Revenues in 4Q23 amounted to PLN 47.5 million (vs. PLN 53 million our forecast), EBITDA amounted to PLN 19.5 million, but after adjusting for the balance of other operating income and expenses amounted to PLN 7.3 million (vs. PLN 8.8 million our forecast), net profit amounted to PLN 5.4 million. Net debt at the end of 2023 was PLN 65 million (vs. PLN 72 million at the end of 3Q23 and PLN 67 million at the end of 2022). The company additionally announced a possible change in the model of cooperation with Yifan for the production and commercialization of active ingredients of insulin analogs and the final drug product. The implications of these changes are difficult to determine at this point, but it seems that if the technology comes from Yifan, it is more likely to result in lower margins for Bioton, which will evolve more towards CMO/CDMO. We rate the results neutral/slightly negative.
Revenues Revenues in 4Q23 amounted to PLN 47.5 million (-39% y/y). The drop in revenue is mainly the aftermath of lower insulin sales. For all of 2023, insulin sales amounted to PLN 122.3 million (-34% y/y), of which PLN 67.2 million (-14% y/y) is attributable to the Polish market, and PLN 55.1 million (-49% y/y) to exports. The main decline in export sales was in China, Vietnam, Ukraine, Sudan. The company compensated for this by increasing sales in Lebanon, but these were less profitable. Domestically, the company reached a share of 39.7% of the classic insulin market by value at the end of 2023. Declines in insulin sales were partially offset by an increase in sales of goods and materials, which amounted to PLN 40.2 million (+46% y/y) in 2023.
