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Eckert & Ziegler Strahlen- und Medizintechnik AG

Quarterly Report Nov 10, 2020

130_10-q_2020-11-10_2261bdfb-6af1-4119-831a-b7b220e74892.pdf

Quarterly Report

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QUARTERLY REPORT III

1 July to 30 September 2020

KEY DATA

1–9/2020 1–9/2019 Change
Sales € million 126.9 133.2 –5%
Return on revenue before tax % 20 21 0%
EBITDA € million 34.8 36.6 –5%
EBIT € million 26.3 28.1 –6%
EBT € million 25.6 27.4 –6%
Net income before other shareholder´s interests € million 17.9 19.2 –7%
Profit € million 17.7 18.8 –6%
Earnings per share (basic) 0.86 0.92 –7%
Operational cash flow € million 17.0 29.9 –43%
Depreciation and amortization on
non-current assets € million 8.6 8.6 0%
Staff as end of period Persons 825 812 +2%

MILESTONES Q3 2020

TUMOR IRRADIATION EQUIPMENT

To strengthen the HDR business worldwide, Eckert & Ziegler and TCL Healthcare Equipment (Shanghai) Co., Ltd. sign a binding letter of intent under which EZAG will transfer its division with the so-called afterloaders (HDR brachytherapy) to a separate company in which TCL will acquire 51% of the shares. The production shall remain in Germany.

APPROVAL FOR GALLIUM-68 GENERATOR FOR CANADA

The Canadian regulatory authority Health Canada has granted marketing approval for the pharmaceutical 68Ge/68Ga generator GalliaPharm®. Meanwhile, the generators from Eckert & Ziegler are available in more and more countries. If gallium-based diagnostics become widely accepted in the coming years, Eckert & Ziegler is well prepared as supplier.

ALPORA TOP INNOVATOR 2020

Eckert & Ziegler is awarded Top Innovator 2020 by the Swiss investment analytics company Alpora. More than 1,500 companies have been analyzed on the basis of publicly available key figures in order to identify the top innovators in Europe, the USA and worldwide.

NEW PRODUCTION FACILITY FOR RADIOPHARMACEUTICALS IN CHINA

A production line for radiopharmaceuticals developed at the Dresden site is being transferred to the joint venture partner Chengdu New Radiomedicine Technology Co. (CNRT), Chengdu, China. The line will be used to manufacture Y-90 based products for hepatocellular carcinomas.

SHARE SPLIT SUCCESSFULLY COMPLETED

The share split by issuing bonus shares was successfully completed. By increasing the share capital of Eckert & Ziegler AG from company funds and by issuing new shares at a ratio of 1:3, trading in the share is to become more liquid and the share even more attractive for investors. The share capital now amounts to €21,171,932.00.

A. GROUP INTERIM MANAGEMENT REPORT

The coronavirus pandemic that has been sweeping the planet since the first quarter of 2020 continues to have a massive impact on the global economy. The Eckert & Ziegler Group has weathered the crisis well so far. In particular, as it has managed to keep its facilities and supply chains running at close to normal levels.

All the same, the pandemic has had an adverse effect on volumes, earnings and cash flows; in particular by reduced demand in the Isotope Products segment as a result of the fall in oil prices and shifts in demand due to surgeries being postponed in the Medical segment. Similarly, existing travel restrictions meant that customer locations were only accessible to a limited extent, which in turn meant that the scope of services provided was also limited.

The negative effects of COVID-19 on the macroeconomic environment are expected to last through the fourth quarter of 2020. At the same time, the negative effects of the pandemic are not expected to be long-lasting.

A.1 EARNINGS PERFORMANCE

With earnings of € 17.7 million, the Eckert & Ziegler Group achieved again an outstanding result in the first nine months of 2020. Compared to the same period of the previous year, however, consolidated earnings fell slightly by € 1.1 million or 6%. The decrease is mainly attributable to weaker performance in the Isotope Products segment. At the same time, the Medical segment, which was newly formed on January 1, 2020 (mainly comprising the former Radiation Therapy and Radiopharma segments), recorded significant growth.

