova and TGR earn outs of EUR 866 thousand as shown above. (Further detail regarding these earn out adjustments is included in the H1 half year report at 30 June 2019.) Excluding this item, the net loss from operating activities improved to EUR 402 thousand. Net loss for the period was EUR 2 million (2018: EUR1.4 million) reflecting the above items as well as finance costs of EUR515 thousand (2018: EUR85 thousand) and a net tax charge of EUR 207 thousand (2018: positive EUR 270 thousand reflecting deferred tax movements). In the first nine months of 2019, the cash and cash equivalent levels decreased by EUR 3 million to EUR 3.3 million. This arose primarily with an outflow from financing activities following the repayment of Spanish softloans, the TGR shareholder loan and other debt payments totalling EUR 2.2 million (2018: net inflow from financing of EUR 10.2 million). Cash outflows from operating cashflows (prior to tax and interest) were a positive EUR 704 thousand (2018: negative EUR 1.4 million) including the adverse effect of the payment to German tax authorities of EUR 540 thousand in the period (which is explained in further detail in the 2019 H1 half year report). Interest and tax payments amounted to EUR 770 thousand, while cash outflows from investing activities fell to EUR 697 thousand compared with EUR 6.4 million in the same period for 2018 (which related primarily to the acquisition of TGR BioSciences in 2018). At 30 September 2019, total assets were EUR 61.9 million including goodwill of EUR 34.5 million and other intangibles of EUR 14.4 million. Third quarter of 2019 financial results: Revenues increased to EUR 4.1 million in the third quarter of 2019 (Q3 2018: EUR 3.7 million), representing a year on year increase of 12.2%. Expedeon reported an adjusted EBITDA for Q3 2019 of EUR 804 thousand, against an adjusted EBITDA of EUR 296 thousand in Q3 2018. On a reported basis, Q3 EBITDA was EUR 671 thousand versus a 2018 EBITDA of EUR 113 thousand. Reported net loss for the third quarter 2019 amounts to EUR 205 thousand compared to EUR 519 thousand for the third quarter of 2018. Outlook 2019: The Company expects a strong final quarter for the year and reconfirms its recently revised guidance from October 2019: Resulting from continued strong growth, Expedeon expects ongoing double-digit revenue growth and adjusted EBITDA to be EUR 2.5 - 3 million for the year.   For further information, please contact: Expedeon AG Dr. Heikki Lanckriet CEO/CSO Phone: [phone] Email: [e-mail] MC Services AG (Investor Relations and International Media Relations) Raimund Gabriel Managing Partner Phone: [phone] Email: [e-mail] About Expedeon AG: www.expedeon.com Expedeon is an enabler of exciting advances in medical science and patient care. The Company's core technologies, innovative products and services are used in research laboratories around the world, enabling scientists to push the boundaries of research and product development, and play an integral part in new diagnostic tools being brought to market. With applications spanning the entire workflows in genomics, proteomics and immunology, Expedeon's technologies both accelerate and simplify research and make new and cost-effective processes available to biopharmaceutical and diagnostic organisations alike, thereby underpinning its customers' development and commercialisation objectives. Expedeon's products are sold through a direct sales force and several distribution partners in Europe, the USA and Asia. Expedeon AG has offices in Germany, Spain, UK, USA and Singapore. The Company is listed on the Prime Standard segment of the Frankfurt Stock Exchange (Ticker: EXNN; ISIN: DE000A2YN801). ### This publication is intended for information only and constitutes neither an offer to sell nor an invitation to buy securities. Some statements included in this press release, relating neither to proven financial results nor other historical data, should be viewed as forward-looking, i.e. not definite. Such statements are mainly predictions of future results, trends, plans or goals. These statements should not be considered to be total guarantees since given their very nature they are subject to known and unknown risks and imponderability and can be affected by other factors as a consequence of which the actual results, plans and goals of Expedeon AG may deviate greatly from the established conclusions or implied predictions contained in such statements. Expedeon does not undertake to publicly update or revise these statements in the light of new information or future results or for any other reason. ### / EXPEDEON AG, Heidelberg, Germany Interim results for the nine months ending 30 September 2019   Expedeon AG Consolidated statement of financial position   EUR thousand   30 September 2019   31 December 2018           ASSETS         Property, plant and equipment   2,015   1,999 Goodwill   34,534   33,906 Other intangible assets   14,354   15,584 Other long term assets   726   319 Non-current assets   51,628   51,808           Trade receivables   2,687   2,627 Inventory   2,504   1,966 Other current assets   1,777   1,538 Cash and cash equivalents   3,292   6,238 Current assets   10,260   12,369           Total assets   61,888   64,177           EQUITY AND LIABILITIES         Issued capital   51,560   51,411 Capital reserves   21,356   19,753 Accumulated loss   (25,593)   (23,603) Other comprehensive income   (336)   (1,059) Equity   46,987   46,502           Deferred tax liabilities   2,163   2,440 Financial liabilities   5,062   7,476 Non-current liabilities   7,225   9,916           Financial liabilities   3,965   3,488 Trade payables   899   1,181 Other current liabilities   2,812   3,090 Current liabilities   7,676   7,759           Total equity and liabilities   61,888   