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Annual Review 2021

Letter to the shareholders

Mr. Donev

Dear partners and friends,

I turn to you with gratitude for your support over the past year which was filled with uncertainty, but also with hope for the recovery to a normal business environment. We have continued to build the foundations for a sustainable future by improving the organization of work and changing the structure of our teams in the strategic areas. We invited international experts with established experience to work together with us to affirm the already well-known face of Sopharma as a reliable and trusted partner. We are already seeing results and this encourages us to take the next step forward towards a new and modern model of business that goes hand in hand with the nearly 90 years of history that has been created with hard work and consistency by all those before us.

The results achieved in 2021 bring us peace of mind as we see an emerging recovery trend in most of our markets. Particularly remarkable is the performance of the local market with a growth of 14%. Despite the overall decrease in revenue by 3.18%, EBITDA increased by 4.24% and operating profit by 8.69% as a result of the optimization of a number of business processes and improving the performance of our main products.

We have set ambitious goals that build on experience, sustainable operations and create shareholder value for the long term.

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 1,603,310 1,438,826 11.4%
EBITDA 116,706 92,433 26.3%
Operating profit 63,519 45,800 38.7%
Net profit 91,703 25,280 262.7%

BGN '000 
BGN '000 
Non-current asset 633,746 629,935 0.6%
Current asset 571,232 612,177 6.7%
Equity 658,868 566,595 16.3%
Non-current liabilities 122,218 131,066 -6.8%
Current liabilities 423,893 544,451 -22.1%

EBITDA/sales revenue 7.3% 6.4%
Operating profit/Sales revenue 4.0% 3.2%
Net profit/Sales revenue 5.7% 1.8%
Borrowed capital/Equity 0,83 1.19
Net debt/EBITDA, annualized 2,5x 4.3х

Significant Events

10 March

On 10 March 2021 the Company sold 396,600 of its shares in the capital of “Momina krepost” AD, as a result of which the share of ownership of “Sopharma” AD became 37.46%. On 15 March 2021 an agreement was concluded between “Sopharma” AD and “Medical Consumables” OOD for a common policy in the management of Momina krepost” AD through joint exercise of voting rights.  

2 April

At the Extraordinary General Meeting of Shareholders of “Sopharma” AD, held on 2 April 2021, the amendments to the Articles of Association of the Company proposed by the Board of Directors were adopted by a majority of 85.93% of the presented capital.

21 May

  At its meeting the Board of Directors adopted a decision for issuance, under the conditions of initial public offering, of warrants as follows:Exercise value: BGN 4.13 Issuance price of one warrant: BGN 0.28 Number of warrants: 44,932,633 Minimum success threshold of the issue: 22,466,317 Term in which the right can be exercised: 3 years   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. 

4 June

At the Regular General Meeting of Shareholders of “Sopharma” AD, held on 4 June 2021, the decisions proposed by the Board of Directors on the relevant items of the agenda were adopted.

2 August

On 3 August 2021 in accordance with Art. 25 of the Articles of Association of the Company, at its meeting the Board of Directors approves a prospectus for initial public offering of warrants with an issue price of BGN 0.28 and a total number of 44,932,633 warrants. The prospectus was submitted to the Financial Supervision Commission.

30 December

On 30 December 2021 the subscription for the public offering of the issue of warrants to the Company was successfully completed.  


New Development and Products


New Products

Marketing Authorization was obtained for 18 new medicinal products.


Expected in 2022

Documentation has been submitted for the registration of 32 medicinal products to agencies of new destinations.



1 medicinal product and 2 food supplements were transferred.

20 medicinal products / active substances have been transferred/are in the process of transfer.

19 production processes / technologies have been validated/optimized.





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