Presse & Aktuelles

In a year of macroeconomic challenges and a focus on the continued transformation of Orifarm, the family-owned pharmaceutical company realizes increased revenue and improved operating results in 2022.

Highlights from the 2022 accounts:

• Revenue increased by 7% to €1,513m, which is a new record for Orifarm.  
  Growth was driven by both business units, Health Access with 3% and Healthcare with 22%. Healthcare's growth, however, was positively affected by the fact that sales from acquired Takeda products only contributed to nine months of 2021 against all 12 months in 2022. 
• Gross profit increased by 22% to a new record of €223.9m. 
• The result for the year ended at €27.4m, which is lower than expected. This is due to one-off costs in connection with the closure of the Viminco factory in Skælskør, Denmark, as well as derived consequences of delivery issues, especially in the second half of 2022. 
• Continued significant investments to strengthen Orifarm for future growth. Investments increased in 2022 by 35% to €26.2m, which brings the total investments in the past three fiscal years to around €65m. 
• The number of employees increased by 9% to 2,136 employees compared to the previous year (average number of full-time employees). 

CEO Erik Sandberg, Orifarm Group A/S, comments on the result for 2022: 

"We are once again increasing turnover with growth in both of our core businesses. Regrettably, our result after tax is unfortunately lower than expected. This is due to one-off costs in connection with closing our factory in Skælskør, Denmark, but unfortunately also the derived consequences of delivery problems. Externally, increased interest rates have also affected the result negatively.” 

In many ways, 2022 has been an unusual year for Orifarm, as the group has been focusing on completing the integration of over 110 products and two factories, which it took over in connection with the carve-out acquisition from Takeda in 2021. Orifarm completed the acquisition on 1 May 2022. 

"A carve-out acquisition is a huge exercise, which has also brought challenges for us. What frustrates me the most is that it has also brought about delivery problems, especially in the second half of 2022, with the problems it brings for customers and patients. We have put everything into getting it resolved, and I am happy to state that we are on the right track," says Erik Sandberg and at the same time sends his thanks to the employees. 

“I would like to extend my appreciation to all of our many dedicated colleagues for their great continued efforts in providing medicine to customers and patients, and at the same time taking part in the transformation of Orifarm,” says Erik Sandberg. 

 
Expectations for 2023 

In 2023, Orifarm expects to continue the transformation of the business, as part of the execution of the company's growth strategy. 

"We are in a volatile time why it is difficult to predict the macroeconomic development, e.g., the interest rates, which necessitates that we remain agile and navigate in relation to the opportunities that arise. We continue to invest in building a more scalable business that enables us to integrate potential future acquisitions even better," says Erik Sandberg. 

 
Selected key figures 2022:

Major acquisition and organic growth drive strongest ever performance

Danish healthcare company, Orifarm, can celebrate an excellent result for 2021. Continued success in the parallel imports business and the EUR 615 million acquisition of 110 healthcare brands from Japanese Takeda, including the Danish brands Pamol and Kodimagnyl, have driven up operating profits by close to 40%.

For the family-owned pharmaceutical company, 2021 was the sixth consecutive year of top-line growth. Turnover rose 27% to DKK 10,54 billion (EUR 1,417 billion). Operating profit reached DKK 412.8 million (EUR 55.5 mill.) – 39% up on the previous financial year, despite the impact of DKK 183 million (EUR 25 million) in non-recurring costs due to the Takeda integration.

A year of challenges

CEO Erik Sandberg calls the results especially impressive for a year characterised by sourcing and supply chain constraints and increased price competition:

“It is amazing that, regardless of a major commercial Takeda product introduction last year involving many European countries, we delivered our best performance ever in our parallel import business. I am very proud of the effort of our 2,200 employees.”

The 2021 annual report also includes nine months with former Takeda brands since Odense-based Orifarm acquired 110 Takeda healthcare brands, including generics, vitamins and minerals by April 1, 2021.

Better access to healthcare

According to Erik Sandberg, the more diverse product range gives the company a robustness and resilience that makes it better positioned to achieve its ambition – to make affordable, high-quality healthcare as widely accessible as possible.

“Our one-stop-shop, with more than 5,000 pharmaceuticals, vitamins and minerals on our shelves, represents a strong combined offering to our customers, including pharmacies, consumers, hospitals and wholesalers. The Takeda integration has taken us to a new level of opportunities and is the latest chapter in Orifarm’s 27-year growth journey,” he says.

In 2022, Orifarm expects revenue growth of 5% to 10% and operating profit growth in the 10% to 20% range, as the full effect of the newly acquired product portfolio kicks in.

Further information is available from Communication Consultant, Trine Nielsen: geavr@bevsnez.pbz.

Orifarm Group is one of the largest Danish pharmaceutical companies with 2,200 employees in 13 countries and with an annual turnover of more than DKK 10 billion. Orifarm Group, headquartered in Odense, is Europe's largest parallel importer of pharmaceuticals and Denmark's largest supplier of pharmaceuticals. Every fifth product sold in Danish pharmacies comes from Orifarm. The company's purpose is to provide as many people as possible with access to cheaper quality medicine.

Key ratio - Orifarm Group (in million Euro)

Orifarm’s deal with Takeda, a global biopharma headquartered in Japan, has been finalized. With this, Orifarm becomes Denmark’s biggest supplier of medicines measured by the number of packages sold to pharmacies. The deal includes two factories, 600 employees, as well as more than 110 medicines and dietary supplements changing hands in what is one of Denmark’s largest M&A transactions in years. This puts well-known brands into Danish hands, creating even more jobs in Denmark and providing new business opportunities for Orifarm. All while Orifarm is once again publishing the best results in company history.

The transaction between Takeda and Orifarm of DKK 4.6 billion was first announced on 23 April 2020 pending regulatory approval, which has now been given.

Orifarm is already Europe’s largest parallel importer of pharmaceuticals. The acquisition triples production and sales of over-the-counter and prescription generics. With this, Orifarm becomes Denmark’s biggest producer of over-the-counter medicines, as well as the biggest Danish supplier of medicines measured by the number of packages sold to pharmacies.

“The deal is transformative for us. It provides added stability and gives us much more control over production lines,” says CEO Erik Sandberg, who is looking forward to welcoming the 600 new colleagues just after Easter.

Well-known brands in Danish hands

Among the 110 medicines and supplements Orifarm is acquiring are numerous well-known brands like Kodimagnyl, Pamol and Zymelin.

“Originally, Kodimagnyl and Pamol were Danish-owned brands. Now they are coming home again, and when we buy them at the pharmacy and elsewhere, we know that these brands contribute to the creation of Danish jobs and tax revenue once again. I think that’s nice to know,” says Erik Sandberg.

150 new jobs in Denmark

The purchase includes two very modern factories. One in Łyszkowice in Poland and one in Hobro including 600 employees, and more are needed.

“We’re taking on production and sales employees. However, we lack personnel in all support positions that are not part of the acquisition. That in itself creates 150 new jobs,” says Erik Sandberg. Recruitment and employment are in full swing, just as the head office in Odense is being expanded by 14,000 m², and a new office in Søborg north of Copenhagen has been opened as well.

Historic deal for Orifarm

For Orifarm’s founder, owner and chairman, Hans Bøgh-Sørensen, the deal is historic.

