Grifols´ turnover increased by 7.1% in the first nine months of 2010 to 738.8 MM


Grifols turnover increased by 7.1% in the first 9 months of 2010 and reached 738.8 million Euros. It is noticeable the progression in sales on the third quarter, increasing by 14.6% in relation to the third quarter of 2009, and exceeding 251 million Euros, a record turnover for the group.

The main business areas of Grifols have maintained their growth rates and the revenues from all divisions, excluding Raw Materials (non-recurrent) increased by 10.1% in aggregate. It is important to highlight the contribution in sales of plasma derivatives such as intravenous immunoglobulin (IVIG) and albumin, both featuring double-digit growths, with volume being the main driver in an unfavourable price environment. Sales of the Bioscience division were 10.4% above those obtained in the same period of 2009, and reached 578.7 million Euros. In Diagnostic, the areas of blood bank and haemostasis have stimulated revenues, which grew by 6.3% up to 81.0 million Euros, whereas revenues of the Hospital division grew by 2.9%, reaching 65.3 million Euros. Raw Materials & Others continues to reduce its weight in the group's revenues, as expected. Sales in this division decreased by 46.1% to 13.8 million Euros.

Grifols has continued its policy of cost-containment during the 9 month period. Thanks to this and to the evolution of revenues and fluctuations in exchange rates, recurrent EBITDA of the business has been 212.1 million Euros, representing a margin of 28.7% on sales and a growth of 2.5% in relation to the same period of the previous year. However, taking into account the transaction costs inherent to the proposed acquisition of Talecris, gross operating profits have been 202.3 million Euros, 2.2% lower than in the same period of 2009.
Financial expenses generated by the bond issued in 2009 continue to impact on the profits of the group, as it has been the case in previous quarters. Up to September, aggregate net profits reach 97.0 million Euros, showing a decrease of 17.1% with respect to the same period of the previous year.

Net debt remains stable in relation to December 2009 excluding variations due to exchange rates and transaction costs. Net financial debt as at 30 September 2010 reached 618.2 million Euros, this means a ratio of 2.4 times EBITDA. Both the solvency of the balance sheet and the solid financial situation ensure the group is in a strong position to face future commitments.

Currently, over 77% of the Grifols turnover comes from international markets

The international diversification process continues to strengthen, with an overall view to reinforcing sales in areas such as Latin America and Asia-Pacific. This process will lead to higher turnover within these emerging areas, that will gain relative weight, providing a greater contribution to the group's turnover, in addition to the U.S. and Europe. It is worth noting the turnover increase in Asia (47.4%).

The U.S. market maintains its growth trend (19.3%) fostering a strategy of perfect adequacy and marketing of products and services to suit the requirements and demands of its healthcare systems. In the third quarter, Grifols has obtained the FDA license to market its IVIG Flebogamma® DIF at 10% concentration in the U.S. Business in Europe remains stable (0.8%) and its weight in the sales mix is at 43.7%, still higher than that of the U.S.

Grifols reaches its highest quarterly turnover ever. Sales exceed 251million Euros in the third quarter of 2010
Grifols sales exceeded 251 million Euros between July and September 2010. This represents a 14.6% increase over the same period of the previous year and is the highest quarterly turnover ever achieved by the group.

Sales in the third quarter confirm the upward trend in the sector, in which Grifols´turnover maintains its growth for the third consecutive quarter. Geographical and product diversification, together with the fostering of strategic distribution deals in the Diagnostic division will continue to drive sales up in the coming quarters.

EBITDA reached 54.8 million Euros in the period between July and September 2010, and net profit was 30.6 million Euros. Quarterly results have been impacted by the higher cost of plasma and by transaction costs associated with the proposed acquisition of Talecris.

  • Grifols' turnover increased by 7.1% in the first nine months of 2010 to 738.8MM Euros Download (160.81 Kb)