Valuation Update With 7 Day Price Move • May 11
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to RON1.46, the stock trades at a trailing P/E ratio of 14.2x. Average trailing P/E is 20x in the Pharmaceuticals industry in Europe. Total returns to shareholders of 150% over the past three years. Announcement • May 08
Polpharma SA Pharmaceutical Works proposed to acquire Biofarm S.A. (BVB:BIO) from Longshield Investment Group SA (BVB:LONG), Lion Capital S.A. (BVB:LION) and other shareholders for RON 1.4 billion. Polpharma SA Pharmaceutical Works proposed to acquire Biofarm S.A. (BVB:BIO) from Longshield Investment Group SA (BVB:LONG), Lion Capital S.A. (BVB:LION) and other shareholders for RON 1.4 billion on May 6, 2026. A cash consideration valued at RON 1.379 per share will be paid by Polpharma SA Pharmaceutical Works, nearly 15% above the market price at the time the announcement was made. The price of Biofarm’s shares increased by 2.9% on May 7, 2026. Each of Longshield Investment Group SA and Lion Capital S.A. have undertaken to tender in such VTO all of their shares held in Biofarm. Separately, Lion Capital S.A. as shareholder of Biofarm S.A. entered into an implementation agreement with Longshield Investment Group S.A. and Zaklady Farmaceutyczne Polpharma S.A.
The launch of the VTO is subject to obtaining all relevant approvals from the Financial Supervisory Authority. A special dividend of RON 0.140263 per share is intended to be distributed to all of the legally entitled shareholders of Biofarm, subject to approval by the general meeting of its shareholders before the launch of the VTO. Upcoming Dividend • May 06
Upcoming dividend of RON0.042 per share Eligible shareholders must have bought the stock before 13 May 2026. Payment date: 29 May 2026. Payout ratio is a comfortable 41% and this is well supported by cash flows. Trailing yield: 3.4%. Lower than top quartile of Romanian dividend payers (6.6%). Higher than average of industry peers (2.8%). Announcement • Mar 26
Biofarm S.A. announces Annual dividend, payable on May 29, 2026 Biofarm S.A. announced Annual dividend of RON 0.0420 per share payable on May 29, 2026, ex-date on May 13, 2026 and record date on May 14, 2026. Announcement • Mar 24
Biofarm S.A., Annual General Meeting, Apr 28, 2026 Biofarm S.A., Annual General Meeting, Apr 28, 2026, at 12:00 E. Europe Standard Time. Location: at the company office in bucharest, no. 99 logofatul tautu street, 3rd district., Romania Reported Earnings • Mar 04
Full year 2025 earnings released: EPS: RON0.10 (vs RON0.076 in FY 2024) Full year 2025 results: EPS: RON0.10 (up from RON0.076 in FY 2024). Revenue: RON330.4m (up 15% from FY 2024). Net income: RON100.8m (up 36% from FY 2024). Profit margin: 31% (up from 26% in FY 2024). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 8% per year but the company’s share price has increased by 24% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Feb 25
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to RON1.34, the stock trades at a trailing P/E ratio of 15x. Average trailing P/E is 24x in the Pharmaceuticals industry in Europe. Total returns to shareholders of 125% over the past three years. Valuation Update With 7 Day Price Move • Jan 14
Investor sentiment improves as stock rises 26% After last week's 26% share price gain to RON1.05, the stock trades at a trailing P/E ratio of 11.7x. Average trailing P/E is 26x in the Pharmaceuticals industry in Europe. Total returns to shareholders of 82% over the past three years. Reported Earnings • Nov 18
Third quarter 2025 earnings released Third quarter 2025 results: Revenue: RON100.8m (up 12% from 3Q 2024). Net income: RON38.3m (up 22% from 3Q 2024). Profit margin: 38% (up from 35% in 3Q 2024). The increase in margin was driven by higher revenue. Reported Earnings • Aug 16
Second quarter 2025 earnings released: EPS: RON0.017 (vs RON0.022 in 2Q 2024) Second quarter 2025 results: EPS: RON0.017 (down from RON0.022 in 2Q 2024). Revenue: RON68.3m (down 2.0% from 2Q 2024). Net income: RON16.5m (down 23% from 2Q 2024). Profit margin: 24% (down from 31% in 2Q 2024). The decrease in margin was primarily driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 5% per year but the company’s share price has increased by 11% per year, which means it is tracking significantly ahead of earnings growth. Upcoming Dividend • Aug 11
