New Risk • Apr 01
New minor risk - Dividend sustainability The dividend is not well covered by cash flows. The company is paying a dividend despite having no free cash flows. Dividend yield: 1.9% This is considered a minor risk. Dividends are ultimately paid out of the company's available cash reserves. Companies that pay out too much of their cash flow are at risk of having to reduce or cut their dividend in future. If cash flow growth slows or cash flows fall, then there may not be enough cash reserves to maintain the same dividend. Or in extreme cases, companies may opt to take on debt to maintain the dividend. This risk is mitigated by the fact the dividend is covered by earnings, however, cash flows are generally more important. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Minor Risks Paying a dividend despite having no free cash flows. Profit margins are more than 30% lower than last year (7.8% net profit margin). Reported Earnings • Mar 30
Full year 2025 earnings released: EPS: RON0.077 (vs RON0.15 in FY 2024) Full year 2025 results: EPS: RON0.077 (down from RON0.15 in FY 2024). Revenue: RON660.3m (down 4.1% from FY 2024). Net income: RON51.8m (down 49% from FY 2024). Profit margin: 7.8% (down from 15% in FY 2024). The decrease in margin was primarily driven by lower revenue. Over the last 3 years on average, earnings per share has increased by 1% per year but the company’s share price has increased by 47% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Mar 27
Antibiotice S.A. announces Annual dividend, payable on October 21, 2026 Antibiotice S.A. announced Annual dividend of RON 0.0199 per share payable on October 21, 2026, ex-date on October 01, 2026 and record date on October 02, 2026. Reported Earnings • Nov 15
Third quarter 2025 earnings released: RON0.025 loss per share (vs RON0.021 profit in 3Q 2024) Third quarter 2025 results: RON0.025 loss per share (down from RON0.021 profit in 3Q 2024). Revenue: RON137.2m (down 13% from 3Q 2024). Net loss: RON16.5m (down 220% from profit in 3Q 2024). Over the last 3 years on average, earnings per share has increased by 13% per year but the company’s share price has increased by 68% per year, which means it is tracking significantly ahead of earnings growth. Upcoming Dividend • Sep 18
Upcoming dividend of RON0.021 per share Eligible shareholders must have bought the stock before 25 September 2025. Payment date: 08 October 2025. Payout ratio is a comfortable 16% but the company is not cash flow positive. Trailing yield: 0.9%. Lower than top quartile of Romanian dividend payers (6.3%). Lower than average of industry peers (2.9%). New Risk • Aug 17
New major risk - Financial position The company's debt is not well covered by operating cash flow. Operating cash flow to total debt ratio: 1.9% This is considered a major risk. If the company's operating cash flows are too small relative to the size of their debt, it increases their balance sheet risk. The company has less cash from operations to cover its expenses from servicing large debt and it increases the risk of liquidity issues. It also extends the time it would take for the company to pay back the debt in full, meaning it may not be able to easily pay it all off in a distress scenario. This is currently the only risk that has been identified for the company. Reported Earnings • Aug 17
Second quarter 2025 earnings released: EPS: RON0.039 (vs RON0.055 in 2Q 2024) Second quarter 2025 results: EPS: RON0.039 (down from RON0.055 in 2Q 2024). Revenue: RON175.8m (up 1.8% from 2Q 2024). Net income: RON26.5m (down 28% from 2Q 2024). Profit margin: 15% (down from 21% in 2Q 2024). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 23% per year but the company’s share price has increased by 68% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Jun 06
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to RON2.44, the stock trades at a trailing P/E ratio of 16.8x. Average trailing P/E is 22x in the Pharmaceuticals industry in Europe. Total returns to shareholders of 362% over the past three years. Valuation Update With 7 Day Price Move • May 23
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to RON2.11, the stock trades at a trailing P/E ratio of 14.5x. Average trailing P/E is 23x in the Pharmaceuticals industry in Europe. Total returns to shareholders of 309% over the past three years. Board Change • Apr 27
