Slide 1: Interim Report January–September 2023
Interim Report January–September 2023 31 October 2023
Slide 2: Disclaimer
Disclaimer The following applies to this presentation, the oral presentation of the information in this presentation by Oriola Corporation (the “Company” or “Oriola”) or any person on behalf of the Company, and any question-and-answer session that follows the oral presentation (collectively, the “In
Slide 3: Agenda
Agenda • Q3 2023 highlights • Operating environment • Financial review • Strategy and financial targets • Q&A 31 October 2023 | Q3 2023
Slide 4: Q3 solid sales growth in distribution business, strong financial position
Q3 23 Solid sales growth in distribution business, strong financial position Net sales in constant currency • Good development in Distribution of pharmaceuticals, especially in 376 (374) Sweden • Profitability mainly burdened by lower volumes in the Swedish dose EUR million dispensing business Adjus
Slide 5: Sale of Svensk dos AB
Sale of Svensk dos AB • The agreement to sell all shares in Svensk dos AB to Apotekstjänst Sverige AB was signed in October • Oriola is exiting the dose dispensing business in Sweden • The agreed sales price in cash is SEK 110 million (approximately EUR 9.5 million). • The transaction is subject to
Slide 6: Operating environment
Operating environment • In the third quarter, volumes in the pharmaceutical distribution market were somewhat softer than in the first half of the year • Market value continued with a steady growth • Solid underlying long-term market drivers such as ageing population, wellbeing and health remain unc
Slide 7: Pharmaceutical wholesale markets grew in value in Q3
Pharmaceutical wholesale markets grew in value in Q3 Pharmaceutical wholesale – market share Dose dispensing – market share Sweden Finland Sweden Finland 44% (44%) 45% (44%) 4% (30%) 28% (31%) 58 3 ~270 000 ~110 000 BSEK BEUR Nr. of patients Nr. of patients +8.7% +1.8% 56% 55% 96% 72% Oriola Others
Slide 8: Financial review
& Oriola Financial review
Slide 9: Solid performance in Distribution, significant negative currency impact on topline
Solid performance in Distribution, significant negative currency impact on topline Invoicing Q3 EUR million Net sales Q3 EUR million Adjusted EBIT Q3 EUR million In constant currency: In constant currency: +5.7% +0.7% EUR 921 million EUR 376 million -6% -1% 359 374 6.6 859 871 862 335 340 353 819 81
Slide 10: Profitability burdened by Dose Sweden
Profitability burdened by Dose Sweden Quarterly adj. EBIT EUR million • Profitability negatively impacted by low volumes in 2021 2022 2023 Swedish Dose dispensing business In constant currency: • Some negative impact of weak SEK EUR 4.7 million 6.6 6.6 • High inflationary environment continued 5.5 5
Slide 11: Profit and EPS decreased
Profit and EPS decreased Profit for the period Earnings per share EUR million EUR 2021 2022 2023 2021 2022 2023 5.5 4.3 5.3 3.8 2.1 1.1 0.03 0.03 0.7 1.2 0.02 0.02 0.010.01 0.01 0.00 0.00 -0.2 -8.1 -0.04 Adjusted profit for the period: Adjusted EPS Q3 23: EUR 1.3 million Q3 23: EUR 0.01 Q1-Q3 23: EU
Slide 12: Positive cash flow in Q3
Positive cash flow in Q3 Quarterly net cash flow from operating activities1 YTD 2023 change in cash EUR million EUR million 2021 2022 2023 Dividend payment of EUR 10.9 million in April -13.3 42 -2.4 39 36 -14.6 29 28 19 10 160.6 130.3 -14 -16 -26 -43 Q1 Q2 Q3 Q4 Cash Q4 2022 Operating Investing Fina
Slide 13: Net debt level on a low level
Net debt level on a low level Net interest-bearing debt1 Net interest-bearing debt items EUR million EUR million 2021 2022 2023 Net interest-bearing debt item 30 Sep 2023 30 Sep 2022 Bank loans 58.1 61.6 (syndicated Bank & term) Commercial papers 44.6 59.9 Advance payment from pharmacies 18.0 22.7 1