“We future-proof Orifarm, cement our strong position in the Nordic market while expanding significantly in the northern European markets for generics. We expect a lot from Poland in particular, which is a new market for us,” says Hans Bøgh-Sørensen.

Following the acquisition from Takeda, Orifarm now employs about 1,900 people, of whom roughly 450 are based at the head office in Odense.

Best results

Orifarm’s good results over the past several years have equipped the company for the big purchase. The completed deal coincides with the publishing of Orifarm’s 2020 accounts. The results are the best in the company’s history.

Revenue has risen to EUR 1,115 million – up 14% from 2019. Earnings before tax excluding acquisition costs have increased to EUR 51.4 million, an increase of 12%.

“In 2019, we delivered the best result in the company’s 25-year history. Now we have managed to beat the result in a very challenging year defined by Covid-19. This is due to the enormous and dedicated effort of all our employees. And this effort enables the company to grow continuously,” says Erik Sandberg.

For further information, please contact: CEO Erik Sandberg tel. +45 2265 0121

In future, when you buy Kodimagnyl, Pamol, or Zymelin from your local pharmacy, these products will be brought to market by the Danish-owned Orifarm. This is the result of one of the largest M&A transactions this year between Orifarm and Takeda, a global biopharma headquartered in Japan,  and today the deal is finally closed with the approval from the Danish Competition Authorities. With this, Orifarm becomes Denmark’s biggest supplier of medicines measured by the number of packages sold to pharmacies.

“Originally, Kodimagnyl and Pamol were Danish-owned brands. Now they are coming home again, and when we buy them at the pharmacy and elsewhere, we know that these brands contribute to the creation of Danish jobs and tax revenue once again. I think that’s nice to know,” says Erik Sandberg.

Orifarm acquires 110 medicines and supplements from Takeda.

150 new jobs in Denmark

The many new jobs are created right away. The purchase includes two very modern factories. One in Łyszkowice in Poland and one in Hobro including 600 employees, and more are needed.

“We’re taking on production and sales employees. However, we lack personnel in all support positions that are not part of the acquisition. That in itself creates 150 new jobs,” says Erik Sandberg. Recruitment and employment are in full swing, just as the head office in Odense is being expanded by 14,000 m2, and a new office in Søborg north of Copenhagen has been opened as well.

Orifarm is already Europe’s largest parallel importer of pharmaceuticals. The acquisition triples production and sales of over-the-counter and prescription generics. With this, Orifarm becomes Denmark’s biggest producer of over-the-counter medicines, as well as the biggest Danish supplier of medicines measured by the number of packages sold to pharmacies.

Historic deal for Orifarm

For Orifarm’s founder, owner and chairman, Hans Bøgh-Sørensen, the deal is historic.

“We future-proof Orifarm, cement our strong position in the Nordic market while expanding significantly in the northern European markets for generics. We expect a lot from Poland in particular, which is a new market for us,” says Hans Bøgh-Sørensen.

Following the acquisition from Takeda, Orifarm now employs about 1,900 people, of whom roughly 450 are based at the head office in Odense.

Best results

Orifarm’s good results over the past several years have equipped the company for the big purchase. The completed deal coincides with the publishing of Orifarm’s 2020 accounts. The results are the best in the company’s history.

For further information, please contact: CEO Erik Sandberg tel. +45 2265 0121

With more than 1 billion EUR in turnover, the Odense based pharmaceutical company Orifarm can look back at 2020 as yet another record-breaking year. 2020 also marked the company’s 25th anniversary and included the company’s largest acquisition in history. Turnover increased 14% compared to 2019 and profit before tax excl. non-recurring items reached 51.4 million EUR, corresponding to a rise of 12% compared to the previous financial year.

Orifarm’s growth for the fifth consecutive year is the result of a rise in sales of both parallel imported pharmaceuticals and generic pharmaceuticals. While sales of parallel imported pharmaceuticals constituted the largest share of the total turnover of 1,115 million EUR, sales of generic pharmaceuticals accounted for nearly 40% of the profit before tax in 2020.

Orifarm’s CEO Erik Sandberg is pleased with the result and aware that it happens against a dark backdrop.

“We cannot look back at 2020 without thinking about the COVID-19 virus, which hit many people, businesses, and societies hard. It is only thanks to the resilience, engagement, commitment, and flexibility of all of Orifarm’s employees that we  managed to continue our growth journey and to seize opportunities such as the acquisition of the Takeda assets. As a result of our combined efforts, we came out of 2020, where we also celebrated our 25^th anniversary, stronger than ever”, says CEO Erik Sandberg.

The year 2020 also marked the completion of the next step of the succession of Orifarm, where the owner of Orifarm Hans Bøgh-Sørensen transferred further shares to his three children Christian, Anne-Charlotte, and Andreas Bøgh-Sørensen to ensure that Orifarm will remain in the family’s ownership in future generations. Further, Hans Bøgh-Sørensen took over as Chairman of the Board of Directors.

Further growth and a more balanced business portfolio

Orifarm expects to achieve further organic growth within its two main business areas over the next years. In 2020, the business sold more than 28.3 million units of pharmaceuticals and healthcare products, representing an increase of 8.8% compared to 2019.

Meanwhile, the acquisition of Takeda, including more than 100 products, two production facilities, and above 600 employees, will reinforce Orifarm’s position in key markets and expand its geographical reach to new markets. It will also lead to a more balanced business portfolio by making the parallel import of pharmaceuticals and the sales and production of prescription pharmaceuticals and over the counter (OTC) products equally important going forward.

“In Orifarm’s 25 years of history, the owner family has always focused on creating a robust company. The acquisition of the Takeda assets is a real gamechanger for us, which will provide a larger portfolio of products and ensure a better balance between our business areas. As a result, we are in an even better position to handle future market fluctuations and unforeseen events such as COVID-19”, says CEO Erik Sandberg.

Outlook for 2021

For 2021, Orifarm Group A/S expects revenue growth in the range of 10-15% and an operating profit growth in the range of 60-70%.

For further information, please contact: CEO Erik Sandberg tel. +45 2265 0121

Key ratio – Orifarm Group (in million EUR)

Download Annual Report here.

Die Orifarm Group („Orifarm“), eines der führenden Pharmaunternehmen der Nordregion, hat eine Vereinbarung zur Übernahme eines Portfolios ausgewählter rezeptfreier und verschreibungspflichtiger Arzneimittelprodukte, die in Europa von Takeda Pharmaceutical Company Limited („Takeda“) verkauft werden, zum Preis von bis zu 615 Millionen € unterzeichnet. Die Orifarm Group hat die Rechte an ca. 110 Arzneimitteln sowie zwei Produktionsstätten erworben.

Pressemitteilung

The Odense based pharmaceutical company Orifarm is presenting a new record-breaking annual report with the highest turnover and earnings in the company’s 25-year history.

In 2019, the turnover of the Orifarm Group reached MEUR 982. An 18% increase compared to the record-breaking year 2018. Profit before tax in 2019 reached MEUR 45.4 corresponding to a rise of 30% compared to the previous record from the financial year 2018.

