Earnings Call: Q1 2021

Apr 27, 2021

Earnings release

Good day, and welcome to the BioMiro First Quarter 2021 Business Review. Today's conference is being recorded. At this time, I would like to turn the conference over to Frank Adman. Please go ahead, sir. Thank you, Kim. Good afternoon and thank you for joining us to review BMO's performance for the Q1 of 2021. As usual, I am on line with Alexandre Nio, Chairman and CEO as well as Guillaume Beur, the CFO. Before I hand the call over to Alexandre for preliminary remarks, please note that this conference call will include forward looking statements. I would like to remind you of the usual disclaimer, saying that forward looking statements are based entirely and partially on assessments or judgments that may change or be modified. Due to uncertainties and risks related to the company's environment, notably, we described it in the 2020 risk question document, including but not limited to economic conditions, financial exposure to currency exchange fluctuations, change in government policies or regulations, 3rd party reimbursement policies, timing on the onset, length and severity of the flu season and competition. Accordingly, we cannot give any assurance as to whether we will achieve these objectives. I also remind you that today's call is being recorded and that a replay will be available on our website. I'll now hand the call over to Alexandre Nriu, and then we will open the call to discussion and questions. Thank you, Frank, and good day to everyone. Thank you for joining call. So let's start with the overview of the activity for the Q1 before we take your questions. So in Q1, we recorded sales of €845,000,000 which represent an organic growth of 16.5% compared to last year. The reported growth reached almost 10% and this was mainly due to currency fluctuations year on year. So this growth has been driven by our Molecular Body Solutions growing at 19% despite the slowdown in respiratory demand in the U. S. By the end of the quarter and driven also by solid performances both in immunoassays displaying plus 28%, also industrial application at plus 14%, whereas microbiology came back to growth at a rate of 3%. I would also like to highlight the good performance across all regions and particularly in Asia Pacific at plus 27% and Latin America at plus 25%, while North America and Europe and Middle East grew at solid mid double digit rates. Now let's dig more into details for each range of products and we start with the molecular range. So on the molecular front, BioPhyr FIMO Red product line enjoyed a strong performance with sales of €295,000,000 booked over the quarter versus €255,000,000 in Q1 2020, implying an organic growth of 19.4%. Respiratory Panels still presents a significant part of our sales, but the non respiratory panels enjoyed a sharp increase such as gastrointestinal at plus 33% and BCID at plus 61%, allowing also for us to come back to a more balanced mix with a 65% of sales linked to respiratory panels and 35% linked to non respiratory panels. However, nice improvement of the sanitary situation in the U. S. Is driving down hospitalizations and also impacted the demand for ARP panels, particularly at the end of the quarter. As you know, we are quite exposed to the U. S. Market with our sales on the RP panel. On the other side, I would say the same situation is evolving differently in other regions of the world. For example, in Europe, biopharma panel sales delivered a 35% sales growth, mainly driven by RP panel. And for example, also we saw strong evolution of the demand in Japan. I would say that the evolution of the pandemic is contrasted and evolutive, bringing some uncertainties on business trends and demand. Today, we are out of back orders for BioFire, Filmorhea. We can supply the full range of panels. I would say that the almost 10,000 additional units that we installed over the last 15 months are strong base to grow the promotion and the adoption of the syndromic approach. Regarding immunoassays, you have seen that immunoassays displayed a very nice growth of +28%. This performance was mainly driven by a recovery in most of the regions and also by COVID related assays such as antibodies, IgG and IgM, but also D dimer, which is used for COVID patients monitoring testing and also a strong contribution for immunoassay to the growth of the company. On the Vydas PCT test in the U. S, we still see price erosion and also volume decrease, which have affected negatively overall our US immunoassay business. We'd say that Vidas remains a key pillar in biomerular strategy and we feel encouraged by the recent important launches that we could do successfully on time such as a nephrochek for acute kidney injury, latent TB or hypoviruses with dengue, keeping us differentiated through a high medical value menu. Moving now to microbiology. Microbiology showed a very decent performance at about 3% growth, and this growth was fueled by sales in both VITEC and Bacterial Latt ranges. It was also a nice recovery in ASPAC and Latin America, while routine activities have still not come back to the pre pandemic levels. We believe that we are very well positioned to lead the fight against AMR, thanks to our comprehensive portfolio of solutions. Looking now about industry, to close this opening remarks. The industry microbubble unit demonstrated a very strong start of the year with a 14% growth versus 2020. And the both Food and Healthcare