Financial Statements Release 2017

Oriola Corporation published its financial statements release 1 January-31 December 2017 on Tuesday, 13 February 2018 at 8.30 a.m.

Kimmo Virtanen, Executive Vice President, Services Business Area:

The year 2017 was difficult for Oriola. The changes affecting each of the Business areas were different, but as a result the growth and profitability did not reach the targeted level. However, in many aspects there was positive development.

In Services the implementation of the new ERP and warehouse management system in Finland proved to be challenging, and as a consequence our capability to serve our customers and fulfil our role in the Finnish pharmaceutical distribution system was seriously affected. During the fourth quarter we concentrated in improving the operations and customer service. This work will continue also in 2018, with the aim to restore customer confidence and operative efficiency. In Sweden the construction and commissioning of the new automated distribution center is well on the way, and we expect to start deliveries in the fourth quarter of 2018. The expert services for pharma industry, pharmacies and hospitals developed well in both operating countries, in Sweden through the acquisition of ICTHS.

The Consumer business improved the prescription medicines service level, and was able, in spite of tough competition, to maintain the overall margins. The e-commerce capabilities were developed with good results, and the growth of Kronans Apotek’s online sales exceeded the pharmacy online market growth in Sweden. In Finland the launch of Hehku health and wellbeing store chain together with Kesko was progressing well, and the first stores and the webshop were opened in January 2018. The new chain is a strategic entry to growing health and wellbeing market in Finland.

The Healthcare business grew along the new contracts in Sweden. The dose dispensing for Norrland Region and the pharmaceutical distribution to Västmanland doubled the sales volume, but also presented a big challenge for the organization to increase the dose production and set up the capability to serve the county council. The Finnish dose dispensing performed well.

According to our strategy, we sold our businesses in the Baltic countries, and decided to focus on developing our business in Finland and Sweden where we see great potential and have initiated extensive development projects. 

A meeting for investors, analysts and the press

Oriola Corporation will organize a meeting for investors, analysts and the press on Tuesday, 13 February 2018 at 10.00 a.m. at Hotel Scandic Simonkenttä, meeting room Pavilion, 8th Floor, Simonkatu 9, 00100 Helsinki, Finland.

A teleconference on the financial information will be held by Oriola Corporation on the same day starting at 2.00 p.m. Finnish time, tel. +44 20 3936 2999, confirmation code “10 40 27”. The event can be followed live as a webcast accessible through the webcast link on the right hand side of this page. The language of the teleconference will be English.

The teleconference will be recorded and there is a possibility to listen the conference afterwards starting on Tuesday, 13 February 2017 on Oriola Corporation's website http://www.oriola.com/recordings.

Registrations for the event and teleconference should be made by email to investor.relations@oriola.com by Thursday, 8 February 2018.

Q4 2017