The progress in 2019 is mainly attributable to a strong sales growth of parallel imported pharmaceuticals at the German market, which is also Orifarm’s largest market. Orifarm increased its market share and generated both higher turnover and earnings. Also generic pharmaceuticals showed progress where in particular the Norwegian market grew.

For Orifarm’s CEO Erik Sandberg the result is more than approved.

- We have all worked hard and been careful not to rest on the laurels from last year’s result, and I am proud of the result we have achieved as a team. In addition to the awesome result we have also implemented a number of digitalization projects in our operation, which will make us even more competitive in the future. A future, of which we have high hopes. 

Targets of continued growth

Orifarm Group has ambitions to continue the growth in the next few years. There is still a lot of potential within the two existing business areas, parallel imported pharmaceuticals and sale of generic pharmaceuticals. All in all, Orifarm has sold more than 26 million boxes of medicine in 2019. This entails another record for Orifarm.

In 2019, operating income increased by MEUR 7.8 to MEUR 48.1.

The parallel import business has not only increased the turnover in Germany, but also in Finland, Austria, and United Kingdom. However, the exchange rates in especially United Kingdom and Sweden have affected the earnings unfavorable.

The sale of generic pharmaceuticals in the Nordic countries has also been in clear progress in 2019, where turnover has increased with nearly 8%. 

Acquisition – a part of the growth strategy

Contemporary with the growth of the present business, Orifarm Group acquired the London based company Pilatus Comparator Solutions during summer 2019. Pilatus adds new business areas like comparator sourcing and unlicensed medicines to Orifarm Group.

- The acquisition of Pilatus is an example of the fact, that we keep a close eye on possible acquisitions which have synergies in terms of our present business areas. Pilatus has added some new activities, which we are about to develop and which we can infuse with a lot of muscle work with our comprehensive experience in parallel import, says Orifarm’s CEO Erik Sandberg. 

Outlook for 2020

Orifarm Group’s target is a minor growth in revenue in 2020 and retention of earnings at 2019 level. 

For further information, please contact:

Communication Manager, Andreas Lykke Sognstrup, tel. +45 3012 2351
CEO, Orifarm Group A/S, Erik Sandberg, tel. +45 2265 0121 

Key ratio – Orifarm Group (in MEUR)

Facts about Orifarm Group
Orifarm Group is the largest supplier of parallel imported pharmaceuticals in Europe and one of the largest suppliers of pharmaceuticals in Denmark. The Group is engaged in parallel import of medicines from the EU/EEA which are sold to Denmark, Norway, Sweden, Finland, Germany, The Netherlands, Austria, United Kingdom, and Belgium.

In addition to this, the Group is engaged in the sale of generic pharmaceuticals in the Nordic countries. A generic pharmaceuticals contain the same effects as the original pharmaceutical. However, the effect is no longer subject to patent and therefore the generic pharmaceutical can be produced and marketed at a lower price than the corresponding original pharmaceutical.

Orifarm Group has its headquarters in Odense and the entire Group employs close to 1,200 people today, of which around 360 in Odense.

The Odense based pharmaceutical company Orifarm is presenting a new record-breaking annual report with the highest turnover and earnings in the company’s 25-year history.

In 2019, the turnover of the Orifarm Group reached MEUR 982. An 18% increase compared to the record-breaking year 2018. Profit before tax in 2019 reached MEUR 45.4 corresponding to a rise of 30% compared to the previous record from the financial year 2018.

The progress in 2019 is mainly attributable to a strong sales growth of parallel imported pharmaceuticals at the German market, which is also Orifarm’s largest market. Orifarm increased its market share and generated both higher turnover and earnings. Also generic pharmaceuticals showed progress where in particular the Norwegian market grew.

For Orifarm’s CEO Erik Sandberg the result is more than approved.

- We have all worked hard and been careful not to rest on the laurels from last year’s result, and I am proud of the result we have achieved as a team. In addition to the awesome result we have also implemented a number of digitalization projects in our operation, which will make us even more competitive in the future. A future, of which we have high hopes. 

Targets of continued growth

Orifarm Group has ambitions to continue the growth in the next few years. There is still a lot of potential within the two existing business areas, parallel imported pharmaceuticals and sale of generic pharmaceuticals. All in all, Orifarm has sold more than 26 million boxes of medicine in 2019. This entails another record for Orifarm.

In 2019, operating income increased by MEUR 7.8 to MEUR 48.1.

The parallel import business has not only increased the turnover in Germany, but also in Finland, Austria, and United Kingdom. However, the exchange rates in especially United Kingdom and Sweden have affected the earnings unfavorable.

The sale of generic pharmaceuticals in the Nordic countries has also been in clear progress in 2019, where turnover has increased with nearly 8%. 

Acquisition – a part of the growth strategy

Contemporary with the growth of the present business, Orifarm Group acquired the London based company Pilatus Comparator Solutions during summer 2019. Pilatus adds new business areas like comparator sourcing and unlicensed medicines to Orifarm Group.

- The acquisition of Pilatus is an example of the fact, that we keep a close eye on possible acquisitions which have synergies in terms of our present business areas. Pilatus has added some new activities, which we are about to develop and which we can infuse with a lot of muscle work with our comprehensive experience in parallel import, says Orifarm’s CEO Erik Sandberg. 

Outlook for 2020

Orifarm Group’s target is a minor growth in revenue in 2020 and retention of earnings at 2019 level. 

For further information, please contact:

Communication Manager, Andreas Lykke Sognstrup, tel. +45 3012 2351
CEO, Orifarm Group A/S, Erik Sandberg, tel. +45 2265 0121 

Key ratio – Orifarm Group (in MEUR)

Facts about Orifarm Group
Orifarm Group is the largest supplier of parallel imported pharmaceuticals in Europe and one of the largest suppliers of pharmaceuticals in Denmark. The Group is engaged in parallel import of medicines from the EU/EEA which are sold to Denmark, Norway, Sweden, Finland, Germany, The Netherlands, Austria, United Kingdom, and Belgium.

In addition to this, the Group is engaged in the sale of generic pharmaceuticals in the Nordic countries. A generic pharmaceuticals contain the same effects as the original pharmaceutical. However, the effect is no longer subject to patent and therefore the generic pharmaceutical can be produced and marketed at a lower price than the corresponding original pharmaceutical.

Orifarm Group has its headquarters in Odense and the entire Group employs close to 1,200 people today, of which around 360 in Odense.

The Odense based pharmaceutical company Orifarm is presenting a new record-breaking annual report with the highest turnover and earnings in the company’s 25-year history.

In 2019, the turnover of the Orifarm Group reached MEUR 982. An 18% increase compared to the record-breaking year 2018. Profit before tax in 2019 reached MEUR 45.4 corresponding to a rise of 30% compared to the previous record from the financial year 2018.

The progress in 2019 is mainly attributable to a strong sales growth of parallel imported pharmaceuticals at the German market, which is also Orifarm’s largest market. Orifarm increased its market share and generated both higher turnover and earnings. Also generic pharmaceuticals showed progress where in particular the Norwegian market grew.

For Orifarm’s CEO Erik Sandberg the result is more than approved.

- We have all worked hard and been careful not to rest on the laurels from last year’s result, and I am proud of the result we have achieved as a team. In addition to the awesome result we have also implemented a number of digitalization projects in our operation, which will make us even more competitive in the future. A future, of which we have high hopes. 

