Binnopharm Group, one of the largest medicine manufacturers in Russia and part of Sistema Group, announces Q3 and 9M 2021 IFRS financial results.
Q3 and 9M 2021 revenue increased by 28% to RUB 6,827 m and by 22.1% to RUB 18,029 m year-on-year, respectively. The Group achieved these results thanks to its commercial strategy aimed at bolstering its presence in different segments of the pharmaceutical market. For example, the inpatient segment delivered an 18% year-on-year increase in revenue in 9M 2021 driven, among other things, by strong sales of antibiotics and medicines for treating post–COVID-19 conditions.
Effective cooperation with pharmacies and pharmacy chains helped boost retail sales by 51%, including the products aiming to improve the quality of life: venotonic Venarus, synbiotic Maxilac, and antispasmodic Neobutin. According to AlphaRM analytical agency, in 9M 2021, Binnopharm Group’s year-on-year secondary sales (shipments to pharmacies) grew faster than the market.
OIBDA for Q3 and 9M 2021 saw an impressive growth of 43.7% to RUB 2,209 m, surging by 81.9% to RUB 5,912 m year-on-year. This result came on the back of stronger revenues, product portfolio optimisation, and materialised synergies among Group companies, which brought down the share of selling and administrative expenses. Q3 and 9M 2021 net profit stands at RUB 1,202 m and RUB 3,231 m, respectively.
Rustem Muratov, CEO of Binnopharm Group, says:
In 9M 2021, we delivered a remarkable 22.1% year-on-year revenue growth by capitalising on our competitive advantages – low production costs, large-scale business, versatility in dosage forms and volumes combined with one of the largest medicine portfolios and an effective marketing strategy across all sales channels. OIBDA surge in the reporting period was driven by a revenue increase, product portfolio optimisation, and synergies from the merger of assets comprising Binnopharm Group. Our competitive edge enables us to further build up our share in retail and inpatient segments and expand our global footprint.