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Vistin Pharma — Earnings Release 2017
Oct 27, 2017
3782_rns_2017-10-27_fbf0f587-1f65-4412-bc66-f18d0ab314a6.html
Earnings Release
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Vistin Pharma ASA : Third quarter 2017 results - strong growth, capacity expansion on track
Vistin Pharma ASA : Third quarter 2017 results - strong growth, capacity expansion on track
Norwegian pharmaceutical company Vistin Pharma ASA (OSE: VISTIN) experienced
strong growth in the third quarter of 2017, with a 20 per cent increase in
revenue from its metformin business. With a strong financial position following
the recent sale of the Company's opioids and CMO business, the Board of Vistin
Pharma recently proposed a dividend of NOK 7,00 per share.
"I am pleased to report on the successful divestment of our opioids and CMO
business. The sale has allowed us to propose a dividend whilst also maintaining
a strong financial position as we continue to move ahead as planned with our
project to expand our production capacity," says CEO Kjell-Erik Nordby.
Vistin Pharma is now doubling its current production capacity with a NOK 120
million investment. The project will be financed through existing cash reserves,
cash generation and debt.
Vistin Pharma had total revenues and other income from continued operations of
NOK 46.7 million in the third quarter 2017, compared to NOK 39.3 million in the
third quarter 2016. Sales volumes in the quarter were 31 per cent higher
compared to the corresponding quarter 2016. The market outlook for metformin
remains strong with stable prices and an annual expected growth rate of 4-5 per
cent.
The Company's financial position remains strong, with a cash position of NOK
33.5 million as of 30 September. The cash position at the date of the third
quarter report was NOK 197.7 million, excluding an amount in escrow of NOK 16.0
million. Total equity was NOK 182.2 million, giving an equity ratio of 66.9 per
cent. Vistin Pharma holds no interest-bearing debt.
Vistin Pharma will hold a presentation today at 08:30 CET at Carnegie AS,
Fjordalleen 16, Oslo. CEO Kjell-Erik Nordby and CFO Gunnar Manum will represent
the Company.
Please find the report and presentation for the third quarter 2017 enclosed. The
report and presentation will also be made available on www.vistin.com.
For further information, please contact:
Kjell-Erik Nordby
CEO
+47 91 36 42 80
Gunnar Manum
CFO
+47 95 17 91 90
About Vistin Pharma
Vistin Pharma is a Norwegian pharmaceutical company producing Active
Pharmaceutical Ingredients (APIs) and solid dosage forms for the global
pharmaceutical industry.
The Group was established in 2015 when Vistin Pharma AS, a wholly owned
subsidiary of Vistin Pharma ASA, acquired the metformin and opioids business and
tablet production assets from Weifa AS.
On 2 October 2017, Vistin Pharma sold its opioids and tablet manufacturing
business to TPI Enterprises Limited. Following the sale, Vistin Pharma is a pure
play metformin producer, with a strong position in the global metformin market
and with significant growth ambitions. Metformin is used as the first line
treatment of diabetes 2, a disease which is expected to grow by 50 per cent
towards 2030, and affect more than 500 million people. The global market for
metformin is expected to grow by four to five per cent per annum, and Vistin
Pharma is attractively positioned to capture part of this growth.
The Company's head office is located in Oslo, Norway. The shares of Vistin
Pharma ASA are listed on Oslo Axess.
This information is subject to the disclosure requirements pursuant to section
5-12 of the Norwegian Securities Trading Act.