hold-Euroapi falls after FY earnings miss

Euroapi SA

29/02/2024 10:06

** Euroapi  EAPI.PA  shares fall 50%, reaching all time low
after it reported full-year core EBITDA at EUR 30.6 millions,
20% below company consensus
    ** Deutsche Bank says that the French active pharmaceutical
ingredients (APIs) supplier's earnings miss was due to negative
operating leverage caused by underutilisation, an unfavourable
mix and increased opex
    **"2024 guidance implies 38% cuts to Consensus Core EBITDA
which is likely to overshadow new CEO appointment and
transformation plan", J.P. Morgan says 
    ** Euroapi said it expects 2024 Core EBITDA of EUR 71.8
millions and a decline of 4 to 7% in its 2024 revenues at EUR
957.5 millions, around 8% below consensus, partly due to a
decrease in Sanofi's orders and the discontinuation of certain
APIs 
    ** Today's fall wiped of 366.1 million euros from the co's
market cap
    
    

 (Reporting by Alban Kacher)
 ((Alban.kacher@thomsonreuters.com))