Krka presented its operating results for the first quarter of 2018

In the first quarter of 2018, the Krka Group product and service sales amounted to €338.3 million, up €17.2 million or 5% more than in the same period last year. This has been Krka’s highest sales figure for the first quarter of a year since the company was founded. Sales volume of the Krka Group was up 10%. Sales in markets outside Slovenia reached €316.5 million and accounted for 94% of Krka Group total sales. The Krka Company sold €329.3 million worth of products in the reported period or 5% more than in the same period last year.

Krka Group sales by Region

Region East Europe reached the highest sales figure in the Krka Group, i.e. €106.2 million or 31.4% of total Group sales. Compared to the same period last year, Krka’s sales revenues went up by 4%. Region Central Europe, which includes the Visegrad Group countries and the Baltic states (Lithuania, Latvia and Estonia), was the second largest region in terms of sales, its share accounting for €81.2 million or 24% of total Krka Group sales. Krka attained a 6% sales growth in the Region compared to the same period last year. The third largest area in terms of sales was Region West Europe, generating sales in total of €74 million or 21.9% of total Krka Group sales. Compared to the same period last year, it grew by 3%.

Product sales in Region South-East Europe amounted to €44.2 million, up 14% compared to the same period last year, and accounted for 13.1% of total Krka Group sales. In Slovenia, Krka recorded €21.7 million or 6.4% of total Krka Group sales. Sales revenues increased by 3%. With a 9.1% market share, Krka has remained the leading provider of pharmaceuticals in Slovenia.

Product sales in Region Overseas Markets totalled €11million (1% increase), which represents a 3.2% of total Krka Group sales. Prescription pharmaceuticals, which are sold under own brand names in most markets in the Region, accounted for the major part of the sales total.

Krka Group sales by product and service group

Sales of Krka’s prescription pharmaceuticals reached €279 million, up 6% compared to the same period last year, and accounted for 82.5% of total Krka Group sales.

The ten leading prescription pharmaceuticals in terms of sales included medicines containing perindopril (Prenessa, Co-Prenessa, Amlessa, Co-Amlessa), valsartan (Valsacor, Valsacombi, Vamloset, Valarox), losartan (Lorista, Lorista H, Tenloris), atorvastatin (Atoris, Atordapin), pantoprazole (Nolpaza), rosuvastatin (Roswera, Rosudapin), enalapril (Enap, Enap H, Elernap), esomeprazole (Emanera), clopidogrel (Zyllt), and tramadol (Doreta, Tadol). These products may have different brand names in individual markets.

Compared to the same period last year, non-prescription product sales were up 11% to €34.2 million (10.1% of total Krka Group sales). The sales of animal health products were down 7% to €16.4 million, which is a 4.8% of total Krka Group sales. Health resort and tourist service sales totalled €8.0 million, a 6% year-on-year increase (2.4% share of total Krka Group sales).

Research and development

In the first quarter of 2018, Krka obtained marketing authorisations for three new products in eight dosage forms and strengths. In the same period, 184 new marketing authorisations were obtained for 50 products in various markets.

Investments

In the first quarter of 2018, the Krka Group allocated €19.3 million to investments, of that €16.3 million to the controlling company and €3.0 million to the subsidiaries. Investments were made primarily in increasing and updating the production, development and research capacities.

Employees

At the end of March 2018, the Krka Group employed 10,963 persons. Subsidiaries and representative offices abroad employed 52% of total Krka Group headcount. Of all Group employees, 55% hold at least a university level degree.

Krka offers scholarships and in this way guarantees a continuous influx of new employees. At the end of March 2018, there were 60 scholarship holders, primarily pharmacy and chemistry students. Scholarships are also granted to exceptional students from other fields of interest to Krka. A total of 137 Krka employees were also part-time students, of whom 43 were involved in specialisation or postgraduate studies. Krka supports them by partly funding the fees and granting them study leave.

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