6/14/2010

Orion upgrades full-year outlook for 2010

ORION CORPORATION          STOCK EXCHANGE RELEASE          14 June 2010 at 10:15 EET


The positive earnings development reported by the Orion Group for the first quarter of 2010 has continued showing similar performance also in the second quarter. Despite the increasingly tightened situation on the market, sales have shown continued positive development whereas costs have remained at the previous year's level. In the light of the current development, the Board of Directors of Orion Corporation has decided to change the full-year outlook estimate for 2010 provided in the Interim Report 1-3/2010 and published on 27 April 2010. The basis for the outlook remains the same as that for the outlook provided in the Interim Report 1-3/2010 published on 27 April 2010.

 

New full-year outlook estimate for 2010, provided on 14 June 2010

Net sales will be higher than in 2009.

 

Marketing expenditure will be higher due to the increased number of product launches and the expansion of operations to Southern Europe. Research expenditure will be lower than in 2009. The costs of ongoing patent litigation in the United States are expected to be lower than in 2009.

 

Operating profit excluding non-recurring items will be higher than in 2009.

 

The Group's capital expenditure will be about EUR 40 million excluding substantial corporate or product acquisitions.

 

Previous full-year outlook for 2010, provided in Interim Report 1-3/2010

Net sales will be slightly higher than in 2009.

 

Marketing expenditure will be higher due to the increased number of product launches and the expansion of operations to Southern Europe. Research expenditure will be slightly lower than in 2009. The costs of ongoing patent litigation in the United States are expected to be lower than in 2009.

 

Operating profit excluding non-recurring items will be slightly higher than in 2009.

 

The Group's capital expenditure will be about EUR 40 million excluding substantial corporate or product acquisitions.

 

 

The Interim Report for 1-6/2010 of the Orion Group will be published on Tuesday, 10 August 2010.

 

 

Orion Corporation

 

Timo Lappalainen, President and CEO

Olli Huotari, SVP, Corporate Functions

 

 

Contact person:

Jari Karlson, CFO, phone +358 50 966 2883

 

Publisher:

Orion Corporation

www.orion.fi/en

 

 

Orion is an innovative European R&D-based pharmaceutical and diagnostic company with a special emphasis on developing medicinal treatments and diagnostic tests for global markets. Orion develops, manufactures and markets human and veterinary pharmaceuticals, active pharmaceutical ingredients and diagnostic tests. Orion's pharmaceutical R&D focuses on the following core therapy areas: central nervous system drugs, cancer and critical care drugs, and Easyhaler® pulmonary drugs.

 

The Group's net sales in 2009 amounted to EUR 772 million. The Company invested EUR 95 million in research and development. At the end of 2009, the Group had a total of 3,100 employees, of whom 2,500 worked in Finland and 600 in other European countries. Orion's A and B shares are listed on NASDAQ OMX Helsinki.