Revenue

Overall, consolidated revenue amounted to € 126.9 million at the end of September 2020, and was therefore, € 6.3 million, or 5%, below the prior year's level of € 133.2 million. As the above figure contains approximately € 1.7 million in revenue for services rendered in prior periods, the actual decline in revenues is 6%.

The breakdown by segment shows that the drop in revenue is solely attributable to the Isotope Products segment. Due to the effects of the coronavirus pandemic, the revenue generated by the segment decreased by €11.6 million or 15% to € 66.8 million compared to the first nine months of 2019. The areas that recorded the decrease in revenue were the lucrative components for industrial measurement systems, the Brazilian business and disposal services. Slight increases were only posted in components for medical use and raw materials trading.

The fastest-growing segment was the Medical segment, mainly driven by strong revenue generated by pharmaceutical radioisotopes. Its revenue increased by € 5.4 million, or 10%, to reach € 60.1 million. At the main product group level, however, the picture was mixed. While laboratory equipment and brachytherapy sources, including iodine implants, suffered considerably from reduced orders from hospitals due to the coronavirus crisis, sales of pharmaceutical radioisotopes increased by more than € 6 million, or almost 30%, to approximately € 30 million.

Earnings (net profit for the period)

The € 11.6 million shortfall in revenue in the financial results of the Isotope Products segment, combined with largely constant overheads in the statement of profit or loss, resulted in a shortfall in earnings of €5 million, which, after taking taxes into account, resulted in earnings of only € 5.1 million or € 0.25 per share. Compared to the same period of the previous year, with earnings of € 9.6 million or € 0.47 per share, the net result of the Isotope Products segment nearly halved due to the drop in revenue.

In the Medical segment, in contrast, the increase in revenue by € 5.4 million to € 60.1 million contributed to the nine-month record result of € 13.7 million or € 0.67 per share; in particular, other income of € 3.3 million or € 0.16 per share from the reversal of provisions for disposal led to a 33% increase in the segment's net result. Adjusted for one-off effects, the net profit was only slightly above the prior year's level. While the company did record stronger than anticipated sales of high-margin items in the first nine months of 2020, on the face of it, it appears that the high-growth expectations seem to be relativized. For an objective assessment of the facts, however, it must be taken into account that the gloss of radiopharmaceuticals in the first nine months of 2020 was taken off due to a net deterioration in earnings of € 1.1 million or € 0.05 per share for laboratory equipment and brachytherapy sources negatively affected by the coronavirus crisis. Taken in isolation, earnings growth remained healthy for the segment's promising products.

A.2 FINANCIAL POSITION

Balance sheet

The balance sheet total at the end of September 2020 increased slightly compared to the end of 2019 and now amounts to € 282 million (previous year: € 274 million).

On the assets side, goodwill decreased by € 9.2 million to € 32.9 million. The decrease was mainly due to a reclassification to assets held for sale in connection with the intended sale of the HDR unit in the Medical segment.

Other non-current assets increased from € 1.5 million to € 4.7 million. The largest item of € 3.0 million was an option to purchase shares in a development company. Investments measured using the equity method increased from € 3.6 million to € 4.4 million. The increase is primarily due to the acquisition of shares in Myelo Therapeutics GmbH, Berlin, as well as payments into the Chinese joint venture. This was offset by repayments in connection with the investment in the joint venture Americium Consortium LLC.

Trade receivables increased by € 0.8 million and inventories by € 1.3 million. Without the reclassification to assets held for sale in connection with the intended sale of the HDR unit in the Medical segment, the increase in receivables would have been € 2.5 million higher.

The changes on the liabilities side mainly relate to other non-current provisions, which fell from €51.4 million to € 47.3 million, and other current liabilities and provisions, which were reduced by € 3.0 million to € 15.8 million. Non-current lease liabilities (IFRS 16) increased by € 2.0 million to € 19.2 million. The increase was due to the conclusion of a new long-term lease for a building, while scheduled payments under existing rental and leasing agreements had the opposite effect.

