Olaine, 2017-08-31 16:34 CEST (GLOBE NEWSWIRE) -- Second quarter of 2017 has, in terms of sales, been the best quarter in corporate history as sales during this period have increased by 25% and reached 34.1 million. Main contributors to such growth have been significant shipments of PASA to The World Health Organization and serious sales increases in Latvia and Uzbekistan.
During the first six months period of 2017, sales to all major markets of AS Olainfarm continued increasing, except Ukraine, where they shrunk by 40%, and Uzbekistan, where they shrunk by 21%. Significant sales increases have been achieved to The Netherland, where sales grew by 600%, Italy (by 56%) and Kazakhstan (by 555). During the first six months of 2017 products of AS Olainfarm were sold to 41 countries in five continents.
Two best selling Olainfarm products during this period were CNS medicines Neiromidin and Noofen. Conpared to the last year, share of products of soluble furaginum in total sales has slightly increased, while share of Adaptol has decreased from 14% to 11%. Remantadin has again made it to top ten best selling products of Olainfarm.
During the reporting period, registration processes were completed in Armenia, Albania and Azerbaijan. Registration processed have been started in Nepal and continued in Turkey, Armenia, Myanmar, Cameroon and Vietnam. Registration of medicines produced by NPK Biotest are started in Belarus. Parent company itself has submitted one more dossier in Turkey and is soon expected to launch several painkilling an anti-inflammatory medicines.
Annual meeting of shareholders of A/s “Olainfarm” convened on June 1, 2017 approved operating plan of the Group for 2017. According to it, sales of the Group in 2017 are planned to be 127 million euros, but the net profit will reach 15.5 million euros. According to this unaudited report for first half of 2017, during the first six months 49.3% of annual sales target and 36.8% of annual profit target is met. Taking into account a considerable deviation in schedule to achieving the profit target, the Board will soon decide on reviewing Groups profit target.
Condensed Consolidated Statement of Financial Position | Group | ||
30.06.2017 | 31.12.2016 | ||
EUR '000 | EUR '000 | ||
ASSETS | |||
NON-CURRENT ASSETS | |||
Intangible assets | 37 917 | 31 860 | |
Property, plant and equipment | 41 857 | 40 943 | |
Investment properties | 1 963 | 1 963 | |
Financial assets | 4 725 | 6 514 | |
TOTAL NON-CURRENT ASSETS | 86 462 | 81 280 | |
CURRENT ASSETS | |||
Inventories | 25 145 | 24 011 | |
Receivables | 36 579 | 36 124 | |
Cash | 4 900 | 3 165 | |
TOTAL CURRENT ASSETS | 66 624 | 63 300 | |
TOTAL ASSETS | 153 086 | 144 580 | |
EQUITY AND LIABILITIES | |||
EQUITY | |||
Share capital | 19 719 | 19 719 | |
Share premium | 2 504 | 2 504 | |
Reserves | 40 | 322 | |
Retained earnings | 70 760 | 74 081 | |
Non-controlling interests | 39 | 37 | |
TOTAL EQUITY | 93 062 | 96 663 | |
LIABILITIES | |||
Non-current liabilities | |||
Borrowings | 20 152 | 18 800 | |
Deferred corporate income tax | 3 208 | 3 025 | |
Deferred income | 2 584 | 2 810 | |
Total Non-Current Liabilities | 25 944 | 24 635 | |
Current liabilities | |||
Borrowings | 8 255 | 7 020 | |
Trade payables and other liabilities | 25 337 | 15 769 | |
Deferred income | 488 | 493 | |
Total Current Liabilities | 34 080 | 23 282 | |
TOTAL LIABILITIES | 60 024 | 47 917 | |
TOTAL EQUITY AND LIABILITIES | 153 086 | 144 580 |
Consolidated statement of comprehensive income
Consolidated statement of comprehensive income | Group | Group | ||
Q2 2017 | Q2 2016 | M6 2017 | M6 2016 | |
EUR '000 | EUR '000 | EUR '000 | EUR '000 | |
34 148 | 27 387 | 62 719 | 53 517 | |
Net revenue | (12 467) | (10 412) | (23 930) | (20 320) |
Cost of goods sold | 21 681 | 16 975 | 38 789 | 33 197 |
Gross Profit | (10 606) | (7 779) | (18 631) | (14 624) |
Selling expense | (6 035) | (4 584) | (11 449) | (9 050) |
Administrative expense | 572 | 891 | 1 021 | 1 496 |
Other operating income | (855) | (2 496) | (1 598) | (4 251) |
Other operating expense | 28 | 22 | 60 | 39 |
Share of profit of an associate | 79 | 1 042 | 156 | 1 299 |
Financial income | (2 319) | (69) | (1 340) | (109) |
Financial expense | 2 545 | 4 002 | 7 008 | 7 997 |
Profit Before Tax | (569) | (1 081) | (1 408) | (2 095) |
Corporate income tax | 49 | 82 | 103 | 214 |
Deferred corporate income tax | 2 025 | 3 003 | 5 703 | 6 116 |
PROFIT FOR THE REPORTING PERIOD | - | - | - | - |
Other comprehensive income for the reporting period | 2 025 | 3 003 | 5 703 | 6 116 |
Total comprehensive income for the reporting period | ||||
Total comprehensive income attributable to: | 2 028 | 3 003 | 5 701 | 6 111 |
The equity holders of the Parent Company | (3) | - | 2 | 5 |
Non-controlling interests | ||||
0.14 | 0.21 | 0.40 | 0.43 | |
Basic and diluted earnings per share, EUR |
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