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Olainfarm Makes the Record Profit of 2.5 Million Lats in 2009

on February 26, 2010

Consolidated profit and loss statement of JSC Olainfarm for 2009 shows that the company has made the net profit of 2.56 million lats (3.64 million euros). In fourth quarter alone Olainfarm has made nearly 1.3 million lats (more than 1.8 million euros).  Improvement in financial results reflects the returns from strengthened marketing effort as it has lead to better sales of higher value-added products.

Unaudited profit and loss statement of Olainfarm for 2009 shows that the sales of Concern reached 22.4 million lats (32 million euros). Net profit of the Concern during this period was 2 560 492 lats (3 643 251 euros), while in 2008 the Concern made a loss of 1 436 905 lats (2 044 532 euros).

“Last year for Olainfarm was the most successful year so far.  It is confirmed by our record high profits, exceeding 2.5 million lats, which is nearly twice as high as our profit target, which, when announced, was regarded as very ambitious.  Our experience of 2009 shows that if the necessary steps are taken on a timely manner – meaning investments in promotion, new markets, development of new products, it is possible to achieve considerable results.  We will continue working at the development of new products, registration of new products and exploration of new markets and entering them,” says Valerijs Maligins, Chairman of Olainfarm’s Management Board.

During 2009 the sales grew particularly strongly in markets where particularly strong marketing effort was made.  Sales to Russia grew by 33%, to Belarus by 10%, Kazakhstan and Azerbaijan both grew by 65%.  Ukraine has become the second biggest market for the company as about 14% of company’s sales were made there.

During 2009 45 new registrations in 13 different countries have been approved. Registrations have taken place in some countries that have so far been rather exotic for company’s sales, including Tajikistan, Turkmenistan, Poland, Albania and Australia.  Registration processes have also been launched in Romania and Vietnam. Products that are being registered include totally new names for the company, like meldonium, olanzapine, amlodipine, flukonazole, terbinafine and memantine.  Good Manufacturing Practice certificate for production of 2 new active substances has also been obtained in 2009.  First ever shipment of final dosage forms to Australia has taken place in 2009.

 

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
Member of the Board
JSC Olainfarm
Tel: +371 6 7013 717
Cell: +371 2 6448 873
E-mail: slapinsh@olainfarm.lv

SigitaOlainfarm Makes the Record Profit of 2.5 Million Lats in 2009