Operating environment

The annual value of the global pharmaceutical market was approximately EUR 900 billion in the end of 2012. Oriola-KD operates on a pharmaceutical market worth approximately 18.5 billion euros. The biggest market region is Russia with value of 12 billion euros, in Sweden the market is approximately 3.5 billion euros and Finland about 2 billion euros. The combined Estonian, Latvian and Lithuanian markets are valued at about 1 billion euros.
 
Oriola-KD net sales were some 2.5 billion euros in 2012 of which Sweden share was some 43 per cent, Russian some 39 per cent, Finland some 17 per cent and Baltic’s share was some 2 per cent. Retails share of corporations net sales was 27 per cent and wholesales share was 73 per cent.

In wholesale businesses Oriola-KD is operating under Oriola brand in all its operating countries. In Finland and Sweden Oriola-KD is the second biggest player in the market by 47 per cent market share in Finland and approximately 36 per cent market share in Sweden. In Russia Oriola-KD is the sixth biggest pharmaceutical wholesaler with approximately seven per cent market share of the commercial pharmaceutical market. In Finland and Baltics Oriola-KD is operating only in pharmaceutical wholesale business.
 
Oriola-KD engages in retail operations in Russia and Sweden. In the retail business we operate in Sweden under Kronans Droghandel brand and in Russia with brands Stary Lekar and 03 Apteka. In Sweden we are third biggest player in the pharmacy business with approximately 13.4 percent market share. In the pharmaceutical retail business in Russia Oriola-KD is   the eight biggest player in the market with approximately one per cent market share of the total market and in the Moscow region we are third biggest chain with approximately six to seven per cent market share.