Financial News

Through September, Spanish Pharmaceutical Companies’ Profits Decreased By 3%

Published

on

Between January and September 2022, Reig Jofre declared a profit of €4.2 million, which is 16% less than during the same time in 2021. The company blames higher amortizations and finance costs, which are influenced by interest rates, for the decline. Almirall is the business that is performing the best. From January to September 2022, the dermatology-focused business had a net profit of €10.9 million.
The Spanish pharmaceutical industry is lagging behind. The aggregate net profit of the sector’s listed Spanish companies fell below €450 million in the first nine months of 2022 compared to the same period the previous year, a decrease of 2.8% and more than €10 million.

According to financial information provided by the pharmaceutical companies, the total net profit of Almirall, Grifols, Rovi, Faes Farma, Pharma Mar, and Reig Jofre decreased from €460 million in the first three quarters of 2021 to €446 million from January to September 2022. Grifols, Pharma Mar, and Reig Jofre all saw their net results decline, while Almirall, which had losses of more than €39 million, emerged as the huge winner.

Grifols, a Spanish pharmaceutical company, experienced the greatest decline in profits. The Spanish corporation, which is currently led by Stefen Mayer, reported a net profit of €188 million up to September 2022, a 30% decrease from the same time in the previous year. This decline is mostly the result of increasing financial expenses following the purchase of its German rival Biotest. However, Grifols is on track to have record sales this year and is making progress toward getting its debt level below eight times gross operating profit (Ebitda). Ebitda for the business was €927 million, a 12.8% increase over the same time in 2021. The increased profitability, which offset inflationary pressures, is attributed by the corporation to operating leverage, cost reductions, and a priority placed on R&D.

Reig Jofre was the second company to suffer. Between January and September 2022, Catalan Pharma reported a profit of €4.2 million, which is 16% less than during the same period in 2021. The company blames higher amortizations and finance costs, which are influenced by interest rates, for the decline. In terms of year-end projections, the company anticipates “at present levels of revenue and earnings growth” and the continuation of the sales trends from 2023. Reig Jofre also guarantees that it will look for ways to keep its profitability.

Between January and September 2022, Pharma Mar reported a profit of €47.9 million, a 13% decrease from the corresponding period in 2021. The corporation explains this outcome by citing Genomica’s suspension of operations, a business specializing in diagnostics.

Almirall is the business that is performing the best in the other direction. From January through September 2022, the dermatology-focused business had a net profit of €10.9 million, as opposed to a loss of €39.4 million during the same period in 2021.

Almirall’s performance improved since it did not have the same unusual effects as in 2021, when it recorded an asset impairment of more than €100 million. The company’s main business generated revenues of €319.6 million during the time period, up 13.7%.

Advertisement

Almirall’s main medication is Ilumetri. The drugmaker led by interim CEO Carlos Gallardo reported €88.4 million in revenues through September, an increase of 55% from the same period last year, four years after its European authorisation.

Between January and September 2022, Rovi generated a net profit of €121.5 million, a figure that was 23% more than what was reported during the same time in 2021. Despite this, the business warns that it anticipates 2023 with some degree of trepidation, a year in which it may cease third-party manufacture as a result of a decline in demand for Covid-19 vaccines from its American partner Moderna.

Through the third quarter of 2022 compared to the same period in 2021, Faes Farma’s profit climbed by 5% to €74 million. The business continues to aim to complete the year with an 11% increase in profits, and it anticipates that its ophthalmic antihistamine bilastin will be approved and made available in Europe by 2023.

Read More Financial News Here

You must be logged in to post a comment Login

Leave a Reply

Cancel reply

Trending

Exit mobile version