Upcoming dividend of RON0.031 per share Eligible shareholders must have bought the stock before 18 August 2025. Payment date: 05 September 2025. Payout ratio is a comfortable 35% and this is well supported by cash flows. Trailing yield: 3.5%. Lower than top quartile of Romanian dividend payers (6.3%). Higher than average of industry peers (3.1%). Reported Earnings • May 16
First quarter 2025 earnings released: EPS: RON0.033 (vs RON0.021 in 1Q 2024) First quarter 2025 results: EPS: RON0.033 (up from RON0.021 in 1Q 2024). Revenue: RON95.1m (up 33% from 1Q 2024). Net income: RON32.3m (up 57% from 1Q 2024). Profit margin: 34% (up from 29% in 1Q 2024). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 3% per year and the company’s share price has also increased by 3% per year. Declared Dividend • Mar 24
Dividend of RON0.031 announced Dividend of RON0.031 is the same as last year. Ex-date: 18th August 2025 Payment date: 5th September 2025 Dividend yield will be 4.5%, which is higher than the industry average of 2.4%. Sustainability & Growth Dividend is covered by earnings (38% earnings payout ratio) but not covered by cash flows (125% cash payout ratio). The dividend has increased by an average of 7.5% per year over the past 10 years and has been stable with no material reductions to payments, indicating a long track record of dividend growth and stability. Earnings per share has grown by 7.9% over the last 5 years. Unless this trend reverses, it should provide support to the dividend and adequate earnings cover. Announcement • Mar 23
Biofarm S.A. announces Annual dividend, payable on September 05, 2025 Biofarm S.A. announced Annual dividend of RON 0.0310 per share payable on September 05, 2025, ex-date on August 18, 2025 and record date on August 19, 2025. Announcement • Mar 21
Biofarm S.A., Annual General Meeting, Apr 28, 2025 Biofarm S.A., Annual General Meeting, Apr 28, 2025, at 12:00 E. Europe Standard Time. Location: at the company office in bucharest, no. 99, logofatul tautu street, 3rd district., bucharest Romania New Risk • Mar 12
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: RON67.2m (US$14.7m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. This is currently the only risk that has been identified for the company. Reported Earnings • Mar 06
Full year 2024 earnings released: EPS: RON0.076 (vs RON0.078 in FY 2023) Full year 2024 results: EPS: RON0.076 (down from RON0.078 in FY 2023). Revenue: RON287.2m (up 2.5% from FY 2023). Net income: RON74.4m (down 3.4% from FY 2023). Profit margin: 26% (down from 28% in FY 2023). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 5% per year whereas the company’s share price has increased by 3% per year. Reported Earnings • Aug 25
Second quarter 2024 earnings released Second quarter 2024 results: Revenue: RON70.0m (up 5.5% from 2Q 2023). Net income: RON21.4m (up 16% from 2Q 2023). Profit margin: 31% (up from 28% in 2Q 2023). The increase in margin was driven by higher revenue. Upcoming Dividend • Aug 13
Upcoming dividend of RON0.031 per share Eligible shareholders must have bought the stock before 20 August 2024. Payment date: 06 September 2024. Payout ratio is a comfortable 46% but the company is paying out more than the cash it is generating. Trailing yield: 3.8%. Lower than top quartile of Romanian dividend payers (7.1%). Higher than average of industry peers (2.2%). Reported Earnings • Apr 30
Full year 2023 earnings released: EPS: RON0.078 (vs RON0.072 in FY 2022) Full year 2023 results: EPS: RON0.078 (up from RON0.072 in FY 2022). Revenue: RON280.3m (up 1.2% from FY 2022). Net income: RON77.0m (up 8.6% from FY 2022). Profit margin: 28% (up from 26% in FY 2022). The increase in margin was primarily driven by lower expenses. Post-clinical trial products Launched (during full year): 11 Over the last 3 years on average, earnings per share has increased by 11% per year whereas the company’s share price has increased by 8% per year. Reported Earnings • Nov 16
Third quarter 2023 earnings released Third quarter 2023 results: Revenue: RON67.3m (down 4.3% from 3Q 2022). Net income: RON19.8m (down 10% from 3Q 2022). Profit margin: 30% (down from 31% in 3Q 2022). The decrease in margin was driven by lower revenue. 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 26% per year, which means it is tracking significantly ahead of earnings growth. Board Change • Oct 01
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 4 experienced directors. 1 highly experienced director. Non-Executive Non-Independent Director Marian Buica Nicusor was the last director to join the board, commencing their role in 2020. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Reported Earnings • Aug 16
