Today, on February 26, JSC “Grindeks” has submitted the non-audited
consolidated financial statements on 2008 to “NASDAQ OMX Riga”. The non-audited
financial results confirm that “Grindeks” has worked successfully last year;
the net profit in 2008 has reached 9 million lats, exceeding the the result of
2007 by 1.9 million lats or 26,8%. Turnover of the Group has reached 62.1
million lats in 2008, which is by 10.5 million lats or by 21,5% more than in
2007.
Chairman of the Board of “Grindeks” Janis Romanovskis: “The results of 2008
confirm that our business strategy and the set priorities have been accurate
because the Group has operated successfully last year. It is known to everybody
that the last year will be marked as the beginning of the global financial and
economic crisis in the world history, therefore achievement of the strategic
goal which envisages keeping growth rates and ensuring the previous increase in
turnover and profit was a special task for the company. Development of
“Grindeks” is characterized by another important achievement; regardless of the
external financial and economic conditions, in 2008, the Group purposefully
continued to implement the investment programm and in January 2009, the new
final dosage forms plant was opened by investing a total of 9.1 million lats.”
The most substantial increase in profits in 2008 has been provided by the
growth of the sales volumes of final dosage medications of “Grindeks” by 19,5
%. In total, the final dosage medications have been sold by 56.7 million lats,
exceeding the results of the previous reporting period by 9.3 million lats. The
most part of medications has been sold in the main export markets; Russia,
Ukraine, Kazakhstan and Belarus. In comparison with the previous year, the
sales volume of the final dosage medications in Russia increased by 22,1 %, by
22,6 % in Ukraine, by 6 % in Kazakhstan and by 20,6 % in Belarus.
Registration of several types of drugs was completed in Finland last year. In
the beginning of 2009, the medication Rispaxol® was registered in Turkey, but
by the end of the year it is planned to register the original products
Mildronate® and Ftorafur®. Over the course 2007, the Group continiued to
register medications in China, as well as the registration of the original
product Mildronate® was started in Vietnam.
The growth of exports of the active pharmaceutical ingredients (APIs) also
positively influenced the profit indicators of “Grindeks”, reaching 5.1
million lats in 2008, which is by 1.2 million lats or 30,8 % more than in 2007.
The main APIs export markets of “Grindeks” are Europe, Japan, USA, Australia,
Pakistan and India, while the most demanded products are ftorafur, zopiclone,
oxytocin, rilmenidine and the new veterinary pharmaceutical products:
detomidine, medetomodine and atipamezole. In addition, by exports of zopiclone
and oxytocin “Grindeks” provides a stable position in 35% of the world market,
but export of the new veterinary substances in the EU member states constitute
a total of 36% of the EU market.
Chairman of the Board of “Grindeks” Janis Romanovskis: “2009 will be a complex
year for Latvian companies, and especially manufacturers in the field of
operation optimization and costs reduction. We are aware that the result of
“Grindeks” operation will be determined by both, our own ability to expand the
range of products and enter new markets, as well as the economic and financial
situation in the world markets. Taking into account that there is very severe
competition in pharmacy, the ability of “Grindeks” to flexibly respond to the
changes in export markets and efficient expenses will be of great importance in
the near future.”
In 2009, “Grindeks” will strengthen its positions in the existing markets and
continue to enter new, prospective markets. The registration of medications
will be continued in Turkey, China and Vietnam this year. Complying with the
market requirements, this year “Grindeks” will expand the range of products
within the main therapeutical groups: cardiology, CNS, oncology.”
About “Grindeks”
“Grindeks” is the leading pharmaceutical company in the Baltic states. Its main
fields of action are: research, development, manufacturing and sale of original
products, generics and active pharmaceutical ingredients. “Grindeks”
specializes in the heart and cardiovascular, CNS and anti-cancer medication
therapeutic groups. “Grindeks” Group consists of four subsidiary companies in
Latvia, Estonia and Russia, as well representatives and representative offices
in fourteen countries. Products of the company are exported to more than 40
countries and its export comprises more than 96% of the total turnover. The
main markets are: the Baltic States, Russia and other CIS countries, Japan,
USA. JSC “Grindeks” shares are listed in the Official List of “NASDAQ OMX
Riga”.
Further information:
Laila Kļaviņa
Head of the Communications Department
JSC “Grindeks”
e-mail: laila.klavina@ grindeks.lv
Phones. 67083370, 29256012
