Research Desk Line-up: pSivida Post Earnings Coverage
LONDON, UK / ACCESSWIRE / September 18, 2017 / Pro-Trader Daily has just published a free post-earnings coverage on Catalent, Inc. (NYSE: CTLT), which can be viewed by registering at http://protraderdaily.com/optin/?symbol=CTLT, following the Company's announcement of its fourth quarter and fiscal 2017 financial results on August 28, 2017. The drug-delivery technology specialist outperformed top- and bottom-line expectations. Our daily stock reports are accessible for free, and with those to look forward today you also will be signing up for a complimentary member's account at:
Get more of our free earnings reports coverage from other constituents of the Drugs - Generic industry. Pro-TD has currently selected pSivida Corp. (NASDAQ: PSDV) for due-diligence and potential coverage as the Company reported on September 11, 2017, its financial results for Q4 FY17 and full year FY17 which ended on June 30, 2017. Register for a free membership today, and be among the early birds that get access to our report on pSivida when we publish it.
At Pro-TD, we make it our mission to bring you news that matter about the stock you follow. Today, our research desk covers a blog story on CTLT; also brushing on PSDV. With the links below you can directly download the report of your stock of interest free of charge at:
Catalent's Q4 FY17 revenue of $616.9 million increased 16% as reported and 19% on a constant currency basis from $532.2 million reported in Q4 FY16. For FY17, the Company's revenue was $2.08 billion and increased 12% as reported and 15% on a constant currency basis compared to the $1.85 billion recorded in FY16. All three of the Company's reporting segments posted double-digit constant-currency revenue growth for the reported quarter and fiscal year on a y-o-y basis. Catalent's quarterly revenue beat analysts' expectations of $544.4 million.
For Q4 FY 17 net earnings attributable to Catalent's were $61.8 million, or $0.49 per diluted share, compared to net earnings of $58.1 million, or $0.46 per diluted share, in Q4 FY16. The Company's adjusted net income was $82.6 million, or $0.65 per diluted share, compared to adjusted net income of $64.9 million, or $0.52 per diluted share, in the year-ago same period. Net income came in ahead of Wall Street's estimates of $0.57 per share.
For the fiscal year 2017, net earnings attributable to Catalent were $109.8 million, or $0.87 per diluted share, compared to net earnings of $111.5 million, or $0.89 per diluted share, in FY16.
During Q4 FY17, Catalent's EBITDA from continuing operations was $130.5 million, a decrease of 3% from $134.4 million in Q4 FY16. The Company's adjusted EBITDA for the reported quarter was $159.1 million, or 25.8% of revenue, compared to $141.8 million, or 26.6% of revenue, in the year-earlier corresponding quarter; which represented an increase of 12% as reported and 15% on a constant currency basis.
Catalent's Business Segment Results
During Q4 FY17, Catalent's revenue from the Softgel Technologies segment was $257.1 million, reflecting an increase of 14% as reported, or 16% on a constant currency on a y-o-y basis. The constant currency growth was attributable to higher end-market demand for prescription products in Europe. The acquisition of Accucaps contributed 14% of the segment's constant-currency revenue growth during Q4 FY17.
The Softgel Technologies segment's EBITDA was $65.2 million, an increase of 11% as reported, or 13% on a constant currency basis, in Q4 FY17 versus the year-ago same period. The increase was primarily attributable to increased volume for prescription products in Europe and North America. The acquisition of Accucaps contributed 9% of the constant-currency growth in the segment's EBITDA during the reported quarter.
For Q4 FY17, revenue from the Company's Drug Delivery Solutions segment totaled $270.2 million, up 13% as reported, or 16% on a constant currency basis, compared to the year-ago period. The growth was primarily driven by favorable end-customer demand for certain higher margin offerings within the Company's oral delivery solutions platform and increased volume related to its biologics offerings.
The Drug Delivery Solutions segment's EBITDA totaled $90.9 million, up 20% as reported or 23% on a constant currency basis, in Q4 FY17. The acquisition of Pharmatek contributed 2% of growth in the segment's EBITDA during Q4 FY17.
The Clinical Supply Services segment's revenue surged 22% as reported, or 28% on a constant currency basis, to $99.3 million for Q4 FY17, driven by higher volume related to core storage, distribution, manufacturing, and packaging services; as well as due to increased lower-margin comparator sourcing activities. During Q4 FY17, the Clinical Supply Services segment's EBITDA totaled $17.1 million, an increase of 25% as reported, or 34% on a constant currency basis.
Balance Sheet and Liquidity
As of June 30, 2017, Catalent had $2.1 billion in total debt and $1.8 billion in total debt net of cash and short-term investments, which is essentially in-line with the total and net debt levels as of March 31, 2017. As of June 30, 2017, the Company's total net leverage ratio was 4.0x, an improvement compared to the 4.2x recorded in Q3 FY17 and the 4.3x recorded at the end of FY16.
For the fiscal year 2018, Catalent is forecasting revenue in the range of $2.16 billion to $2.24 billion. The Company is expecting adjusted EBITDA in the band of $477 million to $497 million and adjusted net income to be between $192 million and $212 million. These guidance ranges continue to be consistent with the organic, constant-currency long-term CAGR growth expectations of 4% to 6% for revenue and 6% to 8% for adjusted EBITDA. Catalent is projecting self-funded capital expenditures in the range of $145 million to $155 million.
Catalent's share price finished last Friday's trading session at $39.49, sliding 1.86%. A total volume of 2.03 million shares have exchanged hands, which was higher than the 3-month average volume of 1.11 million shares. The Company's stock price skyrocketed 7.02% in the last three months, 37.45% in the past six months, and 56.27% in the previous twelve months. Additionally, the stock soared 46.48% since the start of the year. Shares of the Company have a PE ratio of 45.71 and currently have a market cap of $5.04 billion.
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