Second quarter 2023 earnings released Second quarter 2023 results: Revenue: RON66.5m (up 6.0% from 2Q 2022). Net income: RON18.5m (up 8.5% from 2Q 2022). Profit margin: 28% (in line with 2Q 2022). Upcoming Dividend • Aug 14
Upcoming dividend of RON0.03 per share at 4.3% yield Eligible shareholders must have bought the stock before 21 August 2023. Payment date: 08 September 2023. Payout ratio is a comfortable 39% and the cash payout ratio is 85%. Trailing yield: 4.3%. Lower than top quartile of Romanian dividend payers (8.4%). Higher than average of industry peers (2.5%). Reported Earnings • Nov 19
Third quarter 2022 earnings released Third quarter 2022 results: Revenue: RON71.0m (up 17% from 3Q 2021). Net income: RON22.1m (up 20% from 3Q 2021). Profit margin: 31% (in line with 3Q 2021). Buying Opportunity • Aug 22
Now 20% undervalued after recent price drop Over the last 90 days, the stock is down 1.9%. The fair value is estimated to be RON0.78, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 9.6% over the last 3 years. Earnings per share has grown by 12%. Upcoming Dividend • Aug 15
Upcoming dividend of RON0.024 per share Eligible shareholders must have bought the stock before 22 August 2022. Payment date: 09 September 2022. Payout ratio is a comfortable 37% and this is well supported by cash flows. Trailing yield: 3.8%. Lower than top quartile of Romanian dividend payers (7.1%). Higher than average of industry peers (2.8%). Buying Opportunity • May 27
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 18%. The fair value is estimated to be RON0.78, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 9.6% over the last 3 years. Earnings per share has grown by 12%. Reported Earnings • Mar 03
Full year 2021 earnings: Revenues and EPS in line with analyst expectations Full year 2021 results: EPS: RON0.061 (up from RON0.055 in FY 2020). Revenue: RON240.3m (up 11% from FY 2020). Net income: RON60.0m (up 11% from FY 2020). Profit margin: 25% (in line with FY 2020). Revenue was in line with analyst estimates. Over the last 3 years on average, earnings per share has increased by 14% per year but the company’s share price has increased by 28% per year, which means it is tracking significantly ahead of earnings growth. Upcoming Dividend • Aug 09
Upcoming dividend of RON0.022 per share Eligible shareholders must have bought the stock before 16 August 2021. Payment date: 03 September 2021. Trailing yield: 3.7%. Lower than top quartile of Romanian dividend payers (5.6%). Higher than average of industry peers (2.7%). Reported Earnings • May 19
First quarter 2021 earnings released The company reported a decent first quarter result with improved earnings and profit margins, although revenues were weaker. First quarter 2021 results: Revenue: RON62.8m (down 2.0% from 1Q 2020). Net income: RON22.5m (up 21% from 1Q 2020). Profit margin: 36% (up from 29% in 1Q 2020). The increase in margin was driven by lower expenses. Is New 90 Day High Low • Feb 17
New 90-day high: RON0.53 The company is up 28% from its price of RON0.41 on 19 November 2020. The Romanian market is up 18% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Pharmaceuticals industry, which is up 1.0% over the same period. Is New 90 Day High Low • Jan 11
New 90-day high: RON0.45 The company is up 10.0% from its price of RON0.41 on 13 October 2020. The Romanian market is up 13% over the last 90 days, indicating the company underperformed over that time. However, it outperformed the Pharmaceuticals industry, which is down 3.0% over the same period. Is New 90 Day High Low • Dec 22
New 90-day high: RON0.42 The company is up 3.0% from its price of RON0.40 on 23 September 2020. The Romanian market is up 5.0% over the last 90 days, indicating the company underperformed over that time. However, it outperformed the Pharmaceuticals industry, which is down 7.0% over the same period. Is New 90 Day High Low • Oct 16
New 90-day low: RON0.39 The company is down 5.0% from its price of RON0.41 on 17 July 2020. The Romanian market is up 1.0% over the last 90 days, indicating the company underperformed over that time. However, it outperformed the Pharmaceuticals industry, which is down 8.0% over the same period. Is New 90 Day High Low • Sep 30
New 90-day low: RON0.40 The company is down 2.0% from its price of RON0.41 on 02 July 2020. The Romanian market is up 2.0% over the last 90 days, indicating the company underperformed over that time. However, it outperformed the Pharmaceuticals industry, which is down 3.0% over the same period.