Targets of continued growth

Orifarm Group has ambitions to continue the growth in the next few years. There is still a lot of potential within the two existing business areas, parallel imported pharmaceuticals and sale of generic pharmaceuticals. All in all, Orifarm has sold more than 26 million boxes of medicine in 2019. This entails another record for Orifarm.

In 2019, operating income increased by MEUR 7.8 to MEUR 48.1.

The parallel import business has not only increased the turnover in Germany, but also in Finland, Austria, and United Kingdom. However, the exchange rates in especially United Kingdom and Sweden have affected the earnings unfavorable.

The sale of generic pharmaceuticals in the Nordic countries has also been in clear progress in 2019, where turnover has increased with nearly 8%. 

Acquisition – a part of the growth strategy

Contemporary with the growth of the present business, Orifarm Group acquired the London based company Pilatus Comparator Solutions during summer 2019. Pilatus adds new business areas like comparator sourcing and unlicensed medicines to Orifarm Group.

- The acquisition of Pilatus is an example of the fact, that we keep a close eye on possible acquisitions which have synergies in terms of our present business areas. Pilatus has added some new activities, which we are about to develop and which we can infuse with a lot of muscle work with our comprehensive experience in parallel import, says Orifarm’s CEO Erik Sandberg. 

Outlook for 2020

Orifarm Group’s target is a minor growth in revenue in 2020 and retention of earnings at 2019 level. 

For further information, please contact:

Communication Manager, Andreas Lykke Sognstrup, tel. +45 3012 2351
CEO, Orifarm Group A/S, Erik Sandberg, tel. +45 2265 0121 

Key ratio – Orifarm Group (in MEUR)

Facts about Orifarm Group
Orifarm Group is the largest supplier of parallel imported pharmaceuticals in Europe and one of the largest suppliers of pharmaceuticals in Denmark. The Group is engaged in parallel import of medicines from the EU/EEA which are sold to Denmark, Norway, Sweden, Finland, Germany, The Netherlands, Austria, United Kingdom, and Belgium.

In addition to this, the Group is engaged in the sale of generic pharmaceuticals in the Nordic countries. A generic pharmaceuticals contain the same effects as the original pharmaceutical. However, the effect is no longer subject to patent and therefore the generic pharmaceutical can be produced and marketed at a lower price than the corresponding original pharmaceutical.

Orifarm Group has its headquarters in Odense and the entire Group employs close to 1,200 people today, of which around 360 in Odense.

For Orifarm, 2018 was a fantastic year. In fact, the best in the company's nearly 25-year history. Every day, the employees work hard to challenge the pharmaceutical market to provide cheaper pharmaceuticals to millions of consumers in Europe. And the employees do it well. In 2018, Orifarm Group sold more than 25 million products - or approx. 7% more products than in 2017, and this has resulted in record turnover and earnings.

This week, Orifarm Group releases its 2018 Annual Report and the result beats all former company records. The Group's revenue increased by 4.7 % in 2018 to MEUR 833. Operating income excl. non-recurring items increased by MEUR 6.5 to MEUR 40.3, and earnings before tax increased to  record high MEUR 34.9. A very satisfactory result for the Group, which also exceeds the expectations.

Erik Sandberg, who officially took over as CEO in January 2019, says:

“In many ways, 2018 has been a fantastic year for us. A year where we have met lots of challenges in the markets, and where we have been through a major reorganization internally. Nevertheless, we have succeeded in creating great results for the Group together. It proves our willingness and ability to make a difference - for consumers, society and the company. All employees can be proud of what we achieved together in 2018, as it would not have happened without them.”

More consumers have bought Orifarm's products

The Group's financial growth was especially generated in the parallel import business, which repackages and sells pharmaceutical products within the EU / EEA. The parallel import business sold 11 % more products in 2018 compared to 2017, which led to growth in both revenue and earnings in 2018.

The 2018 revenue from parallel imported products totalled MEUR 756. This is an increase of 4.9 % compared to 2017. The result of main activities excl. non-recurring items increased by MEUR 8.0 to MEUR 34.2.

In spite of intense competition in 2018, Orifarm succeeded in generating great results in Germany, which is the Group's largest market, as well as in Denmark, the Netherlands and Austria.

In Sweden, the Group's earnings has been under pressure due to the Swedish currency exchange rate, but Orifarm maintained its position at the Swedish market. The parallel import business sold more products in the UK in 2018 compared to the previous year, but the weak British currency puts pressure on the profit.

The Group's other business area, the generic pharmaceuticals, had a difficult year with stagnation in revenue and decreasing income. Nevertheless, the generic pharmaceuticals sold 4 % more products in 2018 compared to the year before.

Challenging market conditions and challenges in maintaining a stable supply of few, and normally well performing products, put pressure on the Group's revenue and earnings from the generic products.

Operating income fell by MEUR 2.6 to MEUR 9.7, however, it was possible to maintain revenue at the same level as in 2017 (MEUR 9.7).

“We have done well in 2018 in difficult conditions, and we have the ambition and the belief in being able to continue growth and a positive development for Orifarm. But we are also realistic and 2019 will be at least as challenging as 2018, characterized by strong competition at all Orifarm's markets. But we have so many skilled employees who drive Orifarm forward. Therefore, I am confident that together we can meet the common goals for 2019,” says Erik Sandberg, CEO at Orifarm Group.

Expectations for 2019

For 2019, Orifarm Group has a target of revenue growth in the range of 3-6 % and an operating income at 2018 level. 

For more information, please contact:

Communication Manager, Andreas Lykke Sognstrup, tel. +45 3012 2351

CEO, Orifarm Group A/S, Erik Sandberg, tel. +45 2265 0121

Key figures, Orifarm Group (in MEUR)

Facts about Orifarm Group

Orifarm Group is the largest parallel importer of pharmaceuticals in Europe and one of the largest suppliers of pharmaceuticals in Denmark. The Group comprises a number of companies engaged in import, production, re-packaging, distribution, registration and sales of pharmaceuticals. The Group is engaged in parallel importing of pharmaceuticals from EU countries, which are sold in Denmark, Norway, Sweden, Finland, Germany, Holland, Austria and the United Kingdom.

Additionally, the Group is engaged in the sales of generic pharmaceuticals in the Nordics. A generic product contains the same active ingredients as the original product. The active ingredients are, however, no longer patented, and the generic drug can therefore be produced and sold at a lower price than the original.

The Orifarm Group headquarters are in Odense, Denmark. The Group employs approximately 1.200 people.

For Orifarm, 2018 was a fantastic year. In fact, the best in the company's nearly 25-year history. Every day, the employees work hard to challenge the pharmaceutical market to provide cheaper pharmaceuticals to millions of consumers in Europe. And the employees do it well. In 2018, Orifarm Group sold more than 25 million products - or approx. 7% more products than in 2017, and this has resulted in record turnover and earnings.

This week, Orifarm Group releases its 2018 Annual Report and the result beats all former company records. The Group's revenue increased by 4.7 % in 2018 to MEUR 833. Operating income excl. non-recurring items increased by MEUR 6.5 to MEUR 40.3, and earnings before tax increased to  record high MEUR 34.9. A very satisfactory result for the Group, which also exceeds the expectations.

