Geratherm has published its annual report for fiscal year 2024. Revenue declined by 33% to €14.0 million, primarily due to significant drops in Healthcare Diagnostics (-47%) and Incubator Systems (-43%). In contrast, the Respiratory segment delivered strong growth of +30% and now accounts for more than half of total revenue. The divestment of the Cardio/Stroke business (apoplex medical technologies GmbH) also contributed to the revenue decline. Lower personnel expenses and a book gain from the sale helped limit the EBIT decline to -42%, while the EBIT margin remained in double digits. 

Healthcare Diagnostics continues to face challenges, including market saturation, a mild winter, and pricing pressure from Chinese competitors. Short-time work at the Geratal plant aims to reduce excess inventory, while MDR certification for analog thermometers in 2025 is expected to create new opportunities. The Respiratory segment performed well despite supply chain constraints, driven by in-house innovations such as the "Spirostik Blueflow" and strong demand from Eastern Europe. Incubator Systems anticipates a recovery following MDR certification (2025) and a current order backlog of €2.0 million. 

The balance sheet strengthened, with the equity ratio rising to 73% (prior year: 63%) and net liquidity increasing by €7 million. For the current fiscal year, management expects flat revenue and a slightly negative EBIT. The price target has been adjusted to €6.00 (previously €7.00), maintaining a **Buy** recommendation. 

You can read the entire report on Research Hub in the digital coverage of Geratherm Medical.

Alternatively, you can find the update as a PDF file here.