Economic financial indicators

The identification of a clear Company Mission to be pursued with specific strategic planning, the control over its implementation, and the continuous verification of the business model adopted with respect to the changing competitive scenario have enabled the Company to achieve important qualitative and quantitative results.

The decrease in revenues recorded in 2022 is mainly attributable to the Italian market and in particular in the Vitamin D area, where consumption increased in the first half of the year due to the pandemic but in the second half of the year this effect petered out.

Delays in deliveries by suppliers and the difficulty of finding some raw materials and materials, in addition to the soaring increase in energy costs, have caused numerous stock-outs which have contributed to the reduction in revenues.

The international segment, after double-digit growth in the last 3 years, recorded a 9% decline mainly due to lower prices in some European countries.

On the other hand, as far as Italy/CMO licensing is concerned, there is an increase in revenues of about 25%.

The three-year period 2020-2022 denotes an overall stability in the trend of budget items with a slightly more pronounced decrease in the last fiscal year.

Overall revenues were stable on average over the three-year period with a compound annual growth rate (CAGR) of -0.31%.Revenue dynamics were supported by international business that grew by a total of 20.84% over the three-year period.

These values are in line with the strategic directives as a consequence of the process of internationalization and asset enhancement, provides for a gradual but steady increase in revenues from this segment.

Corporate EBITDA, after steady growth in recent years, also declined in 2022 compared to previous years due to the aforementioned decline in revenues and a generalized increase in operating costs.

The increase in operating costs is mainly attributable to the general increase in the cost of energy products (electricity and gas) and materials required for the manufacture of products and those that variously enter the production process. Increase caused mainly by the international political situation and post-pandemic economic recovery that also caused lower availability in the markets.

However, EBITDA to revenues (EBITDA ratio) maintains very satisfactory values also due to the implemented cost optimization policy.

During the year ended 12/31/2022 the company acquired 100% of the shares of the company Altamedics GMBH based in Cologne (Federal Republic of Germany) which therefore qualifies as a subsidiary company pursuant to Article 2359 of the Civil Code.

The transaction was completed entirely with its own financial means which is why the net financial position shows a reduction compared to the previous year, in addition to the continuation of the investment plan in production equipment implemented by the company.

Overall The net financial position shows a trend of consolidation due to improved efficiency of working capital and cash flows generated by typical activities; in addition, net assets are steadily increasing due to both the results obtained, a good portion of which are reinvested in the company, and the revaluation operated on strategic corporate assets.