ORION CORPORATION INTERIM REPORT 1-3/2021 27 APRIL 2021 at 12:00
Orion Group Interim Report 1-3/2021
This is a summary of Orion’s Interim Report 1-3/2021. The complete report is attached to this stock exchange release and is available at https://www.orion.fi/en/Orion-group/investors/financial-reviews-and-presentations/
- Net sales totalled
EUR 269 million (EUR 280 million in 1–3/2020). - Operating profit was
EUR 75 (84) million. - Profit before taxes was
EUR 75 (83) million. - Equity ratio was 54% (69%).
- ROCE before taxes was 38% (39%).
- ROE after taxes was 35% (33%).
- Basic earnings per share were
EUR 0.42 (0.48). - Cash flow per share before financial items was
EUR 0.19 (0.34). - The outlook for 2021 remains unchanged. Orion estimates that net sales in 2021 will be slightly lower than in 2020 (net sales in 2020 were
EUR 1,078 million ). Operating profit is estimated to be lower or clearly lower than in 2020 (operating profit in 2020 wasEUR 280 million ).
1-3/21 | 1-3/20 | Change % | 1-12/20 | |
Net sales, EUR million | 268.7 | 279.9 | -4.0% | 1,078.1 |
EBITDA, EUR million | 86.0 | 98.6 | -12.8% | 336.5 |
% of net sales | 32.0% | 35.2% | 31.2% | |
Operating profit, EUR million | 75.0 | 84.4 | -11.1% | 280.1 |
% of net sales | 27.9% | 30.1% | 26.0% | |
Profit before taxes, EUR million | 74.8 | 83.4 | -10.3% | 278.3 |
% of net sales | 27.8% | 29.8% | 25.8% | |
Profit for the period, EUR million | 59.6 | 67.4 | -11.6% | 219.9 |
% of net sales | 22.2% | 24.1% | 20.4% | |
R&D expenses, EUR million | 25.1 | 26.8 | -6.4% | 123.2 |
% of net sales | 9.3% | 9.6% | 11.4% | |
Capital expenditure, EUR million | 12.0 | 10.3 | +16.1% | 48.5 |
% of net sales | 4.5% | 3.7% | 4.5% | |
Interest-bearing net liabilities, EUR million | -214.9 | -185.0 | +16.2% | -185.8 |
Basic earnings per share, EUR million | 0.42 | 0.48 | -11.6% | 1.56 |
Cash flow per share before financial items, EUR | 0.19 | 0.34 | -43.1% | 1.85 |
Equity ratio, % | 53.8% | 68.9% | 66.7% | |
Gearing, % | -34.2% | -22.0% | -25.4% | |
ROCE (before taxes), % | 38.2% | 38.8% | 34.8% | |
ROE (after taxes), % | 35.0% | 33.2% | 29.1% | |
Average personnel during the period | 3,328 | 3,304 | +0.7% | 3,337 |
President and CEO
Strong first quarter as exceptional circumstances continue
“In the early part of 2021, the exceptional circumstances brought on by the COVID-19 pandemic are still prevailing. For Orion, this means continuing to focus on looking after the health and safety of our employees and ensuring production continuity, product availability and patient safety in ongoing clinical trials.
In January–March 2021, Orion's net sales were
The decrease in operating profit is primarily due to the gross margin falling below the comparative period. The change is mostly explained by the very high sales volume induced by the COVID-19 pandemic early last year and the fact that products with above-average margins, such as Dexdor and Simdax, accounted for a considerable share of those sales. Operating expenses in the first quarter were lower than in the comparative period mainly due to the COVID-19 pandemic, which served to slow down the decline in operating profit.
Orion's key clinical development projects progressed as expected in the review period, even though the ongoing pandemic still causes extra work in projects. For example, patient recruitment has been launched for the ODM-208 Phase II clinical trial as well as for the joint Phase III ARANOTE clinical trial on darolutamide with Bayer.
The global pharmaceutical supply chains have functioned fairly well from Orion's perspective throughout the pandemic, and so far we have not experienced any of the dreaded disruptions or shortages. To our current knowledge, no disruptions or shortages are expected to affect the outlook for the rest of 2021 either. However, as the pandemic drags on, broader concerns are arising with regard to the global supply and logistics chains of goods and raw materials. Any disruptions in them may have unexpected and sudden ramifications, which may be felt as a shortage of ingredients, supplies and equipment needed in the chemical and pharmaceutical industries and as increases in prices.
In the review period, we have continued our systematic work to achieve Orion's strategic growth target. Besides building future organic growth, we have allocated more resources to business development over the past few years and are continually assessing products and businesses as potential acquisition targets.”
Outlook for 2021 (provided on 9 February 2021)
Orion estimates that net sales in 2021 will be slightly lower than in 2020
(net sales in 2020 were
Operating profit is estimated to be lower or clearly lower than in 2020
(operating profit in 2020 was
Webcast and conference call
A webcast and a conference call for analysts, investors and media will be held on Tuesday,
A link to the live webcast will be available on Orion's website at www.orion.fi/en/investors. A recording of the event will be available on the website later the same day.
To participate the conference call, please dial:
PIN: 23814414#
Orion calendar
Capital Markets Day | Wednesday |
Half-Year Financial Report January- | Monday |
Interim Report January- | Wednesday |
Espoo,
Board of Directors of
For additional information about the report:
www.orion.fi/en/investors
Publisher:
http://www.orion.fi/en
http://www.twitter.com/OrionCorpIR
Orion is a globally operating Finnish pharmaceutical company – a builder of well-being. Orion develops, manufactures and markets human and veterinary pharmaceuticals and active pharmaceutical ingredients. The company is continuously developing new drugs and treatment methods. The core therapy areas of Orion's pharmaceutical R&D are neurological disorders, oncology and respiratory diseases for which Orion develops inhaled pulmonary medication. Orion's net sales in 2020 amounted to
Attachment
- Orion Group Interim Report 1-3/2021
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