JSC  "Grindeks" net sales in the first quarter of 2003 amounted to LVL

4 874 899 which is by 36.2% more than in the respective period of 2002.

Net  profit  was LVL 465 248, whereas the respective figure in 2002 was

LVL  341  206. Net profit margin in the first quarter of 2003 was 9.5%.

The  net  sales target has been exceeded by 10.6% or LVL 466 489. Gross

profit margin in the first quarter of 2003 reached 30.7%.

The  sales  of  final  dosage  forms  (building 75.2% of revenues) have

increased  by 31% compared to the same period in 2002. Notable increase

has  been attained in all export markets, including a 54.3% increase in

the  Russian  market  and an overall 41.8% increase in the CIS markets.

The  export sales by daughter company Tallinn Pharmaceutical Plant have

increased by 20% compared to the same period in 2002.

The  growth  of  sales  has  occurred  owing  to  increase  in sales of

individual   brands  like  Mildronate  and  Oksitocine.  The  share  of

Mildronate  in  sale  of  final dosage forms is as high as 43.9%, which

comprises a certain risk.  "Grindeks" is penetrating into new markets -

ointment  Kapsikam  is  being  promoted  in  the  Ukraine  and ointment

Viprosal B has been registered in Hungary.

The  Good  Production  Practice  certificate issued by State Medication

Agency was one of the most important events during the first quarter of

2003  and  testifies  the  compliance  of  "Grindeks" products with top

quality standards.