Equity increased by € 8.2 million to € 147.6 million as at September 30, 2020. The increase resulted from net profit for the period of € 17.7 million, while the dividend payments to shareholders of Eckert & Ziegler AG and to a minority shareholder totaling € 9.1 million and the currency differences of €–0.4 million recognized in equity had the opposite effect. The equity ratio increased slightly from 51% to 52%.

Liquidity

At € 17.0 million, the operating cash flow is significantly below the previous year's figure of € 29.9 million. This was mainly due to changes in receivables and non-cash transactions included in the net profit for the period. Receivables increased by € 0.8 million in the first nine months of 2020, compared to a € 3.7 million reduction over the same period of the previous year. Non-cash transactions increased from € 1.6 million to € 2.6 million.

A similar trend can be observed in changes in other current and non-current assets, which increased by a total of €3.2 million, compared to a decrease of € 0.1 million in the previous year. Cash flow from operating activities in connection with incomes taxes amounted to €–2.0 million for the first nine months of 2020, compared to € 1.1 million for the same period of the previous year.

As regards cash flow from investment activities, € 4.9 million was spent on acquisition of fixed assets, which is roughly the same amount as in the same period of the previous year (€ 5.0 million). In addition, € 1.2 million was paid so far in 2020 for the acquisition of shares in associates, € 3.0 million for the acquisition of an option to purchase shares, € 0.9 million for the purchase of securities and € 0.2 million for a participation in a joint venture. There were no comparable payments in the first nine months of 2019. In connection with the winding up of the Americium Consortium LLC joint venture, the Group received repayments of € 0.9 million in the first nine months of 2020.

With respect to cash flow from financing activities, € 8.8 million (2019: € 6.2 million) was used to pay dividends to shareholders of Eckert Ziegler AG and € 0.3 million (2019: € 0.5 million) was used to pay dividends to minority shareholders. As a result of applying the new lease accounting standard (IFRS 16), the Group is required from 2019 to report payments arising in connection with such leases under cash flow from financing activities. In the first nine months of 2020, unchanged from the same period of the previous year, the Group used financial resources of € 2.6 million, including interest payments, for this purpose.

In total, cash and cash equivalents decreased by € 4.1 to € 74.9 million as at September 30, 2020 compared to the end of 2019.

A.3 OUTLOOK

With the results for the first nine months of the year, the Eckert & Ziegler Group has largely met and, in the case of net profit for the period, even exceeded the revised estimates for the current financial year, which had to be changed due to the coronavirus crisis. In view of the second global wave of restrictions that began in September, the Executive Board has left its full-year net profit estimate of € 21 million for 2020 unchanged for the time being. This translates into earning per share of € 1 using the current calculation method and € 4 per share using the old method (before the share split). The Executive Board has left the revenue forecast unchanged at € 170 million.

A.4 RISKS AND OPPORTUNITIES

In our 2019 annual report, we described risks that could have a significant adverse impact on our financial position, performance, cash flows and reputation. We also discussed the most important opportunities and the structure of our risk management system.

We identified the COVID-19 pandemic as another significant risk, which affected performance so far this year. The extent and duration of the COVID-19 pandemic are extremely difficult to predict, as is its potential impact on Eckert & Ziegler's business activities. If, for example, measures to contain the virus are introduced at short notice or take a very long time, this could impact our business in ways that we cannot imagine at present.

Additional risks and opportunities that we are not aware of or that we currently consider immaterial could also affect our business activities. At present, no risks have been identified which, either individually or in combination with other risks, could threaten our viability as a going concern.

A.5 ADDITIONAL INFORMATION

Employees

The Eckert & Ziegler Group had a total of 825 employees worldwide as at September 30, 2020. This means that the number of employees remained unchanged compared to the previous year (December 31, 2019).

