Navamedic: First quarter results 2006
(Lysaker, Norway, 2 May, 2006) Highlights in the quarter include product approval in 19 European countries in January, the decision to establish a chitin production plant, the forward sale of the first year of chitin production, and the listing of the Navamedic shares on Oslo Børs. The company's distributor Meda built inventories ahead of the launch of Glucomed in Sweden in December 2005, and thus no product sales were reported in the first quarter 2006. There are still outstanding issues relating to generic substitution in the Swedish market, which the company expects will be solved during the next few months. As previously stated, Navamedic does not see significant sales or revenues until the second half of the year when the company expects to launch its products in further European markets. The cost increase compared with the corresponding quarter last year reflects the IPO carried out in the quarter and a significantly higher level of activity and number of employees. Focus from the second quarter will be on obtaining national marketing authorisations in the countries which have approved Navamedic's glucosamine product for medical use and on further expansion of the international distribution network. The company will also pursue the European Mutual Recognition Process (MRP) through arbitration as five EU/EAA countries have not yet approved the product. Longer term, the Board and management restate the belief in a positive development and strong growth outlook for the company.
The Q1 2006 report can be downloaded from:
The Q1 2006 presentation can be downloaded from:
For further information, please contact:
CEO Øyvind W. Brekke, Navamedic
E-mail: oyvind.brekke@navamedic.com
Office: +47 67 11 25 40, Mobile: +47 91 19 81 64
CFO Jon W. Ringvold, Navamedic
E-mail: jon.ringvold@navamedic.com
Office: +47 67 11 25 44 Mobile: +47 99 15 85 34
About Navamedic ASA:
Navamedic is a Norwegian speciality pharmaceutical company focusing on the development and production of glucosamine HCl (hydrochloride) based medicines. Glucosamine is a generic active ingredient which relieves pain and improves function in patients with mild to moderate osteoarthritis. The product has a favourable safety profile. Osteoarthritis is a chronic disease which affects a large and growing share of the world's population. Navamedic aims to become a leading company in the glucosamine industry, with a competitive advantage in proprietary production technology. The company's products will be sold through a network of sales, marketing and distribution partners. Navamedic's product Glucomed® has been approved as a medicine against osteoarthritis in 20 European countries. The product was launched in Sweden in December 2005, and Navamedic prepares product launches in further European countries in 2006.