PharmaMar Reduces its Profit by 45% in Q1, Rovi Reduces Income by 14%

PharmaMar’s results plummet and sales stagnate. The group recorded a profit of 3.5 million euros during the first half of this year, which represents a 45% drop compared to the same period last year, when it earned 6.4 million euros, the company reported to the National Securities Market Commission (CNMV) on Tuesday.

Between January and June, the PharmaMar’s turnover rose 0.8% compared to the first half of 2023, reaching 80.8 million euros. By business, net sales in the oncology segment amounted to 42 million euros, 3.2% lower than in the same period of the previous year (43.4 million euros).

Royalty income amounted to €26.5 million as of June 30, 2024 , compared to €22.8 million in the same period of the previous year, 16% higher. Non-recurring income, consisting mainly of income from licensing agreements, amounted to €12.3 million as of June 30 of this year, compared to €12.9 million the previous year.

PharmaMar investment in R&D increases

PharmaMar’s investment in R&D increased by 10% between the first half of 2023 and the first half of 2024, from a net investment of 46.6 million euros in June 2023 to 51.3 million in June 2024. Gross operating profit (EBITDA) fell by 119%, recording losses of 0.8 million euros.

Finally, the pharmaceutical company PharmaMar has reported that, as of June 30th of this year, it had cash plus financial investments amounting to 139.6 million euros and a total financial debt of 36.3 million, with which the debt has been reduced by 9% since December 2023, by 3.5 million euros.

Thus, at the end of the first half of the year, the group had a positive net cash flow of 103.3 million, when in December 2023 it was 128.8 million, reflecting a 19% drop, despite the company stating that this level of net cash flow will allow it to address the developments and investments planned in the R&D plan “without any tension in the treasury.”

Rovi earns 33% less and reduces its income by 14% until June

Rovi falls by double digits. The pharmaceutical company obtained a net profit of 44.3 million euros in the first half of the year, a figure 33% lower than that of the same period in 2023, when it earned 66.6 million euros, the pharmaceutical company reported this Wednesday to the National Securities Market Commission (CNMV).

Rovi’s gross operating profit (EBITDA) fell by 28% compared to the first half of 2023, reaching €69.9 million, with a drop in the EBITDA margin of 4.3 points, to 21.2%.

The Spanish pharmaceutical company’s net operating profit (EBIT) fell by 34% between January and June of this year, to 56.5 million euros.

Rovi’s operating income fell by 14% in the first half of the year to €329.3 million, mainly due to the performance of its third-party manufacturing division.

Rovi saw its gross operating profit fall by 28% in the first six months of the year

Rovi has highlighted that by the end of 2024 it expects its operating income to decrease in the mid-range of the first ten (between 0 and 10%) compared to 2023.

For its part, the pharmaceutical company reported on June 11 the completion of its own share buyback program launched by the company, effective from July 26, 2023, having acquired a total of 2,233,466 own shares for an amount of 130 million euros, representing approximately 4.3% of the share capital.

Rovi President and CEO Juan López-Belmonte Encina has said that 2024 is “a year of transition, key to establishing the foundations for the company’s future.”

Finally, Rovi has recalled that it expects its product Risperidone ISM to reach potential sales of between 200 and 300 million euros worldwide in the coming years and become a “relevant player” in the field of long-acting injectables for the treatment of schizophrenia worldwide

__

(Featured image by Marek Studzinski via Unsplash)

DISCLAIMER: This article was written by a third party contributor and does not reflect the opinion of Born2Invest, its management, staff or its associates. Please review our disclaimer for more information.

This article may include forward-looking statements. These forward-looking statements generally are identified by the words “believe,” “project,” “estimate,” “become,” “plan,” “will,” and similar expressions. These forward-looking statements involve known and unknown risks as well as uncertainties, including those discussed in the following cautionary statements and elsewhere in this article and on this site. Although the Company may believe that its expectations are based on reasonable assumptions, the actual results that the Company may achieve may differ materially from any forward-looking statements, which reflect the opinions of the management of the Company only as of the date hereof. Additionally, please make sure to read these important disclosures.

First published in PlantaDoce and PlantaDoce. A third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.

Although we made reasonable efforts to provide accurate translations, some parts may be incorrect. Born2Invest assumes no responsibility for errors, omissions or ambiguities in the translations provided on this website. Any person or entity relying on translated content does so at their own risk. Born2Invest is not responsible for losses caused by such reliance on the accuracy or reliability of translated information. If you wish to report an error or inaccuracy in the translation, we encourage you to contact us