Sales of Olainfarm in May Increase by 19%

Preliminary consolidated results of AS Olainfarm for May 2017 show that the sales of the company during this period have reached 10.81 million, which represents an increase by 19% compared to the same period of last year. The biggest sales increase has been achieved in The Netherlands, where sales grew by 4214%. Sales to Kazakhstan increased by 316%, sales to Tajikistan increased by 162% and sales to Belarus increased by 136%. During May of 2017, AS Olainfarm also made significant shipments to Germany. The biggest sales markets of AS Olainfarm in May were Russia, Latvia, Ukraine, Belarus and The Netherlands.

Sales of SIA Latvijas Aptieka during May 2017 were 1.7 million euros, which represents an increase by 31% compared to the same period of 2016. Sixty-five pharmacies were operating during this period. Sales of SIA Silvanols in May 2017 reached 0.38 million, which is an increase by 12% compared to May of 2016. During May 2017, SIA Silvanols sold its products to eight European countries during this period and with assistance of AS Olainfarm also to Kazakhstan, Lithuania, Russia and Armenia. Sales of SIA Tonus Elast during May 2017 reached 0.55 million euros. The company made its sales in 22 countries in four continents

According to preliminary results, consolidated sales of AS Olainfarm in five months reached 49.01 million euros, which represents an increase by 11% compared to five months of 2016. The biggest sales increase was achieved in The Netherlands, where sales grew by 561%, and Germany, where sales grew by 230%. Biggest sales reductions took place in Ukraine, where sales shrunk by 40% and Turkmenistan, where sales shrunk by 36%. Major sales markets of the group during May 2017 were Russia, Latvia, Belarus, Ukraine and The Netherlands.

Sales of SIA Latvijas aptieka in five months of 2017 were 8.5 million euros, which represents an increase by 8% compared to the same period of 2016. Sales of SIA Silvanols during this period were 2.45 million euro, which represents an increase by 23% compared to five months of 2016. Products of SIA Silvanols were sold to nine European countries and, with the help of AS Olainfarm also to Lithuania, Russia, Azerbaijan, Belarus and Armenia. Sales of SIA Tonus Elast in five months reached 3.1 million euros, and its products were sold to 33 countries in four continents.

According to unconsolidated preliminary results for May 2017, sales of AS Olainfarm during this period reached 9.09 million euros, which represents an increase by 9% compared to the same period of 2016. The biggest sales increase was achieved in The Netherlands, where sales grew by 4214%. Sales to Kazakhstan grew by 243%, sales to Tajikistan increased by 150%, but sales to Belarus grew by 136%. Significant shipments were also made to Germany. The major sales markets during this period were Russia, Latvia, Ukraine, Belarus and The Netherlands. During May 2017, products of AS Olainfarm were sold to 28 countries in three continents.

According to preliminary unconsolidated numbers, sales of AS Olainfarm in five months of 2017 reached 39.75 million euros, which represents an increase by 3% compared to the same period of 2016. The most rapid sales increase was achieved in The Netherlands, where sales grew by 561% and Germany, where sales grew by 226%. The biggest sales reduction during this time took place in Ukraine, where sales shrunk by 41%. The major sales markets of As Olainfarm during these five months were Russia, Latvia, Belarus, Ukraine and The Netherlands. In total during five months of 2017, products of AS Olainfarm were sold to 40 countries in five continents.

General meeting of shareholders of AS Olainfarm held on June1, 2017 approved operating plan of the company, providing that unconsolidated sales of the company in 2017 will reach 96 million euros, while consolidated sales of the company will reach 127 million euros. According to these preliminary sales numbers, in five months of 2017 the company has met 41% of annual target for unconsolidated sales and 39% of annual target for consolidated sales.

JSC Olainfarm is one of the biggest pharmaceutical companies in Latvia with more than 40 years of experience in production of medication and chemical and pharmaceutical products. A basic principle of company's operations is to produce reliable and effective top quality products for Latvia and the rest of the world. Products made by the Group are being exported to more than 35 countries of the world, including the Baltics, Russia, other CIS, Europe, Asia, North America and Australia.

Information prepared by:

         Salvis Lapins

         JSC Olainfarm

         Member of the Management Board

         Rupnicu iela 5, Olaine, Latvia, LV 2114

        Phone: +371 6 7013 717

         Fax: +371 6 7013 777

         E-mail: Salvis.Lapins@olainfarm.lv