c-Lecta, a globally active biotechnology company with technology leadership in enzyme engineering and bioprocess development, closed 2019 successfully and, after a strong first quarter, is confident about 2020. The successful developDevelopment both in the product business and in the area of development partnerships resulted in a 2019% increase in sales in 114 compared to the previous year, to EUR 9,1 million (2018: EUR 4,2 million). The overall performance including inventory increases to Fertigproducts and own work capitalized was EUR 9,6 million (2018: EUR 4,5 million).
The company thus grew significantly again in 2019 and was able to exceed the already ambitious planning. Earnings before taxes, depreciation and amortization (EBITDA) also developed better than planned and, at EUR 0,2 million, was slightly above break-even. In the previous year, the strategic reorientation towards the product business temporarily burdened the EBITDA. The strong development of the product business was also the reason for the particularly good results for the full year 2019. c-LEcta recently pushed ahead with the development and sale of its own products. This strategy clearly paid off in 2019. Product sales grew 181%. But the existing project business in strategic partnerships also grew by 3%.
Marc Struhalla, CEO and co-founder of c-LEcta, comments: "In particular, the positive development of EBITDA demonstrates the viability of c-LEcta's business model. At the moment, however, the strategic focus is still clearly on further company growth and the necessary investments." Thomas Pfaadt, CFO, adds: "We are proud of the sales growth last year, 114% growth in one year shows us that the strategic changes of the last two years were correct. This is already evident in the current year. Thanks to the product business that has now been prioritized, we had a good start in 2020 and are therefore well on track for planning for the year as a whole.”
In 2019, the number of employees was further expanded. As of December 31, 2019, c-LEcta had a total of 76 employees. Nine new employees have been hired so far in 2020. With this, c-LEcta once again proves its attractiveness as an employer and its ability to attract very good employees even in a tight job market. On this basis, the company will be able to continue to advance ongoing projects for the development and sale of its own products in the future.
These products are aimed at customers in both the pharmaceutical and food industries. c-LEcta is well positioned in both markets and thus has a solid basis for further growth, especially in the current economic situation. This includes, for example, the product DENARASE, which is required in vaccine production to free the finished products from DNA residues from the production process. Due to the increased demand for DENARASE in the first quarter of 2020, among other things, there is solid growth momentum in the first few months of the current year.
c-LEcta expects to expand the portfolio of its own products again in 2020. This includes a new enzyme product for the food sector. The introduction of an ELISA kit in the first half of 2020 is aimed at the pharmaceutical sector, with which the residue-free removal of DENARASE from the end product can be demonstrated. Marc Struhalla: “Our product pipeline is still well filled. This is reflected in the product launches planned for 2020. But we are also working on a number of promising products in the medium and long term, each with global sales markets. In doing so, we use our positioning with currently two primary target markets and the two segments product business and partnerships in order to optimally utilize our technological platform.”
Based on the good results in 2019 and the current company situation, management expects further sales growth in 2020 beyond the results of the past year.
Source: press release of c-Lecta GmbH from 16.06.2020/XNUMX/XNUMX