Karo Pharma AB — Interim / Quarterly Report 2018

Jul 19, 2018

KARO PHARMA TRIPLES SALES AND PROFIT IN THE SECOND QUARTER

INTERIM REPORT JANUARY – JUNE 2018

THE PERIOD AND THE SECOND QUARTER

• o Net sales amounted to MSEK 756.5 (281.8), of which the second quarterly MSEK 489.4 (142.5). This corresponds to an increase of 168.5%, and for the second quarter of 243.5%. Growth was driven mainly by acquisitions.
• o Organic growth during the period amounted to + 7.7%, and to + 4.3% in the second quarter. During the period, pharmaceuticals accounted for + 9.3% and other products for + 6.5%.
• o EBITDA amounted to MSEK 321.0 (93.5), of which the second quarter amounted to MSEK 232.3 (49.7), corresponding to a margin of 42.4% (33.2%) for the half-year and 47.5% (34.9%) for the second quarter.
• o EBITDA increased by 243.4% during the period compared with the previous year.

• o Gross margin amounted to 60.8% (56.8%), in the second quarter to 63.1% (59.9%).

• o Cash flow from operating activities amounted to MSEK 136.7 (78.5), of which the second quarter amounted to MSEK 95.2 (43.6)

• o Earnings per share was SEK 5.07 (0.37), of which the second quarter SEK 3.86 (0.16)
• o Cash and cash equivalents at the end of the period amounted to MSEK 333.6 (150.2)
• o The rights issue to finance the LEO acquisition was subscribed to 121.8%. The issue was carried out in the second quarter and raised MSEK 1,314.7 before transaction costs.
• o Karo Pharma completed the acquisition of the operations of LEO from the Danish pharmaceutical company LEO Pharma A/S for MEUR 260 with access as of April 4, 2018.
• o Karo Pharma received two milestone payments from Pfizer in the second quarter totaling MUSD 10.
• o The acquisition of the LEO operations will result in future tax profits in the company, which contributed to the recognition of deferred tax assets during the period of MSEK 417.7.

DEVELOPMENT JANUARY -JUNE 2015 - 2018

KARO PHARMA'S 10 LARGEST PRODUCTS JANUARY - JUNI

Top 10 drugs by net sales KSEK
Paracet	73 896
Mollipect	51 124
Ibux	46 868
Selexid	43 429
Kaleorid	40 263
Burinex	34 158
Locobase	27 635
Paralgin Forte	27 544
Lithionit	21 231
Centyl	13 857
Total	380 005

SALES PER CATEGORY JANUARY -JUNI

COMMENTS BY THE EXECUTIVE CHAIRMAN

We are presenting yet another very strong quarter for Karo Pharma. Sales and operating income tripled in comparison with the second quarter last year.

The quarter was positively impacted by the fact that acquired products from LEO were included for the first time.

As a result of the LEO acquisition completed during the quarter, we can now report a significant tax revenue by recognizing a value in the balance sheet of our old tax losses.

Expected future profits implies that we can now utilize our tax losses for a number of years to come, which will have a major positive impact on our cash flow.

Moreover, during the second quarter we received additional milestones for the ROR-gamma project. This has had a total impact on earnings in the second quarter of MUSD 10.

The repurchase of own shares to be used in incentive programs for senior executives in the company has begun during the second quarter.

An operational consolidation of the company is next on our agenda with possible additional acquisitions.

We have now come a long way in our plan to build a leading specialty pharma company in the Nordic region. The next step will be to establish operations outside the Nordic region in a controlled and profitable manner. In the future, the organization will have a stronger focus on drugs in relation to other health products. The development of the company looks very strong.

Anders Lönner

Executive Chairman

ORGANIZATION

Current CFO Camilla Lönn leaves her employment in the company. Mats-Olof Wallin has been appointed new CFO. Mats-Olof has over 30 years' experience in the pharmaceutical industry in various positions with among others Pharmacia and most recently in Sobi, where he was CFO 2013-2018. Mats-Olof assumes the position on September 1, 2018.

Lisa Westerdahl has been appointed Marketing Director, with main responsibility for new launches. Lisa has long experience in building and developing brands, with a background from various roles in Meda AB during 2004- 2016, such as Nordic Marketing Director and International Marketing Director.

Lisa assumes the position on September 1, 2018.

