26.11.1999, Tallinna Farmaatsiatehas, TLN

TALLINNA FARMAATSIATEHASE AS

ANNOUNCEMENT

26.11.1999

 

COMMENTARY TO 9 MONTH UNAUDITED FINANCIAL RESULTS

 

Net sales of Tallinna Farmaatsiatehas of 9 months of year 1999 

amounted to 46.0 million EEK, of which 44.9 million EEK was income 

from sale of medicines, and 1.1 million EEK other income.

 

Net sales by product groups:

Tablets		49.7 %

Ointments		34.2 %

Ampoules		16.1 %

 

Compared to 9 months of year 1998, the company's sales have 

decreased by 26.0 million EEK. Volume of domestic sales increased 

by 2.2 million EEK, volume of export decreased 28.7 million EEK. 

The main factor behind decreased sales volumes is financial crises 

on eastern market (1998 - sales to Russian and other CIS countries 

53.5 million EEK, 1999 - 22.5 million EEK) 

 

As of result of decreased sales volumes and also strict savings 

policy, the company had appr. 0.1 million EEK loss for 9 months 

(1998 - the company was in loss with 20.5 million EEK). The most 

decreased the account of operating expenses - from 24.2 million EEK 

in 1998 to 5.7 million EEK in 1999. The company earned 3.6 million 

EEK of financial income from sale of Magnum Medical Ltd. shares.

 

The company has reduced the level of inventories. Compared to the 

beginning of the year, the volume of inventories is 9.8 million EEK 

lower (26.9%); short-term liabilities have decreased by 41.2 

million EEK (69.5%) and payables to suppliers have decreased by 5.9 

million EEK (34.5%).

 

The Q3 1999 was finished with 1.6 million EEK profit. According to 

the estimated optimistic forecasts Tallinna Farmaatsiatehas hopes 

to finish the current year with profit.

 

 

Raivo Unt

Financial director

+ 372 61 20 201