Less than half of directors are independent There are 5 new directors who have joined the board in the last 3 years. Of these new board members, 2 were independent directors. The company's board is composed of: 5 new directors. No experienced directors. 1 highly experienced director. 2 independent directors (4 non-independent directors). GM, General Director & Chairman Ioan Nani is the most experienced director on the board, commencing their role in 2009. Non Independent Director Ionut-Sebastian Iavor was the last independent director to join the board, commencing their role in 2024. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Lack of board continuity. Lack of experienced directors. Declared Dividend • Apr 03
Dividend reduced to RON0.021 Dividend of RON0.021 is 75% lower than last year. Ex-date: 25th September 2025 Payment date: 8th October 2025 Dividend yield will be 0.9%, which is lower than the industry average of 2.4%. Sustainability & Growth Dividend is covered by earnings (60% earnings payout ratio) but not covered by cash flows (127% cash payout ratio). The dividend has increased by an average of 14% per year over the past 10 years. However, payments have been volatile during that time. Earnings per share has grown by 26% over the last 5 years. Unless this trend reverses, it should provide support to the dividend and adequate earnings cover. New Risk • Mar 12
New major risk - Revenue and earnings growth Earnings are forecast to decline by an average of 150% per year for the foreseeable future. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are expected to decline, then in most cases the share price will decline over time as well. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings are forecast to decline by an average of 150% per year for the foreseeable future. Minor Risk Dividend is not well covered by cash flows (127% cash payout ratio). Reported Earnings • Mar 02
Full year 2024 earnings released: EPS: RON0.15 (vs RON0.12 in FY 2023) Full year 2024 results: EPS: RON0.15 (up from RON0.12 in FY 2023). Revenue: RON688.9m (up 12% from FY 2023). Net income: RON99.4m (up 23% from FY 2023). Profit margin: 14% (up from 13% in FY 2023). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 36% per year but the company’s share price has increased by 69% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Feb 25
Antibiotice S.A., Annual General Meeting, Mar 28, 2025 Antibiotice S.A., Annual General Meeting, Mar 28, 2025, at 10:00 E. Europe Standard Time. Location: at the company`s headquarters in the municipality, of iasi, str. valea lupului nr. 1, Romania New Risk • Nov 22
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Romanian stocks, typically moving 3.5% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Dividend is not well covered by cash flows (156% cash payout ratio). Share price has been volatile over the past 3 months (3.5% average weekly change). Valuation Update With 7 Day Price Move • Nov 22
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to RON2.76, the stock trades at a trailing P/E ratio of 19.9x. Average trailing P/E is 21x in the Pharmaceuticals industry in Europe. Total returns to shareholders of 405% over the past three years. Upcoming Dividend • Sep 16
Upcoming dividend of RON0.083 per share Eligible shareholders must have bought the stock before 23 September 2024. Payment date: 11 October 2024. Payout ratio is a comfortable 60% and this is well supported by cash flows. Trailing yield: 2.7%. Lower than top quartile of Romanian dividend payers (7.0%). Higher than average of industry peers (2.2%). Reported Earnings • Aug 20
Second quarter 2024 earnings released Second quarter 2024 results: Revenue: RON172.7m (up 22% from 2Q 2023). Net income: RON36.9m (down 7.3% from 2Q 2023). Profit margin: 21% (down from 28% in 2Q 2023). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 51% per year but the company’s share price has increased by 74% per year, which means it is tracking significantly ahead of earnings growth. New Risk • Aug 16
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Romanian stocks, typically moving 8.2% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. This is currently the only risk that has been identified for the company. Buy Or Sell Opportunity • Aug 05
Now 20% undervalued Over the last 90 days, the stock has risen 36% to RON2.67. The fair value is estimated to be RON3.36, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 21% over the last 3 years. Earnings per share has grown by 49%. Valuation Update With 7 Day Price Move • Jun 18