Anette Abrahamsson has been employed as Chief Medical and Regulatory Officer. Anette has extensive expertise in regulatory affairs, pharmaceutical safety and quality issues / GDP with 20 years' experience from the pharmaceutical industry, such as management positions at Pfizer and Astra. Anette assumes her position on August 13.

KEY FINANCIAL DATA

	April - June		January - June	Full year
	2018	2017	2018	2017	2017
Net sales	489.4	142.5	756.5	281.8	657.6
Gross earnings	308.6	85.4	460.2	160.2	341.9
Operating expenses	-124.1	-47.9	-212.1	-91.2	-262.0
Earnings before tax and non-recurring items	232.3	49.7	321.0	93.5	169.3
EBITDA margin	47.5%	34.9%	42.4%	33.2%	25.7%
Earnings before tax	121.2	26.6	169.5	46.0	20.9
Earnings per share (SEK)¹	3.86	0.16	5.07	0.37	0.16
Cash flow from operating activities	95.2	43.6	136.7	78.5	33.5
Cash	333.6	150.2	333.6	150.2	838.6

¹ Taking into the bonus element of the rights issue

SALES AND EARNINGS

Net sales for the period increased to MSEK 756.5 (281.8). Of the sales increase, MSEK 388.4 stems from the operations acquired in Norway in the fourth quarter of 2017 and from the LEO operation, and MSEK 86.6 relates to milestones received from Pfizer during the second quarter.

Cost of goods sold amounted to MSEK 296.3 (121.6), resulting in a gross profit of MSEK 460.2 (160.2) and a gross margin of 60.8 (56.8) per cent for the period.

Operating expenses including depreciation and other operating income for the period amounted to MSEK 212.1 (91.2). Sales expenses amounted to MSEK 180.3 (70.6). The increase in sales costs comes primarily from the operations acquired in Norway as well as costs related to the LEO operations and the build-up of the organization as a result of the LEO acquisition.

The operating profit amounted to MSEK 248.1 (68.9).

Earnings per share amounted to SEK 5.07 (0.37).

7

CASH FLOW AND FINANCIAL POSITION

Cash flow from operating activities amounted to MSEK 136.7 (78.5). Group cash and cash equivalents at the end of the period amounted to MSEK 333.6 (150.2). Cash flow during the period was MSEK -511.6 (-29.2). The single largest changes from the first half of the previous year are cash flow related to the acquisition of the LEO operations, cash flow linked to the financing of the LEO acquisition during the second quarter of 2018 and amortization of bridge loans incurred in conjunction with the acquisition of Weifa. Total assets amounted to MSEK 6,897.1 (1,749.1) on June 30, where Intangible assets accounted for MSEK 5,648.9 (1,408.5) of the balance sheet total at the end of the period. The change from the previous year relates primarily to intangible assets as a result of the acquisition of the Weifa and LEO operations.

During the second quarter, the operations of LEO were acquired for MSEK 2,672. The acquisition was financed primarily through

short-term loans, where part of the short-term loan was amortized after completion of the rights issue during the second quarter. Amortization amounted to MSEK 1,250.

Group equity increased to MSEK 3,657.6 (1,060.1). As a result of the share issue, equity increased by MSEK 1,262 after deduction of issue costs of MSEK 52. The equity ratio was 53.0 (60.6) per cent.

PARENT COMPANY

The parent company's net sales during the second quarter of 2018 amounted to MSEK 263.3 (25.1). Profit after financial items amounted to MSEK 85.7 (6.8). The parent company's liquid assets amounted to MSEK 181.6 (53.0) at the end of the period.

SIGNIFICANT EVENTS

8

On April 4, the acquisition of the operations of LEO from the Danish pharmaceutical company LEO Pharma A / S was completed at MEUR 260.

During the second quarter, a rights issue was completed to finance part of the acquisition of

the LEO operations. The rights issue increased equity by MSEK 1,262, after deduction of issue costs of MSEK 52. After the issue, share capital amounts to MSEK 65,732,389 and the number of shares to 164,332,782.

During the second quarter, Karo Pharma received two milestone payments from Pfizer which affected earnings by MSEK 86.6.

The company distributed SEK 0.30 per share in accordance with the AGM's decision in May.

SIGNIFICANT EVENTS AFTER PERIOD END

After the end of second quarter, the company continued to buyback own shares as decided by the Board of Directors. On July 15, 2018, the repurchased shares amounted to 1,596,391.

