OREANDA-NEWS . September 4, 2012. OJSC "VEROPHARM" [RTS:VRPH, MICEX:VFRM] announces its audited financial results for the first six months of 2012 in accordance with the International Financial Reporting Standards (IFRS).

SALES

Sales for the first six months of 2012 amounted to RUR 3,168.9 mln, which corresponds to the sales of the first six months of 2011 (a 0.4% increase). The share of product segments in OJSC “Veropharm” sales is as follows:

Group of pharmaceutical products

Rx drugs sales amounted to RUR 2,142.1 mln. The Rx drugs sales made 67.6% of total sales of the Company;

OTC drugs sales amounted to RUR 445.2 mln which is 13.4 % more than for the first six months of 2011. The OTC drugs sales made 14.0% of total sales of the Company.

Traditional drugs sales amounted to RUR 10.1 mln which is 26.6 % less than for the same period of 2011. The traditional drugs sales made 0.3% of total sales of the Company.

Group of non-pharmaceutical products

Adhesive bandages and cosmetic products sales made RUR 571.6 mln, which is 2.2% more than for the first six months of 2011. The non-pharmaceutical products sales made 18.0% of total sales of the Company.

Under the Federal Reimbursement Program (FRP) Veropharm’s sales amounted to RUR 12.8 mln according to the results of the first six months of 2012, which corresponds to 0.4% of the Company’s total sales.

The Russian Federation is the main market and ensures 96.2% of the Company's sales. For the first six months of 2012 the Company exported 3.8% of its products.

PROFIT

In the first six months of 2012 the gross profit of OJSC “Veropharm” increased by 1.8% and amounted to RUR 2,294.4 mln as compared with RUR 2,253.4 mln in the first six months of 2011. The gross profit ratio made 72.4% in the first six months of 2012. The gross profit ratio of the segments of OJSC “Veropharm” is as stated:

Group of pharmaceutical products

In relation to Rx drugs it made 74.5% in the first six months of 2012 against 73.2% in the first six months of 2011;

In relation to OTC drugs it made 69.7% for the first six months of 2012 against 73.3% in the first six months of 2011;

In relation to traditional products it made 55.0% in the first six months of 2012 against 32.1% in the first six months of 2011.

Group of non-pharmaceutical products

In relation to adhesive bandages and cosmetic products it increased from 64.3% in the first six months of 2011 to 67.0% in the first six months of 2012.

For the first six months of 2012 EBITDA amounted to RUR 1,082.2 mln as compared to RUR 1,072.4 mln in the first six months of 2011. EBITDA to sales ratio increased by 34.15% in the first six months of 2012.

Net profit for the reporting period amounted to RUR 782.6 mln.

FACILITIES INVESTMENTS

In the first six months of 2012 amount of investments assigned for modernization and equipment of the main production facilities of the Company made RUR 289 mln.

DEBT

At the end of the first six months of 2012 the debt of OJSC “Veropharm” amounted to RUR 1,630.6 mln making 20% of the Company’s net assets value.