Sopharma

Leading pharmaceuticals manufacturer and distributor Sopharma posted a slowdown in terms of net profit, down by 15% YoY to BGN 77.9M. This is mainly due to acquisition of and exemption from subsidiaries in the amount of BGN 36.1 million, as well as the accrued 2022 impairments of non-current assets in the amount of BGN 20.8 million.
2022 revenue grew by 3.7% YoY but not factoring in the deconsolidation of Latvian and Belarusian subsidiaries, the sales growth was 10% YoY. EBITDA amounts to BGN 141.6M or a 21% upside compared to BGN 116.7M in 2021. Again, adjusted to the deconsolidation of Latvian and Belarusian subsidiaries, EBITDA is up 25% YoY – factors for the adjusted growth is the increase in sales in both business segments totaling 10% on immaterial changes in the gross profit margin, as well as the good operating cost management. EBIT amasses to BGN 89.6M or up by 41% YoY.
In terms of expenses, materials are close to BGN 100M for the period due to rising costs of substances, electricity and heating. Personnel costs are down by BGN 2.4M to BGN 147.6M as a result of the decrease in the overall personnel number in the group – 4,764 workers and employees compared to 5,507 for 2021, mainly due to the sale of the Latvian and Belarussian businesses at the end of 2021.