ANNUAL REPORT 2007/08
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Tamro in Brief 2007/08

Tamro Group’s history dates back to 1895 and traces its roots to Tampere, Finland. The roots of Tamro’s operations in Denmark date back to 1801. Today Tamro is the leading pharmaceutical wholesaler in Northern Europe. Tamro has operations in the Nordic and Baltic countries, Poland and, through a minority share, in Russia.

Tamro focuses on its core business: delivering pharmaceutical products to pharmacies. In those countries where it is legally possible, Tamro is developing its presence also in the retail markets. In 2007, Tamro invested in the retail sector in Norway and the Baltic countries and currently owns pharmacies in Norway, Estonia, Latvia and Lithuania. Tamro also acquired its first pharmacies in Poland. A major investment in Tamro Finland’s wholesale distribution centre in Tampere was completed. The objective of this investment was to increase efficiency and quality of the operations and to create more functional and comfortable personnel facilities.  

As a pharmaceutical wholesaler and retailer, Tamro has a vitally important role in the healthcare chain. “Delivering excellence in health care” means that we emphasize quality in all our operations. Customer satisfaction is at the core of our strategy.

As the health of our environment causes ever increasing concern to societies globally it is also our responsibility to try and make our business practises as sustainable as possible. Tamro Group thus commits to run the business according to its new sustainability policy.

The Swedish government decided liberalise the pharmacy market from the beginning of 2009.  Final decisions are made during 2008.

Tamro’s net sales amounted to over 5.6 billion euros in the financial year 2007/08. Tamro has approximately 4,700 employees and is a fully owned subsidiary of PHOENIX Group. PHOENIX Group is the third largest pharmaceutical wholesaler in Europe. Its headquarters are in Mannheim, Germany.

 
FINANCIAL HIGHLIGHTS   2007/08 2006/07
       
Net sales EURm 5,605.2 5,464.5
Other income EURm 3.6 6.3
Operating expenses EURm 5,454.1 5,319.7
Depreciation EURm -32.3 -33.7
Operating profit EURm 122.4 117.4
Financial income and expenses EURm -1.9 -6.2
Share of affiliated companies' net income EURm 0.3 0.2
Profit before extraordinery items EURm 120.8 111.4
Extraordinary items EURm 0.0 48.5
Profit before taxes EURm 120.8 159.9
Income taxes EURm -32.0 -33.5
Net profit for the period EURm 88.8 126.4
Free cash flow EURm 116.0 152.0
       
Profit margin % 2.2 2.1
Return on capital employed % 32.0 40.7
Return on equity % 25.1 36.8
Earnings per share EUR 0.78 1.10
Dividend per share EUR 1.75 0.60
       
Net gearing % 3.2 -0.7
Investments EURm 37.1 35.1
Number of employees, average   4,736 4,693
 
Tamro Group in 2007/08
Net sales EURm 5,605.2
Operating profit EURm 122.4
Operating margin % 2.2
Free cash flow EURm 116.0
Number of employees, average   4,736
  Tamro Web Annual Report 2007/08. Published 30 April 2008. Copyright © Tamro Corporation 2008. All rights reserved.