Growth and strong earnings - EBITDA increased by 39%

FIRST QUARTER, JANUARY-MARCH

• The Group’s net sales amounted to SEK 262.8 (222.6) million, an increase of 18 percent.
• The Group’s EBITDA was SEK 56.3 (40.5) million, an increase of 39 percent.
• The EBITDA margin was 21 (18) percent.
• Profit after tax amounted to SEK 19.7 (15.1) million.
• Earnings per share amounted to SEK 1.3 (0.9).
• Cash flow from operating activities was SEK 56.3 (17.3) million.

CEO's comments

Sales growth

The Group’s sales increased by 18 percent in the first quarter. The Group's companies experienced good demand and both business areas showed good sales growth. In MedTech, sales increased for all companies. In Specialty Pharma, sales increased mainly in the registered pharmaceutical portfolio, but contract manufacturing also increased its sales.

Margin improvement

EBITDA increased by 39 percent. The EBITDA margin was 21 percent, an improvement of 3 percentage points. Higher volumes contributed to the increased margin. Purchasing and transport costs increased and have been partly offset by price increases. Delivery problems and long lead times are occurring for several inputs, but this has not had a significant impact on the Group as a whole.

Strong financial position and capacity for acquisitions

MedCap is a long-term owner that acquires and develops small and medium-sized life science companies that are strong in a product area or market, and have potential for continuing expansion. The Group has a strong financial position and we see good opportunities for acquisitions.

In conclusion

The horrific events in Ukraine are a humanitarian tragedy. The Group does not have any operations in Ukraine or Russia, but it is difficult to foresee what impact the invasion may have on international supply chains.

The first quarter was a good start to the year for all the Group’s companies. I see good opportunities for continued positive development.

Anders Dahlberg, CEO

Stockholm, 6 May 2022

This disclosure contains information that MedCap AB is obliged to make public pursuant to the EU Market Abuse Regulation (EU nr 596/2014) and the Swedish Securities Markets Act (2007:528). The information was submitted for publication, through the agency of the contact person, on 06-05-2022 06:30 CET.

For more information, contact:

Anders Dahlberg, CEO, Mobile 46 704 269 262,  e-mail anders.dahlberg@medcap.se