B. INTERIM CONSOLIDATED FINANCIAL STATEMENTS

B.1 GROUP STATEMENT OF INCOME

Quarterly
Report III
Quarterly
Report III
€ thousand 1–9/2020 1–6/2019
Revenues 126,894 133,204
Cost of sales –67,118 –66,477
Gross profit on sales 59,776 66,727
Selling expenses –15,260 –16,709
General and administrative expenses –18,852 –20,272
Other operating income 4,632 1,605
Other operating expenses –3,194 –3,687
Profit from operations 27,102 27,664
Results from shares measured at equity 238
Other financial results –1,057 393
Earnings before interest and taxes (EBIT) 26,283 28,057
Interest received 170 150
Interest paid –842 –854
Profit before tax 25,611 27,353
Income tax expense –7,718 –8,139
Net income/ loss from continuing operations 17,893 19,214
Profit (–)/loss (+) attributable to minority interests –169 –440
Profit attributable to the shareholders of Eckert & Ziegler AG 17,724 18,774
Earnings per share
Basic 0.86 0.92
Diluted 0.86 0.92
Average number of shares in circulation (basic) 20,590 20,516
Average number of shares in circulation (diluted) 20,590 20,516

B.2 GROUP STATEMENT OF COMPREHENSIVE INCOME

Quarterly
Report III
Quarterly
Report III
€ thousand 1–9/2020 1–9/2019
Profit for the period 17,893 19,214
Of which attributable to other shareholders 169 440
Of which attributable to shareholders of Eckert & Ziegler AG 17,724 18,774
Items that could subsequntly be reclassified into the income statement
if certain conditions are met
Adjustment of balancing item from the currency translation of foreign subsidiaries –759 827
Adjustment of amount recorded in shareholders' equity (Currency translation) –759 827
Total of value adjustments recorded in shareholders' equity –759 827
Of which attributable to other shareholders –60 –5
Of which attributable to shareholders of Eckert & Ziegler AG –699 832
Total from net income and value adjustments recorded
in shareholders' equity 17,134 20,041
Of which attributable to other shareholders 109 435
Of which attributable to shareholders of Eckert & Ziegler AG 17,025 19,606

B.3 GROUP BALANCE SHEETS

€ thousand Sep 30, 2020 Dec 31, 2019
Assets
Non current assets
Goodwill 32,854 42,059
Other intangible assets 8,755 9,840
Property, plant and equipment 40,340 40,005
Rights of use (IFRS 16) 21,517 19,564
Investments valuated according to the equity method 4,410 3,644
Deferred tax 10,197 10,920
Other non-current assets 4,446 1,544
Total non-current assets 122,519 127,576
Current assets
Cash and cash equivalents 74,864 78,922
Securities 1,041
Trade accounts receivable 30,256 29,484
Inventories 32,533 31,220
Deferred tax asset 4,444 2,691
Other current assets 4,453 4,343
Assets held for sale 11,634
Total current assets 159,225 146,660
Total assets 281,744 274,236
Equity and liabilities
Capital and reserves
Subscribed capital 21,172 5,293
Capital reserves 38,423 53,763
Retained earnings 94,441 85,468
Other reserves –1,509 –810
Own shares –5,955 –5,519
Portion of equity attributable to the shareholders of Eckert & Ziegler AG 146,572 138,195
Minority interests 1,018 1,246
Total shareholders' equity 147,590 139,441
Non-current liabilities
Long-term debt, less current portion 4 19
Long-term lease obligations (IFRS 16) 19,154 17,157
Deferred income from grants and other deferred income 4,059 4,128
Deferred tax 1,792 2,836
Retirement benefit obligations 13,482 13,487
Other provisions 47,333 51,440
Other non-current liabilities 2,176 2,110
Total non current liabilities 88,000 91,177
Current liabilities
Short-term debt and current portion of long-term debt 11 16
Current portion of lease obligations (IFRS 16) 2,971 2,694
Trade accounts payable 4,960 4,487
Advance payments received 14,029 11,952
Deferred income from grants and other deferred income 995 45
Current tax payable 6,500 5,671
Current tax payable 2,260 3,002
Other current liabilities 13,490 15,751
Prepaid expenses and other current assets 938
Total current liabilities 46,154 43,618
Total equity and liabilities 281,744 274,236

