Despite the challenging market conditions, Norameda’s 2023 performance was a testament to its resilience. The company not only managed to maintain its revenue at a healthy 7% increase compared to 2022 (28.3m vs 26.3m) but also saw a significant 130% growth in profits.
“Being realistic, we did not plan for revenue growth; the aim was to keep sales at the same level as in 2022, so the year was better than we expected”, says Audrius Leiva, Norameda’s General Manager. “It was mainly due to the efforts of a professional team, which is always a pleasure to boast.”
Looking at the results by country, Norameda’s revenues grew faster in Latvia and Estonia (19% and 9%, respectively), and profitability was higher than in Lithuania.
According to A. Leiva, competition and regulation of medicine prices have led to lower prices here. In some cases, Norameda was even forced to stop the supply of some medicine because it was no longer economically viable.
Despite being in the market entry phase, Norameda’s branch in Poland is poised for growth in 2024. The team’s expansion of the product range and the inclusion of new medicine for a rare neurological disease in the reimbursed list are expected to be game-changers for the business.
“It will help us strengthen our position in Poland”, Norameda’s General Manager convinced.
Still, A. Leiva remains conservative for 2024. The reasons are the same: intense competition, falling medicine prices, and a long waiting list for reimbursed medicine in the Baltic pharmaceutical market.
Although the Baltic countries spend more on drug reimbursement yearly, access to medicines still needs to catch up to Western European countries.
“The pharmaceutical market is highly regulated,” says Norameda’s General Manager. “There are constant challenges: strict quality requirements for storage and transport, supplying medicines in national language packaging, monitoring adverse drug reactions, etc. At the same time, prices are regulated and should be among the lowest in Europe. We must constantly look at changing the range and being flexible and efficient.”