businesses have seen their growth driven by equipment sales across the various regions. So I would like to conclude this short introduction on our annual perspective. Our strategy focusing on several applications and well balanced geographically wise are bringing solidity and resilience to potential headwinds. And as I mentioned it earlier, health situation is evolving in a very contrasted mode. The demand for biophire respiratory panels is decreasing in the U. S. All in all, we have to monitor things cautiously and with privatism as we have thousands of new units that have been installed over the last 15 months on other panels that have to be keep on being promoted. Also, it's worth noticing also that the other parts of the business such as the non air battery panels and biosphere, immunoSA and industry are displaying a nice performance in Q1. So overall, the first half sales are now expected to grow at around 10% at constant exchange rates and scope of consolidation. And I would say that in an unpredictable environment with contrasted evolution of the pandemic, full year sales are now expected to grow organically at notable to mid single digit rate and annual guidance for contributive operating income is maintained. With this being said, I propose that we leave the floor to the Q and A session. We can now take our first question from Patrick Wood from Bank of America. Perfect. Thank you very much. I have essentially two questions, please. The first on the BioFire side of things, system placements were quite good, but obviously then had the growth begin to drop off. How should we reconcile the strong system placements with the slightly fading demand that we saw through the quarter? So that's question 1. Question 2 on a generally similar topic, just curious on your thoughts of what if any impact do you think that could be on the multiplexing world and molecular in general, the Luminex and GenMark takeouts could mean for you guys? And then last one, just curious, could you give us a few details on obviously, you're keeping the sort of guidance for EBIT essentially flat. Just curious what are the actions you are taking in the background to offset some of the slightly softer top line? Thanks. Thank you. So I'll take your first question on the biopharma system placement. It's true that I think we had more than 2,200 system installed and placed in Q1. So for us, it's a strong signal. When we add that also to the close to 7,000 system we had last year. So the placement, it's a worldwide placement. It's what we saw, I think, at the end of the Q1 is less demand coming on our respiratory panels in the U. S, maybe a bit in advance, like to compare to what we had estimated. But for us, it's the placement is a good signal, as I mentioned, for us. It's a base to keep on in the future to keep on growing and promoting the syndromic approach also beyond respiratory. Your question around the multiplexing, I won't comment about the competition. I just believe that syndromic is also a very nice medical value proposition, which meets strong medical demand. And it's here to grow, it's here to stay. Also in a post pandemic world also where we'll have to face more than one virus. I would say maybe a question on the EBIT. Guillaume, you can tell that. On Cebit, thank you for the question. Of course, so we maintain our target to have an EBIT that is around the level of last year, so let's say around €600,000,000 We believe we have a number of levers to, let's say, somehow offset some of the slightly lower sales targets. First, the current environment prevents, unfortunately, travel in a big way and in some ways the marketing and Congress promotional costs. So we have significant savings that were, let's say, clear last year and that are actually continuing more than we thought this year will continue. We clearly have some levers also around the variable cost and let's say, variable compensation as well overall. I can mention that the Phantom Shares, you remember this subject that we had the last tranche of this Phantom Share program that actually ended end of March, and we have a few millions of savings there compared to what we had forecasted due to the share price slightly lower at the end of March and the end of December. And again, the cost base would be a subject as well to reach this target. So overall, we maintain our target as mentioned. Super. Thanks guys. We can now take our next question from Maya Pataki of Kepler. Yes, good afternoon. Thanks for taking my questions. I will start with 1 on BioFire. In the press release, you stated that you've been able to work down the back order that you had in BioFire. Would you be able to give us an indication how much this added to revenues to get a feeling for the underlying demand in the market? That will be my first question. The second question relates to microbiology. You stayed strong instrument sales in the quarter that were helping to return to growth. How shall we think about the quarters going forward since this a rather lumpy business? Do you think that there is a high demand that needs to be met over the next couple of quarters? Or do you think that the reagent sales will start to pull through? And then on BioFire pricing, has there been a change in the ASP for BioFire over the last 12 months based on geographic mix or pricing pressure in one specific market? Thank you. Okay. I will take the biofuel pricing, we have not seen changes overall on the ASP. So that's