B.4 GROUP STATEMENT OF CASH FLOWS

€ thousand Quarterly
Report III
1–9/2020
Quarterly
Report III
1–9/2019
Cash flows from operating activities:
Profit for the period 17,893 19,214
Adjustments for:
Depreciation and value impairments 8,551 8,592
Net interest income [interest expense (+)/income (–)] 672 704
Income tax expense 7,718 8,139
Income tax payments –9,710 –7,033
Non-cash release of deferred income from grants –61 –96
Gains (–)/losses on the disposal of non-current assets –11 64
Change in the non-current provisions, other non-current liabilities –19 712
Change in other non-current assets and receivables –778 –696
Miscellaneous –2,591 –1,487
Changes in current assets and liabilities:
Receivables –844 3,723
Inventories –4,232 –1,436
Accruals, other current assets –2,381 765
Change in the current liabilities and provisions 2,750 –1,266
Cash inflows generated from operating activities 16,957 29,899
Cash flows from investing activities:
Outflows for intangible assets and property, plant and equipment –4,891 –5,032
Sale of fixed assets 34
Outflows for the acquisition of shares in associates –1,200
Outflows for the acquisition of investments and options on investments –3,181
Purchases and sales of securities –901
Cash flow from associated companies 877
Cash outflows from investing activities –9,296 –4,998
Cash flows from financing activities:
Paid dividends –8,751 –6,177
Distribution of shares of third parties –337 –466
Outflows for the repayment of loans and lease liabilities –2,032 –2,085
Cash inflow from the repayment of granted loans 750
Aquisition of shares of consolidated companies –600
Interest received vs. Interest paid –557 –509
Cash outflows from financing activities –10,986 –9,087
Effect of exchange rates on cash and cash equivalents –733 745
Increase/reduction in cash and cash equivalents –4,058 16,559
Cash and cash equivalents at beginning of period 78,922 54,186
Cash and cash equivalents at end of period 74,864 70,745

B.5 STATEMENTS OF SHAREHOLDERS´EQUITY

Subscribed capital Cumulative other equity items
Number Nominal
value
Capital
reserve
Retained
reserves
Unrealized
profit
securities
Unrealized
profit
pension
commitments
Foreign
currency
exchange
differences
Own
shares
Equity
attributable
to share
holders'
equity
Minority
shares
Group
share
holders'
equity
Piece € thousand € thousand € thousand € thousand € thousand € thousand € thousand € thousand € thousand € thousand
As of January 1, 2019 5,292,983 5,293 53,625 69,626 0 –2,561 2,175 –5,519 122,639 1,238 123,877
Total of expenditures and income
directly entered in equity
0 0 0 0 0 –1,369 945 0 –424 16 –408
Net profit for the year 22,019 22,019 459 22,478
Total income for the period 0 0 0 22,019 0 –1,369 945 0 21,595 475 22,070
Dividends paid/resolved –6,177 –6,177 –467 –6,644
Share-based payment 138 0 0 138 0 138
As of December 31, 2019 5,292,983 5,293 53,763 85,468 0 –3,930 3,120 –5,519 138,195 1,246 139,441
As of January 1, 2020 5,292,983 5,293 53,763 85,468 0 –3,930 3,120 –5,519 138,195 1,246 139,441
Total of expenditures and income directly
recognized in equity
0 0 0 0 0 0 –699 0 –699 –60 –759
Net profit for the period 17,724 17,724 169 17,893
Total income for the period 0 0 0 17,724 0 0 –699 0 17,025 109 17,134
Dividends paid/resolved –8,751 –8,751 –337 –9,088
Share split 15,878,949 15,879 –15,443 0 –436 0 0 0
Share-based payment 103 0 0 103 0 103
As of September 30, 2020 21,171,932 21,172 38,423 94,441 0 –3,930 2,421 –5,955 146,572 1,018 147,590

B.6 NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS

General information

These unaudited Interim Consolidated Financial Statements for the period ended September 30, 2020 consist of the financial statements of Eckert & Ziegler Strahlen- und Medizintechnik AG and its subsidiaries (hereinafter also referred to as "Eckert & Ziegler AG").

