Sales of Grindeks increase by over 7% in H1 2010

2010-09-01

Grindeks, the number one Latvian drug maker, reported a 7.7% y-o-y increase in net sales revenues in the first half of the year, to LVL 32.1m (€45.7m). Net profit increased by 20.6% over the first half of the year to LVL 4.1m (€5.8m). Thus the company managed to recover its 2009 financial results, when it reported a 6.6% y-o-y decline in sales turnover and a 32% drop in net profit.

The positive sales result was a consequence of a 2.2% y-o-y increase in revenues from its core final dosage medications, to LVL 27.9m (€39.3m), with LVL 24.4m (€34.3m) sales achieved in the firm's main markets: Russia, CIS countries and Georgia. Additionally, sales of active pharmaceutical ingredients rose by 68% y-o-y to LVL 4.2m or €5.9m (the main markets are Europe, Japan, the US, Australia, India and Pakistan).
The company was not particularly hurt by a 9.1% y-o-y sales decline in Russia, which accounts for nearly 50% of its net sales, as the drop was partially offset by a solid 28.2% y-o-y growth in other CIS countries, the company’s second largest market. Net sales on the domestic market grew by 17.4% y-o-y, and in Lithuania they were 19% up on a year earlier.