at the worldwide level. Your question on microbiology, I believe we are not yet back to the pre pandemic level. So that we had a good level of sales of equipment this quarter. Things are progressing. As you know, it's very contrasted depending on the countries and depending on the regions. But what we believe is that today it's about COVID, but we believe that AMR, antibiotic resistance is and will be a key topic and we are ready to cope with the activity when it comes back. Your question on back order. Back order, in fact, it's more the ability that we have now to better fully serve, I would say, the customers. And also to be able to promote a bit more the non respiratory panels such as gastrointestinal meningitis and BCID. I'm not sure we can relate the end of the back order to extra sales. That's not the point I believe. We can now take our next question from Scott Bardo from Berenberg. Yes. Thanks very much for taking my questions. So first question on BioFire, please. I appreciate we're in a quite unusual market environment with COVID-nineteen, but I think this is the first time I can recall that the company has negatively revised guidance so early on in the year. So I'm assuming that BioFire did not live up to expectation. Can you help us understand what sort of growth trends you saw in month by month in the Q1 to give us some flavor for how much the business stalled in the month of March? And following on from that, is it now the anticipation that you're in year over year declines for BioFire in the Q2 and beyond? I just wonder if you could help explain that a little bit within the context of your half year and full year guidance, please, just so we can understand the trends you're witnessing? The second question sorry, go ahead. I have some follow-up questions. No, yes. Yes, yes, Kevin, we can go faster. No, your first question, yes, first, you're right to notice it's an unstable environment. What we saw linked to biophiles, so first, this is quite linked to the U. S, the demand in the U. S. And what we saw was the first signal came in March, where we got the signal. So I think this is linked first to the improvement of the sanitary situation in the U. S. Maybe the fact also that people are also less of physicians, so maybe people are more using single type of test. So these are signals that we are monitoring. This is why also we have tried to work on the projection on revised the H1 perspective, but it's moving, yes. Market is moving. But I would say the decrease we saw in March is linked to respiratory in the U. S. And Scott, you might remember that when we discussed our guidance our initial guidance 2 months ago, some to have a kind of slowdown, and we discussed that to to have a kind of slowdown and we discussed that together I think. So what came in March and that was a surprise that it came, let's say, earlier and maybe stronger than expected, but I would say a slowdown was to be was to come at some point. And again, the intra quarter was strong in January, February, and as Ericsson said, signals of weakening demand in March in the U. S. On RBC, on risk charter. Indeed. And I appreciate those comments. I mean, is there any sense of magnitude that you can give us? I guess, we're all trying to work out now what the new normal is. So I mean, are we likely to see in what was also a very strong prior year, by far down, say, 30% or so year over year into the next quarter. I mean I'm just trying to understand what your current data in the month of April is sort of highlighting for you. It's very difficult for us because, again, you understand that this change is pretty recent and the evolution is going fast, because we are talking about the U. S, but we all see other parts of the planet where the situation is going the other way around. We all read today about India, which seemed to be or thought to be out of the pandemic only 2 months ago is now at a terrible, terrible situation. So again, things are moving fast. It's an incredibly uncertain environment. So we took, of course, let's say, a view on the best possible view on what we see as demand in the last weeks, both on the BioFire RP U. S, but also the strong positive demand on non RP, on immuno, on industrial applications as Alexandre highlighted. All this is in our, let's say, in our guidance for H1, around 10%, the best we could see and even more difficult, of course, to see, but in our, let's say, broad guidance on the full year. Okay. That's very helpful. And maybe just following on from the first question on profitability. Remarkable job BioFire has done in maintaining high levels of profitability given the volatility in the top line. I go back to some comments that Alexandre made, I think, about 12 months ago, which was highlighting that you would expect a resumption of selling and marketing costs, travel costs, conference costs and so forth. So is it fair to say that these high levels of profit that the company sees today, in some instances is a little abnormal and would be at lower levels going forward. If you can make any comment there that would be helpful. And the last question please. And Alexandre, you touch upon this. You note that there's been more demand for the low plex tests, so to say. And also the environment for multiplexing has rapidly consolidated in the last 4 weeks or so with larger competitors stepping in. Is this in any way making you revise your long term expectations for what you can do with BioFire? Or