Investor sentiment improves as stock rises 21% After last week's 21% share price gain to RON3.14, the stock trades at a trailing P/E ratio of 21.9x. Average trailing P/E is 25x in the Pharmaceuticals industry in Europe. Total returns to shareholders of 475% over the past three years. New Risk • Jun 06
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Romanian stocks, typically moving 5.9% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. This is currently the only risk that has been identified for the company. Valuation Update With 7 Day Price Move • Jun 06
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to RON2.49, the stock trades at a trailing P/E ratio of 17.4x. Average trailing P/E is 26x in the Pharmaceuticals industry in Europe. Total returns to shareholders of 351% over the past three years. Reported Earnings • May 19
First quarter 2024 earnings released: EPS: RON0.056 (vs RON0.033 in 1Q 2023) First quarter 2024 results: EPS: RON0.056 (up from RON0.033 in 1Q 2023). Revenue: RON186.0m (up 2.2% from 1Q 2023). Net income: RON37.3m (up 68% from 1Q 2023). Profit margin: 20% (up from 12% in 1Q 2023). The increase in margin was primarily driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 47% per year whereas the company’s share price has increased by 52% per year. Reported Earnings • Apr 22
Full year 2023 earnings released: EPS: RON0.12 (vs RON0.077 in FY 2022) Full year 2023 results: EPS: RON0.12 (up from RON0.077 in FY 2022). Revenue: RON615.3m (up 22% from FY 2022). Net income: RON81.1m (up 57% from FY 2022). Profit margin: 13% (up from 10% in FY 2022). The increase in margin was driven by higher revenue. Post-clinical trial products Launched (during full year): 3 Over the last 3 years on average, earnings per share has increased by 44% per year but the company’s share price has increased by 53% per year, which means it is tracking significantly ahead of earnings growth. Board Change • Apr 05
Less than half of directors are independent Following the recent departure of a director, there are only 2 independent directors on the board. The company's board is composed of: 2 independent directors. 3 non-independent directors. Independent Non Executive Chairman Lucian Timofticiuc was the last independent director to join the board, commencing their role in 2020. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. New Risk • Mar 21
New minor risk - Dividend sustainability The dividend is not well covered by cash flows. Cash payout ratio: 296% Dividend yield: 2.7% This is considered a minor risk. Dividends are ultimately paid out of the company's available cash reserves. Companies that pay out too much of their cash flow are at risk of having to reduce or cut their dividend in future. If cash flow growth slows or cash flows fall, then there may not be enough cash reserves to maintain the same dividend. Or in extreme cases, companies may opt to take on debt to maintain the dividend. This risk is mitigated by the fact the dividend is covered by earnings, however, cash flows are generally more important. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Minor Risks Dividend is not well covered by cash flows (296% cash payout ratio). Share price has been volatile over the past 3 months (5.3% average weekly change). Valuation Update With 7 Day Price Move • Jan 17
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to RON1.64, the stock trades at a trailing P/E ratio of 12.8x. Average trailing P/E is 23x in the Pharmaceuticals industry in Europe. Total returns to shareholders of 238% over the past three years. Reported Earnings • Nov 17
Third quarter 2023 earnings released: EPS: RON0.022 (vs RON0.009 in 3Q 2022) Third quarter 2023 results: EPS: RON0.022 (up from RON0.009 in 3Q 2022). Revenue: RON150.7m (up 28% from 3Q 2022). Net income: RON14.7m (up 133% from 3Q 2022). Profit margin: 9.8% (up from 5.4% in 3Q 2022). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 38% per year but the company’s share price has increased by 44% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Nov 16
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to RON1.39, the stock trades at a trailing P/E ratio of 14x. Average trailing P/E is 22x in the Pharmaceuticals industry in Europe. Total returns to shareholders of 189% over the past three years. Valuation Update With 7 Day Price Move • Sep 19
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to RON1.02, the stock trades at a trailing P/E ratio of 10.2x. Average trailing P/E is 25x in the Pharmaceuticals industry in Europe. Total returns to shareholders of 97% over the past three years. Board Change • Nov 16
