Analyse ION Beam Applications SA

Fundamentele Analyse : FY 2017

Financial summary

  • Total Group 2017 revenues of EUR 287.4 million, down 12.6% (2016: EUR 328.8 million)

-    Proton Therapy and Other Accelerators revenue of EUR 233.6 million, down 16.8% due to project rescheduling primarily as a result of customer construction delays, a cyclical slowdown in the overall proton therapy market and aggressive activity by competitors to boost market share

-    Dosimetry revenue up 11.9% to EUR 53.8 million due to strong conversion of backlog and higher sales both from radiotherapy and proton therapy related business

  • REBIT margin of -4.0% impacted by low Proton Therapy and Other Accelerators gross margin
  • Equipment and service backlog of nearly EUR 1 billion, comprising an equipment backlog for Proton Therapy and Other Accelerators of EUR 283 million at full year 2017 including upgrades and a growing services backlog of EUR 689 million
  • Total Group loss of EUR 39.2 million affected by strengthening EUR vs USD and including a EUR 16.1 million deferred tax asset write-off mainly due to tax reforms and the impact of R&D tax incentives in Belgium. Without the tax write-off, the Group loss would have been EUR 23.1 million
  • Net cash position of EUR -15.5 million at the end of 2017 compared to EUR 44.7 million at the end of December 2016 driven down by higher working capital requirements. The Group has sufficient credit lines from its banks to finance its cash flow requirements

Olivier Legrain, Chief Executive Officer of IBA SA commented: “2017 was a challenging year for IBA, reflecting a slower market and individual project delays. However, with the world’s most attractive proton therapy offering, we have clear competitive strengths and a strategy to continue to profitably capture projected market growth over the long-term.

“The Group has taken a number of actions to streamline its business with a view to returning to a positive REBIT and net profit after tax in 2018. These include reduction of operational expenses, and productivity measures, which enable us to deliver our offering to our customers faster and at a significant advantage compared to competition, thereby improving our gross margin.

“Although the proton therapy market remains lumpy, it is growing steadily over time and we continue to have a robust equipment and services backlog with revenues secured over three and up to ten years respectively. The quality of our backlog and the fastest demonstrated times from installation to customer acceptance position us optimally to leverage the expected growth in proton therapy and maintain our position as market leader. In addition, Dosimetry had a strong year with good backlog conversion.

“Proton therapy offers great potential in the treatment of many cancers. IBA is focused on enabling the clinical potential of proton therapy by 1) growing the proton therapy market by encouraging the adoption and awareness of proton therapy, including through education and facilitating the generation of a strong body of supporting data and 2) increasing IBA’s market share by maintaining the most innovative solutions, the swiftest project execution, proven upgradability and best system reliability, supported by our global network of best-in-class partners.

“We remain confident in our long-term growth potential. Although current market conditions make it harder to predict our near-term growth trajectory, we will keep the market updated on our progress as the current year progresses.”

Source : Press Release ION Beam Applications SA, Louvain-la-Neuve, Belgium, March 22, 2018

Fundamentele Analyse : FY 2016

2016 Financial Highlights

  • Group revenues for the full year ending 31 December 2016 of EUR 328.8 million, up 21.6% from EUR 270.4 million at 31 December 2015
  • Proton Therapy and Other Accelerators revenue growth of 30% to EUR 280.7 million, up from EUR 216.2 million at 31 December 2015
  • Dosimetry sales of EUR 48.1 million, down 11.1% compared to an unusually strong FY 2015, due to slow conversion rate, but improving over Q4
  • Highest ever REBIT for the Company at 11.3%, up 25.7% from 2015
  • Net profit of EUR 24.4 million, down from EUR 61.2 million in 2015
    • 2016 was impacted by around EUR 8 million of non-recurring expenses mostly from one-off incentives to staff, reorganizational costs and write-offs on some minor loss-making contracts, as well as a financial charge of EUR 1.4 million
    • 2015 had been impacted by more than EUR 30 million non-recurring profits, including the capital gain on exit from the Molecular business in 2015 as well as EUR 3.2 million financial profit essentially from FX gains
  • Net cash of EUR 44.5 million (EUR 50.0 million at end of 2015)
  • IBA’s Board of Directors will recommend to the General Assembly the distribution of a dividend of EUR 0.29 per share, representing more than 35% of its net profit, continuing the regular rate from 2015 (excluding the exceptional dividend distributed following the sale of the Molecular business)
  • Outlook:
    • Revenue growth guidance maintained at around 15% to 20% in 2017 and double digit thereafter
    • REBIT margin guidance of approx. 11% to 12% in 2017; increasing to 13% – 15% in 2018 and stabilizing at 15% by 2020
    • 30% dividend pay-out ratio target maintained for 2017


Olivier Legrain, Chief Executive Officer of IBA SA commented:

“Our proton therapy business continues to grow internationally with top line growth being driven, in particular, by our single room solution Proteus®ONE, and also from increasingly important revenue from service contracts and system upgrades. We anticipate that this momentum will continue in 2017 and beyond, especially as the investments in the scale up of our production enable greater efficiencies and operating leverage to make proton therapy even more affordable.”

Source : Press Release ION Beam Applications SA, Louvain-la-Neuve, Belgium, March 23, 2017


Fundamentele Analyse : H1 2016