has it triggered any sort strategic review for you to be more exposed to the low plexing market? If you could comment there, please. No. Farfetch, the recent moves we have seen in the field of Multitex, it's seen, I would say, recognition of the value of a syndromic and Multitex texting by other key players. So that's the way I see it. Yes, so it's this company we acquired, so it was competition we've existing before. So no, no, for us, FIMRESS syndromic approach is the way to go. And the goal for us is to keep on, I would say, reinforcing our advance in terms of new panels and the evolution of the platform. So we are confident in the value and the future of the syndromic approach. And then we know that the molecular goes also beyond the specific needs for molecular or lowplex, singleplex and multiplex. But so far, we are promoting and keep on pushing the syndromic approach. And again, it was a very important installed base, which could be a good base for the future. And I believe I missed the first part of your question. On profitability and spending, sales and marketing spending, so yes, we have said, of course, that we are in an abnormal underspend on travel, on marketing, on promotional spend. Again, as I said a few minutes ago, given the environment, this underspend will continue this year, will continue more than expected and is a way to, let's say, offset and is one of the levers that will help us to keep our EBIT at the levels we expected. Then that being said, I understand your question is more beyond the current year. We should expect, of course, at some point in some way to spend more on sales and marketing and travel and going to our customers. But of course, this is also a lever for growth because having the sales force not being able to access customers is also somehow limiting in some parts the growth. So it's yes, so it's both effect, right, the spend, but also the growth upside. That's understood. Thank you very much indeed. We can now take our next question from Alex Gibson from Morgan Stanley. Great, thanks. I have two questions. My first one is just on the guidance for the first half year. It implies a very sharp fall off in Molecular Biology. If I just take the run rate of sales for the rest of the businesses, then it could imply probably a 20%, 25% decline in Q2. Could you confirm that's kind of what you're baking in as a base K6 K6 situation in your first half guidance? And then the second question is just around M and A. Others in the diagnostic space have started to be very active here. You have a good balance sheet. Are you going to be ready to deploy that anytime soon? Are you looking at potential bolt on M and As or strategic acquisitions? And if so, what areas of focus would you look at today? Thanks. Yes. Your question on M and A. Yes, it's true that we are a debt free company, which gives us room of value versus I will say as usual and we'll keep on looking on targeted acquisition, which makes sense for the portfolio. We like a new addition of technology. So these are the things we are, I would say, addressing at the right time with the right target. That's the things we are assessing. Q2, Guillaume, you projected Again, yes, there will be a fall in molecular, again, because the demand on RTUS is going down. You remember that last year, we had actually especially very strong end of Q2 in molecular when we launched RP2.1 at the end of May, very strong June fueled by RP2.1, so the RP with COVID. So certainly, on the trend, it's I won't confirm the precise figure, but definitely, it's the decline on respiratory with still growth again on the non respiratory. Again, very good trend on non respiratory in Q1 that we expect to be pursued in the rest of the year. Yes. Maybe just a follow-up on that. Is there anything else in the other businesses that would be an incremental impact from Q1 to Q2? Because it seems like you've got quite a lot of momentum. So if you do the numbers, it feels like Molecular Biology is the only business that could really drive that or has to be that negative to get to your guidance. Is there anything that we should consider in Q1 maybe that happened in the other businesses, which are maybe less recurring? And if so, what is it? How big are they? The only other non recurring part is it's always the equipment part, which as you've seen, we highlight in different parts that we had a very strong Q1 in equipment, which is very good news for the installed base and in future for microbiology for industrial applications. But obviously, the sale itself of equipment is, by essence, somehow lumpy. And yes, it's more difficult to forecast for the coming quarters. It can happen, but not so sure. So that's maybe the only other elements to answer your question is equipment sales. Okay. And on the M and A one just while we're here, do you think anything would be done this year? Do you anticipate to do a deal this year? Or is it opportunistic as it comes up? It's difficult to predict, guys. We don't control this type of we don't control timing and the target. Okay. We can now take our next question from Maya Pataki from Kepler. Yes, perfect. Thank you very much for taking my follow-up questions. Alexandre, as you can see, we're all trying to get some numbers out of you with regards to the slowdown in March, what you've seen in the U. S. Can you maybe just give us some indication on how much respiratory was down in Q1 in the U. S? I guess respiratory in