Oct 28, 2022

ALKALOID realized consolidated sales of EUR 178 million, increased the export sales by 23% and invested EUR 13.7 million in the period January - September 2022


Sales


As the unaudited standalone Income Statement shows, in the January - September 2022 period sales increased by 14% and reached MKD 8,161,698,989 while total consolidated sales increased by 16% reaching MKD 10,988,914,294 compared to the same period last year.


Sales by region and country


Consolidated sales on the domestic market increased by 3%. The total consolidated export of the company grew by 23%. 31% of the total consolidated sales went on the domestic market, while foreign markets account for 69%. The breakdown by region shows that South-East Europe countries took 30% share of the sales, 21% of the sales went to the countries of Western Europe (EU and EFTA), Eastern Europe (CIS, UA…) took a 16% share, while other markets account for 2% of the total consolidated sales.


Sales in Turkey had the highest growth of 169%, followed by Poland with an increase of 161%, then Romania 138%, USA 71%, Greece 44%, Bulgaria 41%, Germany 38%, Armenia 37%, Kosovo 14%, Montenegro 11% etc. In the January - September 2022 period in the Pharmaceuticals segment Alkaloid had its first significant sales in Portugal reaching MKD 12.5 million and in Mongolia reaching MKD 12.8 million.


Sales by product group


Broken down by product group, the highest share of the total consolidated sales belongs to the Pharmaceuticals segment with 88%, more specifically, antibiotics account for 24%, OTC products 18%, cardiovascular products 14%, neurological products 13% etc. The Chemistry, Cosmetics and Botanicals segment has a share of 12% of the total consolidated sales, or more precisely Chemistry 3%, Cosmetics 7% and Botanicals 2%. Total sales are up in all segments compared to the same period in 2021. The Pharmaceuticals segment is up by 17%, Chemistry by 16%, Cosmetics 5% and Botanicals 26%.


Investments


In the January – September 2022 period a total of MKD 841,996,474 has been invested in fixed assets.


Operating results


Standalone earnings before interest, taxes, depreciation and amortization (EBITDA), which amount to MKD 1,917,509,370 marked an increase of roughly 14%, whereas net profits rose by 19% to MKD 1,160,140,040.


Consolidated earnings before interest, taxes, depreciation and amortization (EBITDA) reached MKD 1,980,880,390 - an increase of 12%, while net consolidated profit of MKD 1,140,263,568 grew by 15%.


In its operations ALKALOID AD Skopje engaged more than 1.000 domestic suppliers.


Employees


In the period January – September 2022 ALKALOID AD Skopje recruited 161 new employees in the R.N. Macedonia. In March 2022 the Management Board of ALKALOID AD Skopje decided to approve and pay holiday allowance to its employees in amount of MKD 30,000 net. The ALKALOID Group has 2,617 employees, of which 2,015 in its Skopje headquarters and 602 in its subsidiaries and representative offices abroad.


Shares 


The shares of ALKALOID AD Skopje have been listed since 2002 and stand as one of the most traded and most liquid shares on the Macedonian Stock Exchange. The price of ALKALOID AD Skopje shares ranged from MKD 15,598.00 to MKD 19,400.00 in the January-September 2022 period, with an average of MKD 17,531.40 per share, which is a growth of 14.8% compared to the average price in the same period in 2021. On 30.09.2022 5,309 individuals and companies held ALKALOID AD Skopje shares, while its market capitalization was almost MKD 23 billion.



Business plan 2022


The business plan for 2022, adopted by the Management Board of ALKALOID AD Skopje at its December 29th, 2021 meeting, anticipates investment of around 14% of the consolidated revenue in tangible and intangible assets, growth in consolidated sales of 8% compared to 2021, and growth in pre-tax consolidated profit of 7% in comparison to 2021. 


The 2022 business plan is based on the expectations, forecasts and opportunities on the existing and new markets and products available to the Company at the time of drafting the plan. Circumstances and events in 2022 may vary from those taken into account in the Business Plan and so may actual results.


Expectations for the upcoming period


In the past period, the company has faced a number of internal and external challenges and emerging risks, generated by the pandemic of COVID 19, as well as by the energy and economic crisis. To date we have taken a number of measures to offset all negative effects without compromising employee health and company’s successful operation. 


In line with expectations, during 2021, the health crisis turned into an economic one causing new operational challenges. What has already started as a trend in 2021 and dominates in 2022 is the noticeable rise of prices of many raw materials, fuel and energy, as well as the increase of transport prices globally, especially the significant extension of delivery deadlines. All this has previously started to affect the inflation rate, which will be an even more pronounced trend in the following period. Following the indications of the conflict between Russia and Ukraine starting on 24 February 2022, the Company has taken necessary measures to protect its investors, customers, and employees, and tries to provide safety conditions.


The biggest challenges and a top priority in the upcoming period remain employees’ health as well as maintaining current liquidity and financial stability and achieving planned goals.