Olaine, 2015-11-30 16:14 CET (GLOBE NEWSWIRE) -- 3rd quarter of 2015 has in terms of sales been the best third quarter in corporate history, as sales of the Group reached 21.8 million euros, which exceeds the sales made during 3rd quarter of 2014 by more than 2%. During this period the company made a net profit of 2.8 million euros, which represents a reduction by 12% compared to the same period of last year.
Condensed Consolidated Statement of Financial Position | Group | ||
30.09.2015 | 31.12.2014 | ||
EUR '000 | EUR '000 | ||
ASSETS | |||
NON-CURRENT ASSETS | |||
Intangible assets | 20 063 | 18 848 | |
Property, plant and equipment | 36 501 | 34 674 | |
Financial assets | 4 085 | 4 234 | |
TOTAL NON-CURRENT ASSETS | 60 649 | 57 756 | |
CURRENT ASSETS | |||
Inventories | 20 013 | 18 693 | |
Receivables | 33 023 | 28 219 | |
Cash | 2 489 | 2 055 | |
TOTAL CURRENT ASSETS | 55 525 | 48 967 | |
TOTAL ASSETS | 116 174 | 106 723 | |
EQUITY AND LIABILITIES | |||
EQUITY | |||
Share capital | 19 719 | 20 041 | |
Share premium | 2 504 | 2 504 | |
Reserves | 322 | - | |
Retained earnings | 62 591 | 50 492 | |
Non-controlling interests | 28 | 8 | |
TOTAL EQUITY | 85 164 | 73 045 | |
LIABILITIES | |||
Non-current liabilities | |||
Borrowings | 9 761 | 10 387 | |
Deferred corporate income tax | 1 830 | 1 640 | |
Deferred income | 2 706 | 2 099 | |
Total Non-Current Liabilities | 14 297 | 14 126 | |
Current liabilities | |||
Borrowings | 4 957 | 6 906 | |
Trade payables and other liabilities | 11 177 | 12 227 | |
Deferred income | 579 | 419 | |
Total Current Liabilities | 16 713 | 19 552 | |
TOTAL LIABILITIES | 31 010 | 33 678 | |
TOTAL EQUITY AND LIABILITIES | 116 174 | 106 723 |
Consolidated statement of comprehensive income | Group | Group | ||
Q3 2015 | Q3 2014 | M9 2015 | M9 2014 | |
EUR '000 | EUR '000 | EUR '000 | EUR '000 | |
Net revenue | 21 792 | 21 328 | 71 861 | 69 891 |
Cost of goods sold | (7 346) | (7 647) | (23 588) | (22 918) |
Gross Profit | 14 446 | 13 681 | 48 273 | 46 973 |
Selling expense | (6 732) | (6 466) | (20 284) | (19 617) |
Administrative expense | (3 633) | (3 315) | (11 851) | (11 188) |
Other operating income | 1 159 | 533 | 2 487 | 1 514 |
Other operating expense | (37) | (870) | (3 739) | (2 871) |
Share of profit of an associate | (17) | 23 | 78 | 116 |
Financial income | 69 | 42 | 198 | 124 |
Financial expense | (2 226) | (272) | (208) | (1 166) |
Profit Before Tax | 3 029 | 3 356 | 14 954 | 13 885 |
Corporate income tax | (185) | (455) | (2 695) | (2 134) |
Deferred corporate income tax | (19) | 296 | (154) | 355 |
PROFIT FOR THE REPORTING PERIOD | 2 825 | 3 197 | 12 105 | 12 106 |
Other comprehensive income for the reporting period | - | - | - | - |
Total comprehensive income for the reporting period | 2 825 | 3 197 | 12 105 | 12 106 |
Total comprehensive income attributable to: | ||||
The equity holders of the Parent Company | 2 823 | 3 180 | 12 099 | 12 106 |
Non-controlling interests | 2 | 17 | 6 | - |
Basic and diluted earnings per share, EUR | 0.20 | 0.23 | 0.86 | 0.86 |
“Successful operations in Latvia and Lithuania and good cooperation with the World Health Organization’s anti-tuberculosis program are the key driving forces behind these record sales. However, we realize that continuing with such series of records becomes increasingly difficult as new challenges are appearing in several important CIS markets. In addition to economic instability and depreciating local currencies have left a significant impact on purchasing power of local population. In addition to these factors, governments of CIS countries use administrative methods to limit imports of different products, including pharmaceuticals. Therefore we have to continue searching for possibilities to further diversify our sales markets and strengthen our presence there”, says Salvis Lapins, Member of company’s Board.
During nine months of 2015 Company’s sales grew in Latvia (by 9%), The Netherlands (WHO shipments, by 181%), Kazakhstan (by 2%), Lithuania (by 185), and other countries (by 28% on average). Sales have been shrinking to Ukraine (by 15%), Belarus (by 7%), UK (by 9%), Uzbekistan (by 6%) and Russia (by 3%). In total, during this nine months period AS Olainfarm was selling its products to 41 countries on five continents.
During the 3rd quarter, 5 registration processes have been completed in Azerbaijan, Ukraine and Romania. A food supplement “Jogurt Babydrops” has been registered in Latvia. Further extension of “Gripoflex” line has been launched.
Annual meeting of shareholders of A/s “Olainfarm” held on June 11, 2015 approved operating plan of the Group for 2015. According to it, sales of the Group in 2015 are planned to be 100 million euros, but the net profit will reach 15 million euros. According to this unaudited report for 9 months of 2015, during this period 72% of annual sales target and 81% of annual profit target is met.
JSC Olainfarm is one of the biggest pharmaceutical companies in Latvia with more than 40 years of experience in production of medication and chemical and pharmaceutical products. A basic principle of company's operations is to produce reliable and effective top quality products for Latvia and the rest of the world. Products made by the Group are being exported to more than 35 countries of the world, including the Baltics, Russia, other CIS, Europe, Asia, North America and Australia.
Information prepared by:
Salvis Lapins
JSC Olainfarm
Member of the Management Board
Rupnicu iela 5, Olaine, Latvia, LV 2114
Phone: +371 6 7013 717
Fax: +371 6 7013 777
E-mail: Salvis.Lapins@olainfarm.lv