17.05 2019

Katren OJSC publishes its 2018 report

Katren OJSC has published its annual marketing report on the results of the holding’s activities in 2018 on its site, www.katrengroup.ru

The document presents the key business directions and the main results for each company in Katren OJSC’s holding.

As Vladimir Spiridonov, Director General of Katren OJSC, points out in his comments, in 2018 the Russian pharmaceutical market continued to develop as it did in 2017. “The market is showing modest growth: the packed medicines segment of the market grew 1.5% in the year. In general, the growth of the pharmaceutical market has slowed down to just a sixth of the rate five years ago. The main projects and plans of the Group for 2019 remain unchanged: to maximise profits, retain our share in the Russian and Ukrainian wholesale markets, and to increase our market share in Kazakhstan and Belarus without reducing profit margins. The Katren Group will continue to develop and maintain its high standards of operation, which are a guarantee of reliability and professionalism.”

The Group reported gross revenue of 232 billion roubles, and a net profit of 2.8 billion roubles.

The 2018 accounts were audited and approved by Deloitte.

Katren OJSC’s annual marketing report for 2018 can be found in the “About the Group/ Annual Marketing Report” section on the Holding’s site, and also at the link.

The Annual Marketing Report does not constitute an annual report for the purposes of Chapter 70 of Order of the Russian Central Bank No. 454-P On the Declaration of Information by Issuers of Securities, dated December 30, 2014. The text of Katren OJSC’s annual report, drawn up in compliance with the requirements of Chapter 70 of Order of the Russian Central Bank No. 454-P On the Declaration of Information by Issuers of Securities, dated December 30, 2014, will be published in the “Reports” section of the web site http://e-disclosure.ru/ by Katren OJSC’s authorised agent Interfax, once it has been approved by the General Shareholders Meeting.

Information about the Company

Katren Open Joint Stock Company, a holding company owned by the Group, operates in pharmaceutical markets, in the distribution and retail sectors. Katren OJSC’s main business is in the Russian Federation, and it also operates as a pharmaceutical distributor in Ukraine, Kazakhstan and Belarus.

Distribution

Katren JSC, Russia

The main company in the Group, it operates as a distributor of medicines in every federal sub-division of the Russian Federation. In 2018 the Company reported gross revenue of 193.1 billion roubles, and a net profit of 2.5 billion roubles.

In 2018 Katren was named the Distribution Company of the Year in the Green Cross International Pharmaceutical Awards — a professional awards event for specialists in the pharmacy community.

Venta Ltd, Ukraine

The Company is one of the three largest distributors to pharmacies in Ukraine, by volume of medicines supplied. It reported a 15% rise in revenue in 2018.

EMITI International LLP, Republic of Kazakhstan

One of the largest distributors in Kazakhstan’s commercial pharmaceutical market, with a market share of 10.2%. In 2018 the Company reported a 17% growth in revenue.

Dominantapharm ALC, Republic of Belarus

Belarussian pharmaceutical distributor. It reported a 25% rise in revenue in 2018.

Retail

Melodiya Zdorovya AS, Russia

In 2018 the Company reported a 29% growth in sales turnover in its own chain of pharmacies. The pharmacy chain has 680 pharmacies in 53 sub-divisions of the Russian Federation.

In 2018 Melodiya Zdorovya was the number one federal pharmacy chain, in the category of chains with a medium turnover of up to 2 million roubles a month per pharmacy (as rated by the RNC Pharma agency).