Skyepharma PLC Preliminary Announcement Of 2014 Annual Results
Significant growth in revenue and cash generation from the rejuvenated product portfolio and transformed balance sheet
LONDON, UK, 24 March, 2015 - Skyepharma PLC (LSE SKP), the expert oral and inhalation drug development company, today announces its annual results for the year ended 31 December 2014.
Financial Highlights
• Revenues up 18% to £73.8m (2013: £62.6m) driven by flutiform® and EXPAREL®
• Pre-exceptional operating profit up 67% to £22.7m (2013: £13.6m)
• Pre-exceptional EBITDA up 46% to £26.1m (2013: £17.9m); EBITDA of 35% of sales (2013: 29%)
• Pre-exceptional profit after tax of £16.1m (2013: £0.8m)
• Total loss after tax of £10.5m (2013: £0.8m profit) reflecting exceptional costs incurred in relation to repayment of bond debt and Lyon restructuring
• Cash and cash equivalents of £32.4m at 31 December 2014 (2013: £16.5m) and net cash of £15.0m (2013: net debt of £84.2m)
• Successful Capital Raise of £112.0m used for early repayment of bond debt, saving £25.2m in future payments; Paul Capital Note repaid and terminated and early repayment of Euro principal of the CRC Finance facility, saving £1.8m in future finance charges
Operating Highlights
• Products launched since March 2012 represent 66% of total revenues (2013: 47%)
• Substantial growth in royalties and supply revenues from flutiform®
• Total 2014 in-market sales €72.2m, up 272%
• Japan - launch of 120-puff version; Q4 sales up 124% from Q3
• Progress with developments for COPD studies (Europe, Asia Pacific), Asthma (China) and on breath-actuated version
• Growing revenues and milestones from share of Pacira’s EXPAREL®
• Restructuring of Lyon facility to improve efficiency
• Strong balance sheet and cash generation enabling measured investment in new Inhalation products and Oral drug delivery technologies
• Acquisition of the global rights and IP to commence development of SKP-2075 (COPD)
• Preliminary study for Soctec™, a gastro-retentive drug delivery platform, supports further development which is under way
Post year-end
• Early redemption and termination of remaining CRC Finance facility (being the U.S. Dollar element), saving a further £0.9m in future financing charges
• flutiform® filed for paediatric indication in Europe by Mundipharma
• Incruse® Ellipta® launched by GSK in U.S. for once-daily treatment of COPD
• Based on recent increases in demand forecasts and allowing for potential launch, if successfully filed and approved, of the breath-actuated version of flutiform®, the Board has decided to increase capital expenditure by approximately £4m - £6m in 2015, to achieve a faster step up in planned flutiform® manufacturing capacity. To improve efficiency and capabilities at the Lyon Facility, there may be potential additional capital expenditure of £1m - £2m prior to the Facility returning to Skyepharma’s management during 2016.
“The Board is confident that the Group has good prospects for growth from the 16 approved products already being marketed and is looking forward to adding further potential from Skyepharma’s proven inhalation and oral drug development capabilities.”
Commenting on the 2014 results, Peter Grant, Chief Executive Officer, said:
“Skyepharma transformed its performance and prospects in 2014. Our rejuvenated product portfolio is delivering sustained revenue growth and the strengthened balance sheet is enabling us to look to, and invest selectively in, the future with justified confidence. Our business is performing well, with strong cash generation reflecting increased profitability and tight control of working capital. We were very pleased with the institutional support for our successful and substantial Capital Raise last year.
“We are now well-placed to make measured investments from internally generated funds in developing new products and technologies to drive additional growth in the medium to long-term. In 2014 we made good progress in advancing this strategy, acquiring an innovative inhaled corticosteroid (ICS)-sensitising platform from Pulmagen, now in development for chronic obstructive pulmonary disease (COPD), and undertaking a proof of concept trial for Soctec™ a novel oral drug delivery technology for gastro-retention.”
A PDF version of the results presentation has been published on the Company’s website and a webcast of the analysts’ results presentation will be available shortly.
The Board has decided that, following the removal of the requirement for companies to publish Interim Management Statements (IMSs) announced by the Financial Conduct Authority in November 2014, future scheduled communications will comprise close period updates relating to the first six months and full year around the end of June and December respectively; Interim and Final Results in August and March respectively; and a trading update ahead of the Annual General Meeting statement in May.
-Ends-
For further information please contact:
Skyepharma PLC
Peter Grant, Chief Executive Officer
Andrew Derodra, Chief Financial Officer +44 (0)20 7881 0524
Jonathan Birt, Investor and Media Relations
+44 (0)7860 361746
N+1 Singer
Shaun Dobson/Jen Boorer +44 (0)20 7496 3000
FTI Consulting
Julia Phillips/Rob Winder/Natalie Garland-Collins +44 (0)20 3727 1000
About Skyepharma PLC
Skyepharma combines proven scientific expertise with validated proprietary technologies to develop innovative oral and inhalation pharmaceutical products. The Group’s licenses cover 16 approved inhalation, oral, topical and injectable products, which generate milestones, recurring royalties, and in some cases, product supply revenues. The Group also earns milestones and contract development revenues from new product developments. Products developed by Skyepharma are marketed by some of the world’s most respected pharmaceutical companies. For more information, visit www.skyepharma.com
Help employers find you! Check out all the jobs and post your resume.
