Predictions: Gerresheimer buys and becomes more optimistic about 2018 sales forecast | message

Gerresheimer also claims to have won two major new orders and expects increased medium-term growth and improved profitability. Initially, however, capital expenditures will increase. In the currency-adjusted turnover forecast for 2018, Gerresheimer is now more optimistic and sees the latter in the high range of 1.38 to 1.4 billion euros.

The packaging specialist also announced that the purchase price would rise to a maximum of 350 million euros, depending on the achievement of defined milestones contract. The initial payment put Gerresheimer at 175 million euros. Sensile Medical develops drug delivery products and drug delivery platforms, including digital networks. Sensile Medical is already working successfully with its customers on the development of devices for diabetics and patients with heart disease, Gerresheimer continued.

In addition, Gerresheimer announced two important new orders: one for the manufacture of inhalers and the other for prefillable syringes for a major manufacturer of heparin. That's why, without Sensile Medical, Gerresheimer will see changes in investment planning, profitability and revenue. The company, specializing in pharmaceutical and cosmetic packaging, expects the higher investments in 2019 and 2020 to provide an additional increase of 2 percentage points up to a maximum of 4 percentage points of sales. neutral. Thus, the capacity of the Horsovsky Tyn plant in the Czech Republic will be expanded. In addition, further automation should be encouraged and also used for a new plant in Eastern Europe.

On the other hand, higher investment expenses lead to charges. In 2019 and 2020, the charge on the adjusted EBITDA margin is about 1 percentage point (compared to the value of the 2017 fiscal year), explained the Düsseldorfer. This can be attributed to low-margin revenues in the engineering and tooling sector thanks to the large new orders won. In addition, Gerresheimer sees an increase in expenses for relocation, employee training and start-up and ramping up of production. For the years 2021 and 2022, Geresheimer also expects, regardless of Sensile Medical, on the one hand that sales will increase more than usual growth and that the EBITDA margin will increase by 2 points and The other hand the volume of investment will fall again to 8%. Commenting on the current year, Gerresheimer said he was expecting a "strong second half" and that the forecast for neutral currency sales would be in the upper range of 1.38 to 1. , 4 billion euros.

FRANKFURT (Dow Jones)

Sources of Image: Gerresheimer AG