TRANSACTIONS WITH RELATED PARTIES

For transactions with related parties, see note 2 below.

RISKS

The Group is exposed to a number of risks and insecurities.

CHANGES IN REGULATIONS AND HEALTHCARE SYSTEMS

Future changes in health care systems may be implemented in countries where the company and its partners intend to market pharmaceuticals. Such changes may affect the sales potential of these products as well as the ability to acquire new partners.

PATIENT SAFETY

Access to health care and medicine is a crucial issue for the industry. Karo Pharma applies strict standards to ensure the safety and quality of all products marketed by the company. The standard within the Good Manufacturing Practice, GMP is applicable to all medical products and the requirements are the same regardless of where the production is performed. Even for non-medicinal products, there are different quality and safety guidelines.

SIDE EFFECTS

Any use of medicines is associated with the risk of side effects of different kinds and to a different extent. Concomitant use of multiple drugs or ingestion of food or drink may alter the effect of the drug. Karo Pharma works for the safe use of medicines through an inhouse department. All potential side effects are reported to the pharmaceutical authority. During the period there were no significant incidents in pharmacovigilance.

Wrongful, delayed or missing deliveries from Group suppliers may result in Group deliveries also being delayed, inadequate or faulty. The Group is also exposed to exchange rate fluctuations. It cannot be guaranteed that Group operations will not be subject to restrictions by governmental agencies or that the Group will receive necessary future authority approvals. There is a risk that the Group's ability to develop products diminishes or that the products will not be launched according to set schedules. These risks may involve lower sales and negatively impact Group earnings.

AUDITOR'S REVIEW

This interim report has not been subject to auditor's review.

FINANCIAL CALENDAR

Interim report Jan-Sept 2018 Nov 1, 2018 Year-end report 2018 Feb 14, 2019

BOARD'S ASSURANCE

The Board of Directors and the CEO ensure that the interim report gives a true and fair view of the company's and the Group's operations, position and results, and describes significant risks and uncertainties that the company and the companies that are part of the Group face.

Stockholm on July 19, 2018

Anders Lönner	Marianne Hamilton	Thomas Hedner
Chairman of the Board	Board Member	Board Member

Per-Anders Johansson	Håkan Åström	Peter Blom
Board Member	Board Member	CEO

FOR FURTHER INFORMATION, PLEASE CONTACT

Peter Blom, CEO, +46 70 655 56 98 or peter.blom@karopharma.se

ABOUT KARO PHARMA

Karo Pharma is a specialty pharma company that develops and markets products to pharmacies and directly to healthcare providers. The share is listed on Nasdaq Stockholm in the Mid Cap segment.

The information in this report is such that Karo Pharma is obliged to make public pursuant to the EU Market Abuse Regulation and the Securities Markets Act. The information was submitted for publication, through the agency of the contact person set out above, on July 19, 2018 at 8.00 a.m. CET.

CONFERENCE CALL / AUDIOCAST

This report will not be presented at a conference call / audiocast.

	April - June			January - June	Full year
	2018	2017	2018	2017	2017
Net sales	489 447	142 463	756 511	281 796	657 606
Cost of sales	-180 822	-57 099	-296 315	-121 639	-315 703
Gross profit	308 625	85 364	460 196	160 157	341 904
Operating costs
Distribution costs	-106 244	-35 905	-180 281	-70 558	-198 609
Administration	-18 152	-7 756	-32 508	-15 321	-43 650
Research and development	-215	-1 284	-615	-2 645	-4 355
Other operating income/expenses	490	-2 936	1 265	-2 723	-15 385
Total operating cots	-124 122	-47 881	-212 138	-91 247	-261 999
Operating profit	184 503	37 483	248 058	68 910	79 904
Financial net	-63 309	-10 861	-78 518	-22 868	-59 054
Profit before tax	121 194	26 622	169 541	46 042	20 851
Tax	405 808	-10 420	404 624	-8 490	-6 346
NET PROFIT	527 002	16 202	574 164	37 552	14 505
Net earnings attributable to:
Shareholders in the parent company	527 002	16 203	574 166	37 555	14 516
Non-controlling interests	-1	-1	-2	-	-11
Earnings per share (SEK) 1	3,86	0,16	5,07	0,37	0,16
Number of shares issued (000)	164 333	82 166	164 333	82 166	82 166

CONSOLIDATED INCOME STATEMENT SUMMARY (KSEK)

¹ Taking into account the bonus element in the rights issue.

