Recipharm Annual Report 2006

More documents

Recommendations

Info

Personnel The average number of employees in 2006 amounted to 570 (572), a decrease of 0.3%. Women comprised 60% (62%) of the personnel. Recip has been certified for many years in accordance with AFS 2000:1 and OHSAS 18001 regarding the work environment. For additional personnel-related information, please refer to Note 4. Work of the Board of Directors At the Annual General Meeting for 2006, all five members of the Board were re-elected. All members of the Board of Directors are men. The Board of Directors has held five regular meetings during the year. Significant events during the financial year or after the end of the financial year After the end of the accounting period, Recip Pharma AB changed its name from Recip AB. In conjunction with this, all marketing and sales operations were transferred to a new subsidiary in the Group. This company, hereafter, changed its name to Recip AB. The new Recip AB has overall responsibility for all marketing and sales activities in all countries and is also the Parent Company of the marketing companies in the Nordic region. Prospects for 2007 and risk analysis In addition to organic growth in the existing business, a number of ongoing projects regarding contract transactions, the full-year effect of implemented acquisitions of product rights and the establishment of Company-owned sales organisations in Denmark and Finland, taken as a whole, are expected to entail continued solid increases in sales during the financial year 2007. The Group is not deemed to be exposed to any particular risks that may impact operations in a decisive manner, apart from purely cyclical or business-related risks. However, it can be stated that the impact of changed regulations regarding such matters as the pricing of pharmaceuticals may be of decisive significance. As the Swedish portion of sales is dominant, the impact of amended regulations in Sweden is particularly large. However, such changes may entail both risks and opportunities for the Group. Sales to the most significant customers constitute a highly significant portion of contract transactions. However, sales are divided into a number of separate agreements with various commitment periods. Parent Company Operations The Company pursues the environmentally-aware development, manufacture and sales of pharmaceuticals, naturopathic preparations, dietary supplements, medical aids and associated operations. Ownership The Company is a wholly-owned subsidiary of Backsell-Eldered AB, Corporate Identity Number 556510-1879, with its registered offices in Stockholm, which prepares the consolidated accounts for the largest group.
Investments Gross investments for the year amounted to MSEK 163.2 (96.9). Of these, an amount of MSEK 159.3 (76.7) refers to investments in product rights and MSEK 3.9 (9.3) refers to investments in machinery and equipment. Significant events during the financial year or after its end During the financial year, product rights of a book value of MSEK 127.6 have been transferred to one of the Group's subsidiaries. Following year-end, the name of the Parent Company, Recip AB, was changed to Recip Pharma AB. In conjunction with this, the entire marketing and sales operation was transferred to a newlystarted subsidiary of the Group. This company subsequently changed its name to Recip AB. The new Recip AB bears overall responsibility for all marketing and sales activities in all countries and is also Parent Company of the marketing company in the Nordic region. Net sales and financial result Net sales for the financial year amounted to MSEK 135.5 (254.4), a decrease of MSEK 118.9 or approximately 46.7%. Profit/loss after financial items amounted to MSEK -146.6 (545.7) for the year. The figures for the comparative year should be considered in the light of the fact that major portions of Recip AB’s operations were transferred to several different Group subsidiaries during the period January – May 2005. Furthermore, profit/loss after financial items for the comparative year included a capital gain from the inter-company sale of subsidiaries in an amount of MSEK 574.9. Liquidity and financing The Company's cash and cash equivalents amounted to MSEK 48.3 (16.5) per 31 December 2006. The possibility of utilisation of the Group's approved bank overdraft facility, of an amount of MSEK 75.0 (75.0), can be added to this. Cash flow Total cash flow amounted to MSEK 32.8 (5.3). Cash flow from operating activities amounted to MSEK -59.5 (85.2) for the financial year. Of this amount, MSEK -29.4 (90.6) referred to investing activities and MSEK 121.7 (10.6) to financing activities. Appropriation of profits The following profits in the Parent Company are at the disposal of the Annual General Meeting. Profit brought forward 740,372,716 Loss for the year - 118,029,797 Total 622,342,919 The Board of Directors proposes that the profits brought forward be distributed as follows: as a dividend to the shareholders, SEK 3 per share 30,000, 000 to be carried forward 592,342,919 Total 622,342,919 Group According to the consolidated balance sheet, non-restricted equity amounts to SEK 137,148,185. Regarding the Group's result of operations, no provisions to restricted reserves are proposed.
Page 1 and 2: ANNUAL REPORT AND CONSOLIDATED ACCO
Page 3 and 4: the form of powders and granulates,
Page 5: Research and development Recip’s
Page 9 and 10: CONSOLIDATED BALANCE SHEETS ASSETS
Page 11 and 12: CONSOLIDATED CASH FLOW STATEMENTS 1
Page 13 and 14: PARENT COMPANY BALANCE SHEETS ASSET
Page 15 and 16: PARENT COMPANY CASH FLOW ANALYSES O
Page 17 and 18: Depreciation/amortisation principle
Page 19 and 20: Note 3 Fees and remuneration for au
Page 21 and 22: The Norwegian branch stands for SEK
Page 23 and 24: PARENT COMPANY 31 Dec 2006 31 Dec 2
Page 25 and 26: Acquisition value via transfer of a
Page 27 and 28: Closing accumulated acquisition cos
Page 29 and 30: Repayments of borrowings within 5 y
Page 31 and 32: Stockholm, 22 March 2007 Anders G C

Recipharm Annual Report 2006

Create successful ePaper yourself

Delete template?

Save as template?