Fourth quarter October - December 2023
· Order intake decreased 31 percent to 148.5 (216.6) MSEK (-36 percent in constant currencies).
· Order backlog amounted to 763.2 (616.0) MSEK.
· Revenue increased 40 percent to 138.4 (98.8) MSEK (31 percent in constant currencies).
· EBIT amounted to 24.8 (6.2) MSEK, corresponding to a margin of 17.9 (6.3) percent.
· Cash flow from operating activities amounted to 50.8 (31.8) MSEK.
· Net earnings amounted to 26.5 (4.2) MSEK.
· Earnings per share amounted to 0.78 (0.12) SEK.
Full year January - December 2023
· Order intake increased 8 percent to 524.5 (484.6) MSEK (1 percent in constant currencies).
· Revenue increased 41 percent to 424.6 (301.3) MSEK (31 percent in constant currencies).
· EBIT amounted to 57.5 (21.8) MSEK, corresponding to a margin of 13.5 (7.2) percent.
· Cash flow from operating activities amounted to 33.3 (9.7) MSEK.
· Net earnings amounted to 46.1 (7.5) MSEK.
· Earnings per share amounted to 1.36 (0.22) SEK.
Significant events during the fourth quarter
· C-RAD won an order to deliver products to multiple radiation therapy institutions in South Korea. The order value amounted to 10 MSEK.
· C-RAD signed an agreement with a customer in North Rhine-Westphalia, Germany of 8 MSEK regarding both products and service contract.
· C-RAD won an order to deliver both products and a multi-year service agreement on the UK-market. Total order value of 8 MSEK.
· C-RAD signed an agreement with our partner Elekta, following a public tender in Croatia, to deliver our products to three different clinics. This is the first order for C-RAD in Croatia. The order value amounted to 16 MSEK.
Significant events after the quarter
· After the quarter end, C-RAD communicated that the joint development with Accuray has rendered in installation in clinical environment at a customer.
CEO Cecilia de Leeuw comments on the year-end report:
The year ended strong, with revenue growth in the quarter of 40 percent to 138 MSEK and revenue growth of 41 percent to 425 MSEK for the full year. The order intake of 149 MSEK was weaker than the fourth quarter last year, mainly due to the large Italy order of 46 MSEK in Q4 last year and the seasonality effect of an unusually strong third quarter this year. For the full year, order intake corresponded to a growth of 8 percent. Our cashflow improvement program is showing result, with 51 MSEK cashflow from operations in the fourth quarter. Our focus on profitable growth all through 2023 is also gaining further traction with an EBIT of 24.8 MSEK in in the quarter, translating to an EBIT margin of 17.9 percent.
APAC continues to show strong growth and we are well positioned in the market. Order Intake in the fourth quarter was 63 MSEK, a growth of 49 percent compared to Q4 last year. In South Korea, we are strengthening our position with the 10 MSEK order covering multiple sites. The activity level in China is high and the order intake is strong. We are introducing a new generation of products in China, which might slow down business somewhat in the first half of 2024. India had a solid quarter, capturing both new customers and expansion. We are now present in hospitals and clinics in all parts of the country and with enhanced service capabilities.
The Americas had strong conversion of the order backlog and revenues increased with 46 percent compared with the same quarter previous year. The order intake was declining to 23 MSEK in the quarter. Our position as number one in the Proton segment was reinforced, by yet another system ordered and delivered in the quarter. While we still experience a slowness in the market, the customer interest and sales activity levels are high.
The EMEA region had some exciting wins, breaking new grounds in the UK with the NHS trust contract of 8 MSEK and our entry into the Croatian market together with Elekta, a multi site contract of 16 MSEK. The order intake in the quarter was substantially weaker than Q4 last year due to the Italian Consip order in 2023, but for the full year the growth was 4 percent. The revenue growth was an impressive 66 percent for the quarter and 49 percent for the full year, supported by our solid backlog.
Sales cycles in our industry are typically long and being able to provide the benefits of our solution to patients in the near term is important to us. Hence, the new partnership in Germany valued to 8 MSEK is a brilliant example of a leading clinic incorporating our cutting-edge technology into existing LINACs.
Looking ahead, our continued focus will be to secure and invest in a world-class product portfolio, capturing the unmet demand for SGRT and increasing services. We will continue to work hard towards profitable growth, which is part of both our strategy and execution. That said, it is all about serving our customers, the hospitals and clinics, for the benefit of the cancer patients.
Finally, I would like to thank our customers, partners, and the C-RAD team across the world for an extraordinary 2023. I look forward to an exciting 2024 together with you. Your everyday contribution to improve lives of cancer patients is the core of what we do.
Presentation of the year-end report
CEO Cecilia de Leeuw and CFO Christoffer Herou will present the year-end report by webcast on Thursday, February 8 at 11:00 CET. After the presentation, there will be time for questions. The presentation will be held in English. To participate in the presentation, please register using the link below:
https://us06web.zoom.us/webinar/register/WN_uonGaEnjT-i4oa3-c5yVpQ
For further information:
Cecilia de Leeuw, CEO, +46 (0)795 85 66 77, investors@c-rad.com
Christoffer Herou, CFO, +46 (0)725 82 86 16, investors@c-rad.com
About C-RAD
C-RAD develops surface-guided imaging solutions for radiation therapy to allow highly accurate dose delivery to the tumor, and at the same time, to protect healthy tissue from unwanted exposure. Using high-speed 3D cameras combined with augmented reality, C-RAD supports the initial patient setup process and monitors the patient's motion during treatment to ensure high confidence, an efficient workflow, and improved accuracy. C-RAD monitors the patient's motion without the use of tattoos or additional imaging dose, to deliver the highest level of patient safety and comfort.
C-RAD. Inspiring excellence in cancer treatment.
C-RAD AB is listed on NASDAQ Stockholm.
For more information on C-RAD, please visit http://www.c-rad.com
This information is information that C-RAD is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 2024-02-08 08:30 CET.
