Slide 1: Interim Report January-September 2024
Interim Report January-September 2024 30 October 2024
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 2024 highlights • Operating environment • Segments • Financial review • Q&A Q3 2024 | 30 October 2024 3
Slide 4: Q3 24 Improved profitability
Q3 24 Improved profitability Net sales • Net sales growth driven by Distribution segment. 424 (358) +19% • Profitability improvement was supported by net sales growth and lower freight costs. EUR million +5% organic growth • Refined strategy launched a year ago – steady progress towards and full Adj
Slide 5: Operating environment
Operating environment • Overall operating environment has stabilised, consumer confidence is weak in Finland and at normal level in Sweden. • Cost inflation has slowed down, with more normalised energy and fuel prices. • The challenges in the availability of pharmaceuticals continues in Europe. • Va
Slide 6: Q3: Distribution segment
Q3: Distribution segment • Stable market shares in Finland, • Net sales grew by 23% to EUR 351 decline in Sweden. (284) million – customer shifting to our inventory • Signed new and renewed existing distribution agreements. • Organic growth 5% – higher market volumes and price increases. • Cross-mar
Slide 7: Q3: Wholesale segment
Q3: Wholesale segment • Long-term strategic goal to grow • Net sales flat at EUR 74 (74) million wholesale business. • Finnish wholesale business was • Added new products and suppliers to stable, volumes in Swedish our portfolio. wholesale business declined. • Gained new listings and introduced • Pr
Slide 8: 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 2023. • On 29 April, the Swedish Competition Authority (Konkurrensverket) announced its decision on prohibiting Oriola’s sale of Svensk dos AB to Apotekstjänst Sverige AB due t
Slide 9: Financial review
& Oniola Financial review
Slide 10: Q3: Adjusted EBIT up by 25%
Q3: Adjusted EBIT up by 25% Net sales by segment EUR million Adjusted EBIT* by segment EUR million +19% +23% +0% +18% +25% 424.4 0.0 420.6 -0.1 -0.4 5.5 5.4 5.2 1.6 4.4 66.5 355.9 357.9 Q3 23 excl. Q3 23 incl. Distribution Wholesale Q3 24 incl. Q3 24 excl. Q3 23 Q3 23 incl. Distribution Wholesale Gr
Slide 11: Solid development on topline
Solid development on topline Invoicing EUR million Net sales EUR million Adjusted EBIT* EUR million +6% +12% +35% +8% 2 788 +19% 1 239 +25% 2 624 1 107 15.3 11.3 862 928 358 424 5.5 4.4 Q3 23 Q3 24 YTD 23 YTD 24 Q3 23 Q3 24 YTD 23 YTD 24 Q3 23 Q3 24 YTD 23 YTD 24 • Customer changing from consignment
Slide 12: Distribution segment
Distribution segment Net sales EUR million Adjusted EBIT EUR million Share of net sales1 % +35% +14% 81% +46% +23% 1 003 13.1 877 9.7 284 351 3.5 5.0 Q3 23 Q3 24 YTD 23 YTD 24 Q3 23 Q3 24 YTD 23 YTD 24 Share of adj. EBIT2 % • Growth largely due to a customer • Net sales growth and lower freight cost
Slide 13: Wholesale segment
Wholesale segment Net sales EUR million Adjusted EBIT EUR million Share of net sales1 % +3% 19% +5% 0% 231 237 -4% 7.1 7.5 74 74 2.4 2.3 Q3 23 Q3 24 YTD 23 YTD 24 Q3 23 Q3 24 YTD 23 YTD 24 Share of adj. EBIT2 % • Wholesale business in Finland was • Profitability impacted by lower volumes stable in S
Slide 14: Improved net profit
Improved net profit Net profit EUR million 20.2 1-9 2024 -10.6 • EBITDA below last year due to adjusting items of 9.6 EUR -5.7 (-0.4) million. 2024 1-9 -5.6 • Impairment write-down of Dose Sweden EUR 21.4 -5.3 million in Q3 2023. -1.0 -2.3 • Total adjusting items EUR -5.7 (EUR -21.8) million EBITDA
Slide 15: Positive operative cash flow
Positive operative cash flow Changes in cash position per item EUR million -11.7 20.2 138.4 -4.6 -2.6 -1.5 • Net cash flow from 2024 -27.9 operating activities in Jan– Sep 2024 EUR 1.2 (-13.3) 1-9 -11.1 million. -2.4 -12.7 83.9 • Change in NWC impacted -0.3 negatively by EUR 11.7 Opening EBITDA Chan
Slide 16: Net debt on a low level
Net debt on a low level Net interest-bearing debt (EURm) Net interest-bearing debt items 30 Sep 30 Sep EUR million Change 19 2024 2023 Bank loans (syndicated Bank 31.0 58.1 -27.1 & term) 9 Commercial papers 24.9 44.6 -19.8 -5.5 Advance payment from 13.7 18.0 -4.3 pharmacies -2 Lease liabilities 7.2
Slide 17: Financial position remained strong
Financial position remained strong Gearing1 and equity ratio % Gearing Equity ratio 23 21 19 19 17 17 18 9 5 -1 -5 -6 -8 -12 Q1 23 Q2 23 Q3 23 Q4 23 Q1 24 Q2 24 Q3 2024 1Excluding the impact of IFRS 16 gearing would have been -9.4% (-5.4%) Q3 2024 | 30 October 2024 17
Slide 18: Kronans Apotek (Swedish Pharmacy Holding)
Kronans Apotek (Swedish Pharmacy Holding) 2024 2023 Change 2024 2023 Change Key figures, EUR million 7-9 7-9 % 1-9 1-9 % Net sales 284.6 275.0 3.5 862.9 843.4 2.3 EBITA 2.5 1.8 34.7 -1.3 7.2 -118.3 EBITA % 0.9 0.7 -0.2 0.9 Adjusted EBIT 1.8 0.8 112.8 -2.9 3.1 -191.5 Adjusted EBIT % 0.6 0.3 -0.3 0.4
Slide 19: Outlook 2024
Outlook 2024 In 2024, the pharmaceutical distribution market is expected to continue to grow. A continuation of a weak consumer confidence might impact the wholesale market development. The recent overall inflationary environment and related cost pressures may have an impact on Oriola’s profitabilit
Slide 20: Q3 24 Key takeaways
Q3 24 Key takeaways Improved profitability in Q3 Steady progress towards long-term goals Solid performance year-to-date and and full commitment of management team to guidance unchanged strategy Q3 2024 | 30 October 2024 20
Slide 21: Our next event - Thank you for joining us!
Our next event 4 March 2025 Financial Statements Release Thank you for joining us! Q3 2024 | 30 October 2024
Slide 22: Q3 2024 | 30 October 2024
Q3 2024 | 30 October 2024 22