Genovis (GENO) Q3 2024 earnings summary

Executive summary

• Achieved record quarterly growth and profitability in the enzyme business, with organic sales up 13% year-over-year and enzyme sales up 24% (28% currency-adjusted) compared to Q3 2023.

• Completed strategic divestment of the antibody business to Leinco Technologies and acquired a 25% stake in Sequrna AB to expand into RNAase inhibitor technology.

• Focused on growth in ADC technology and new enzyme launches, with strong performance across all major geographic markets.

Financial highlights

• Q3 2024 net sales: SEK 32,895 thousand, up 9% (13% currency-adjusted) year-over-year; enzyme business net sales: SEK 31,625 thousand, up 24% (28% currency-adjusted).

• Q3 EBITDA: SEK 24,566 thousand (SEK 10,828 thousand for enzyme business excl. antibody); EBIT: SEK 22,054 thousand (SEK 8,545 thousand for enzyme business excl. antibody).

• Q3 profit: SEK 13,798 thousand; EPS: SEK 0.21.

• 9M 2024 net sales: SEK 102,422 thousand, down 22% year-over-year; enzyme business net sales (excl. antibody): SEK 92,432 thousand.

• 9M EBITDA: SEK 48,407 thousand; EBIT: SEK 40,404 thousand; profit: SEK 28,330 thousand; EPS: SEK 0.43.

• Gross margin Q3: 87.9%; 9M: 86.2%.

• Cash and cash equivalents at period end: SEK 155,534 thousand.

Outlook and guidance

• Positioned for further advances in new products and sales in 2024, despite ongoing macroeconomic and geopolitical uncertainties.

• Underlying growth in pharmaceuticals and biopharma remains strong, supporting long-term business prospects.