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (KSEK)

	April - June		January - June		Full year
	2018	2017	2018	2017	2017
NET PROFIT FOR THE PERIOD	527 002	16 202	574 164	37 552	14 505
Other comprehensive income for the year, net of tax
Exchange rate differences	106 611	-451	106 611	-412	-20 638
TOTAL COMPREHENSIVE INCOME	633 613	15 751	680 776	37 140	-6 133
Total comprehensive income attributable to:
Shareholders of the parent company	633 615	15 752	680 777	37 143	-6 122
Non-controlling interests	-1	-1	-2	-	-11

	30 June	31 December
	2018	2017	2017
Assets
Intangible assets	5 648 887	1 408 476	2 923 110
Equipment	15 757	12 712	14 498
Other financial assets	492 765	136	79 686
Other current assets	406 345	177 612	285 969
Cash and cash equivalents	333 304	150 190	838 586
TOTAL ASSETS	6 897 058	1 749 126	4 141 848
Shareholders' equity and liabilities
Equity	3 657 567	1 060 059	1 586 515
Deferred tax	84 654	55 420	89 537
Long term debt	1 992 120	486 121	1 452 623
Current liabilities	1 162 717	147 526	1 013 172
TOTAL SHAREHOLDERS' EQUITY AND LIABILITIES	6 897 058	1 749 126	4 141 848

CONSOLIDATED STATEMENT OF FINANCIAL POSITION (KSEK)

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY (KSEK)

Attributable to shareholders of the par ent company	Share capital	Ongoing rights issue	Other contrib uted capital	Retained earnings/ accumu lated losses	Non control ling interest	Total equity
Amount at 1 January 2017	25 563			0 1 726 100 -1 034 773	122	717 012
Total comprehensive income			-	-6 051	-82	-6 133
Dividend				-41 083	-	-41 083
Rights issue, net proceeds	7 303		341 487	-	-	348 790
Rights issue paid in, not registered equity net of transaction costs		8 501	559 428			567 929
Amount at 31 December 2017	32 866			8 501 2 627 015 -1 081 907		40 1 586 515
Amount at 1 January 2017	32 866			8 501 2 627 015 -1 081 907		40 1 586 515
Total earnings				680 777		680 777
Dividend				-32 867	-	-32 867
Repurchasing of own shares				-19 605		-19 605
Rights issue, net proceeds	32 867	-8 501	1 418 003	-	-	1 442 369
Rights issue paid in, not registered equity net of transaction costs						0
Amount at 30 June 2018	65 733		0 4 045 018	-453 601		40 3 657 190

CONSOLIDATED STATEMENT OF CASH FLOWS (KSEK)

	April - June			January - June
	2018	2017	2018	2017	2017
Operating activities
Operating income/loss before financial items	184 503	37 483	248 058	68 910	79 904
Depreciation	47 544	12 302	72 940	24 615	60 561
Other items not affecting liquid assets	1	0	2	0	0
	232 049	49 785	321 000	93 525	140 465
Financial items received and paid	-31 476	-10 563	-55 489	-13 421	-47 986
Income tax paid	-489	-2 582	-1 613	-4 200	-2 292
Cash flow from operating activities before changes in working capital	200 083	36 640	263 898	75 904	90 186
Changes in working capital	-104 894	6 957	-127 181	2 564	0
Cash flow from operating activities	95 189	43 597	136 717	78 468	90 186
Investing activities
Net investment in company acquisitions	0	0	0	-2 025	-1 255 689
Net investment in intangible assets	-2 673 190	-190	-2 674 544	-265	-4 075
Net investment in other financial instruments	0	-115	0	17 671	17 671
Net investment in equipment	-1 123	-647	-1 826	-1 366	-3 721
Cash flow from investing activities	-2 674 313	-952	-2 676 370	14 015	-1 245 815
Financing activities
Net proceeds from share issues	1 295 058	0	1 473 038	374 014	990 309
Transaction costs share issue 1)	-49 462	-17 183	-98 340	-25 223	-25 523
Dividend	-32 867	-41 083	-32 867	-41 083	-41 083
Warrants	0	0	0	0	0
Borrowings	4 243 507	0	4 243 507	0	1 750 368
Repayment of loans	-2 837 638	0	-3 557 281	-371 000	-743 017
Transactions with minorities	-1	0	0	0	0
Cash flow from financing activities	2 618 596	-58 266	2 028 057	-63 292	1 931 054
Cash flow for the period	39 472	-15 621	-511 597	29 191	775 426
Cash at the beginning of the period		295 190 166 110	838 586	121 346	121 346
Currency exchange in cash	-1 100	-299	6 574	-347	-1 519
Cash at the end of the period		333 562 150 190	333 562	150 190	895 253

