Biotage (BIOT) Q1 2025 earnings summary

Executive summary

• Q1 2025 revenue was SEK 385 million, down 19.9% year-over-year, mainly due to bioprocessing volatility and zero plasma revenue, while non-plasma and small molecules revenue grew 3% each; China returned to growth with a 16% increase.

• Gross margin was stable at 62.9% (up 1.1 points sequentially), with bioprocessing gross margin at 73.5% and core business gross margin at 61.7%, both improving sequentially.

• Adjusted EBITDA was SEK 50 million, down 60% year-over-year, with an adjusted EBITDA margin of 13.0%.

• 37 new customers were added in early-phase drug discovery, with over 220 new customers added in the past two years.

• Demand for peptide systems exceeded manufacturing capacity, resulting in a SEK 20 million backlog.

Financial highlights

• Net sales were SEK 385 million, down from SEK 480 million year-over-year; organic growth was -20.4%.

• Adjusted OPEX was SEK 224 million, down from SEK 227 million in Q1 2024.

• Operating profit (EBIT) was SEK -12 million, down from SEK 67 million; operating margin at -3.1%.

• Adjusted cash flow from operations was SEK 76 million, down 56% year-over-year.

• Ended the quarter with gross cash of SEK 434 million and net cash of SEK 182 million.

Outlook and guidance

• Management expects continued short-term volatility in 2025 but remains confident in mid- to long-term growth.

• Cost base right-sizing and integration actions are expected to benefit results from Q2 onwards.

• Two key product launches planned: Plasmid preparation in Q2 and PFAS in Q3.

• Strategic focus on expanding customer base and accelerating market reach for peptide systems.