Richter Reports Another Record Year

Budapest-based pharmaceutical giant Gedeon Richter Plc. announced its Q4/FY 2024 financial results at the website of the Budapest Stock Exchange by stating that 2024 was an active year with business development across all segments, aimed at providing access to health by bringing solutions to unmet needs and by offering affordable medicines to a wide range of patients globally Richter expects continued growth (excluding FX) of around 10% in 2025 both in pharma revenues and Clean EBIT. Net profit increased by 51% to HUF 239bn in 2024 on significantly stronger operating profitability and the lack of FX losses.

After last year's outstanding year, sales growth of around 10% will be achievable in the pharmaceutical industry this year again after removing the impact of exchange rates, and the conditions are "in place" for double-digit growth in other segments, Gábor Orbán, CEO of Richter Gedeon Nyrt., said at a press conference in Budapest on Friday.

Evaluating last year's management data, he said that the company had closed a successful year, with an outstanding year in all segments. The exchange rate effect, especially the strengthening of the dollar, played an important role in the 13% annual increase in revenues, with exchange rate gains of approximately HUF 11 billion for the whole year.

He said this would be the first year that sales growth for their main product, cariprazine, would be below group growth, at 6-7%. Research and development (R&D) expenditure as a percentage of sales will remain unchanged at around 12% in 2025.

Women's medicines accounted for the largest share of last year's total sales of HUF 857.5 billion, at HUF 286.2 billion, with generic medicines the next largest at HUF 250.7 billion, and neuropsychiatry third at HUF 242.7 billion.

Among the achievements, he highlighted that three biosimilar products have reached important milestones towards market introduction. A new R&D collaboration agreement with AbbVie in neuropsychiatry and the establishment of a new women's health original research centre in Belgium will allow Richter to continue to come up with innovative solutions to address unmet therapeutic areas, he said.

The CEO also spoke about the roughly 4.2% reduction in emissions at group level compared to the base year 2021, mainly due to energy efficiency efforts at the sites. Last year, a 6.8% reduction in greenhouse gas emissions was achieved.

He said the suggestion that the US president was planning to impose new 25% tariffs on all European trading partners was worrying, but expressed hope that this would change. However, its impact is being examined.