In the first nine months of the year the Krka Group sales totalled €852.4 million (down 1%), resulting in €80.3 million of net profit. The Krka Company sales totalled €782.5 million, resulting in €72.4 million of net profit.
Nine-month sales of the Krka Group totalled €852.4 million. The volume of sales increased by 11% at the level of the Krka Group, considerably exceeding the strategic goal.
The euro-denominated sales result was influenced by the distinct decrease in the prices of pharmaceuticals in most markets – caused by an administrative reduction in prices, and the competitive actions of pharmaceutical companies – and by the depreciation of certain currencies, especially in East Europe. Had the average prices of Krka’s products and the exchange rates of the currencies key for Krka’s operations in the past nine months remained on the same levels as in last year’s comparable period, Krka Group sales would have amounted to €952.1 million, up 10.3% or €99.7 million. However, expressed in euros at current prices, Krka Group sales witnessed a 1% year-on-year decrease.
Sales in markets outside Slovenia totalled €788.5 million, which represents 93% of the Krka Group sales.
Krka Group sales by Region
The highest absolute growth, by €16.1 million, was recorded in Region South-East Europe, where sales totalled €111.5 million, which represents 13.1% of Krka Group sales. Sales in Region Central Europe represented 24.5% of Krka Group sales and amounted to €209.1 million; in terms of volume this is a 5% increase, and in terms of value a 1% year-on-year increase. Krka's largest sales region was Region East Europe, where sales totalled €230.0 million, which is 27.0% of Krka Group sales. Compared to the same period last year, sales in this region were down 5%, while the sales volume has grown by 9%.
The second largest region in terms of sales value was Region West Europe with €211.0 million of sales and a 24.8% share of Krka Group sales. The volume of sales was up 16% year-on-year, however lower prices of pharmaceuticals drove sales value down 11%. Sales in Slovenia totalled €63.9 million, which is 7.5% of Krka Group sales. With a 9.3% market share, Krka remains the leading pharmaceutical company in Slovenia. Sales revenues increased by 8%, of which product sales were up 6% with the volume of products sold up 9%, and the sales of health resort and tourist services increased by 9%.
Sales in Region Overseas Markets totalled €26.9 million (20% increase in terms of value and 2% increase in terms of volume), which represents 3.1% of Krka Group sales. The majority of sales came from prescription pharmaceuticals, which are sold under Krka's own brands in most markets of the region.
More information in press release.