Vistin Pharma (VISTN) Q4 2024 earnings summary

Executive summary

• Q4 2024 revenue reached NOK 114 million (MNOK 114), up 3% year-over-year, driven by an 11% increase in sales volume.

• Full-year 2024 revenue was NOK 430 million (MNOK 430), slightly down from NOK 438 million in 2023, but sales volume rose 4% despite an unplanned production stop.

• EBITDA for Q4 2024 was NOK 28 million (MNOK 28), up 11% year-over-year; full-year EBITDA hit an all-time high of NOK 104 million (MNOK 104), a 21% increase from 2023.

• Net profit for Q4 2024 was NOK 19.4 million, a small increase from the prior year.

• The Board proposes a NOK 1.25 per share dividend for June 2025, following NOK 1.75 per share distributed in 2024.

Financial highlights

• Gross margin remained strong at 63% in Q4 2024, supported by economies of scale and stable production.

• EBITDA margin for 2024 was 24.3%, up from 20% in 2023.

• Net cash position at year-end was NOK 13 million (MNOK 12.8), with no interest-bearing debt and an equity ratio of 80%.

• Net cash flow from operating activities in 2024 was MNOK 105, up from MNOK 90.6 in 2023.

• Q4 2024 cost of goods sold was MNOK 86, unchanged year-over-year, with lower raw material costs offsetting freight spikes.

Outlook and guidance

• The global metformin market is expected to grow 4%-6% annually, with Vistin's market share stable at around 10%.

• Remaining manufacturing capacity and planned ramp-up to 7,000 MT annually are expected to drive further growth.

• A long-term renewable energy supply agreement with Statkraft secures predictable, 100% green power until 2032.

• The company aims to pay out 50% of net annual profit as dividends, subject to financial capability and growth needs.

• Higher manufacturing and sales volumes are expected to increase working capital needs and require additional CAPEX.