Interim report January - June 2015
JANUARY – JUNE 2015
- Net sales amounted to SEK 136.7 (82.8) million
- EBITDA was SEK 2.7 (-25.7) million.
- Basic earnings per share were SEK -0.16 (-0.55)
APRIL – JUNE 2015
- Net sales amounted to SEK 65.9 (38.3) million
- EBITDA was SEK -0.9 (-15.0) million.
- Basic earnings per share were SEK -0.10 (-0.32)
SIGNIFICANT EVENTS
Increase in net sales and gross profit during the first half of the year
- Net sales increased by 65% to SEK 136.7 million
- Gross profit increased by 145% to SEK 61.4 million
Growth potential in the product portfolio
- Six products became licensed during the period
- Two registration applications for development projects were submitted
Future outlook 2015
- Continued increase in net sales and improvement in gross margin
- Positive EBITDA
OPERATIONS
The healthy growth in net sales during the first quarter of 2015 continued through the second quarter. During the first six months of 2015 net sales increased by 65% to SEK 137 million. Growth was fueled by the strong sales performance in Spain. But the Nordic market, particularly Sweden, also contributed with considerably higher sales compared to the same period last year. Sales outside Europe contributed with approximately SEK 4 million during the first half of the year. On a 12-month rolling basis, sales at the end of the period amounted to SEK 242 million, which corresponds to a growth rate of 43%. The increase in sales is also associated with a higher-than-average gross margin. Accordingly, gross profit for the first half of the year also increased compared to the same period last year. This resulted in a positive EBITDA of SEK 2.7 million for the period. With a balanced working capital, cash flow from operating activities was positive for the period at SEK 3.1 million.
Growth potential in the product portfolio
The company’s goal is to build a diversified product portfolio, which creates the conditions for long-term growth and good profitability. The market conditions vary in the countries where Bluefish operates. Because of this, the product portfolio is adapted according to the potential in each market. During the first half of the year, the product portfolio grew with the addition of six licensed products for a diverse number of markets. The products are expected to be launched during 2016 and 2017. In addition, several of the company's own development projects are now in the final phase of development. At the end of March, the company submitted the registration application for one of the products. The decentralized registration procedure is progressing as planned, with expected launch in several of Bluefish’s most important markets during 2016. The application for yet another development project was submitted in August 2015. The development project is expected to contribute to growth in net sales starting in 2016. For competitive reasons, the company has decided not to release the names of the new products prior to their launch. Several of the newly licensed products, along with own development projects, are, however, focused on regional or country-specific opportunities, frequently in niched areas with lower competition and higher gross margins.
FUTURE OUTLOOK
Quarterly net sales will continue to fluctuate over the year, but the company expects to achieve higher net sales in 2015 compared to the previous year. Growth originates from prior contracts, planned product launches and an overall increase in market share. Additionally, gross margin is expected to exceed the prior year’s level.
For more information, contact
Karl Karlsson, President & CEO Bluefish Pharmaceuticals
Tel. 46 8 519 116 00
Email: karl.karlsson@bluefishpharma.com
Susanna Urdmark, CFO Bluefish Pharmaceuticals
Tel. 46 8 519 116 00
Email: susanna.urdmark@bluefishpharma.com
About Bluefish Pharmaceuticals
Bluefish has undergone significant international expansion since the company was founded in 2005. Bluefish focuses on the development, manufacture and sale of generic pharmaceuticals. The company conducts marketing operations in a large number of European markets and is expanding into territories outside Europe. The product portfolio consists of a total of approximately 80 products and is growing.
www.bluefishpharma.com