Contrast agent manufacturer Guerbet showed a sharp upturn in revenues for 2016, thanks to the contribution of sales from its acquisition of Mallinckrodt's Contrast Media and Delivery Systems (CMDS) division in 2015.
For the year, Guerbet recorded revenues of 775.8 million euros before currency adjustments, up 58.7% compared with sales of 488.7 million euros posted in 2015. The company posted net income of 28.9 million euros, compared with 39.2 million euros in the previous year.
Guerbet said negative currency effects shaved 13 million euros off its 2016 revenue; after currency adjustment, the company would have posted revenue of 788.8 million euros, in line with its projections.
Guerbet further reported that 2016 was dedicated to integration of the CMDS activities at the company. The first synergies from the acquisition have allowed it to meet its target of partially recouping integration costs of 29 million euros.
The company projects that 2017 will see the firm return to organic growth, with a slight increase in revenues projected at constant exchange rates. The company noted the market environment for its main product, the macrocyclic gadolinium contrast agent Dotarem, has changed due to a recommendation by a committee of the European Medicines Agency that four linear gadolinium agents be pulled off the market.
