Drug maker Zentiva sees profit down almost a quarter after nine months in Romania

Drug producer Zentiva, part of French group Sanofi, had a net profit of some EUR 7.3 million in the first nine months of the year, 22.4 percent down on the same period of 2011. Meanwhile, its turnover went up by 10.4 percent.

The drop in profit was affected by an increase in certain groups of costs, such as retail expenses and the cost of raw materials. Zentiva recently announced plans to invest some EUR 9 million in the Romanian unit and hopes to increase exports by around 50 percent in the next five years. Zentiva, which is controlled by French pharmaceutical group Sanofi, produces drugs such as Algocalmin, Distonocalm and Extraveral. “The contribution to Sanofi Romania from local production is about two-thirds by volume and a quarter by value,” said Zentiva Romania's industrial operations chief Margareta Tănase. “We intend to strengthen the position of the factory both locally and internationally,” she added. The French Sanofi group is the largest player on the local medicines' market, according to local media, with an annual turnover of around EUR 175 million. editor@romania-insider.com