LONDON, UK, 24 March, 2015 - Skyepharma PLC (LSE SKP), the expert oral and inhalation drug development company, today announces its annual results for the year ended 31 December 2014.
Financial Highlights
• Revenues up 18% to £73.8m (2013: £62.6m) driven by flutiform® and EXPAREL®
• Pre-exceptional operating profit up 67% to £22.7m (2013: £13.6m)
• Pre-exceptional EBITDA up 46% to £26.1m (2013: £17.9m); EBITDA of 35% of sales (2013: 29%)
• Pre-exceptional profit after tax of £16.1m (2013: £0.8m)
• Total loss after tax of £10.5m (2013: £0.8m profit) reflecting exceptional costs incurred in relation to repayment of bond debt and Lyon restructuring
• Cash and cash equivalents of £32.4m at 31 December 2014 (2013: £16.5m) and net cash of £15.0m (2013: net debt of £84.2m)
• Successful Capital Raise of £112.0m used for early repayment of bond debt, saving £25.2m in future payments; Paul Capital Note repaid and terminated and early repayment of Euro principal of the CRC Finance facility, saving £1.8m in future finance charges
Operating Highlights
• Products launched since March 2012 represent 66% of total revenues (2013: 47%)
• Substantial growth in royalties and supply revenues from flutiform®
• Total 2014 in-market sales €72.2m, up 272%
• Japan - launch of 120-puff version; Q4 sales up 124% from Q3
• Progress with developments for COPD studies (Europe, Asia Pacific), Asthma (China) and on breath-actuated version
• Growing revenues and milestones from share of Pacira’s EXPAREL®
• Restructuring of Lyon facility to improve efficiency
• Strong balance sheet and cash generation enabling measured investment in new Inhalation products and Oral drug delivery technologies
• Acquisition of the global rights and IP to commence development of SKP-2075 (COPD)
• Preliminary study for Soctec™, a gastro-retentive drug delivery platform, supports further development which is under way
Post year-end
• Early redemption and termination of remaining CRC Finance facility (being the U.S. Dollar element), saving a further £0.9m in future financing charges
• flutiform® filed for paediatric indication in Europe by Mundipharma
• Incruse® Ellipta® launched by GSK in U.S. for once-daily treatment of COPD
• Based on recent increases in demand forecasts and allowing for potential launch, if successfully filed and approved, of the breath-actuated version of flutiform®, the Board has decided to increase capital expenditure by approximately £4m - £6m in 2015, to achieve a faster step up in planned flutiform® manufacturing capacity. To improve efficiency and capabilities at the Lyon Facility, there may be potential additional capital expenditure of £1m - £2m prior to the Facility returning to Skyepharma’s management during 2016.
“The Board is confident that the Group has good prospects for growth from the 16 approved products already being marketed and is looking forward to adding further potential from Skyepharma’s proven inhalation and oral drug development capabilities.”
Commenting on the 2014 results, Peter Grant, Chief Executive Officer, said:
“Skyepharma transformed its performance and prospects in 2014. Our rejuvenated product portfolio is delivering sustained revenue growth and the strengthened balance sheet is enabling us to look to, and invest selectively in, the future with justified confidence. Our business is performing well, with strong cash generation reflecting increased profitability and tight control of working capital. We were very pleased with the institutional support for our successful and substantial Capital Raise last year.
“We are now well-placed to make measured investments from internally generated funds in developing new products and technologies to drive additional growth in the medium to long-term. In 2014 we made good progress in advancing this strategy, acquiring an innovative inhaled corticosteroid (ICS)-sensitising platform from Pulmagen, now in development for chronic obstructive pulmonary disease (COPD), and undertaking a proof of concept trial for Soctec™ a novel oral drug delivery technology for gastro-retention.”
A PDF version of the results presentation has been published on the Company’s website and a webcast of the analysts’ results presentation will be available shortly.
The Board has decided that, following the removal of the requirement for companies to publish Interim Management Statements (IMSs) announced by the Financial Conduct Authority in November 2014, future scheduled communications will comprise close period updates relating to the first six months and full year around the end of June and December respectively; Interim and Final Results in August and March respectively; and a trading update ahead of the Annual General Meeting statement in May.
-Ends-
For further information please contact:
Skyepharma PLC
Peter Grant, Chief Executive Officer
Andrew Derodra, Chief Financial Officer +44 (0)20 7881 0524
Jonathan Birt, Investor and Media Relations
+44 (0)7860 361746
N+1 Singer
Shaun Dobson/Jen Boorer +44 (0)20 7496 3000
FTI Consulting
Julia Phillips/Rob Winder/Natalie Garland-Collins +44 (0)20 3727 1000
About Skyepharma PLC
Skyepharma combines proven scientific expertise with validated proprietary technologies to develop innovative oral and inhalation pharmaceutical products. The Group’s licenses cover 16 approved inhalation, oral, topical and injectable products, which generate milestones, recurring royalties, and in some cases, product supply revenues. The Group also earns milestones and contract development revenues from new product developments. Products developed by Skyepharma are marketed by some of the world’s most respected pharmaceutical companies. For more information, visit www.skyepharma.com
Help employers find you! Check out all the jobs and post your resume.