Erik Sandberg, who officially took over as CEO in January 2019, says:

“In many ways, 2018 has been a fantastic year for us. A year where we have met lots of challenges in the markets, and where we have been through a major reorganization internally. Nevertheless, we have succeeded in creating great results for the Group together. It proves our willingness and ability to make a difference - for consumers, society and the company. All employees can be proud of what we achieved together in 2018, as it would not have happened without them.”

More consumers have bought Orifarm's products

The Group's financial growth was especially generated in the parallel import business, which repackages and sells pharmaceutical products within the EU / EEA. The parallel import business sold 11 % more products in 2018 compared to 2017, which led to growth in both revenue and earnings in 2018.

The 2018 revenue from parallel imported products totalled MEUR 756. This is an increase of 4.9 % compared to 2017. The result of main activities excl. non-recurring items increased by MEUR 8.0 to MEUR 34.2.

In spite of intense competition in 2018, Orifarm succeeded in generating great results in Germany, which is the Group's largest market, as well as in Denmark, the Netherlands and Austria.

In Sweden, the Group's earnings has been under pressure due to the Swedish currency exchange rate, but Orifarm maintained its position at the Swedish market. The parallel import business sold more products in the UK in 2018 compared to the previous year, but the weak British currency puts pressure on the profit.

The Group's other business area, the generic pharmaceuticals, had a difficult year with stagnation in revenue and decreasing income. Nevertheless, the generic pharmaceuticals sold 4 % more products in 2018 compared to the year before.

Challenging market conditions and challenges in maintaining a stable supply of few, and normally well performing products, put pressure on the Group's revenue and earnings from the generic products.

Operating income fell by MEUR 2.6 to MEUR 9.7, however, it was possible to maintain revenue at the same level as in 2017 (MEUR 9.7).

“We have done well in 2018 in difficult conditions, and we have the ambition and the belief in being able to continue growth and a positive development for Orifarm. But we are also realistic and 2019 will be at least as challenging as 2018, characterized by strong competition at all Orifarm's markets. But we have so many skilled employees who drive Orifarm forward. Therefore, I am confident that together we can meet the common goals for 2019,” says Erik Sandberg, CEO at Orifarm Group.

Expectations for 2019

For 2019, Orifarm Group has a target of revenue growth in the range of 3-6 % and an operating income at 2018 level. 

For more information, please contact:

Communication Manager, Andreas Lykke Sognstrup, tel. +45 3012 2351

CEO, Orifarm Group A/S, Erik Sandberg, tel. +45 2265 0121

Key figures, Orifarm Group (in MEUR)

Facts about Orifarm Group

Orifarm Group is the largest parallel importer of pharmaceuticals in Europe and one of the largest suppliers of pharmaceuticals in Denmark. The Group comprises a number of companies engaged in import, production, re-packaging, distribution, registration and sales of pharmaceuticals. The Group is engaged in parallel importing of pharmaceuticals from EU countries, which are sold in Denmark, Norway, Sweden, Finland, Germany, Holland, Austria and the United Kingdom.

Additionally, the Group is engaged in the sales of generic pharmaceuticals in the Nordics. A generic product contains the same active ingredients as the original product. The active ingredients are, however, no longer patented, and the generic drug can therefore be produced and sold at a lower price than the original.

The Orifarm Group headquarters are in Odense, Denmark. The Group employs approximately 1.200 people.

For Orifarm, 2018 was a fantastic year. In fact, the best in the company's nearly 25-year history. Every day, the employees work hard to challenge the pharmaceutical market to provide cheaper pharmaceuticals to millions of consumers in Europe. And the employees do it well. In 2018, Orifarm Group sold more than 25 million products - or approx. 7% more products than in 2017, and this has resulted in record turnover and earnings.

This week, Orifarm Group releases its 2018 Annual Report and the result beats all former company records. The Group's revenue increased by 4.7 % in 2018 to MEUR 833. Operating income excl. non-recurring items increased by MEUR 6.5 to MEUR 40.3, and earnings before tax increased to  record high MEUR 34.9. A very satisfactory result for the Group, which also exceeds the expectations.

Erik Sandberg, who officially took over as CEO in January 2019, says:

“In many ways, 2018 has been a fantastic year for us. A year where we have met lots of challenges in the markets, and where we have been through a major reorganization internally. Nevertheless, we have succeeded in creating great results for the Group together. It proves our willingness and ability to make a difference - for consumers, society and the company. All employees can be proud of what we achieved together in 2018, as it would not have happened without them.”

More consumers have bought Orifarm's products

The Group's financial growth was especially generated in the parallel import business, which repackages and sells pharmaceutical products within the EU / EEA. The parallel import business sold 11 % more products in 2018 compared to 2017, which led to growth in both revenue and earnings in 2018.

The 2018 revenue from parallel imported products totalled MEUR 756. This is an increase of 4.9 % compared to 2017. The result of main activities excl. non-recurring items increased by MEUR 8.0 to MEUR 34.2.

In spite of intense competition in 2018, Orifarm succeeded in generating great results in Germany, which is the Group's largest market, as well as in Denmark, the Netherlands and Austria.

In Sweden, the Group's earnings has been under pressure due to the Swedish currency exchange rate, but Orifarm maintained its position at the Swedish market. The parallel import business sold more products in the UK in 2018 compared to the previous year, but the weak British currency puts pressure on the profit.

The Group's other business area, the generic pharmaceuticals, had a difficult year with stagnation in revenue and decreasing income. Nevertheless, the generic pharmaceuticals sold 4 % more products in 2018 compared to the year before.

Challenging market conditions and challenges in maintaining a stable supply of few, and normally well performing products, put pressure on the Group's revenue and earnings from the generic products.

Operating income fell by MEUR 2.6 to MEUR 9.7, however, it was possible to maintain revenue at the same level as in 2017 (MEUR 9.7).

“We have done well in 2018 in difficult conditions, and we have the ambition and the belief in being able to continue growth and a positive development for Orifarm. But we are also realistic and 2019 will be at least as challenging as 2018, characterized by strong competition at all Orifarm's markets. But we have so many skilled employees who drive Orifarm forward. Therefore, I am confident that together we can meet the common goals for 2019,” says Erik Sandberg, CEO at Orifarm Group.

Expectations for 2019

For 2019, Orifarm Group has a target of revenue growth in the range of 3-6 % and an operating income at 2018 level. 

For more information, please contact:

Communication Manager, Andreas Lykke Sognstrup, tel. +45 3012 2351

CEO, Orifarm Group A/S, Erik Sandberg, tel. +45 2265 0121

Key figures, Orifarm Group (in MEUR)

Facts about Orifarm Group

Orifarm Group is the largest parallel importer of pharmaceuticals in Europe and one of the largest suppliers of pharmaceuticals in Denmark. The Group comprises a number of companies engaged in import, production, re-packaging, distribution, registration and sales of pharmaceuticals. The Group is engaged in parallel importing of pharmaceuticals from EU countries, which are sold in Denmark, Norway, Sweden, Finland, Germany, Holland, Austria and the United Kingdom.

Additionally, the Group is engaged in the sales of generic pharmaceuticals in the Nordics. A generic product contains the same active ingredients as the original product. The active ingredients are, however, no longer patented, and the generic drug can therefore be produced and sold at a lower price than the original.