the U. S. Was accounting last year, this time around probably for around 75% of the BioFire revenues. And that was the majority of BioFire sales. So are we looking at a 30% decline in respiratory or less or more? And the second question is just on the tax rate. With the U. S. Tax likely to increase going forward, what would that do to your group taxes if the U. S. Tax were to increase to 28%? I don't have this one. You have it for the tax? What could be the implication? Yes. It would indeed impact us because we have a significant base of profits in the U. S. And so taxable profits in the U. S. So certainly, our about 23% average tax rate would move by several percentage points, probably to 25% yes, 25%, twenty 6% if the U. S. Tax rate was to move, let's say, as expected. At this stage, I think it's announcement, not yet built. But yes, it would definitely impact us a few percentage points. On RPUS, we again, as we said, we have January February where we're still strong and actually that's what we were saying when we discussed together early March and the decrease came really strongly in March, we are monitoring. I think we are monitoring at this stage. It's very difficult to tell you what will be the decrease in Q2 because it's under monitoring, I would say, at this stage. Right. Then just a quick follow-up. You've mentioned the 10,000 instruments that you've been able to place in the more recent past. What is your internal assumption as a percentage of those instruments that will stay in use going forward, 50% of those 10,000? Or given the fact that you have been selling to quite a bit to existing customers throughout 2020, and I understand also in Q1 2021, how are you internally thinking about the installed base as a realistic number? It's very difficult to predict. I think we will have to monitor this maybe in a post pandemic situation if it happens. Hopefully, it will. Difficult to predict, especially on this one. But then again, we will insist on the fact that, yes, RPE will be impacted because we hope that we get out of this pandemic situation. But we are the job we have to do this year or maybe early on next year is to evaluate the potential we have on respiratory and non respiratory on this new platform. I think this is still a work in progress at this stage. So sorry for the lack of visibility, but it's really moving in a different in a contrasted way in different parts of the world. No, I understand. I was just thinking that probably you should have also kind of a assumption for your budget or knowing your hospitals. I was wondering whether you were just excluding 50% or all those instruments that you've placed to existing customers as a, okay, that's not going to be in use and then only base your budgeting or forecast on new account instruments? I think that too many new parts at the stage. Good. Thank you. We can now take our next question from Scott Bardo of Berenberg. Thanks very much for the follow ups. And sorry again to focus on ViaFire. I know it's been an important growth driver for you guys. I'd just like to understand then please with respect to your comments for the other panels outside of respiratory, were there any particular panels that were showing disproportionate growth? Or were they all sort of growing the same? And perhaps you can give us as of Q1 what the current mix is please between respiratory and non respiratory that would be helpful. Related question, please. You've spent obviously a lot of time and high degrees of CapEx in significant manufacturing expansions in Salt Lake City now for BioFire. That looked very prudent few quarters ago, very sensible. I wonder is there any concerns now that in a sense that the market demand is falling away and that there wouldn't be the requirement for those capacities. So I wonder if you could help me with those 2, please. Okay. CapEx in fact, we invested for the future. We have decided this investment before the pandemic situation. So we it was helpful in the it has been it is helpful in the current context, but we did for the future. It's having a long term view on the potential of syndromic. So no nothing to say there. And we also keep on working on the more automation of our production. So this is still ongoing work and investment on that part. And sorry, like a golden fish, I forgot the first question. The first question was on the other panels. So just to Alexander highlighted some of the GI and BCID growth. We can say that the RP was 2 third of BioFire in Q1, sorry, worldwide. Worldwide and non RT was 1 third. In terms of growth, it was 38% growth for non RT and 6% growth, but of course, the 6% is inside that contrasted between U. S. And U. S. And of course, early in the quarter and late in the quarter, but 6% overall for respiratory in Q1. That's very helpful. Thank you. And last follow-up for me then please, just relating to your immunoassay business. I note that you had some nice contribution from serology testing this quarter for COVID. Is this the start of things to come maybe? Or is this just a one off in your mind? And lastly, very pleasing to see you launch the QuantiFERON type or latent tuberculosis test, your own test, of course. Can you give us some sense as to the market response and reception to that test? And maybe some indication of magnitude that you're expecting from a revenue perspective? So early days are for TBI Goa because it was launched for C Mark, I believe, 2 weeks ago or a few weeks ago. Early