Accounting policies

The Interim Consolidated Financial Statementsof Eckert & Ziegler AG for the period ended September 30, 2020 were prepared in accordance with International Financial Reporting Standards (IFRS) applicable to interim financial reporting. The statements comply with all standards of the International Accounting Standards Board (IASB), London, as adopted by the EU on the reporting date, the relevant interpretations of the International Financial Interpretations Committee (IFRIC) and the Standing Interpretations Committee (SIC). The interim financial statements should be read in conjunction with the consolidated financial statements of Eckert & Ziegler AG for the year ended December 31, 2019. The accounting policies detailed in the notes to the 2019 consolidated financial statements have been applied without any changes.

When preparing the consolidated financial statements in accordance with IFRS, it is necessary to make estimates and assumptions that affect the amount and disclosure of recognized assets and liabilities, revenues and expenses. The actual results may differ from those estimates. Key assumptions and estimates are made for useful life, recoverable amounts of intangible assets and property, plant, and equipment, recoverability of receivables and the recognition and measurement of provisions. Due to rounding, individual figures may not add up precisely to the totals provided.

This interim report contains all the necessary information and adjustments required to give a true and fair view of the financial position, performance and cash flows of Eckert & Ziegler AG as at the date of the interim report. The results recorded during the current financial year are not necessarily indicative of future results.

Scope of consolidated financial statements

The consolidated financial statements of Eckert & Ziegler AG include all companies in which Eckert & Ziegler AG is able to influence the financial and business policies (control concept), whether directly or indirectly.

As part of an organizational change process, the Radiation Therapy and the Radiopharma segments were combined as at January 1, 2020 to form the new Medical segment. At the same time, a Group company previously belonging to the Isotope Products segment and operating mainly in the field of plant engineering was integrated into the new Medical segment. The comparative figures in segment reporting for the previous year have been adjusted accordingly.

Acquisitions and disposals of companies

In the first six months of 2020, Eckert & Ziegler Radiopharma GmbH acquired an option to purchase 37.5% of the shares in Pentixapharm GmbH, Würzburg (acquisition cost € 3.0 million). The option is reported in the consolidated balance sheet as at September 30, 2020 under other non-current assets.

At the end of June 2020, the Group also increased its stake in Myelo Therapeutics GmbH, Berlin, to approximately 15%. The investment is shown in the balance sheet under investments in associates, as the Group has a significant influence over the associated company.

On September 18, 2020, Eckert & Ziegler Strahlen- und Medizintechnik AG announced in a press release that it intends to operate its tumor irradiation equipment business in the future through the China-based TCL Healthcare Equipment (Shanghai) Co., Ltd. (TCL). The two companies signed a memorandum of understanding on September 18, under which EZAG will transfer the device segment with what is known as afterloaders (HDR brachytherapy) into a separate company, in which TCL will acquire 51% of the shares. Revenue generated by HDR brachytherapy products amounted to around € 11 million in the 2019 financial year. The transaction is expected to be completed by the end of 2020. The assets and liabilities of the HDR unit are therefore shown separately in the balance sheet for the first nine months of the year under assets and liabilities held for sale.

Country Currency Exchange rate
on 9/30/2020
Exchange rate
on 12/31/2019
Average exchange rate
01/01 – 9/30/2020
Average exchange rate
01/01 – 9/30/2019
USA USD 1.1198 1.1234 1.1020 1.1299
Czech Republic CZK 26.7400 25.4080 26.3220 25.6837
UK GBP 0.9124 0.8508 0.8743 0.8734
Brazil BRL 6.1118 4.5157 5.3994 4.3406
India INR 80.1870 79.1386
Switzerland CHF 1.0651 1.0854 1.0641 1.1105

Currency translation

The financial statements of companies outside the European Economic and Monetary Union are translated based on the functional currency concept. The following exchange rates were used for currency translation:

Equity and treasury stock

The annual general meeting of Eckert & Ziegler Strahlen- und Medizintechnik AG resolved on June 10, 2020 to increase the share capital by € 15,878,949 from € 5,292,983 to € 21,171,932 from the company's reserves. The capital was increased by converting a partial amount of € 15,878,949 from other revenue reserves reported under revenue reserves in the company's balance sheet as at December 31, 2019 into share capital in return for the issue of 15,878,949 new no-par value bearer shares ("bonus shares"). The bonus shares are entitled to dividends from January 1, 2020. The company's shareholders were entitled to the bonus shares on the basis of their shareholdings at a ratio of 1:3, meaning that every shareholder received additional three (3) bonus shares for one (1) existing share. The capital increase was entered into the commercial register on July 20, 2020.

