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Annual Review 2020

Letter to the shareholders

Mr. Donev

2020 questioned all boundaries, challenged us to make difficult choices, to sacrifice our own comfort to protect the most vulnerable. It's been a difficult year, both personally and professionally, but let us remember it with the things we've achieved nonetheless.

As a team we put in a lot of effort, were flexible and were able to maintain a normal rhythm of work, provide a safe environment for our employees and partners and remain stable in extremely uncertain times. We remained a key pillar of the peer network supporting the government in addressing the challenges in the healthcare system faced and we helped whenever needed.

We have launched several successful campaigns, expanded the families of our most successful products, offered new forms more convenient for application for patients at different ages. Against the backdrop of the COVID-19 pandemic, we also had to overcome some administrative obstacles in significant markets, such as the serialization in Russia, and by the end of the year we had completed all major activities in this direction. We achieved remarkable growth in some of the major markets in the top ten, mostly as a result of successful changes in out local trade policy. We started many interesting partnerships in various fields - production, trade, marketing, services, making building long-term, successful and mutually beneficial relationships a top priority.

 The most important thing for any crisis is what state we will be in when we get out of it. We believe that everything we have done together has made us even more resilient, inventive and flexible. Let's wish ourselves a healthier and calmer year. Thank you for your trust.

Ognian Donev, PhD

Chairman of the Board of Directors and Executive Director of "Sopharma" AD

Key Financial Results

BGN '000
BGN '000
Sales revenues 1,438,826 1,281,587 12.3%
Deprecation and amortization (EBITDA) 92,433 103,696 -10.9%
Operating profit 45,800 59,692 -23.3%
Net profit 25,280 84,359 -70%

BGN '000 
BGN '000 
Non-current asset 629,935 626,172 0.6%
Current asset 612,177 549,100 11.5%
Equity 566,595 575,772 -1.6%
Non-current liabilities 131,066 115,448 13.5%
Current liabilities 544,451 484,052 12.3%

EBITDA/sales revenue 6.4% 8.1%
Operating profit/Sales revenue 3.2% 4.7%
Net profit/Sales revenue 1.8% 6.6%
Borrowed capital/Equity 1.19 1.04
Net debt/EBITDA, annualized 4.3х 4.68x

Significant Events

14 April

The company “Pharmachim” EOOD, Serbia, was established. Sopharma AD is the sole owner of the company's capital.   

5 June

The Annual General Meeting of “Sopharma” AD was held, at which a decision to pay a gross dividend for 2019 in the amount of BGN 0.07 per sharewas made.

4 August

    A merger of “Sopharma Trading Pharmaceuticals” D.o.o. in “Sopharma Trading” D.o.o. was registered, by merging the assets and liabilities of the two companies. 

25 September

The Extraordinary General Meeting of Shareholders of "Sopharma" AD was held at which a decision to pay a 6-month gross dividend for 2020 in the amount of BGN 0.04 per sharewas made. 

1 October

 “Sopharma Trading” AD finalized the acquisition of sole control over the companies “SCS Franchise” AD and “Sanita Franchising” AD. 

29 December

“Sopharma” AD sold its shares in the capital of “Aromania” AD.


New Development and Products


New Products

Marketing Authorization was obtained for 5 new medicinal products - Solifenax 5 mg film-coated tablet (Bulgaria), Ambrolitin 30 mg/5 ml syrop (Bulgaria, Latvia, Estonia), Ketoprofen 100 mg/ 2 ml solution for injection (Bulgaria), Sofazolon 40mg powder and solvent for solution for injection (Bulgaria), Dexketoprofen 50mg/2ml solution for injection (Latvia, Lithuania, Estonia).


Expected in 2021

Three to five new products are expected to be introduced by the end of the 2021.



30 production processes and technologies are in transfer, validation and optimization. Pharmaceutical development is underway for 18 new products for the company.





Foreign markets
Efforts are focused on retaining and increasing the share of the company on the main markets (Russia, Ukraine and Poland) as well as establishing and extending presence in other countries (USA, Central and Est Europe and the Caucasian region).
New products
Consistently launch new pharmaceutical products on all the markets in which the Company sells its products in order to expand its product portfolio.
Organic growth
Grow organically in selected new markets to become a strong regional player with stable, geographically diversified revenues
Optimization of production capacity
Optimization of production capacity and construction of new ones
Intra Group Integration
Further consolidate and integrate the Group to optimize its cost structure, control entirely the production chain and benefit from potential synergies