1) Comprises the portion of transaction costs paid during the period

	April - June		January - June	Full-year
	2018	2017	2018	2017	2017
Net sales	263 297	25 140	265 383	31 587	39 269
Cost of sales	-74 753	0	-74 753	-10	152
Gross profit	188 543	25 140	190 629	31 577	39 420
Operating costs
Sales costs	-33 881	-1 032	-35 028	-2 063	-5 518
Administration	-8 600	-3 853	-15 045	-7 936	-19 158
Research and development	-215	-1 284	-615	-2 645	-4 355
Other operating income/expenses	859	-1 248	1 956	-1 256	-594
Total operating costs	-41 837	-7 417	-48 732	-13 900	-29 624
Operating profit	146 706	17 723	141 897	17 677	9 796
Financial net	-60 523	-10 873	-73 755	-22 778	-55 033
Profit/loss before tax	86 184	6 850	68 142	-5 101	-45 237
Group contributions paid	0	0	0	0	65 537
Tax	417 662	0	417 662	0	-62
NET PROFIT/LOSS	503 846	6 850	485 804	-5 101	20 238

PARENT COMPANY INCOME STATEMENT SUMMARY (KSEK)

* Sales costs consist of amortization on trademarks which were reported separately during the corresponding period last year.

PARENT COMPANY BALANCE SHEET SUMMARY (KSEK)

	2018	2017	2017
Assets
Intangible assets	2 726 723	74 532	76 279
Equipment	0	313	16
Deferred tax receivables	492 662	75 000	75 000
Other financial assets	385 099	21	350 388
Shares in group companies	2 647 153	1 308 367	2 646 768
Other current assets	141 068	92 351	127 073
Cash	181 610	52 967	695 191
TOTAL ASSETS	6 574 315	1 603 551	3 970 715
Shareholders' equity and liabilities
Equity	3 516 010	1 015 424	1 607 442
Long term debt	2 003 360	498 251	1 464 152
Current liabilities	1 054 944	89 876	899 121
TOTAL SHAREHOLDERS' EQUITY AND LIABILITIES	6 574 315	1 603 551	3 970 715

Note 1

ACCOUNTING AND VALUATION PRINCIPLES

This interim report has been prepared in accordance with International Accounting Standards 34 for interim reports and international accounting standards IFRS as adopted by the EU. The accounting and valuation principles that have been used are unchanged compared to those applied in 2017, except for those listed in this Note under new accounting principles for 2018.

For the parent company, this interim report has been prepared in accordance with the Annual Accounts Act and RFR 2 Accounting for Legal Entities. The accounting policies applied to the Parent Company differ from those applied to the Group solely on the accounting of leasing agreements.

NEW ACCOUNTING PRINCIPLES FOR 2018

As of January 1, 2018, IFRS 15 Revenue from Contracts with Customers and IFRS 9 Financial Instruments came into force.

IFRS 9 deals with the classification, valuation and accounting of financial instruments. Karo Pharma has completed the analysis of the effects of implementing these two standards during the fourth quarter 2017. There are no changes of significant size that affects earnings or financial position.

	Jan -June		FY
	2018	2017	2017
RX drugs	261.7	103.2	232.0
OTC drugs	141.6	5.4	66.0
Other	353.1	173.2	359.6
Total net sales	756.5	281.8	657.6

Note 2

TRANSACTIONS WITH RELATED PARTIES

In connection with Karo Pharma's acquisition of the company Medcore, two smaller products were licensed by a company held by Chairman Anders Lönner for more than 10 years. Karo Pharma receives 15% in commission on sales which is the same compensation that Medcore received.