Slide 14: Financial position remained strong
Financial position remained strong Equity ratio1 % Gearing2 % 2021 2022 2023 2021 2022 2023 94.7 23.8 22.8 21.2 21.8 19.8 19.9 20.1 19.1 19.3 18.0 64.1 14.1 53.8 46.5 15.5 8.3 8.7 4.5 Q1 Q2 Q3 Q4 -0.9 -4.6 -10.5 Q1 Q2 Q3 Q4 1 2021 includes discontinued operations 22021 includes discontinued operatio
Slide 15: Swedish Pharmacy Holding (Kronans Apotek)
Swedish Pharmacy Holding (Kronans Apotek) Reported July-September 2023: Reported January-September 2023: • Net sales EUR 275.0 (287.6) million • Net sales EUR 843.4 (881.5) million • Adjusted EBIT EUR 0.8 million • Adjusted EBIT EUR 3.1 million • Realised synergies EUR 3.5 million • Realised synergi
Slide 16: Financial impacts of the sale of Svensk dos AB
Financial impacts of the sale of Svensk dos AB Sales price in cash SEK 110 million (approx. EUR 9.5 million) Financial impacts from the transaction Oriola Group key figures excluding Svensk dos • Svensk dos will be classified as held-for-sale in Oriola’s July-September 2023, excluding Swedish dose b
Slide 17: Outlook 2023
Outlook 2023 Oriola expects the adjusted EBIT, excluding the dose dispensing business in Sweden, for the year 2023 to be on the same level as adjusted EBIT for 2022 (EUR 19.7 million). Oriola’s adjusted EBIT, excluding the dose dispensing business in Sweden, for the year 2022 was EUR 11.9 million. T
Slide 18: New reporting segments as of 1 Jan 2024
New reporting segments as of 1 Jan 2024 Oriola is updating its segment reporting to reflect the new strategy and to improve transparency. Oriola’s two reporting segments as of 1 January 2024 will be: Preliminary, unaudited figures for 2022 Segment name Definition including dose dispensing business i
Slide 19: Oriola's refined business strategy
Oriola’s refined business strategy
Slide 20: Oriola's refined business strategy – the way forward
Oriola’s refined business strategy – the way forward 2024–2026 2023 The leading specialist The forerunner in in wholesale of the advanced pharmaceuticals and distribution of health products pharmaceuticals and in providing advisory services to pharmaceutical companies • Strong partnerships • Enhance
Slide 21: Three strategic goals defining our future
Three strategic goals defining our future
Slide 22: Delivering customer value through integrated service offering
Pharma- ceutical companies Delivering customer value through Pharmacies integrated service offering Distribution Wholesale is our Advisory Public and Customer provides logistics and dose business in traded goods and OTC provides expert services to experience private healthcare dispensing offered to
Slide 23: Our new sustainability agenda leads our continued actions towards a healthier tomorrow
Our new sustainability agenda leads our continued actions towards a healthier tomorrow 23
Slide 24: Our ambitious targets generate value
Our ambitious targets generate value Empowering Oriola: long-term financial targets Three long-term financial targets and dividend policy GROWTH PROFITABILITY EQUITY DIVIDEND POLICY Annual sales growth at Adjusted EBIT margin Return on equity >20% Oriola’s aim is to pay out an the rate of market, ab
Slide 25: Sustainability
) SUSTAINABILITY UB Safeguarding GOALS f deliveries for health and wellbeing Advancing a sustainable Pursuing people a net-zero journey impact on efficiency Ontine pharmaceuticals and digitalisation &, ae ee eg ng, iS 4
Slide 26: Our next events / Thank you!
Our next events 16 February 2024 Financial Statements Release 2023 week 9 Annual Report 2023 Contact: investor.relations@oriola.com Thank you!
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