LOS ANGELES
,
November 10, 2023
(Industry Intelligence Inc.)
–
The following are highlights from the Gerresheimer Q3 2023 earnings conference call held on October 5, 2023: • Gerresheimer reported the GLP-1 market is currently estimated at US$80.0B and growing. GLP-1 is an incretin that can decrease blood sugar levels by enhancing the secretion of insulin. It has major potential in the diabetes and obesity markets. • The company reported the packaging and drug delivery systems market for GLP-1 drugs is estimated at between €1.6B to €3.2B. • In the Plastics and Devices market, Gerresheimer reported Q3 profits grew to €261.0M, with organic revenue growth increasing 8.7%. Growth was driven by higher customer demand, highlighted by a strong demand for pens in the medical systems business. • In the Primary Packaging Glass sector, Gerresheimer reported a temporary drop in demand for injection vials, which dropped revenues to €228.0M. The company reported that demand remains high for high-value, ready-to-fill vials. • To increase its manufacturing capacity for syringes, pens and autoinjectors and to ramp-up contract manufacturing projects, Gerresheimer has increased its capital expenditures budget to €79.0M. Some of the CapEx funding is being used to expand production facilities in the U.S., Mexico, Czech Republic and Germany. • The company reported a clear mid-term and long-term trend to more injectable drugs and high-value products, including vials, syringes and cartridges and secondary packaging including pens, autoinjectors and pumps. • The Advanced Technologies sector had revenues of €2.0M in Q3 2023, while adjusted EBITDA remained unchanged from the previous year at €4.0M The company stated a goal to develop innovative smart and connected devices, including an ongoing project to develop a micro pump to treat chronic heart failure.
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