64,177   Expedeon AG Consolidated statement of comprehensive income   EUR thousand         9 Months ended 30 September             2019   2018                                   Revenues         11,457   9,281                   Costs of goods sold         (3,010)   (2,576)                   Expenses:                 Sales         (1,781)   (2,117)   Administration         (6,747)   (5,561)   Research and development       (1,214)   (609)   Other operating income (expenses)     28   5 Total operating expenses         (12,724)   (10,858)                   Results of operating activities         (1,268)   (1,577)                     Finance costs         (515)   (85)                   Earnings before taxes         (1,782)   (1,662)   Income tax         (207)   270                   Net profit/loss for the period         (1,990)   (1,392)                     Exchange rate adjustments       721   318 Other comprehensive income (after taxes)       721   318 - to reclassify where necessary to the profit and loss account in subsequent periods           Total comprehensive income         (1,269)   (1,074)                   Earnings per share               > Basic, loss for the year attributable to ordinary equity holders     (0.04)   (0.03) > Diluted, loss for the year attributable to ordinary equity holders     (0.03)   (0.03)   Expedeon AG Consolidated statement of cash flows   EUR thousand 9 Months ended 30 September   2019   2018 EUR thousand       Operating activities:       Net loss for the period (1,990)   (1,392) Reconciliation of net profit/loss to cash flow       from operating activities:       Depreciation of property, plant and equipment 474   219 Amortisation and impairment of intangible assets 1,739   1,494 Movement in deferred tax (145)   (270) Share option charges 204   282 Interest charges 515   85 Tax charges 309   0 Other non-cash items 1,092   66 Change in operating assets and liabilities:       Trade receivables and other current assets (385)   (589) Trade payables and other current liabilities (599)   (872) Inventories (510)   (406) Cash outflow from operating activities 704   (1,383) Interest paid (476)   (76) Tax paid (294)   0 Net cash outflow from operating activities (66)   (1,459) Investing activities:       Business acquisitions, net of cash acquired (0)   (5,656) Investments in property, plant and equipment and intangible assets (422)   (445) Investments in development expenses recognized as an asset (275)   (322) Cash outflow from investing activities (697)   (6,423) Financing activities:       Cash in(out)flow due to changes of current financial liabilities (2,177)   5,662 Capital increase by way of cash contribution (less costs of issuing equity) (33)   4,514 Cash inflow from financing activities (2,210)   10,176         Net change in cash and cash equivalents (2,972)   2,295 Exchange differences 26   (13) Cash and cash equivalents at the beginning of the period 6,238   1,954 Cash and cash equivalents at the end of the period 3,292   4,236   Expedeon AG Consolidated statement of changes in equity           Other comprehensive income             Accumulated Exchange effect       Issued capital Capital Accumulated exchange on long term   Total EUR thousand (except Number) Number Amount reserves loss differences assets Total equity For the period from 1 January to 30 September 2018                 1 January 2018 46,934,087 46,934 16,644 (23,460) 93 (1,144) (1,051) 39,065 IFRS15 modified approach effect on opening reserves       178       178                                     1 January 2018 position adjusted 46,934,087 46,934 16,644 (23,282) 93 (1,144) (1,051) 39,243 Reclassification of capital increases against cash 443,171 443 (443)         0 Capital increase for cash 2,995,298 2,995 1,198         4,193 Other capital increase costs     (379)         (379) Capital increase for cash 285,714 286 314         600 Capital increase for Innova earn out     1,076         1,076 Share option expense charged to income     282         282 Result recorded directly in equity representing exchange rate adjustments         (12) 330 318 318 Net loss for the period       (1,392)       (1,392) Total comprehensive income       (1,392) (12) 330 318 (1,074) 30 September 2018 50,658,270 50,658 18,692 (24,674) 81 (814) (733) 43,941                   For the period from 1 January to 30 September 2019                 1 January 2019 51,411,323 51,411 19,753 (23,603) 64 (1,121) (1,057) 46,502 Other capital increase costs     (33)         (33) Share option expense charged to income     204         204 Result recorded directly in equity representing exchange rate adjustments         4 717 721 721 Reclassification of capital increases against contribution in kind 148,458 148 (148)         0 Capital increase against contribution in kind relating to Innova earn out     757         757 Capital increase against contribution in kind relating to TGR earn out     717         717 Interest on mandatory convertible bond     105         105 Net loss for the period       (1,990)       (1,990) Total comprehensive income       (1,990) 4 717 721 (1,269) 30 September 2019 51,559,781 51,560 21,355 (25,593) 68 (404) (336) 46,985                     Additional features: Document: http://n.eqs.com/c/fncls.ssp?u=AGFOUVSQJK Document title: Q3_Eng 07.11.2019 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement. The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Archive at www.dgap.de

Language:	English
Company:	Expedeon AG
	Waldhofer Str. 102
	69123 Heidelberg
	Germany
Phone:	[phone]
Fax:	[phone]
E-mail:	[e-mail]
Internet:	www.expedeon.com
ISIN:	DE000A2YN801
WKN:	A2YN80
Listed:	Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Munich, Stuttgart, Tradegate Exchange
EQS News ID:	906663

End of News	DGAP News Service

906663  07.11.2019