OJSC “VEROPHARM” announces financial results for the first half of 2009 year (unaudited)26.08.2009 AUGUST 26, 2009, MOSCOW — OJSC «VEROPHARM» [RTS:VRPH, MICEX:VFRM] announces its unaudited financial results for the 1st Half 2009 in accordance with the International Financial Reporting Standarts (IFRS). Sales- Consolidated sales in H1 2009 reached USD 69.6 mln., a 19.5% decrease as compared to the same period in 2008 (in RUR sales increased by 11.0% and amounted to 2 300.0 million).
- The share of Rx drugs sales in H1 2009 increased to 69% as compared to 65% in H1 2008. The share of OTC drugs increased from 8% to 9% in H1 2009. The share of Adhesive bandages in finished goods decreased from 20% to 19% in H1 2009. Portfolio of traditional drug sales as before demonstrated tendency for a decrease of share in sales — the decrease from 7% to 3%.
- Veropharm sales as part of Federal Reimbursement Program (FRP) came to USD 2.0 mln. in H1 2009, accounting for 2.9% of the Company’s total finished goods sales. By the results of H1 2008, FRP sales were USD 3.3 mln., or 3.8% of the Company’s total finished goods sales.
- Sales within the Russian Federation accounted for 98% of the Company’s total finished goods sales in H1 2009.
Profit- In H1 2009 the Gross profit of Veropharm reached USD 47.9 mln., a 18.4% decrease as compared to the same period in 2008 (in RUR gross profit totaled 1 582.4 million, a 12.5% increase as compared to the same period in 2008). Gross margin increased to 68.8% in comparison with 67.9% in H1 2008.
- In the product segments gross margin has the following values: Rx drugs — 73.7%; OTC drugs — 68.2%; adhesive bandages — 58.6%; traditional products — 16.8%.
- In H1 2009 EBITDA decreased by 19.6% as compared to H1 2008 and reached USD 23.0 mln. which makes 33,0% of Company’s total sales (in RUR gross profit totaled 759.2 million, a 10.9% increase as compared to the same period in 2008).
- In H1 2009 Net profit decreased by 6.7% to USD 18.1 mln. which makes 26.0% of Company’s total sales, an increase of 3,6 % in comparison with H1 2008 (in RUR gross profit totaled 598.8 million, a 29.0% increase as compared to the same period in 2008).
Debt- As of the end of H1 2009 the debt of OJSC “Veropharm” amounted to USD 27.6 mln. that represents less than 25% of Company’s net assets.
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