days, so it's more the, I would say, the early adoption with some customers. But good condition, it's a good test and with a good performance, with a good level of automation. Otherwise, regarding the SoliG test for COVID, we see it has been helpful in the growth in Q1, it was helpful also in Q4 to grow immunoassay. We'll see, I think it will depend also on the guidelines, which will be given on the use of serology linked to vaccination. But we believe a good offer and we see traction right now on immuno say a range with SARS CoV-two test, but also with the associated tests such as D dimer or ferritin, which are also used or tested with for patients which are in a difficult situation in the hospital. We can now take our next question from Louise Boyer from Stifel. Hello. Thanks for taking my question. I have 3, and if I may, I'd like to go 1 by 1. Firstly, if I'm correct, 77% of the sales are still made in the U. S, talking about pure fire, obviously. Some could assume that the COVID crisis has accelerated some buying decision. I understand that for the end of the year, the visibility is reduced. But if we try to look at a more normative year, what can we expect in number of machines sold in the U. S. Market and from the rest of the world? Are you expecting to go back to the 2,000 units per year rhythm or stay somewhere between the 7,000 and 2,000? Well, it's a bit early to say. There was a sharp increase this year linked to COVID. I believe things will also depend on when if the full season comes back is active or not. So it could have a bit to depend on this. It's difficult to talk about the normative, I would say, at this stage. And just to add, you remember that we were self limiting our own installations in the past few quarters due to our own back orders on reagents. So I would say part of the good news now with no back order is that we will be able to deliver our customers and therefore to basically deliver in terms of instruments and reagents any potential new customers. Okay. My second question is about the quantity of regents sold per machine. So another way to see it is like out of the 9,000 equipment that you sold since the beginning of the crisis, how much were sold or how much were leased? And out of the total, how much were sold or leased to the existing clients? So yes, to try to answer that, among the new units in Q1 in the U. S, we sold at a high level actually 83% and outside of the U. S, 87%. So very high level actually, very high percentage of stalled versus placed. And then your question was about the new capacity. So for example, on the U. S. Part, which is, as you know, where we monitor maybe thinner on the additional units in the U. S. In Q1, 65% was capacity increase and 35 percent was with new customers, to answer your question on this. And would you say that those 65% were kind of a norm through this crisis? We're sorry, a norm? Yes. Where the Q1, Q3 and Q4 of 2020 above the same Really, I think as Alexandre said, but there's no norm in this crisis and there's nothing normative. It moves and again as we just described from 1 month to the next, from one country to the next. I think it's difficult to describe the model. Yes. Okay. Okay. And if I may, last one for me. Looking at Roche acquisition of GenMark, I know they are still more than 10 times smaller than you with their ePlex instrument. But are you expecting that kind of consolidation to bring price pressure on the off hire? Have you already seen anything? Or is it not in the environment right now something that we should fear? No, we have not seen a specific pressure on price right now. I don't know what they will do. I believe they will have to order the menu and develop or that will be in the hands. But syndromic, it's a value player. So it's a medical value system. So we will see what happens. But at this stage, no specific or pressure coming from GenMark or Roche. I'm not sure it has been finalized yet, but we can see. To date, can you share with us a quick recap of how many panels are your competitors offering versus what you have and you can offer? No, I can talk about mine. I'm not so sure about theirs. I don't know. We are down 2 or 3 or I might say you take a finger. It's available on the website, I'm sorry. For us, we have For us, it's 5. For our competitors, yes, we are maybe 2. 4 or 3. 4 or 3. Most of them, they are 4 or 3. For us, it's 5 currently, plus we announced that we have filed with the FDA the joint infection panel that should be therefore launched hopefully in a few months. We can now take our next question from Del Loe from Societe Generale. Hi, good afternoon, everybody. Delle Fin speaking here. I'd like to come back on the pattern that we have seen in Molecular Biology over the quarter. Alexandre said we were landing 2 third respiratory panel and 1 third for non respiratory panel and the 4 other panels. How that evolves over January, February, if we say we had a very strong growth over these 2 first months and then a collapse on the RP in by the end of March. So can we get a figure of what was the growth January, February for RP just for us to get an idea. And how much compared to Q1 last year RRP is representing, meaning that we had a very strong growth already last year, but that was more into research than anything else, but just for us to get a sort of flavor and trying to get better visibility on or being in a position to make more accurate forecast. So yes, I thought it was