As at September 30, 2020, Eckert & Ziegler AG held 581,956 treasury shares, representing 2.7% of the Group's share capital.

Segment information

Isotope Products Medical Holding Elimination Total
€ thousand Q3/2020 Q3/2019 Q3/2020 Q3/2019 Q3/2020 Q3/2019 Q3/2020 Q3/2019 Q3/2020 Q3/2019
Sales to external
customers
66,802 78,450 60,088 54,736 4 18 0 0 126,894 133,204
Sales to other
segments
2,775 3,913 90 0 5,460 4,679 –8,325 –8,592 0 0
Total segment
sales
69,577 82,363 60,178 54,736 5,464 4,697 –2,600 –8,592 126,894 133,204
Segment profit
before interest and
profit taxes (EBIT)
7,696 13,700 19,397 14,965 –808 –608 0 0 26,284 28,057
Interest expenses
and revenues
–422 –393 –152 –200 –99 –111 0 0 –672 –704
Income tax
expense
–2,216 –3,687 –5,535 –4,493 34 41 0 0 –7,718 –8,139
Profit before
minority interests
5,058 9,620 13,709 10,272 –873 –678 0 0 17,892 19,214

SEGMENT REPORT – INCOME STATEMENT

Isotope Products Medical Holding Total
€ thousand Q3/2020 Q3/2019 Q3/2020 Q3/2019 Q3/2020 Q3/2019 Q3/2020 Q3/2019
Segmental assets 171,417 176,222 108,695 89,013 111,739 102,057 391,851 367,292
Elimination of inter-segmental shares,
equity investments and receivables
–110,107 –108,257
Consolidated total assets 281,744 259,035
Segmental liabilities –92,048 –95,340 –50,844 –32,866 –5,580 –2,967 –148,472 –131,173
Elimination of intersegmental liabilities 14,318 9,413
Consolidated liabilities –134,154 –121,760
Investments valuated
according to the equity method
3,552 2,845 858 676 0 0 4,410 3,521
Investments (without acquisitions) 1,198 2,882 1,516 1,978 480 138 3,194 4,998
Depreciation –4,120 –4,223 –3,823 –4,066 –608 –303 –8,551 –8,592
Non-cash income (+)/expenses (–) –881 1,074 4,195 –1,675 –48 –607 3,266 –1,208

SEGMENT REPORT – BALANCE SHEET

Material transactions with related parties

With regard to material transactions with related parties, we refer to the disclosures in the consolidated financial statements for the year ended December 31, 2019.

C. ADDITIONAL INFORMATION

C.1 RESPONSIBILITY STATEMENT BY THE STATUTORY REPRESENTATIVES (BALANCE-SHEET OATH)

To the best of our knowledge, and in accordance with the applicable reporting principles for interim reporting, we hereby certify that the consolidated interim financial statements give a true and fair view of the financial position, performance and cash flows of the Group, and the group interim management report includes a fair review of the development and performance of the business and the position of the Group, together with a description of the principal opportunities and risks associated with the expected development of the Group.

Berlin, November 10, 2020

Dr. Andreas Eckert Dr. Harald Hasselmann Dr. Lutz Helmke

Chairman of the Executive Board Member of the Executive Board Member of the Executive Board

FINANCIAL CALENDAR

November 10, 2020 Quarterly Report iii/2020
November 17, 2020 German Equity Forum
March 31, 2021 Annual Financial Statement 2020

Subject to changes

CONTACT

Eckert & Ziegler Strahlen- und Medizintechnik AG Robert-Rössle-Straße 10 | 13125 Berlin | Germany www.ezag.com

Karolin Riehle Investor Relations

Phone + 49 30 94 10 84 – 0 Fax + 49 30 94 10 84 – 112 [email protected]

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Eckert & Ziegler Strahlen- und Medizintechnik AG

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Ligaturas – Reportdesign | Hamburg | Germany

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