High number of new and inexperienced directors There are 4 new directors who have joined the board in the last 3 years. The company's board is composed of: 4 new directors. No experienced directors. 1 highly experienced director. GM, Vice Chairman & Non-Independent Executive Director Ioan Nani is the most experienced director on the board, commencing their role in 2009. The company’s lack of experienced directors is considered a risk according to the Simply Wall St Risk Model. Board Change • Apr 27
High number of new and inexperienced directors There are 4 new directors who have joined the board in the last 3 years. The company's board is composed of: 4 new directors. No experienced directors. 1 highly experienced director. GM & Non-Independent Executive Director Ioan Nani is the most experienced director on the board, commencing their role in 2009. The company’s lack of experienced directors is considered a risk according to the Simply Wall St Risk Model. Reported Earnings • Nov 12
Third quarter 2021 earnings released: RON0.002 loss per share (vs RON0.002 loss in 3Q 2020) The company reported a solid third quarter result with improved revenues and control over costs, although losses were not reduced. Third quarter 2021 results: Revenue: RON122.4m (up 108% from 3Q 2020). Net loss: RON1.10m (flat on 3Q 2020). Over the last 3 years on average, earnings per share has fallen by 12% per year but the company’s share price has increased by 6% per year, which means it is well ahead of earnings. Reported Earnings • Jul 28
Second quarter 2021 earnings released: EPS RON0.023 (vs RON0.022 in 2Q 2020) The company reported a solid second quarter result with improved earnings and revenues, although profit margins were weaker. Second quarter 2021 results: Revenue: RON121.5m (up 61% from 2Q 2020). Net income: RON15.3m (up 1.5% from 2Q 2020). Profit margin: 13% (down from 20% in 2Q 2020). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 11% per year but the company’s share price has increased by 2% per year, which means it is well ahead of earnings. Reported Earnings • May 14
First quarter 2021 earnings released: EPS RON0.006 (vs RON0.006 in 1Q 2020) The company reported a soft first quarter result with weaker earnings and profit margins, although revenues improved. First quarter 2021 results: Revenue: RON82.3m (up 10% from 1Q 2020). Net income: RON4.04m (down 1.0% from 1Q 2020). Profit margin: 4.9% (down from 5.5% in 1Q 2020). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 12% per year but the company’s share price has increased by 3% per year, which means it is well ahead of earnings. Reported Earnings • Feb 28
Full year 2020 earnings released: EPS RON0.037 (vs RON0.046 in FY 2019) The company reported a poor full year result with weaker earnings, revenues and profit margins. Full year 2020 results: Revenue: RON382.8m (down 3.1% from FY 2019). Net income: RON25.1m (down 19% from FY 2019). Profit margin: 6.5% (down from 7.8% in FY 2019). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has fallen by 9% per year but the company’s share price has only fallen by 2% per year, which means it has not declined as severely as earnings. Is New 90 Day High Low • Jan 27
New 90-day high: RON0.52 The company is up 4.0% from its price of RON0.49 on 29 October 2020. The Romanian market is up 19% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Pharmaceuticals industry, which is up 9.0% over the same period. Is New 90 Day High Low • Nov 20
New 90-day low: RON0.49 The company is down 9.0% from its price of RON0.54 on 21 August 2020. The Romanian market is flat over the last 90 days, indicating the company underperformed over that time. It also underperformed the Pharmaceuticals industry, which is down 2.0% over the same period. Reported Earnings • Nov 14
Third quarter 2020 earnings released: RON0.002 loss per share The company reported a soft third quarter result with increased losses and weaker control over expenses, although revenues were improved. Third quarter 2020 results: Revenue: RON87.6m (up 23% from 3Q 2019). Net loss: RON1.10m (loss widened 46% from 3Q 2019). Over the last 3 years on average, earnings per share has fallen by 8% per year whereas the company’s share price has fallen by 4% per year. Is New 90 Day High Low • Sep 18
New 90-day low: RON0.52 The company is down 3.0% from its price of RON0.53 on 19 June 2020. The Romanian market is up 6.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Pharmaceuticals industry, which is down 2.0% over the same period.