BRUSSELS Oct 12 Belgian pharmaceutical
ingredients group Fagron posted third quarter sales
just below market expectations on Wednesday, as revenues fell in
Europe and North America.
Net sales in the third quarter were down 1.1 percent
year-on-year to 103.4 million euros ($115.8 million), just
below a Reuters consensus of 106 million.
Fagron said that, while the European decline was due to a
very strong third quarter last year, it still felt the pinch
from a change in reimbursement policy for non-sterile products
in the United States.
The troubles in the United States led to a sharp fall in
Fagron's share price last year and caused its chief executive
and founder to resign.
"People may say the numbers are not spectacular but you have
to see where we are coming from. We believe we are on track,"
CEO Hans Stols told Reuters.
Having almost tripled since hitting a low in the February,
albeit at much lower levels than in previous years, Fagron's
shares were some 6 percent lower in early Wednesday trading.
Fagron repeated its 2016 outlook for turnover of at least
415 million euros and recurring core profit (REBITDA) of between
85 million and 95 million euros.
The group said it was considering the sale of its dental and
orthopaedic equipment unit HL Technology, the last subsidiary
not dealing with pharmaceutical compounding.
Stols also hinted that the group could return to making
"We have a list of companies we are looking at but there is
nothing planned for this year," Stols said.
($1 = 0.8928 euros)
(Reporting by Robert-Jan Bartunek; editing by Philip