- Continued strong growth in Proton Therapy, with Proton Therapy and Other Accelerators setting a new record backlog of EUR 362.6 million
- FY operating margin expected to be around 10% due to slower Dosimetry business
Louvain-La-Neuve, Belgium, 16 November 2016 - IBA (Ion Beam Applications S.A., EURONEXT), the world’s leading provider of proton therapy solutions for the treatment of cancer, today announces its trading update for the third quarter ending 30 September 2016.
- Q3 2016 year to date Group revenues of EUR 225.3 million, up 19.3% year-on-year, driven by excellent revenue recognition of Proton Therapy projects (+43.7% versus last year), more than offsetting declining Dosimetry -12.8% versus last year) and flat revenues of Other Accelerators division
- Strong growth in Proton Therapy and Other Accelerators orders – orders at end of Q3 totalling EUR 206.2 million, up 39.5% from Q3 2015, comprising three Proteus®One*, three Proteus®PLUS* (15 proton therapy rooms in total), and ten other accelerators. This order intake also includes upgrades for EUR 16.9 million.
- Proton Therapy and Other Accelerators service revenue up 16.9% to EUR 57.7 million, in line with expectations
- Proton Therapy and Other Accelerators backlog at an all-time record of EUR 362.6 million, following downpayment by Medstar (Shanghai) Leasing Co, for a previously announced fourroom Proteus®PLUS* solution. Backlog conservatively excludes the previously announced contract with Qingdao Zhong Jia Lian He Healthcare Management Company Limited (five-room solution) that is a firm contract but awaiting down payment
- Record Dosimetry backlog of EUR 19.4 million, up from EUR 18.0 million in Q3 2015
- Healthy gross cash position of EUR 66.4 million at the end of Q3 2016, compared with EUR 64.7 million at the end of Q3 2015
- Revenues for the full-year expected to be around 20% higher than in 2015, reflecting strong PT growth and more than offsetting Dosimetry weakness; operating margin expected to be around 10%, slightly below previous expectations of 11% due to the weak Dosimetry market; the Company expects operating margins to rise to 13-15% by 2018
Olivier Legrain, Chief Executive Officer of IBA commented: “This has been another positive quarter of growth, driven by continued robust demand in the global proton therapy market and timely execution of the backlog. With a growing order book from markets as diverse as Europe, US, China and the UAE, we are confident about the outlook of the Company, despite challenges in the dosimetry market which has further decreased as a proportion of our overall business. We are continuing to make targeted strategic investments in our business to ensure that we can maintain and grow our clear leadership in proton therapy, expanding our product offering to provide greater choice to customers and investing in our commercial, manufacturing and service capabilities.”