not easy. Maybe last year, remember, we didn't get the RP with COVID. In the March, we were promoting the respiratory without COVID. No, but let's say COVID related. Yes, if we open up and say COVID related. Yes. To 80% of our sales of biopharma panels in Q4 2020 versus back to 65% in Q1 2021. So I hope that answers your question. And then again, in January, February, without giving a figure, we were on a very similar trend to what we saw in Q4, was basically our, let's say, our discussion and our assumption for H1. But we had a very strong trend in Molecular in January, February, quite similar to Q4. But we're also able also to better serve on the GI and BCID and meningitis market because before it was also the priority was to respiratory. So now we're also back to be able to serve a bit more this syndromic need. Yes, very useful. Okay, thank you very much. Regarding the order book evolution in the quarter, anything specific that we have to keep in mind looking forward into Q2? The big difference in, as you said, order book is actually this back order issue that we had in the U. S. And I think we commented through the last 3 or 4 quarters that we won. We had back orders on the respiratory reagents overall, and we were not pleased to not be able to serve our customers. It was not a good situation. We now have, let's say, sold, of course, we are not pleased either to have reduced demand, but at least now we have no back order. We can serve our customers on their demand of RT, but also of GI, of meningitis, of blood culture and of pneumonia panels. Okay, fair enough. A question has been had already regarding the reimbursement on BioFire on the different panels. Any major event regarding reimbursement to come or any major discussion on any of the panels in the next 12 to 18 months is scheduled? Do you have any idea on this one? Nothing planned to my knowledge. Nothing that we have in our radar. And another question regarding Vidaas and the new test that you've been launching. Can we get an idea about the pricing or the premium of this dengue test as compared to the current offer of, let's say, the average price for VDAS test? For the gear, I don't think I have a specific I think I don't know. No, I think acceptable market price means the value. Other analysts will be mainly dengue will be mainly sold and promoted in that's not for every country, that's for South South countries or some developing countries. But so no, I think it would be acceptable. It's also a public health need. It should be in line with our Viasat current portfolio. And just to remember, because there were questions earlier on the mix also, I think, regarding our profitability, we mentioned a lot that BioFire is at higher than average gross margin, but we can also say that Vias, which is performing very well right now, is also one of the stronger contributor in terms of margin. We can now take our next question from Alex Gibson from Morgan Stanley. Okay, thanks. Last follow-up from me as well. On the backlog that we keep on talking about. Can you specify how much of the sales in Molecular Biology were backlogged in the quarter? How many million of sales that was? And then secondly on the BioFire installations as well, 2,200, how many of those systems were also backlog related, so where you took the order before the quarter and how much were made in the quarter? I think that also would be helpful to understand the underlying dynamics that you're seeing. Thanks. Sorry, it's difficult, but we don't track that exactly this way because we let's say, for example, reagents, we were of course, we had a significant back order in early January. So when we deliver in January, we deliver orders that are pre opening and some that are also taken during the quarter. So I don't think we have these seats actually. Okay. On that and the installations as well? And on the instruments, neither are we don't sorry, but we don't track it this way. And going forward, obviously, no backorders. Yes. Okay. Thanks. We can now take our next question from Hugo Solvay from Exane BNP Paribas. Hi, thanks for taking the question. 2 on immunoassays, and sorry if I missed that earlier in the call, but could you help us quantify or give an indication of the impact of antibody COVID-nineteen testing in Q1? Just trying to wanted to know more about the underlying ex COVID growth on that business. And second, you mentioned in the press release that P50 pricing has been declining similarly to volumes, which is a bit of the reversal of the trend that we were seeing before COVID and last year, if I'm not mistaken. So what triggered this trend? And would you expect stabilization to come shortly? And lastly, I think Guillaume, you mentioned when answering your question that you're working on different scenarios for the installed base of the FilmArray. Does that imply that one scenario would be that part of the installed base would not be used at all anymore and that you could redeploy it? And is that something you could actually do? Thank you. I will take some of the questions. So yes, PCT, in the U. S, we saw pressure on price and we saw also decreasing in volume. So that's a trend that we are monitoring. We were used to the price, so it's not the volume and maybe the difference. That's under investigation. I would say it's only a quarter, but something we are monitoring and we can come back to you in the future calls. Immunoassay, I know you mentioned that, so the growth