Slide 1: Half-Year Report January–June 2023
Half-Year Report January–June 2023 21 July 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 • Q2 2023 highlights • Operating environment • Financial review • Closing remarks • Q&A 21 July 2023 | Q2 2023 3
Slide 4: Q2 Solid performance in Distribution business, profitability burdened by Dose Sweden
Q2 23 Solid performance in Distribution business, profitability burdened by Dose Sweden Net sales in constant currency • Good development in the Distribution of pharmaceuticals and traded goods 407 (395) both in Sweden and Finland • Profitability decreased due to low volumes in the Swedish Dose disp
Slide 5: Operating environment
Operating environment • Overall good market demand continued in Sweden and Finland • Pharmaceutical distribution market not impacted by the increased economic uncertainty or weak consumer confidence • Continued availability challenges in some pharmaceuticals – slight improvement in Q2 • Energy and f
Slide 6: Pharmaceutical wholesale markets grew in Q2
Pharmaceutical wholesale markets grew in Q2 Pharmaceutical wholesale – market share Dose dispensing – market share Sweden Finland Sweden Finland 45% (45%) 44% (44%) 4% (42%) 28% (30%) 57 3 ~260 000 ~100 000 BSEK BEUR Nr. of patients Nr. of patients +9.8% +3.4% 57% 56% 96% 72% Oriola Others Market sh
Slide 7: Financial review
& Oriola Financial review
Slide 8: Solid performance in Distribution, significant negative currency impact on topline
Solid performance in Distribution, significant negative currency impact on topline Invoicing Q2 EUR million Net sales Q2 EUR million Adjusted EBIT Q2 EUR million In constant currency: In constant currency: +6.0% +3.0% EUR 958 million EUR 407 million -3% 0% 395 384 5.5 872 904 904 351 342 360 840 800
Slide 9: 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 3.6 million 6.6 6.6 • High inflationary environment continued 5.5 5
Slide 10: 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 5.3 4.3 3.8 0.03 0.03 2.1 0.02 0.02 1.1 1.2 0.010.01 0.01 0.7 0.00 0.00 -0.2 -0.04 -8.1 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 21 July 2023 | Q2 2023 10
Slide 11: Positive cash flow in Q2
Positive cash flow in Q2 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 -23.4 39 42 -1.7 36 -7.1 29 28 19 160.6 128.4 -14 -16 -26 -43 Q1 Q2 Q3 Q4 Cash Q4 2022 Operating Investing Financin
Slide 12: Net debt level normalised
Net debt level normalised Net interest-bearing debt1 Net interest-bearing debt items EUR million EUR million 2021 2022 2023 Net interest-bearing debt item 30 Jun 2023 30 Jun 2022 Bank loans 58.6 63.0 (syndicated Bank & term) Commercial papers 52.6 51.9 Advance payment from pharmacies 15.7 21.6 149 1
Slide 13: Balance sheet remained strong
Balance sheet 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 18.0 64.1 14.1 53.8 46.5 15.5 8.3 8.7 4.5 Q1 Q2 Q3 Q4 -4.6 -10.5 Q1 Q2 Q3 Q4 1 2021 includes discontinued operations 22021 includes discontinued operations 21 July 2023
Slide 14: Swedish Pharmacy Holding
Swedish Pharmacy Holding Reported April-June 2023 figures: Reported January-June 2023 figures: • Net sales EUR 288.7 (300.2) million • Net sales EUR 568.4 (593.8) million • Adjusted EBIT EUR 2.3 million • Adjusted EBIT EUR 2.3 million • Realised synergies EUR 2.5 million • Realised synergies EUR 4.7
Slide 15: Outlook 2023
Outlook 2023 Oriola expects the adjusted EBIT to remain on the same level compared to 2022. The outlook takes into consideration the significant negative impact on Oriola’s profitability from the loss of public tenders and consequently of patients in the dose dispensing business in Sweden. The dose
Slide 16: Closing remarks
& Oriola Closing remarks
Slide 17: Sustainability highlights
Sustainability highlights Gold in EcoVadis sustainability rating Preparedness to comply with CSRD The result places Oriola among • Gap analysis to identify key development areas (Jan 2023) the top 5% performing companies • Double-materiality assessment (Mar 2023) worldwide regarding the areas of env
Slide 18: Clear strategic direction
Clear strategic direction • Focus on core business, profitability improvement and Oriola’s societal role as an infrastructure company in securing the availability of pharmaceuticals • Distribution of pharmaceuticals, wide assortment of health and wellbeing products, and advisory services to pharmace
Slide 19: Q2 activities supporting our key priorities in 2023
Q2 activities supporting our key priorities in 2023 Profitable growth Efficiency Culture Enhance value Drive focused and Increase operational creation through a profitable growth and capital efficiency collaborative culture • Sales training • Simplifying and harmonising • Oriola’s value descriptions
Slide 20: Key takeaways Q2 2023
Key takeaways Q2 2023 1 Solid net sales growth driven by our core business. Profitability burdened by low volumes in Swedish 2 Dose business. 3 Guidance remains unchanged. 21 July 2023 | Q2 2023 20
Slide 21: Our next events / Thank you!
Our next events 31 October 2023 Q3 Interim Report 2023 Contact: investor.relations@oriola.com Thank you!
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