DUESSELDORF (dpa-AFX) - German drug delivery devices maker Gerresheimer AG (GRRMF.PK) reported Thursday that its fiscal 2017 net income from continuing operations fell 1.4 percent to 103.1 million euros from 104.5 million euros last year.
Adjusted attributable net income from continuing operations edged down 0.3 percent to 127.5 million euros from 127.8 million euros last year.
Adjusted EBITDA, a key earnings metric, grew 1 percent to 310.8 million euros. Profitability, measured as adjusted EBITDA margin, increased to 23.1 percent from 22.4 percent last year.
Revenues, meanwhile, dropped 2 percent to 1.35 billion euros from 1.38 billion euros a year ago. Revenues at constant exchange rates decreased 1.8%.
The company noted that the global pharma market grew significantly more slowly in 2017 than in the preceding years. Especially in the US, the world's largest and most important pharmaceuticals market, there was growing uncertainty, also stemming from the debates surrounding healthcare reform, trade policy and tax reform.
In the fourth quarter, adjusted EBITDA grew 18.3 percent to 97.6 million euros, and revenues went up 4.7% to 374.4 million euros, with organic growth of 6.7%.
Rainer Beaujean, CFO, said, 'Despite a slight decrease in revenues, we were able to raise profitability. ...We are confident that we can grow sustainably and profitably in the coming years and further expand our strong position in the markets for pharmaceuticals, healthcare and cosmetics.'
Further, the company proposed a dividend of 1.10 euros per share, higher than prior year's 1.05 euros.
Looking ahead, Gerresheimer anticipates revenues in a range whose lower end corresponds with the actual figure for the financial year 2017. At the upper end, the Company expects revenues at constant exchange rates of up to around 1.4 billion euros.
For adjusted EBITDA at constant exchange rates, Gerresheimer projects a range of 305 million euros to 315 million euros.
Further, the company increased its long-term guidance for Gx ROCE to around 15% from the previous level of at least 12%.
Copyright RTT News/dpa-AFX