The accounts of the 2024 exercise of Pangaea Oncology show in general a very positive business evolution, derived from both the behavior of the companies that are completely consolidated, for the first time in 2024, as of a very significant organic growth in services to pharmaceutical companies.
Thus, the company has seen how its sales fired 93% to 14.27 million euros, while Ebitda entered into the year (522,000 euros) and the net losses against the previous year were reduced by 74% to a figure of 1.2 million euros.
On the other hand, the company has demonstrated a very good evolution of its research and development assets (expansion of liquid biopsy, pre-clinical models, and the design of the new technological architecture, called Pangaea 2.0), which will allow generating new contracts with pharmaceutical clients. Among others, last week Pangea published two relevant facts, with contracts per amount exceeding 2.5 million with Eurofins and Regeneron multinationals.
The synergy derived from the different clinical units, our Kol (Key Opinion Leaders), and the technology evolution of society, predicts «very significant» organic growth during the next exercises, the company stands out.
As for the objectives for 2025, The company expects to enter positive benefit in this yearas well as its cash flow entry consolidated.
Pangaea will also focus on the integration and consolidation of recently acquired companies, maximizing the synergies for prescription of high value added cross -value tests (diagnosis, surgery, clinical trials, Farma contracts). It also predicts a “substantial increase” of the contractual portfolio with pharmaceutical clients, diagnostic test distribution agreements, and new agreements with diagnostic companies.
For this year, the completion of the Pangaea 2.0 project linked to Business Mapeo of Circuits and Design of Technological Architecture (AI) is expected, as well as a rationalization of investments in R & D+I (and gradual reduction in the Ratio R&D on sales), focused, mainly in new diagnostic tools in liquid biopsy financed with programs of the AAPP, and in generation of new models of new models of new models of new models of new models Biomarkers (in vitro) for the generation of new contracts with the pharmaceutical industry, and early diagnostic models of cancer. Also highlighting the positioning of Next Generation Sequencing (NGS, multigenic panels) as the main tool for liquid biopsy and early detection techniques.
The group se will focus on profitability, assessment of research assets and start of the Big Data/Ia strategy.
Activity indicators
- The number of new cancer patients increases 93% to 5,712 new patients in the exercise, added to organic growth in 188% in new patients in pneumology (3,287).
- Total visits increase by 88% (82,041 visits), the result of the first complete consolidation of acquired societies (IOB and IBCC), and of solid organic growth, both in oncology and in medical pneumology.
- Surgical activity increases by 72% (313 interventions), motivated, mainly by the evolution of thoracic surgery and breast cancer in IOR and IBCC units.
- EECC: active patients in clinical trials increases by 84% to 629 active patients (with 201 clinical trials open to December 31, 2024).
- Stability in the number of pharmaceutical clients (79 vs. 77)
- FTE (Employee No.) at the end of the period increase by 22% to 181, due to the consolidation of the templates of recently acquired companies and increased corporate structure.
Sales
- Consolidated income increase one (93% to € 14,270 thousands), derived from the consolidation of recently acquired companies, added to the company’s solid organic growth in companies to companies, during the period.
- Income in health management are increased one (89%, up to € 12,201 thousand), with special growth in visits (37%growth), followed by high value added segments: clinical trials (+87%), and oncological diagnosis (+195%).
- The income mix of recently acquired companies (with greater weight in volume of patients) offers a very significant future visibility of contribution of margin derived from high value added tests (clinical trials, surgery, and molecular diagnosis).
- Income in services to pharmaceutical companies grow organically 123% to € 2,069 thousands, the result of a normal execution of contracts.
- Services to companies, which in 2024 of 14% of the total consolidated income will continue to experience a very significant increase, both in absolute and relative terms, in the next years.
Results account
- Significant increase in gross margin motivated by billing Farma contractual milestones and incremental exposure to high -value added lines in the healthcare division.
- Gross exploitation margin increases by 115% to € 12,605 thousands, which represents a gross margin on sales of 88.3% (compared to 79.4% of the previous year), derived from high -value added tests.
- Rationalization of R & D+I with lower relative weight on sales (17.6% in 2024 against 26.4% in 2023).
- The increase in expenses in all lines is clearly lower than the increase in consolidated sales, therefore allowing society to enter positive Ebitda (€ 522 thousand compared to negative Ebitda of -1,083 thousand € in the 2023 year).
- The increase in gross margins and improves in Ebitda, allows to cushion the amortization increases derived from the acquisitions during the 2022-23 period, influencing a 74% reduction of the net loss of the previous year (-1.267 thousands compared to -4,774 thousands € in 2023).
Balance
- Stable intangible immobilized, since investments are comparable to annual amortization endowments, both in trade fund of companies acquired and in R&D investments.
- Working capital positivo superior a 6.100 miles €.
- Significant improvement in the average collection period derived from the purchase of companies with high exposure to Mix of income with monthly settlements.
- Net cash position and added liabilities in the short and long -stable long term.
- Capital extension made in 2S2024 for an amount of € 6,358 thousand
- Gross cashier position over € 4.5 million
- Decrease in commercial suppliers for lower M&A expenses in 2024 compared to 2023