Annual report 2018

6 | Galenica annual report 2018 Successful in a challenging environment 2018 was a challenging year for the Swiss healthcare market. The higher than originally announced drug price reductions by the authorities, ongoing shopping tourism and the grow­ ing importance of online sales in retail had a major influ­ ence. These were accompanied by discussions at political level, the implementation of which will occupy us in the future (more on this on page 30). Thanks to our focused corporate strategy, targeted acquisi­ tions, the launch of new products, services and innovations as well as measures to improve efficiency, we even sur­ passed our announced results for 2018. Accordingly, the Board of Directors will propose a 3% higher dividend than the prior year of CHF 1.70 per share to the 2019 Annual General Meeting (previous year: CHF 1.65). Growth through new locations and online Galenica focuses on profitable growth, achieved both organi­ cally and through acquisitions. For example, we expanded our pharmacy network with own and partner pharmacies in the year under review to more than 500 locations for the first time. These now include the “Bahnhof Apotheke” phar­ macy in Zurich main station, which we acquired in full in the second half of 2018. Our pharmacies not only establish closeness to customers but also offer business partners an attractive distribution network throughout Switzerland. Jörg Kneubühler, Chairman of the Board of Directors, Jean-Claude Clémençon, CEO Dear Shareholders, Ladies and Gentlemen, Foreword Key figures 2018 – Net sales: CHF 3,165.0 million – EBIT: CHF 154.1 million 1) – Net profit: CHF 124.7 million 1) – Investments: CHF 50.0 million – Employees: 6,580 (5,106 full-time equivalents)  1) Adjusted Galenica