The Novolog Group is a group engaged in health services, operating through three divisions:
Logistics Division – Accessibility of complex logistics services and complementary services in the field of pharmaceuticals, medical equipment and clinical trials
Health Services Division – making medical services accessible to patients’ homes
The Digital Division – making information and medical services accessible to patients and doctors
Highlights of the results for 2021:
Revenues in 2021 amounted to approximately NIS 1,255 million, compared with approximately NIS 1,134 million in the corresponding period last year, an increase of approximately 10.7%. The increase is due to an increase in revenues in the three divisions as well as the consolidation of the financial results of Salos as of the fourth quarter of 2020, of AML as of the second quarter of 2021 and of Gastromed as of the third quarter of 2021.
Gross profit in 2021 amounted to NIS 149 million, compared with NIS 129.3 million in the corresponding period last year, an increase of 15.2%.
General and administrative expenses in 2021 amounted to approximately NIS 78 million, compared with approximately NIS 71.6 million in the corresponding period last year.
Other expenses in 2021 amounted to NIS 1 million, compared with other income of NIS 3.4 million in the corresponding period last year. Other expenses in the reporting period are mainly due to expenses for acquiring companies. The other income in the corresponding period last year is mainly due to a one-time capital gain of approximately NIS 4 million resulting from the implementation of IFRS 16.
Operating profit in 2021 amounted to NIS 69.9 million, compared with NIS 61.1 million in the corresponding period last year, an increase of 14.5%.
The net profit in 2021 amounted to approximately NIS 44.8 million (after the Company’s share in the loss of investments treated according to the equity method in the amount of approximately NIS 1.6 million) compared to approximately NIS 40.6 million in the corresponding period last year, an increase of approximately 10.5 %.
Adjusted EBITDA in 2021 amounted to NIS 119.3 million, compared with NIS 105.2 million in the corresponding period last year, an increase of 13.4%.
The Company’s cash balance as of December 31, 2020 stands at a total of approximately NIS 238.7 million, compared with approximately NIS 176.4 million as of December 31, 2020, with an insignificant financial debt of approximately NIS 1.3 million. The increase in cash balances The cash flow is mainly due to current operations and less investments and acquisitions made and dividend payments and the addition of the share issue carried out at the beginning of 2021 in the amount of approximately NIS 120 million.
The Company’s shareholders’ equity as of December 31, 2020 increased and amounted to approximately NIS 430.2 million, compared with approximately NIS 295.7 million as of December 31, 2020. The increase in shareholders’ equity is due to the issue of shares made at the beginning of 2021 in the amount of NIS 120 million, from the profit for the reporting period which was offset by a dividend paid to the company’s shareholders in the amount of NIS 32 million.
Main results for the fourth quarter 2021 (including IFRS16)
Revenues in the fourth quarter amounted to NIS 299.7 million, compared with NIS 273.8 million in the corresponding quarter last year, an increase of 9.5%. The increase is due to an increase in revenue in each of the divisions.
Gross profit in the fourth quarter amounted to NIS 38.2 million, compared with NIS 36.1 million in the corresponding quarter last year, an increase of 6%.
General and administrative expenses in the fourth quarter amounted to NIS 20.9 million, compared with NIS 20.8 million in the corresponding quarter last year.
Operating profit in the fourth quarter amounted to NIS 16.8 million, compared with NIS 14.4 million in the corresponding quarter last year, an increase of 16.2%.
Net income in the fourth quarter amounted to NIS 9.8 million, compared with NIS 8.3 million in the corresponding quarter last year, an increase of 18.1%.
ה-Adjusted EBITDA1 In the fourth quarter, it amounted to NIS 30.2 million, compared with NIS 27.1 million in the corresponding quarter last year, an increase of 11.4%.
Iran Taos, CEO of Novolog: “We conclude a strong year with double-digit growth in all parameters while meeting the company’s business goals in line with the business goals we set 3 years ago. The increase is noticeable in all divisions and we believe that this trend will continue in the future. A few years ago, we marked the areas of digital health and home medicine as additional growth engines in the company alongside the activities of the logistics division. These areas are becoming key players in the healthcare world and we continue to expand the basket of services we offer to our institutional and private clients. Accordingly, over the past two years we have acquired a number of companies in the field of health services and we are pleased to see their growing contribution to the group’s activities. We have also expanded our operations abroad with the acquisition of a holding in the German telemedicine company Flex, and we see great potential in this investment. “We intend to continue to focus on improving existing activities alongside locating additional synergistic acquisitions in Israel and around the world in accordance with the new goals we have set for ourselves.”