Gemabank Results for 6 months of 2024 according to RAS

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International Medical Center of Biomaterials Processing and Cryostorage (IMCB, ticker: GEMA) has published its performance results for 6 months of 2024, prepared in accordance with Russian Accounting Standards (RAS).

IMCB (Gemabank) is a biotech company, part of Artgen Biotech group (ticker: ABIO), engaged in personal stem cell storage and development of gene therapy mediciness for the treatment of blood and immune system diseases.

The net profit of Gemabank for the first 6 months of 2024 increased by 27% and amounted to RUB 80,091 thousand. The Company's revenue increased by 18.4% amounting to RUB 164,642 thousand, with the EBITDA of RUB 88,728 thousand (53.9% of the revenue).

Key events over the 6 months of 2024:

  • The sample storage base was expanded to 41,572 samples. In just 6 months of 2024, 1,345 samples were accepted, which exceeds that of the same period of 2023 by 33%.
  • The prospects of the gene therapy approach were assessed and the design of candidate drug molecules were developed. In addition, a plan of experiments for in vitro testing of molecules was developed.
  • 2 samples were issued for transplantation.
  • Work on expanding the existing cryopreservation facility commenced.
  • ACRA has upgraded IMCB's credit rating to BBB-(RU) with a STABLE OUTLOOK.
  • The Board of Directors resolved to pay dividends for 2023 in the amount of 2 rubles 20 kopecks per share.
  • ALOR broker has published an analytical study on Gemabank with a recommendation to buy and a target price of RUB 161.9 per ordinary share.

Despite the drop in the birth rate, Gemabank managed to increase its revenue by 18.4%. Due to ongoing work with physicians and new clients, the growth potential for the umbilical cord stem cell storage service has been preserved. An increase in the number of examples of practical use of stem cells for the treatment of severe diseases will have a significant positive impact on the growth rate of demand for the preservation of cord blood samples. The development of new gene therapy medicines for the treatment of blood diseases and immunodeficiency will allow the company to diversify its revenues in the future, and in the coming years of 2024-2025, and positively affect the company's image.

Strategic goals that the company sets for itself by the end of 2024

  • Maintaining the leading position and market share at the level of 40% among cord blood banks in the Russian Federation.
  • Organization of activities that promote the use of cord blood in practical healthcare.
  • Increasing marketing activity in Moscow, St. Petersburg and other cities with a million-plus population.

Key P&L statement indicators for 6 months of 2024

RUB thousand

January to June 2024

January to June 2023

change, %

Revenue

164 642

139 027

18,4%

Cost of sales

(26 675)

(23 683)

12,6%

Business expenses

(35 228)

(25 749)

36,8%

Administrative expenses

(17 521)

(13 444)

30,3%

Profit (loss) from sales

85 218

76 151

11,9%

Income from shareholdings

9 000

-

-

Interest receivable

13 641

13 960

-2,3%

Interest payable

(17 034)

(16 658)

2,3%

Other net income (expenses)

(10 734)

(10 394)

3,3%

Net profit (loss)

80 091

63 059

27,0%

 Net profit, %

48,65%

45,36%

-

EBITDA*

88 728

71 323

24,4%

 EBITDA, %

53,9%

51,3%

-

 

Key balance sheet indicators for 6 months of 2024

in RUB thousand

June 30, 2024

June 30, 2023

change, %

Assets

     

Intangible assets

81 708

87 558

-6,7%

Fixed assets

60 659

51 264

18,3%

Financial investments

762 590

930 150

-18,0%

Total non-current assets

904 957

1 069 323

-15,4%

Accounts receivable

67 252

71 440

-5,9%

Cash and cash equivalents

231 924

98 072

136,5%

Financial investments (excluding cash equivalents)

50 000

5 397  

826,4%

Total current assets

352 775

181 198

94,7%

Total assets

1 257 732

1 250 521

0,6%

Liabilities

 

 

 

Revaluation of non-current assets

98 400

180 150

-45,4%

Add-on capital (without revaluation)

242 504

242 504

-

Retained earnings (uncovered loss)

80 451

63 061

27,6%

Total capital and reserves

421 512

485 872

-13,2%

Borrowings

228 108

228 108

-

Other liabilities

449 894

367 311

22,5%

Total non-current liabilities

678 002

595 419

13,9%

Borrowings

11 781

11 607

1,5%

Accounts payable

140 983

154 406

-8,7%

Other liabilities

4 359

2 127

104,9%

Total current liabilities

158 218

169 230

-6,5%

Total liabilities

1 257 732

1 250 521

0,6%

The accounting statements of IMCB, PJSC, for 6 months of 2024 are available on the corporate website of the Company in the For Investors section.