Stada Arz lays the groundwork for sustainable growth

At its fourth Capital Markets Day last week, German drugmaker Stada Arzneimittel (SAZ: Xetra) specified the refined company strategy and introduced details on the planned business development in the two reporting segments Generics and Branded Products.

Also presented were a broad range of initiatives that the company intends to use to leverage more growth and profitability, generate greater value for Stada’s stakeholders over the long term and to achieve the goals for the year 2019 presented at the beginning of July. The company had previously announced its plans to increase group sales of 2.11 billion euros ($2.36 billion) reached in 2015 to 2.6 billion euros by 2019. In the same period, the adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) will be increased from 389.4 million euros to 510 million euros and adjusted net income from 165.8 million euros to 250 million euros.

“Well on track to a successful future”

In his presentation, chief executive Dr Matthias Wiedenfels mainly focused on the company’s repositioned corporate culture and the changed corporate structure. “Stada is well on track to a successful future. We have already achieved a great deal in a short period of time: we have a strong starting position for leveraging the tremendous potential of the Stada Group for our investors, customers and employees. With our new structure, we have established the necessary transparency and clear areas of responsibility. And with the enhanced focus on entrepreneurship, knowledge sharing and open dialog, we are consistently aligning our corporate culture to our new aspiration: delivering sustainably profitable growth”, commented Dr Wiedenfels.