Yesterday, during the press conference, Bioton’s CEO reiterated plans of reaching PLN 260-300m is revenues and PLN 100m of pre-tax profit in 2006. Adam Wilczega stated that in the optimistic scenario even net profit could reach PLN 100m. After recording PLN 96m of revenues and PLN 20.3m of pre-tax profit in 1H06 the forecast implies PLN 164-204m of revenues and some PLN 80 of pre-tax to be booked in 2H06. According to the CEO this should be possible due to start of insulin selling in Russia since September. By year end it should bring revenues of USD 20m. At the same time Bioton should not have any problems with reaching 28% volume share in Polish insulin market be year end from 25.8% at the end of June.
According to the CEO the unfavorable regulatory changes introduced in July that make imported insulin cheaper did not harm sales of Gensulin and the market share in July was maintained. Adam Wilczega also stated that the construction of insulin factory in China should start in autumn this year and the registration process on that market is expected to be completed in 1-2Q07. Within the next 6 year Bioton aims to increase its share in world’s insulin market to 10% from 1% at the end of 2005 and 2% expected to be reached this year.
The news released during the session yesterday had a very positive trading impact.