Virbac reassesses its 2023 growth and Adjusted EBIT1 forecasts
04 July 2023 - 2:39AM
Virbac reassesses its 2023 growth and Adjusted EBIT1 forecasts
Several elements are currently impacting our
business and leading us today to revise our forecasts for the 2023
financial year. As a reminder, at constant rates and scope, our
initial forecast for revenue growth was within a range of between
4% and 6% while our initial forecast for ratio of Adjusted EBIT1
was within a range of between 13% and 14%. We now expect revenue
growth at constant rates and scope within a range of between 0% and
4%. The ratio of Adjusted EBIT1 should now consolidate within a
range of between 12% and 13% at constant exchange rates.
On the one hand, we confirm the overall market
growth slowdown observed during the first quarter, with decreasing
volumes in many geographies while compared to 2022. On the other
hand, we are facing production capacity’s limitations for dog and
cat vaccines, temporary however larger than expected throughout
this first semester. This situation weighs on our fixed costs’
absorption as well as on our sales, given our low level of vaccine
stocks. In addition to that, there is also the impact linked to the
cyberattack of which we were victims on June 19, though we are not
yet able to precisely measure all its consequences. Our teams
remain fully mobilized to ensure business continuity and implement
remediation plans with deployments currently executed with
efficiency and speed.
All of these elements prevent us from envisaging
a catch-up by the end of the year, hence leading us today to adjust
our sales forecasts for the year 2023 and subsequently our
forecasts of Adjusted EBIT. The momentum of our activity remains
positive in many geographies and we also remain confident about the
group's 2030 forecasts that remain unchanged.
1 “current operating profit before
amortization of assets resulting from acquisitions” to “revenue”
ratio
A lifelong commitment to animal
healthAt Virbac, we provide innovative solutions to
veterinarians, farmers and animal owners in more than 100 countries
around the world. Covering more than 50 species, our range of
products and services enables us to diagnose, prevent and treat the
majority of pathologies. Every day, we are committed to improving
the quality of life of animals and to shaping the future of animal
health together.
Virbac: Euronext Paris - subfund A –ISIN code:
FR0000031577 / MNEMO: VIRPFinancial Affairs Department: tel. 04 92
08 71 32 - email: finances@virbac.com - Website:
corporate.virbac.com
- Virbac_Guidance_Update_2023
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