Skip to main content

Moberg Pharma AB (Publ) Interim Report January - June 2014



  • Revenue MSEK 105.5 (83.4)
  • EBITDA MSEK 14.4 (loss: 7.3)
  • EBITDA for Commercial Operations1 MSEK 22.6 (8.4)
  • Operating profit (EBIT) MSEK 10.5 (loss: 10.3)
  • Net profit after tax MSEK 8.1 (loss: 7.0).
  • Earnings per share SEK 0.67 (loss: 0.65)
  • Operating cash flow per share SEK 0.28 (neg: 0.09)


  • Revenue MSEK 57.7 (44.9)
  • EBITDA MSEK 6.9 (loss: 5.1)
  • EBITDA for Commercial Operations1 MSEK 10.9 (3.1)
  • Operating profit (EBIT) MSEK 4.8 (loss: 6.6)
  • Net profit after tax MSEK 4.1 (loss: 4.3).
  • Earnings per share SEK 0.33 (loss: 0.39)
  • Operating cash flow per share SEK 0.50 (neg: 0.06)

*) Commercial Operations include existing portfolio of marketed products including development of line extensions, but not development projects or business development for new products.


  • Moberg Pharma acquired the global rights to BUPI, a topical formulation for the treatment of oral pain.
  • Moberg Pharma completed a new share issue of 2.1 million shares, generating SEK 60 million in proceeds for the company before transaction costs.


  • No significant events.

After a strong second quarter, we are well on track to deliver on our goal of improving profitability in 2014. Organic growth and contributions from the recent acquisition of U.S. brands resulted in second-quarter sales growth of 28% as well as improved profitability. All brands contributed to the overall growth. The gross margin for the business remained excellent at 78%. Importantly, the previous decline in our European sales was reversed and growth of 10% was achieved. Our EBITDA margin continued to improve to 12% in the second quarter. The EBITDA margin for our commercial operations (adjusted for R&D and business development costs related to future products) was 19 % for the second quarter and 18% for the past 12-month period.

U.S. continues to drive growth
Kerasal Nail™ remains the key growth driver, with 23% sales growth in the second quarter versus last year and a U.S. market share of 23%[1]. The strong growth is a result of the distribution gains achieved over the past 12 months and a positive effect of a new marketing campaign. Kerasal NeuroCream™ has now reached the number two position[2] in the foot pain segment with potential to drive further growth.  Following deliveries to Walgreens late in the first quarter, NeuroCream™ has nationwide distribution at approximately 20,000 stores. To increase marketing efficiency, new packaging and/or advertising has been developed for several brands, including the recently acquired Domeboro®, Vanquish® and Fergon® brands, and shipments to stores will begin in the next few months. Tech transfer to a new supplier is progressing with the objective to improve gross margins for these brands in 2015.

Growth in distributor sales and progress in Asian launch preparations
Distributor sales reversed the negative trend and grew by 31% in the second quarter. Key growth drivers were strong performance in Canada and the resumption of growth in EU sales. Consumer advertising in Canada for our Emtrix® brand commenced in April and resulted in much higher sales than anticipated. Emtrix® became the leading brand in Canada in April-May, resulting in a market share year-to-date through May of 25%[3]. The approval of an expanded indication and stronger claims for Nalox in the EU has been only partly implemented to date, and provides prospects for future growth in the EU. Registration activities in China and South East Asia are progressing well and we have already received an order for the first Asian market. Asia has the potential to account for a substantial part of our business in 2015 and onwards.

Advancing our clinical pipeline
The MOB-015 Phase II trial is progressing according to plan. Following the excellent interim data, we expect to report topline data in September. The April acquisition of the BUPI assets (the bupivacaine lozenge) added a high-potential product to our pipeline for an underserved niche market. We have progressed rapidly and submitted an application for a Phase II trial including up to 40 patients to generate a robust data package for the next steps in development and commercialization.

Delivering on goal to improve profitability
Significantly improving profitability in 2014 has been a key priority. We are delivering successfully on this commitment by increasing sales and through targeted cost reductions. Brand equity and increased marketing efficiency enabled a reduction in selling costs while still maintaining growth.  R&D costs were reduced by 40%, mainly due to less clinical development activity compared to last year. G&A costs were also reduced.

Strong financial position to drive further growth
With improved profitability and a balance sheet strengthened by the recent share issue, we are in a strong position to drive further growth in sales and earnings – organically as well as through accretive acquisitions.

Peter Wolpert, CEO Moberg Pharma

[1] Retail sales of nail fungus products excluding private label in Multioutlet Stores over the last 52 weeks ending June 15, 2014 as reported by SymphonyIRI

[2] Retail sales of foot pain relievers in Multioutlet Stores over the last 24 weeks ending June 15, 2014 as reported by SymphonyIRI

[3] CDH units, IMS. Market share of OTC and Rx products for onychomycosis.

CEO Peter Wolpert will present the report at a teleconference today at 10:30 a.m., August 13, 2014. Telephone: +46 (0)8-50626900, and enter the code 409017.

For further information about Moberg Pharma, please visit:

Moberg Pharma discloses the information provided herein pursuant to the Securities Markets Act and/or the Financial Instruments Trading Act. The information was submitted for publication at 8:00 am (CET) on August 13, 2014

Peter Wolpert, President and CEO of Moberg Pharma 

Mobile: +46 70-735 71 35