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Apart from the rise of the Ibex35, pharma stocks fell by 2.7% in the second quarter

All listed pharmaceutical companies have advanced on the stock market, but Grifols, whose shares have fallen by more than 12%, has weighed down the sector. The shares of the Reig Jofre family multinational, which specializes in generic drugs with a focus on beta-lactam antibiotics and lyophilized injectables, increased to $3.5 (€3.1) per share, a 59% increase over the previous quarter.

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Spanish pharmaceutical companies do not come out unscathed on the stock exchange. In a quarter in which the Ibex35 rebounded 6.6% to close the session on June 30th with 7,231 points, compared to 6,785 points on March 31st, Spanish pharmaceutical companies fell by 2.7% on the trading floor. The aggregate market capitalization of the six listed Spanish pharma companies on June 30th, was $20.2 billion (€17.95 billion), compared to $20.8 billion (€18.45 billion) in the previous quarter. 

Read more about the latest available financial results of the six listed Spanish pharma companies and find the most interesting business news with the Born2Invest mobile app.

The only pharmaceutical company that has dragged its feet in the sector is Grifols

The largest by capitalization, Grifols’ shares have contracted by more than 12%. The plasma derivatives giant closed the quarter with a 12.8% fall on the stock market, with a market capitalization of $13 million (€11.52 million), far from the second largest company in terms of capitalization, which is Almirall, with $2.3 million (€2.04 million). The worst record came on June 4th, when the price per share stood at $30.6 (€27.1).

According to the latest available results, Grifols closed the first quarter of 2020 with a turnover of $1.46 million (€1.29 million), an increase of 11.8% compared to the same period in 2018. Grifols ended the quarter with a 12.8% fall in the stock market, with a market capitalization of $13 million(€11.51 million). 

The company, which has been working for months on a compound to address COVID-19, closed the session with a price of $8.6 (€7.6) per share, a rise of 74.7%. The Spanish pharmaceutical company closed the first quarter of 2020 with a net profit of $79.9 million (€70.6 million), compared with a loss of $11.7 million (€10.4 million) in 2019. In addition, the company achieved total sales revenue during the first quarter of 2020 of $28 million (€24.8 million). 

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For their part, the shares of the Reig Jofre family multinational, which specializes in generic drugs with a focus on beta-lactam antibiotics and lyophilized injectables, increased to $3.5 (€3.1) per share, a 59% increase over the previous quarter. Last week, it was revealed that the company plans to produce 700 million doses of coronavirus vaccine per year. At full capacity, Reig Jofre expects to fill between one and two million vials a day.

The most moderate growth was for Faes Farma

As for Rovi, shares rose by 11.4% at the end of June to $28.5 (€25.3) per share. The pharmaceutical company, which reported net income of $15.7 million (€13.9 million) in the first quarter of this year, double the figure for the same period in 2019, is working with HM Hospitales to develop a clinical trial for Covid-19. 

The shares of Almax’s owner group, Almirall, increased to $13.2 (€11.7) per share at the end of the second quarter of the year, 11.2% more than in the previous quarter. The company announced its jump to the Ibex35 at the beginning of June, filling the vacancy left by the Mediaset communications group. 

The most moderate growth was registered by Faes Farma. The company closed the quarter with a 2.2% rise on the stock market, with a market capitalization of $1.16 million (€1.03 million). The Spanish pharmaceutical company achieved a net profit of $23.5 million (€20.8 million) between January and March 2020, which represents an increase of 27.3% with respect to the same quarter of the previous year.

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

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Michael Jermaine Cards is a business executive and a financial journalist, with a focus on IT, innovation and transportation, as well as crypto and AI. He writes about robotics, automation, deep learning, multimodal transit, among others. He updates his readers on the latest market developments, tech and CBD stocks, and even the commodities industry. He does management consulting parallel to his writing, and has been based in Singapore for the past 15 years.