The Orifarm Group headquarters are in Odense, Denmark. The Group employs approximately 1.200 people.

Orifarm Group manages to provide cheaper pharmaceuticals to millions of consumers in Europe while earning money to invest in future activities. Despite fierce competition, Orifarm closes its fiscal year 2017 with an annual result showing 10 percent growth in net turnover and the second best earnings in the history of the company.

This week Orifarm Group presents the financial statement of 2017 and the Danish-owned pharmaceutical company continues to do well. The Group's net turnover increased by 10 percent to EUR 797 million in 2017, the result of main activities rose to EUR 34 million and the result before tax increased to EUR 29 million.

Lower priced parallel imported products are the main driver

The improved Orifarm Group results are in particular due to the parallel import business handled by Orifarm Parallel Import. The business division showed a positive development and reasonable results throughout mature as well as new markets. Orifarm Parallel Import, which repackages and sells pharmaceuticals within the EU - and constitutes the largest of the two business areas - accounts for a net turnover of EUR 720 million. This is an increase in net turnover of 11 percent when compared to 2016. Results of main activities excl. non-recurring items rose by EUR 4.2 million to EUR 26.2 million.

Generic products, which are the Group's second business area and handled by Orifarm Generics, completed 2017 with a slight decline in net turnover as well as earnings. Net turnover for 2017 ended at EUR 77 million, which represents a decrease of EUR 2 million when compared to 2016. Results of main activities excl. non-recurring items decreased by EUR 2 million to EUR 12.3 million. The 2017 results follow several years of strong growth in Orifarm Generics, and Orifarm Group is now investing significantly to ensure future growth in the business area.

President and CEO Hans Bøgh-Sørensen is very satisfied with the 2017 Group result:

"In 2017, the parallel import business has performed very well. It is an area of fierce competition among many companies. Consequently, it requires a dedicated and focused organization with ambitious employees who understand how to make a good deal on behalf of society, consumers and Orifarm”, he says, continuing: "our mission is to challenge the pharmaceutical market to ensure a ‘better deal’ for all and, of course, I am happy to see when we succeed in doing this."

Especially Germany, Orifarm's largest single market for parallel imported products, has contributed significantly to the excellent result, despite the intense competition and the same applies to Denmark. Orifarm is also successful in gaining ground in the new markets. In particular, the Netherlands and Austria contributed positively to the results in 2017.

Orifarm Group invests further in generic products

After several years of great success and significant growth within generic products, 2017 became a more even year for Orifarm Generics. Orifarm Generics performed well during the first half of 2017 in Denmark and Sweden, but faced fierce price competition in the second half of 2017 in both countries. However, the management of Orifarm Group remains fully confident that the generic business also has an important role to play in the future. Hans Bøgh-Sørensen elaborates:

"We are convinced that also in the future we can make a big difference for consumers within generics - both in Denmark and in other markets as well. Therefore, the Group is investing heavily in Orifarm Generics' future growth, for instance in an extension of the laboratory at the location in Skælskør, Denmark. In Skælskør, employees work hard to develop new products, which we then produce and sell at favorable prices."

The location in Skælskør houses Viminco, which employs approximately 100 employees. Orifarm Group aquired Viminco in 2015 as part of an increased strategic focus on retail medicine and niche products.

Synergies support future growth

Orifarm is an ambitious company that strives to achieve even better results. In order to ensure the right foundation for future growth, Orifarm has just begun restructuring the company. Hans Bøgh-Sørensen says:

“We see many changes in Orifarm´s environment these years and our business is developing rapidly. As responsible managers, we must always ensure that the company and the employees are well equipped to meet the challenges of the future. Therefore, we have just decided to break down the silos internally and merge the two business areas to a higher degree than we have had so far. In this way, we expect to benefit from the many synergies that exist across the two business areas, thus creating a solid foundation for further growth in the Group."

Orifarm Group expects activity and results for 2018 to be at same level as 2017.
 

For more information, please contact:

Deputy CEO, Orifarm Group A/S, Erik Sandberg at +45 22 65 01 21.
Corporate Communications at +45 22 65 01 22.

2017 financial highlights

Key figures, Orifarm Group (in MEUR)

Facts about Orifarm Group

Orifarm Group is the largest parallel importer of pharmaceuticals in Europe and the largest supplier of pharmaceuticals in Denmark. The Group comprises a number of companies engaged in import, production, re-packaging, distribution, registration and sales of pharmaceuticals. The Group is engaged in parallel importing of pharmaceuticals from EU countries, which are sold in Denmark, Norway, Sweden, Finland, Germany, Holland, Austria and the United Kingdom. Additionally, the Group is engaged in the sales of generic pharmaceuticals in the Nordics. A generic product contains the same active ingredients as the original product. The active ingredients are, however, no longer patented, and the generic drug can therefore be produced and sold at a lower price than the original.

The Orifarm Group headquarters are in Odense, Denmark. The Group employs approximately 1.100 employees.

Orifarm Group manages to provide cheaper pharmaceuticals to millions of consumers in Europe while earning money to invest in future activities. Despite fierce competition, Orifarm closes its fiscal year 2017 with an annual result showing 10 percent growth in net turnover and the second best earnings in the history of the company.

This week Orifarm Group presents the financial statement of 2017 and the Danish-owned pharmaceutical company continues to do well. The Group's net turnover increased by 10 percent to EUR 797 million in 2017, the result of main activities rose to EUR 34 million and the result before tax increased to EUR 29 million.

Lower priced parallel imported products are the main driver

The improved Orifarm Group results are in particular due to the parallel import business handled by Orifarm Parallel Import. The business division showed a positive development and reasonable results throughout mature as well as new markets. Orifarm Parallel Import, which repackages and sells pharmaceuticals within the EU - and constitutes the largest of the two business areas - accounts for a net turnover of EUR 720 million. This is an increase in net turnover of 11 percent when compared to 2016. Results of main activities excl. non-recurring items rose by EUR 4.2 million to EUR 26.2 million.

Generic products, which are the Group's second business area and handled by Orifarm Generics, completed 2017 with a slight decline in net turnover as well as earnings. Net turnover for 2017 ended at EUR 77 million, which represents a decrease of EUR 2 million when compared to 2016. Results of main activities excl. non-recurring items decreased by EUR 2 million to EUR 12.3 million. The 2017 results follow several years of strong growth in Orifarm Generics, and Orifarm Group is now investing significantly to ensure future growth in the business area.

President and CEO Hans Bøgh-Sørensen is very satisfied with the 2017 Group result:

"In 2017, the parallel import business has performed very well. It is an area of fierce competition among many companies. Consequently, it requires a dedicated and focused organization with ambitious employees who understand how to make a good deal on behalf of society, consumers and Orifarm”, he says, continuing: "our mission is to challenge the pharmaceutical market to ensure a ‘better deal’ for all and, of course, I am happy to see when we succeed in doing this."

Especially Germany, Orifarm's largest single market for parallel imported products, has contributed significantly to the excellent result, despite the intense competition and the same applies to Denmark. Orifarm is also successful in gaining ground in the new markets. In particular, the Netherlands and Austria contributed positively to the results in 2017.

