Corporate | 7 May 2013 07:25
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STADA Arzneimittel AG / Key word(s): Miscellaneous
Corporate News STADA: Good start in the first quarter of 2013 – organic growth accelerated Important items at a glance – Adjusted EBITDA increases – despite the high comparable basis – to Euro 98.5 million (+7 percent) – adjusted EBITDA margin at a high level with 20.7 percent – reported EBITDA increases to Euro 96.9 million (+25 percent) – Group sales rise to Euro 477.0 million (+8 percent) – organic growth records growth to 4 percent – Substantial sales rise in branded products (+21 percent) – Significant sales increase in the market region CIS/Eastern Europe – particularly in Russia (+39 percent) and Serbia (+22 percent) – Temporary increase in the tax rate leads to a decrease in adjusted net income by 7 percent – reported net income increases by 80 percent – Outlook to 2014 confirmed STADA Key Figures
Bad Vilbel, May 7, 2013 – In the first quarter of 2013, STADA Arzneimittel AG was able to increase both the Group sales as well as all reported key earnings figures. Organic growth increased to 4 percent. ‘We are very satisfied with our good start in the first quarter of 2013 and thus remain on a good path towards being able to achieve our long-term prognosis in 2014. In addition to an increase in Group sales in the amount of 8 percent, we were also able to achieve an acceleration in organic growth with 4 percent in the first three months of the current financial year. Contributing to this were the very successful developments in Russia and Serbia as well as in some Western European countries such as France and Italy, but also a strong sales plus of 21 percent in branded products’, says Hartmut Retzlaff, Chairman of the Executive Board at STADA.
Development of sales
Sales of the core segment Generics showed an increase of 2 percent to Euro 305.7 million in the first three months of the current financial year (1-3/2012: Euro 299.3 million). Generics thus had a share in Group sales of 64.1 percent (1-3/2012: 67.5 percent). The core segment Branded Products recorded sales growth of 21 percent to Euro 163.1 million in the first quarter of 2013 (1-3/2012: Euro 135.2 million). Branded Products thus contributed 34.2 percent to Group sales (1-3/2012: 30.5 percent).
Earnings development
After adjusting the key earnings figures for influences distorting the period comparison resulting from one-time special effects and non-operational effects from the measurement of derivative financial instruments, adjusted operating profit increased by 8 percent in the first quarter of 2013 to Euro 73.0 million (1-3/2012: Euro 67.9 million). Adjusted EBITDA showed a plus of 7 percent to Euro 98.5 million (1-3/2012: Euro 92.3 million). Adjusted net income recorded a minus of 7 percent to Euro 36.7 million (1-3/2012: Euro 39.3 million) due to a temporarily increased tax rate. The net debt to adjusted EBITDA ratio amounted in the reporting period on linear extrapolation of the adjusted EBITDA of the first quarter of 2013 on a full year basis to 3.0 (1-3/2012: 3.3) and was thus below the value of December 31, 2012 in the amount of 3.2. Helmut Kraft, Chief Financial Officer, said the following regarding the financial development in the first three months of 2013: ‘We are very satisfied with the level of profitability reached in the first quarter of 2013. The strong adjusted EBITDA margin of 20.7 percent impressively underlines that we have been more than able to compensate for the challenging environment in Western Europe with the cost efficiency practiced within the Company and our investment focus on emerging markets and highly profitable branded products. As a result we have in the meantime achieved almost 50 percent of the adjusted operating profit of the core segments with our branded products with a clear upward progression and our most important emerging market Russia has again grown strongly in the first quarter by 39 percent.’
Development of the market regions
In the largest market region Central Europe , sales decreased in the first quarter of the current financial year by 4 percent to Euro 199.1 million (1-3/2012: Euro 208.2 million). Sales generated in this market region thus had a share of 41.7 percent of Group sales (1-3/2012: 47.0 percent). Sales developed positively in this market region in Italy, France, – as a result of acquisition – Switzerland, Ireland and Austria . In the market region CIS/Eastern Europe , sales achieved in the first three months of 2013 increased significantly – in part due to acquisitions – by 33 percent to Euro 135.7 million (1-3/2012: Euro 101.7 million). Sales generated in this market region thus contributed 28.4 percent to Group sales (1-3/2012: 22.9 percent). Russia recorded a strong sales increase of 42 percent applying the exchange rates of the previous year. In euro, sales recorded growth of 39 percent to Euro 89.9 million due to a negative currency effect of the Russian ruble (1-3/2012: Euro 64.8 million). In Serbia , sales increased significantly by 24 percent applying the exchange rates of the previous year. In euro, sales increased by 22 percent to Euro 20.1 million due to a negative currency effect of the Serbian dinar (1-3/2012: Euro 16.5 million). In the market region Germany , – in view of the continued very difficult framework conditions in the German generics market due to high margin pressure from discount agreements with public health insurance organizations – sales in the reporting period were approximately at the level of the corresponding quarter of the previous year at Euro 126.0 million (1-3/2012: Euro 127.4 million), even though various German sales companies recorded numerous awards in various tenders for such discount agreements in financial year 2012. This market region thus had a share of Group sales of just 26.5 percent (1-3/2012: 28.7 percent). In the market region Asia & Pacific , sales in the reporting period increased significantly by 165 percent to Euro 16.2 million (1-3/2012: Euro 6.1 million). Sales of the market region thereby contributed 3.4 percent to Group sales (1-3/2012: 1.4 percent). The growth in this market region was primarily based on the sales increase in Vietnam as a result of the consolidation of Pymepharco Joint Stock Company as a subsidiary as of January 1, 2013.
Development, production and procurement
‘With the control achieved of the Vietnamese subsidiary Pymepharco, the number of production facilities in the Group increased by one production site in Tuy Hoa in the first quarter of 2013. This production facility is actually predominately focused on products for the Vietnamese market and, as a result, will not initially be integrated into the central production controlling for products with Group significance. However, looking to the EU certification now received for a section of this facility, the technical potential of this production facility makes gradual Group integration seem fundamentally possible’, comments Dr. Axel Müller, Chief Production & Development Officer.
Outlook
Additional information:
End of Corporate News 07.05.2013 Dissemination of a Corporate News, transmitted by DGAP – a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. DGAP’s Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de |
| Language: | English | |
| Company: | STADA Arzneimittel AG | |
| Stadastraße 2-18 | ||
| 61118 Bad Vilbel | ||
| Germany | ||
| Phone: | +49 (0)6101 603- 113 | |
| Fax: | +49 (0)6101 603- 506 | |
| E-mail: | communications@stada.de | |
| Internet: | www.stada.de | |
| ISIN: | DE0007251803, DE0007251845, | |
| WKN: | 725180, 725184, | |
| Indices: | MDAX | |
| Listed: | Regulierter Markt in Düsseldorf, Frankfurt (Prime Standard); Freiverkehr in Berlin, Hamburg, Hannover, München, Stuttgart | |
| End of News | DGAP News-Service |
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