in Q1 was at plus 28%. SARS COVID test was helpful. I'm not sure you know the 5,000,000 5,000,000 sales for SARS COVID. But I would say what has been also useful with Vyadas is also the associated tests such as D dimer, which are being used also to monitor patients, which are impacted by COVID. So there is SARS COVID, but there's also the other ranges of tests, which are helpful in the current context. And the question on the Yes. I'm not sure if you can repeat your question. Igor, I'm not sure about the scenarios of installed base that I mentioned. You alluded to the fact that you were looking at your installed base to see what type of customers can order what and when. And just wanted to know if considering the install base, which has been increasing massively in 2020, this could end with lower RP sales in 2021, that could imply that some instruments will not be used at all anymore? And if that's the case, could you redeploy them? So if I do yes, okay. One of the answer is that there is a work that in line with our strategy of broad menu on the syndromic approach, in line with the strategy to actually make sure that we have a multi panel consumption by our customers that actually they use at least a part or a significant part of the menu. At the end of Q1, I can tell you that close to 60% of our customers are multi panel users, so more than one panel. And of course, we need to work on all the others that are single panel users, not always only RP, by the way, to convince them that they can use their installed base for other uses. This is an effort that is not new for us nor for BioFire. Of course, we need access to the customers for this. It's a midterm effort and that's something to be worked on and with some potential upside. Not short term, again, but upside and confidence on the way we can work on installed base in the midterm. Okay. Thank you very much. We can now take our next question from Scott Bardo of Berenberg. Thank you again for the additional follow-up. And Alexandre, you've kept R and D levels as a priority, high innovation expenditure for the group. And I think you've discussed some of the testing menu and reagents that you are creating and commenting on those. I wonder if you could talk to a little bit about the investments you're making in automation infrastructure. Has the time come for another platform for BioFire? I think that platform is now some 10 years old or so. Do you need to further innovate the platform? Or do you think that, that is, in a sense, perfectly acceptable for your future growth? And also similarly in microbiology, I believe that you have expressed an interest on more rapid phenotypic type identification and antibiotic susceptibility testing. Is this an area where you're making any progress internally? Thank you. Yes. We invest in a very innovative company which invests in R and D and this is one of our motto because it's that's part of bringing innovation. Yes, we investigate all these areas. Maybe to come back on BioFire and FilmArray, I think you always mentioned it's an evolutive platform, but we have already brought some evolution on the FilmArray and we started with the FilmArray 2.0, then we added a new version. We launched the Torch, which is also an evolution of the film array. On the YAS film array is also a negative platform. I believe in all the space that we are addressing in tissue disease, what is needed is automation and fast time to resolve. Now these are things that we are working on and investing on, yes. No, nothing to announce at this stage, but this is we have lots of R and D project on this topic. Thank you. We can now take our next question from Bertrand Casale from Trustee Finance. Yes. Hello. I was wondering whether we could say that with the vaccination in the U. S, the need for COVID tests was coming to an end Or if we consider what's happening in the UK, the number of tests performed per head is increasing and is very rapidly, whereas vaccination is presented. So what do you think of the future evolution considering as number of tests which will be needed? I don't know the number of tests, but what I believe that you need different approaches. You need prevention, you need diagnostic and you need treatment. So it won't be only a vaccine strategy, it will be vaccine with testing and the social distancing and hopefully soon also drugs and treatments. I believe fighting a pandemic, but also the same fighting infectious disease, you need a combination of prevention, diagnostic and treatment. So no, I believe diagnostic is here to stay. Again, it won't be a one size fits all. You will need rapid test, you will need low plex, you will need multiplex. I think the more the offer is complete, the better it is to fight the pandemic and other potential infectious disease, which might reoccur. The strategy to fight the pandemic will be based on the different pillars. Thank you. It appears there are no further questions at this time. I'd like to now pass the call back over to Mr. Adnan for any additional or closing remarks. Thank you. So well, thanks to all for participating to this call and for your questions. Our next formal release will be on September 1 with a webcast to present the Amelior LPO results, both sales and financial performance. By then, we remain at your disposal if you have any questions. Thank you very much. Bye bye. Thank you. This concludes today's call. Thank you for your participation. You may now disconnect.