Nine-Month Figures For 2015: Sartorius AG Grows In Strong Double Digits In Order Intake, Sales Revenue And Earnings

• Expansion of Bioprocess Solutions stronger than expected yet again; positive development in Lab Products & Services
• Overproportionate increase in earnings
• Forecast for the full year raised

GOETTINGEN, Germany--(BUSINESS WIRE)--Sartorius (FWB:SRT), a leading international pharmaceutical and laboratory equipment supplier, closed the first nine months of 2015 with significant double-digit gains in order intake, sales revenue and earnings. Group order intake rose 19.9%, excluding currency effects, to 856.6 million euros; the reported figure surged 30.2%. Its sales revenue climbed 18.5% in constant currencies to 830.3 million euros (reported: 28.6%). Up 46.9%, operating profit¹ grew even more strongly than sales revenue; the Group's respective underlying EBITDA margin was 23.3% after nine months. Based on the company’s excellent nine-month results, management raised its forecast again for the full year of 2015.

“The very strong growth of Bioprocess Solutions, our largest division, continued, which was due on the one hand to the excellent and better-than-expected market environment and, on the other hand, to our ongoing gains in market share”

"The very strong growth of Bioprocess Solutions, our largest division, continued, which was due on the one hand to the excellent and better-than-expected market environment and, on the other hand, to our ongoing gains in market share," commented Group CEO Dr. Joachim Kreuzburg on the company's nine-month results. "Our Lab Products & Services Division has also been recording solid growth. For the final quarter, we continue to expect high business performance. In our full-year forecast, we are now projecting a gain of approximately 15% in Group sales and a consolidated underlying EBITDA margin of around 23% in constant currencies."

Business Development of the Divisions and Regions

In view of the divisions, the Bioprocess Solutions Division that supplies products for the manufacture of biopharmaceuticals again proved to be the growth engine. The division's order intake rose sharply by 26.5% in constant currencies (reported: 38.4%) to 637.2 million euros, while its sales revenue increased 24.2% (reported: 35.9%) to 604.3 million euros. All product segments contributed to the division's strong growth; demand for single-use product solutions was especially high. BioOutsource Ltd. and Cellca GmbH acquired in the reporting year also performed very well and contributed around one percentage point in constant currencies to the division's sales expansion.

For the Lab Products & Services Division, which supplies premium laboratory instruments and lab consumables, order intake in constant currencies rose 4.6% (reported: 11.0%) to 219.5 million euros. Its sales revenue was up 6.0% to 226.0 million euros (reported: 12.5%).

All regions contributed significant double-digit gains in sales revenue to the dynamic development of the Group. Business in the Americas increased at the highest rates, with an uptick in sales of 24.2%. Sales revenue with customers in the EMEA² region rose 16.8%, and in the Asia | Pacific region, 14.7%. (All regional figures in constant currencies)

Substantial Gain in Profitability

The Sartorius Group increased its underlying EBITDA overproportionately relative to sales revenue, by 46.9% to 193.8 million euros. One major reason for this was economies of scale; the favorable currency environment additionally had a positive effect. The Group's corresponding margin was 23.3%, up from 20.4% a year ago. Earnings contributed by the Bioprocess Solutions Division climbed to 158.7 million euros; its respective margin rose year over year from 23.2% to 26.3%. The Lab Products & Sales Division also continued to improve its profitability, reporting an underlying EBITDA of 35.1 million euros following on 29.0 million euros in the previous year. This equates to a margin of 15.5%, up from 14.4% in the respective prior-year period.

Group EBIT, including extraordinary items of -6.7 million euros (9M 2014: -4.0 million euros), depreciation and amortization, was 146.6 million euros, reflecting a gain of 62.6%. The corresponding earnings margin rose from 14.0% in the year-earlier period to 17.7%. Relevant net profit³ for the Group jumped from 46.6 million euros to 78.9 million euros. Consolidated earnings per ordinary share were 4.62 euros (9M 2014: 2.73 euros), and per preference share, 4.64 euros (9M 2014: 2.75 euros).

