Västra Hamnen: ViroGates - Stronger across the board
Västra Hamnen Corporate Finance has published a research update on ViroGates following its report for the third quarter 2020. The numbers were uniformly better than expected, but not enough to change our valuation, writes Västra Hamnen.
- Revenues higher and costs lower than expected
- Two new clinical routine customers in the quarter
- Given the uncertainty, we retain valuation range of DKK 68.00 – 100.50 per share
In this morning’s Q3 report from ViroGates, the figures were almost uniformly better than we had expected. Net revenues were a full 70 percent higher than our estimate. In addition, the gross margin was higher and other costs lower than our forecast, which in combination with other factors caused a DKK 5.5 million higher cash reserve than our estimate. Uncertainty is still high in view of the COVID-19 situation, but overall, we regard the chances of reaching a cash flow positive stage with the available cash as improved.
The full report is available here.
The research report is prepared as part of Market Focus, Västra Hamnen Corporate Finance's commissioned research offering.