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Ukraine Crisis: Gedeon Richter suspends marketing activities in Ukraine

Trade

Photo by LaMography / