IBA TRADING UPDATE – FIRST QUARTER 2017

-  Group revenue up 13.4% to EUR 73.3 million
-  Dosimetry returns to growth up 19% to EUR 14.6 million
-  Proton Therapy and Other Accelerators backlog remains strong at EUR 316 million

Louvain-La-Neuve, Belgium, May 10, 2017 - IBA (Ion Beam Applications S.A., EURONEXT), the world’s leading provider of proton therapy solutions for the treatment of cancer, today provides a trading update for the first quarter ending 31 March 2017.
 
Olivier Legrain, Chief Executive Officer of IBA, commented: “We are pleased to have made good progress in this first quarter of 2017 and are on track to meet our growth targets. Dosimetry has seen a good recovery across all regions and is now positively contributing to our REBIT. Our production expansion and regionalization strategy to meet growing global demand continues to be rolled out and we are currently installing eight projects across the globe and getting ready to install another 17 internationally."
 
“In Proton Therapy, however, several recent delays in project execution caused by customer building delays lead us to slightly adjust our full year guidance for 2017. While our guidance on revenue growth remains unchanged at around 15% to 20%, the project execution delays impact our revenue recognition and, to some extent, our operational leverage. Due to this, we revise our guidance on REBIT to between 10% and 12% for 2017, and around 13% for 2018."
 
“We are confident in the strong prospects for IBA in 2017 and beyond due to our growth strategy, the significant market potential in proton therapy and our focus on maintaining the world’s leading proton therapy offering.”

Group Highlights:
- Q1 2017 Group revenues of EUR 73.3 million, up 13.4% YoY and on track to meet guidance:
  • Proton Therapy and Other Accelerators up 12% to EUR 58.7 million, backlog now EUR 316 million and down slightly from year-end (EUR 335.5 million) but does not yet include the recently announced orders for Proteus®ONE* solutions in Charleroi and Cairo
  • Dosimetry demonstrated a good recovery in Q1 2017 with revenues of EUR 14.6 million, up 19%. The Company continues to believe in the correlation between Dosimetry’s long term growth and the overall growth of the radiotherapy market which is currently in the low single digits
- Net cash position of EUR 24.5 million compared to EUR 44.5 million at YE 2016
- One Proteus®ONE solution sold in Q1 2017 to Quirónsalud in Madrid, Spain and IBA selected as preferred vendor for another Proteus®ONE solution in Charleroi, Belgium
- Strategy to meet increasing global demand on track:
  •  Integration of 400 new engineers ongoing. Recruitment of another 200 engineers in 2017 underway
  •  Production capacity scale-up commenced (9000 m² facility under construction)
- Guidance for 2017 maintained for topline growth at around 15% to 20% and revised slightlyn for REBIT margin at around 10% to 12%
 
Post–Period End Highlights
- On 28 April, a contract was signed with the Children’s Cancer Hospital Foundation for aProteus®ONE* compact proton therapy solution in Cairo, Egypt