Orifarm Group invests further in generic products

After several years of great success and significant growth within generic products, 2017 became a more even year for Orifarm Generics. Orifarm Generics performed well during the first half of 2017 in Denmark and Sweden, but faced fierce price competition in the second half of 2017 in both countries. However, the management of Orifarm Group remains fully confident that the generic business also has an important role to play in the future. Hans Bøgh-Sørensen elaborates:

"We are convinced that also in the future we can make a big difference for consumers within generics - both in Denmark and in other markets as well. Therefore, the Group is investing heavily in Orifarm Generics' future growth, for instance in an extension of the laboratory at the location in Skælskør, Denmark. In Skælskør, employees work hard to develop new products, which we then produce and sell at favorable prices."

The location in Skælskør houses Viminco, which employs approximately 100 employees. Orifarm Group aquired Viminco in 2015 as part of an increased strategic focus on retail medicine and niche products.

Synergies support future growth

Orifarm is an ambitious company that strives to achieve even better results. In order to ensure the right foundation for future growth, Orifarm has just begun restructuring the company. Hans Bøgh-Sørensen says:

“We see many changes in Orifarm´s environment these years and our business is developing rapidly. As responsible managers, we must always ensure that the company and the employees are well equipped to meet the challenges of the future. Therefore, we have just decided to break down the silos internally and merge the two business areas to a higher degree than we have had so far. In this way, we expect to benefit from the many synergies that exist across the two business areas, thus creating a solid foundation for further growth in the Group."

Orifarm Group expects activity and results for 2018 to be at same level as 2017.
 

For more information, please contact:

Deputy CEO, Orifarm Group A/S, Erik Sandberg at +45 22 65 01 21.
Corporate Communications at +45 22 65 01 22.

2017 financial highlights

Key figures, Orifarm Group (in MEUR)

Facts about Orifarm Group

Orifarm Group is the largest parallel importer of pharmaceuticals in Europe and the largest supplier of pharmaceuticals in Denmark. The Group comprises a number of companies engaged in import, production, re-packaging, distribution, registration and sales of pharmaceuticals. The Group is engaged in parallel importing of pharmaceuticals from EU countries, which are sold in Denmark, Norway, Sweden, Finland, Germany, Holland, Austria and the United Kingdom. Additionally, the Group is engaged in the sales of generic pharmaceuticals in the Nordics. A generic product contains the same active ingredients as the original product. The active ingredients are, however, no longer patented, and the generic drug can therefore be produced and sold at a lower price than the original.

The Orifarm Group headquarters are in Odense, Denmark. The Group employs approximately 1.100 employees.

Orifarm Group manages to provide cheaper pharmaceuticals to millions of consumers in Europe while earning money to invest in future activities. Despite fierce competition, Orifarm closes its fiscal year 2017 with an annual result showing 10 percent growth in net turnover and the second best earnings in the history of the company.

This week Orifarm Group presents the financial statement of 2017 and the Danish-owned pharmaceutical company continues to do well. The Group's net turnover increased by 10 percent to EUR 797 million in 2017, the result of main activities rose to EUR 34 million and the result before tax increased to EUR 29 million.

Lower priced parallel imported products are the main driver

The improved Orifarm Group results are in particular due to the parallel import business handled by Orifarm Parallel Import. The business division showed a positive development and reasonable results throughout mature as well as new markets. Orifarm Parallel Import, which repackages and sells pharmaceuticals within the EU - and constitutes the largest of the two business areas - accounts for a net turnover of EUR 720 million. This is an increase in net turnover of 11 percent when compared to 2016. Results of main activities excl. non-recurring items rose by EUR 4.2 million to EUR 26.2 million.

Generic products, which are the Group's second business area and handled by Orifarm Generics, completed 2017 with a slight decline in net turnover as well as earnings. Net turnover for 2017 ended at EUR 77 million, which represents a decrease of EUR 2 million when compared to 2016. Results of main activities excl. non-recurring items decreased by EUR 2 million to EUR 12.3 million. The 2017 results follow several years of strong growth in Orifarm Generics, and Orifarm Group is now investing significantly to ensure future growth in the business area.

President and CEO Hans Bøgh-Sørensen is very satisfied with the 2017 Group result:

"In 2017, the parallel import business has performed very well. It is an area of fierce competition among many companies. Consequently, it requires a dedicated and focused organization with ambitious employees who understand how to make a good deal on behalf of society, consumers and Orifarm”, he says, continuing: "our mission is to challenge the pharmaceutical market to ensure a ‘better deal’ for all and, of course, I am happy to see when we succeed in doing this."

Especially Germany, Orifarm's largest single market for parallel imported products, has contributed significantly to the excellent result, despite the intense competition and the same applies to Denmark. Orifarm is also successful in gaining ground in the new markets. In particular, the Netherlands and Austria contributed positively to the results in 2017.

Orifarm Group invests further in generic products

After several years of great success and significant growth within generic products, 2017 became a more even year for Orifarm Generics. Orifarm Generics performed well during the first half of 2017 in Denmark and Sweden, but faced fierce price competition in the second half of 2017 in both countries. However, the management of Orifarm Group remains fully confident that the generic business also has an important role to play in the future. Hans Bøgh-Sørensen elaborates:

"We are convinced that also in the future we can make a big difference for consumers within generics - both in Denmark and in other markets as well. Therefore, the Group is investing heavily in Orifarm Generics' future growth, for instance in an extension of the laboratory at the location in Skælskør, Denmark. In Skælskør, employees work hard to develop new products, which we then produce and sell at favorable prices."

The location in Skælskør houses Viminco, which employs approximately 100 employees. Orifarm Group aquired Viminco in 2015 as part of an increased strategic focus on retail medicine and niche products.

Synergies support future growth

Orifarm is an ambitious company that strives to achieve even better results. In order to ensure the right foundation for future growth, Orifarm has just begun restructuring the company. Hans Bøgh-Sørensen says:

“We see many changes in Orifarm´s environment these years and our business is developing rapidly. As responsible managers, we must always ensure that the company and the employees are well equipped to meet the challenges of the future. Therefore, we have just decided to break down the silos internally and merge the two business areas to a higher degree than we have had so far. In this way, we expect to benefit from the many synergies that exist across the two business areas, thus creating a solid foundation for further growth in the Group."

Orifarm Group expects activity and results for 2018 to be at same level as 2017.
 

For more information, please contact:

Deputy CEO, Orifarm Group A/S, Erik Sandberg at +45 22 65 01 21.
Corporate Communications at +45 22 65 01 22.

2017 financial highlights

Key figures, Orifarm Group (in MEUR)

Facts about Orifarm Group

Orifarm Group is the largest parallel importer of pharmaceuticals in Europe and the largest supplier of pharmaceuticals in Denmark. The Group comprises a number of companies engaged in import, production, re-packaging, distribution, registration and sales of pharmaceuticals. The Group is engaged in parallel importing of pharmaceuticals from EU countries, which are sold in Denmark, Norway, Sweden, Finland, Germany, Holland, Austria and the United Kingdom. Additionally, the Group is engaged in the sales of generic pharmaceuticals in the Nordics. A generic product contains the same active ingredients as the original product. The active ingredients are, however, no longer patented, and the generic drug can therefore be produced and sold at a lower price than the original.

