Baltic Export, Baltic States – CIS, EU – Baltic States, Financial Services, Good for Business, Industry, Latvia, Medicine

"The net profit and turnover reached in the first quarter of 2017 shows sharp and dynamic increase. The most remarkable increase was reached in Russia and other CIS countries which complies with the Group's overall action plan and the goal set to regain its position in these significant markets. The pharmaceutical industry is sustainable and multifaceted business of strong competition – we are pleased with our achievements, nevertheless, not for a moment we refrain from using advantages and knowledge of Grindex," says Juris Bundulis, Board Chairman of Grindex.

In the first quarter of 2017, the Group’s products were exported to 52 countries worldwide for the total value of EUR 29.7 mln, which is by EUR 11 mln or 59% more than in the first quarter of 2016.

Sales of the final dosage forms made by Grindex in the first quarter of 2017 reached EUR 29.6 mln, increasing by EUR 10.6 mln euro or 56 % in comparison to the first quarter of 2016. In the first quarter of 2017, sales in Russia, other CIS countries and Georgia reached EUR 20.5 mln euro, which is by 10.5 mln euro or twice as much than in the first quarter of 2016. In comparison to the first quarter of 2016, in the first quarter of 2017 the biggest increase in sales has been achieved in Russia (3.4 times), Tajikistan (2.6 times), Azerbaijan (2.4 times), Ukraine (52 %) and Kazakhstan (42 %).

Sales in the Baltic states and other countries in the first quarter of 2017 reached EUR 9.1 mln which is by EUR 0.2 mln or 2% more than in the first quarter of 2016. Sales in Kosovo increased 3.5 times y-o-y, in France 2.7 times, in Hungary by 45%, in Lithuania by 31% and in Vietnam by 19%. In the first quarter of 2017, sales in Latvia reached EUR 1.6 mln, 

increasing by EUR 0.04 mln euro or 2% in comparison with the first quarter of 2016.

In the first quarter of 2017, sales of active pharmaceutical ingredients reached EUR 1.9 mln, which is by EUR 0.4 mln or 30% more than in the first quarter of 2016. During January-March 2017 Grindex mainly exported its active pharmaceutical ingredients to the EU countries, the U.S., Australia and Japan.

"In 2017, Grindex continues focusing on the new markets, diversifying its operations and thereby reducing risks. As before, in 2017 Grindex continues expanding its product portfolio," the company's management said.

The group's strategic markets for business development are the EU and South East Asia countries where it is planned to increase sales by 30% this year. Grindex also plans to strengthen its positions in Russia and other CIS countries.

Other plans for this year include launching a new production line in HBM Pharma Ltd., a subsidiary in Slovakia, and expanding the operations of Kalceks in Latvia.

The group plans to achieve at least a 10% growth of turnover this year, and investments are planned in the amount of EUR 4 mln.

In the first quarter of 2016, Grindex group reported a profit of EUR 50,223 on a turnover of EUR 20.794 mln.

Grindex is an international, vertically integrated pharmaceutical company. Main fields of action are research, development, manufacturing and sales of original products, generics and active pharmaceutical ingredients.

Grindex group comprises the parent company, Grindex, and five subsidiaries in Latvia, Estonia, Russia and Slovakia as well as representative offices in 13 countries.

Grindex is quoted on the Main List of Nasdaq Riga stock exchange.