Oriola Corporation Interim Report January September 2018

Transcription

1 Oriola Corporation Interim Report January September 1 November

2 Oriola Q3 Invoicing and Net Sales grew in constant currencies Signed Stockholm County Council deal with 35, new dose dispensing patients, starting from February 219 EUR 9 million settlement agreement with provider of the new logistics and warehouse IT system to cover extra costs Strategy and financial targets updated Inefficiencies burdened Services financial performance Investments and weak SEK affected negatively to Consumer profit Customer focused new organisation to support future growth and profitability

3 Oriola Key Figures continuing operations Invoicing Net sales Adjusted EBIT Q1 Q2 Q3 Q4 Q3/ adjusted EBIT at comparable EUR/SEK rate EUR 18.4 million 3

4 Adjusted EBIT Q3 continuing operations Adjusted EBIT, Quarters Adjusted EBIT Q3 217 Q4 Q1 Q2 Q3 Q3 217 Consumer Services Healthcare Group items Q3 Q3/ adjusted EBIT at comparable EUR/SEK rate EUR 18.4 million 4

5 Business Areas January September

6 Consumer Comprehensive health and wellbeing offering for consumers Offers expert advice as well as an extensive selection of products in own Kronans Apotek pharmacies as well as wide range of health and wellbeing products in Hehku shops in Finland Consistent service experience throughout all service channels, from local pharmacies or shops to online services Pharmacy market in Sweden 17 % 4.2 BEUR 9 % 16 % 4.2 BEUR 83 % Oriola/Kronans Apotek Others 75 % Rx OTC Source: Apoteksförening TG 6

7 Swedish Pharmacy retail market Pharmacies Market share 388 Apotek Hjärtat & CURA 387 4% 397 Apoteket % 4% 4% 31% Kronans Apotek 326 Apoteksgruppen % Lloyds Apoteket 79 32% Others Pharmacies 21 Established net Established net Oriola/Kronans Apotek Apoteket Apotek Hjärtat & CURA Apotea Others Lloyds Apoteket Apoteksgruppen Source: Apoteksförening 7

8 Consumer January September continuing operations Adjusted EBIT Pharmacy market grew by 1.% in Sweden. Online sales grew by 39% to 8% of the market Net sales increased by 4.6% in SEK Online sales grew faster than market (+58%) and was 2.8% of total sales Share of OTC and traded goods of net sales 25.8 (26.7)% Hehku result impacted EBIT by EUR million (Q3: EUR -1.2 million) and FX impacted EBIT by EUR -1.5 million (Q3: EUR.7 million) Q Q4 Q Q2 Q

9 Services Focuses on long-term customer relationship and wide service offering for BtoB customers Provides wholesale and logistics services with wide range of expert services for pharmaceutical companies, pharmacies, vets and grocery trade Offers customized wholesale services of OTC and traded goods in Sweden Provides wide range of health and wellbeing products and staffing services for Finnish pharmacies Finland Wholesale Sweden Wholesale 57 % 2.3 BEUR 43 % Oriola 59 % 4.2 BEUR 41 % Oriola Others Others LTK and Oriola estimate Reveal and Oriola estimate 9

10 Services January September continuing operations Pharmaceutical market growth: Sweden 6.3% and Finland 7.8% Net Sales increased by 5.4% and in constant currency by 1.% +9MEUR settlement with the provider of the new logistics and warehouse IT system Profitability continued to be impacted by cost of inefficiency. In Finland ERP related additional impact was EUR 6 million (Q3 EUR -1.9 million). Adjusted EBIT Q3 217 Q Q1 Q Q

11 Healthcare Pharmaceutical distribution and dose dispensing services for public and private healthcare providers Dose dispensing market ca. 2, patients in Sweden, 5, in Finland Oriola dose dispensing cover services for 7, persons in Sweden and Finland, out of which more than 5, patients are in Sweden Market share dose dispensing Finland 5 % 7 % 34 MEUR 42 % Oriola Pharmac YA Sweden 25 % 39 % 23 MEUR Oriola Apoteket AB Apotekstjänst 46 % Pharma Dos 36 % Oriola estimate 11

12 Healthcare January September continuing operations Net Sales grew by 41.6%, and in constant currency by 49.7% Growth driven by Swedish market Good performance continued, making a breakeven result in Q3 and positive result YTD Number of dose dispensing customers exceeded 7, Major new contract with SLL. Deliveries starting February Adjusted EBIT Q3 217 Q4.2 Q1.. Q2 Q

13 Key Figures January September

14 continuing operations Key Figures Change % Change % Invoicing , , ,336.3 Net sales , , ,527.7 Adjusted EBITDA Adjusted EBIT EBIT Profit for the period Cash flow from operating activities Net interest bearing debt Gearing %

15 Cash flow including discontinued operations Quarterly net cash flow from operating activities Q3 YTD change in cash Q4/216 Q1/217 Q2/217 Q3/217 Q4/217 Q1/ Q2/ Q3/ Cash Q4 217 Operating activities Investing activities Financing activities Cash Q

16 14 Net Interest-Bearing Debt including discontinued operations Net interest-bearing debt 3 Sep Bank loans (syndicated & term) 31 Dec Commercial papers Advance payment from pharmacies Other Cash and cash equivalents Net interest-bearing debt Sold trade receivables Q4/216 Q1/217 Q2/217 Q3/217 Q4/217 Q1/ Q2/ Q3/ Gearing, %

17 Outlook Adjusted EBIT of continuing operations on constant currency basis is estimated to increase from the 217 level (unchanged)

18 Organisation change to support future growth

19 New organisation for better customer focus Customer orientation with better customer focused structure Increased efficiency by new Operations function Tailored logistics solutions for all BA s Clear accountability and responsibilities Strong Oriola culture to support operational excellence throughout the company

20 New organisation structure in place 1 January 219 Old Services Business Area will be divided into three: BA Retail, BA Pharma and group function Operations Healthcare will be merged into BA Retail (sales and business development) and Operations (dose manufacturing) BA Consumer remains unchanged