The Orifarm Group headquarters are in Odense, Denmark. The Group employs approximately 1.100 employees.

Orifarm Group continues its progress of recent years. The annual result shows growth in both top and bottom line, and this trend is partly due to successful acquisitions and significant growth in the sales of generic pharmaceuticals.

Denmark’s largest supplier of pharmaceuticals, Orifarm, continues the positive trend that has characterized the last years of the group.

Orifarm ended the financial year 2015 with a profit before tax of 11.5m EUR. An increase of 32% compared to the results from 2014 of 8.7m EUR.  At the same time, the Group achieved a slight increase in revenue to 759m EUR.

Particularly the area of generic pharmaceuticals, Orifarm Generics, presents significantly improved earnings in 2015 with an increase of 2.6m EUR (+ 51%) compared to 2014.

The increase in own-produced pharmaceuticals is partly due to a successful acquisition of Growth House Holding A/S, which develops, produces and sells pharmaceuticals. Additionally, the company sees continued growth in the Nordic region with increased sales of both prescription and non-prescription drugs.

“It is extremely satisfying that we continue the significant progress during 2015. In particular, the acquisition of Growth House Holding A/S has been strategically important compared to the growth journey that Orifarm Generics is currently on. Moreover, our development, production and sale of own-produced products has been strengthened”, says Ulrik Ernst Rasmussen, Managing Director of Orifarm Generics.

In the area for parallel importation of pharmaceutical drugs from EU/EEA countries, Orifarm Parallel Import also continues Orifarm’s overall positive trends, and here the group’s largest revenue still remains.

The year 2015’s profit, however, was affected negatively by the development in the Swedish currency as well as increased competition in the German market. But due to a reduction of the cost level, Orifarm Parallel Import still managed to create growth in the EBITDA of 4.2m EUR compared to 2014. At the same time Orifarm has entered into the UK market, the second largest market for parallel imported pharmaceuticals in Europe.

“I am very pleased that Orifarm continues the positive trend and presents a good result for 2015.

This year has been subject to challenges on the markets in i.e. Sweden and Germany, but at the same time we have succeeded in entering the large UK market. This development is to a large extent the result of the employees' great efforts”, says Erik Sandberg, Managing Director of Orifarm Parallel Import, adding that strategic optimization, management of inventory and cost savings also contributed positively to the financial statement.

Orifarm Group expects improved financial statements in 2016 compared to 2015 and growth in the financial statements for both Orifarm Generics and Orifarm Parallel Import.

Orifarm Group is headquartered in Odense, Denmark and employs around 1,100 employees.

For further information please contact:
CEO Orifarm Group A/S Hans Bøgh-Sørensen, phone +45 29 74 27 10

CEO Orifarm PI A/S Erik Sandberg, phone +45 22 65 01 21

CEO Orifarm Generics A/S Ulrik Ernst Rasmussen, phone +45 22 65 01 91

Key figures (MEUR)

Orifarm Generics, subsidiary company of Orifarm Group, has acquired Growth House Holding including the companies Alternova, Viminco and Pilum Pharma, which develop, manufacture and sell generic pharmaceutical products in the Nordic countries. By acquiring the Growth House companies, which in total employ around 100 people, Orifarm Generics has taken an important strategical step on the road to accelerating an exciting growth journey.

The acquisition of the Growth House companies demonstrates Orifarm Group’s ambition to grow in the Nordic market for generic pharmaceutical products. It is two successful pharmaceutical companies that now merge and both parties are looking forward to the cooperation.

Viminco, which is part of Growth House, has their own production and laboratory, which Orifarm Generics has not had until now and thus, the acquisition increases the company’s capabilities.

"All in all this is a good match that will complement and strengthen our business, where we prospectively will focus heavily on in-house development of pharmaceutical products. In the second half of 2014 we launched our first own developed product, which immediately became a success and another was launched in May this year. This acquisition will boost our continued development within this field and we are confident for the years to come, where we expect to further expand our business", says Ulrik Rasmussen, CEO Orifarm Generics.

Recently, Orifarm Group presented their financial statement demonstrating solid growth, especially within sales of generic pharmaceuticals. The acquisition thus marks an important step in the efforts to fulfilling the ambitions to strengthen the group's generics business.

"Our product portfolios complement each other very well and Growth House has an exciting pipeline that we will now get access to. We have great expectations that this new unit will consolidate our position as an important player in the Nordic market for generic pharmaceuticals", Ulrik Rasmussen continues.

Growth House has gone through a very exciting development over the past years and they have been looking for new investors to help achieve the continued growth ambitions of the company.

"We already have a close and appreciated working relationship as we have been producing one of Orifarm’s products. We therefore see it as the right decision to sell to Orifarm and we are confident that the success we have had until now, will continue on new hands", says Rolf Eckersberg, CEO Viminco.
Orifarm Group with headquarters in Odense employs around 1,000 people.

Further information, please contact:

CEO Orifarm Generics A/S Ulrik Ernst Rasmussen: +45 22 65 01 91

Denmark's biggest supplier of pharmaceuticals, Orifarm Group, continues its positive development. The annual results for 2014 shows an increase in revenue and an improved operating result, not least due to a significant improvement in the business area of generic medications.

Orifarm Group is the largest parallel importer of pharmaceuticals in Europe and the largest supplier of pharmaceutical products in Denmark. The company has in recent years shown improvement and the positive trends continue in the financial statements for 2014.

It shows an increase in revenue of 4% and an improvement in profit before tax by DKK 8 million. It is first and foremost the strategic initiatives and adjustments which were launched in 2012/2013, which now appears on the company's top and bottom line.

Overall, net sales increased from EUR 724 million in 2013 to EUR 750 million in 2014.
Operating profit increased by EUR 0.4 million to EUR 1.63 million. The total profits before tax is EUR 8.7 million, which is an increase of EUR 1.07 million compared to 2013.

For more information please contact:
CEO Orifarm Group A/S, Hans Bøgh-Sørensen, + 45 29 74 27 10
CEO Orifarm PI A/S, Erik Sandberg, +45 22 65 01 21
CEO Orifarm Generics A/S, Ulrik Ernst Rasmussen, +45 22 65 01 91

From 1st March 2014 Pharma Westen operates under the name of Orifarm GmbH. As part of the renaming, the ERP-systems were changed. Pharmaceuticals can now be ordered under the new name Orifarm (abbreviation: ORI).

Since the end of 2005 the company has been part of the Danish Orifarm – the leading international parallel importer of pharmaceuticals in Europe. By working closely with the parent company, the German Orifarm makes intensified use of internationally proven processes. Managing Director Ansgar Eschkötter points out: "The renaming stands for an even closer cooperation and exchange of experience with our Danish parent company. It is important for us to do so, in order to get even better in Germany and to be able to offer the best possible service to our customers."

Currently, the range of pharmaceuticals of the parallel importer consists of around 800 products for various indications, from which most are prescription pharmaceuticals as well as OTC and diagnostics. The company is also one the few German parallel importers selling narcotics. In terms of quality and safety the same strict guidelines apply to an importer as to the manufacturer of the original products. Patient safety is a top priority for the parallel importer.

You will find further information about the import of pharmaceuticals here.