US stock futures dip as Nvidia earnings spark little cheer
Investing.com -- Shares of Dermapharm Holding SE (ETR:DMPG) (ETR:DMP) tumbled 7.2% following the release of its first-quarter financial results, which presented a mixed picture of the company’s performance.
The German pharmaceutical company reported a slight revenue increase of 1% year-on-year (YoY) to €302.5 million, which was 2% higher than the consensus compiled by the company. However, investors seemed concerned with the decline in profitability, as adjusted EBITDA fell by 8% YoY to €81.3 million, with margins shrinking from 29.7% the previous year to 26.9%.
The branded pharmaceuticals segment showed resilience with a 2% YoY increase in revenue, reaching €146 million, and a 6% rise when excluding vaccine sales. However, this was overshadowed by a decrease in other healthcare products revenue by 3% YoY to €96.2 million. The parallel import business experienced a 7% YoY increase to €60.6 million, which was not enough to offset the overall negative sentiment.
The decline in profitability was more pronounced within the branded pharmaceuticals division, where margins contracted significantly from 49.8% to 45.3%. Other healthcare products also faced margin contraction, albeit less severe, from 18.7% to 18.1%. The parallel import business registered a negative margin of -1.5%, compared to a positive margin of 0.4% in the same quarter last year.
Operational cash flow plummeted to €4.2 million from €33.1 million in the prior-year period, and free cash flow (FCF) turned negative to -€5.1 million from a positive €26.4 million last year.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.