Forecast Raised

Based on the company's excellent performance in the first nine months, management raised its sales and earnings forecast for the full year of 2015. For the Group, the company now expects sales to grow approx. 15% in constant currencies (previous guidance: approx. 12%). This sales figure includes around one percentage point projected to be contributed by the acquisitions of BioOutsource and Cellca. The company's underlying EBITDA margin is forecasted to reach around 23% in constant currencies; previously, around 22.5% was anticipated. Sartorius continues to plan on investing around 10% of its sales revenue.

In view of the two divisions, Sartorius anticipates that currency-adjusted sales revenue for Bioprocess Solutions will grow approx. 20% (previous guidance: approx.15%). Of this percentage, around 1.5 percentage points are forecast to be contributed by the two acquisitions. The underlying EBITDA margin of Bioprocess Solutions is projected to attain around 26% (previous guidance: around 25.5%).

For the Lab Products & Services Division, the company continues to forecast approx. 5% sales growth and an underlying EBITDA margin of around 15.5%.

¹ Sartorius uses underlying EBITDA (earnings before interest, taxes, depreciation and amortization and adjusted for extraordinary items) as the key profitability indicator.

² EMEA = Europe | Middle East | Africa

³ After non-controlling interest, adjusted for extraordinary items and non-cash amortization, as well as based on the normalized financial result and corresponding tax effects.

This press release contains statements about the future development of the Sartorius Group. The content of these statements cannot be guaranteed as they are based on assumptions and estimates that harbor certain risks and uncertainties. This is a translation of the original German-language press release. Sartorius shall not assume any liability for the correctness of this translation. The original German press release is the legally binding version. Furthermore, Sartorius reserves the right not to be responsible for the topicality, correctness, completeness or quality of the information provided. Liability claims regarding damage caused by the use of any information provided, including any kind of information which is incomplete or incorrect, will therefore be rejected.

Key Performance Indicators for the First Nine Months of 2015

www.sartorius.com/fileadmin/media/global/company/pr_20151020_9m_figures_sag.pdf

Current Image Files

Dr. Joachim Kreuzburg, CEO and Executive Board Chairman of Sartorius AG

http://www.sartorius.com/fileadmin/media/global/company/Sartorius_Kreuzburg.jpg

Sartorius products used in the manufacture of medications

www.sartorius.com/fileadmin/media/global/company/pr_20140303_bioprocess_solutions.jpg

Sartorius products used in laboratory research

www.sartorius.com/fileadmin/media/global/company/pr_20140303_lab_products_and_services.jpg

Conference Call and Webcast

Dr. Joachim Kreuzburg, CEO and Executive Board Chairman of Sartorius, will discuss the company's results with analysts and investors on Tuesday, October 20, 2015, at 3:30 p.m. Central European Time (CET) in a teleconference. You may dial into the teleconference starting at 3:20 p.m. CET at the following numbers:

	Germany:				+49(0)69 2222 10622
	France:				+33(0)1 70 48 01 66
	UK:				+44(0)20 3427 1914
	USA:				+1646 254 3369

The dial-in code is as follows: 4547223; to view the webcast, log onto:

https://www.sartorius.com/en/company/investor-relations/sartorius-ag/

Upcoming Financial Dates

	February 2016				Publication of the preliminary figures for fiscal 2015
	March 2016				Annual press conference
	April 7, 2016				Annual Shareholders' Meeting

A Profile of Sartorius

The Sartorius Group is a leading international pharmaceutical and laboratory equipment provider covering the two segments of Bioprocess Solutions and Lab Products & Services. In 2014, the technology group earned sales revenue of 891.2 million euros. Founded in 1870, the Goettingen-based company currently employs more than 5,500 persons. The major areas of activity of its Bioprocess Solutions segment cover filtration, fluid management, fermentation, cell cultivation and purification, and focus on production processes in the biopharmaceutical industry. The Lab Products & Services segment primarily manufactures laboratory instruments and lab consumables. Sartorius has its own production facilities in Europe, Asia and America as well as sales subsidiaries and local commercial agencies in more than 110 countries.