NattoPharma continues growth in the second quarter

Oslo, Norway (21 August 2019)

NattoPharma increased revenues by 10% in the second quarter and 22% for the first half of the year. Adjusted EBITA in the quarter came in at NOK 0,9 million, yet another profitable quarter for the company.

CEO, Kjetil Ramsøy:

“We continue to deliver growth with first half year revenues of NOK 58 million, representing an increase of more than 22% on the same period in 2018, and another quarter with a positive EBITDA line. At the same time, we have made pleasing progress with our new ingredient with positive results from the studies that have been completed to date, and with further studies underway.

The relentless effort over the past fifteen to eighteen months to improve our supply capabilities have helped us to build a solid supply platform for both our Synthetic and Natural products. The company is now well positioned to meet the anticipated increased demand for vitamin K2 MK-7 in the coming years.

Whilst the growth achieved versus the previous year is encouraging, we have faced challenges that have suppressed the anticipated revenue increase during the first half. In particular, the complexities involved in the scale up of our natural production capacity resulted in a few less deliveries than planned in the quarter. Coupled with this two of our more significant customer accounts, one in Europe and one in the US, have revised their forecasts as a result of strategic changes to the timing of their product launches. Both these factors have impacted the growth in this quarter, but demand on these accounts is expected to increase again later this year or in early 2020.”

Financial highlights:

(mnok) Q2’19  Q2’18  Change  2018 
Product Revenue  30,0 27,4  2,6 (+10%)  101,7 
Gross Margin  39,2%  41,9%  -2,7% 43,1%
EBITDA (adj.)  0,9  2,1  -1,2 6,7 

Please find enclosed the Nattopharma Group Second Quarter 2019 Report.

For more information, please contact:

Kjetil Ramsøy, CEO, NattoPharma

E-mail: kjetil.ramsoy@nattopharma.com

This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act. 

Tags:

About Us

NattoPharma, the world leader in Vitamin K2 Research and Development, has invested millions of dollars in in-vitro, in-vivo, and clinical studies to document the effects of MenaQ7® Vitamin K2 as MK-7. This commitment has created the only patented and clinically validated K2 on the market. After establishing the first commercial Vitamin K2 with its flagship brand, MenaQ7®, NattoPharma has consistently answered and met market needs through the development of new production technologies:• In 2012, the company introduced MenaQ7® Crystals, which represented an important breakthrough in the new generation of Vitamin K2 products, producing the purest natural MK-7 available.• In 2014, NattoPharma introduced the only all-trans nature-identical synthesized Vitamin K2, MenaQ7® PURE. Not only did the company succeed in changing the market with MenaQ7® PURE – offering a high-quality, competitively priced ingredient – but its efforts were rewarded with the NutrAward for Best Functional Ingredient at Natural Products West/engredea 2015. Vitamin K2 is essential for the body to utilize calcium to build healthy, strong bones and to inhibit calcium deposits in the arteries. Published clinical studies have demonstrated the high bioavailability and proof of efficacy for Nattopharma’s all-trans MK-7 products in healthy and diseased populations, for bone and cardiovascular health. NattoPharma continues to build its competitive advantage through focuson IPR and has patents both granted and pending related to relevant healthbenefits and market segments, creating extra value for its customers. And NattoPharma staff consists of professionals people with longstanding experience in medical and biochemical research as well as pharmaceutical and food supplement development. By understanding and controlling the chemistry, NattoPharma provides the market all-trans MK-7 products, while our sales and marketing team has extensive knowledge of international market demands with which it supports our partners.