In the first half of the year, JGL achieved total revenue and sales revenue growth at the level of the joint-stock company (d.d.) and at the Group level.
Along with the recovery of operations in key markets, primarily the leading Russian market, and further positive financial effects of the sale of part of the portfolio to the Hungarian Egis Pharmaceuticals, JGL d.d. and JGL Group once again recorded positive net business results in the first half of 2017, i.e. a net profit of HRK 44.41 million at the level of JGL d.d. and HRK 29.89 million at the level of JGL Group.
“After all the challenges caused by the adverse movement of the exchange rate of the Russian ruble against the euro over the past two business years, indicators now show a slight recovery of JGL, for both the company and the entire Group. We have significantly improved the liquidity of our business, which has contributed to the rapid realization of export projects in the Polish and Hungarian markets, through Russia and all the way to the ASEAN countries, with high profitability, as well as a return on assets and capital, and the reduction of net debt,” says Jasmin Huljaj, Chief Executive Officer of JGL d.d.
JGL d.d. thus generated a total revenue of HRK 357.99 million in the first half of this year, with domestic revenues rising by about four percent, while revenues abroad rose by about 26 percent. Revenues from sales abroad should be viewed by including other revenue generated by the sale of the D-Panthenol brand products from the Russian portfolio and products from the female health segment (Vagilac, Folacin and Feminal) to the Hungarian Egis Pharmaceuticals, so the total increase in business revenue is 121 percent, compared to the same period of the previous year. Revenue shares from sales abroad account for 81 percent of total business revenue.
At the Group level, total consolidated revenue amounts to HRK 455.17 million, with a recorded growth of 62 percent.
In line with the change of the business model in the key market – the Russian market – the associated company Jadran LLC Moskva has taken over the entire business in Russia as of April 2017, with the aim of improving the distribution and availability of products on the Russian market.