Lavipharm Group's consolidated sales increase during the first half of 2024.

KEY DEVELOPMENTS

Specifically, consolidated sales from continuing operations amounted to €30.6 million compared to €29.1 million in the corresponding period of 2023, an increase of 5.3%. Consolidated sales, after deducting rebates and clawback, amounted to €26.3 million compared to €25.9 million in the corresponding period of 2023, an increase of 1.6%. Adjusted EBITDA amounted to €5.9 million compared to €6.1 million in the first half of 2023, a decrease of 2.1%.

The decrease in EBITDA is solely due to the accounting impact of the valuation of stock options and stock award plans amounting to €675 thousand, which did not exist in the corresponding period last year. We recall that the liabilities arising from the implementation of these plans affect EBITDA earnings, in accordance with IFRS, but do not require a cash payment, the statement stressed.

Gross profit was €12.1 million compared to €12.0 million in 2023, an increase of 0.4%. 

It is noted that sales of the recently acquired products (Lonarid, Lonalgal, and Flagyl) were launched by Lavipharm sequentially from May to June, with the result that their full potential is not yet reflected in the first half results. Similarly, the promising medicinal cannabis market is showing slow but steady growth rates, as particularly significant time is needed to raise awareness among healthcare professionals about this new area.

Consolidated profit after tax soared to €7.7 million compared to €2.2 million in the first half of 2023, marking an impressive 248.8% increase. This increase was due to the recognition of a deferred tax asset, which resulted from the group's decision to liquidate subsidiaries with accumulated losses from the past.

The group's net borrowings as of 30/6/2024 amounted to €22.5 million.

CEO STATEMENT

"The results we are announcing today embody the fruits of the strategic decisions we have taken over the past two years. Already in the second half of the year, we expect our recent investments to deliver the returns of their full potential," said Telemachus Lavidas, CEO of Lavipharm. "Our steady upward trajectory reflects our commitment to excellence and innovation and our dedication to the implementation of our strategy, continuing to focus on areas that lead us to long-term growth."