Chairman Anders Lönner and Board members Per-Anders Johansson and Håkan Åström as well as the Nomination Committee and the shareholder Leif Edlund, who together hold approximately 17.8% of the capital and votes in the Company, committed to subscribe for their respective pro rata share in the proposed rights issue. The remaining part of the rights issue was underwritten by Anders Lönner, Leif Edlund and Håkan Åström, who received a 2.5% remuneration on their respective underwriting commitment. Total underwriting and subscription fees paid amounted to MSEK 27.0.

A company owned by Anders Lönner, Beampoint has transferred a trademark (Viruseptin) to Karo Pharma for a sum corresponding to the registration fee.

Note 3

ACQUISITIONS

On April 4, 2018, Karo Pharma acquired an operation from Leo Pharma (the LEO operations). The acquisition is an asset purchase transaction and includes a product portfolio of well-known drug brands as well as a platform for further development in Scandinavia as well as elsewhere in Europe and around the world.

The consideration amounted to MSEK 2,673. The assets acquired relate to product rights and goodwill. Acquired Goodwill is attributable to the platform for continued operations in Scandinavia and Europe that the acquisition of the LEO operations entails.

As the acquisition of the LEO portfolio is of a commercial takeover character, it also adds an obligation for the Company to acquire the inventory of the LEO product portfolio. This cost is estimated at approximately MSEK 100 and is expected to be paid in the second half of 2018.

The acquisition relates only to assets belonging to the former owner as part of an integrated business and has no separate historical financial information and not a separate operation with associated assets, liabilities and obligations. Consequently, a pro forma income statement as if the acquisition had taken place on January 1 and which gives a fair image cannot be established. Furthermore, this means that a preliminary acquisition analysis cannot be prepared.

Acquisition-related costs in Karo Pharma AB amount to approximately MSEK 0.5.

The consideration amounts to MSEK 2,673. Since no liquid funds were acquired, cash flow was consistent with the purchase price. The acquisition analysis of the acquisition of the LEO operations has not yet been established. The company is currently evaluating the future potential and life of the acquired products. Once this analysis is completed, the acquisition analysis will be determined, thereby determining the distribution between product rights and goodwill.

Karo Pharma will gradually take over the management of the products. During a transitional period, LEO Pharma manages the product portfolio on Karo Pharma's behalf against reimbursement at market terms. Under the agreement, the transitional period may be 24 months.

As a result of the acquisition, costs are expected to occur in quarter two to quarter four 2018 for setting up new subsidiaries and expansion of the existing sales organization (approx. MSEK 50) and costs associated with integration and expansion of Karo Pharma's regulatory organization (approx. MSEK 20).

Note 4

DEFINITIONS

In the report, a number of financial performance measures are referred to which are not defined by IFRS. These measures are used to help investors, management and other stakeholders to analyze the company's operations. These measures may differ from measures with similar names at other companies.

Below are a number of financial performance measures and how these are used to analyze the company's goals.

For further definitions, see the Annual Report 2017 under the heading definitions.

Financial performance
measure	Definition	Purpose
Average number of shares	Weighted average number of shares
Earnings per share	Earnings per average num ber of shares
Equity ratio	Equity as a percentage of Total assets	The equity ratio is relevant for investors and other stakeholders who want to assess the com pany's financial stability and ability to manage long term.
Gross margin	Gross earnings as a percent age of Net sales.	Gross earnings is used to show the company's margin before the impact of costs such as sales and administration costs and R & D.
Adjusted EBITDA	Operating earnings before depreciation excluding items affecting comparabil ity	The financial performance measure shows the underlying earnings from operations, adjusted for effect of depreciation and items that affect com parisons over time. It provides a picture of earn ings generated from ongoing operations.
Adjusted EBITDA margin	Adjusted EBITDA in relation to Net sales	The ratio is used to measure the profitability of ongoing operations.

	April – June		January - June		Full year
Reconciliation adjusted EBITDA KSEK	2018	2017	2018	2017	2017
Operating earnings	184 503	37 483	248 058	68 910	79 904
Depreciation	47 544	12 302	72 940	24 615	61 744
Other depreciation and amortization	0	0	0	0	0
Items affecting comparability	235	0	0	0	27 615
Adjusted EBITDA	232 283	49 785	320 998	93 525	169 264

Items affecting comparability are:

• Transaction costs linked to the acquisition of product rights, trademarks, licenses or companies.
• Costs related to restructuring and reorganization, e g in the case of acquisitions.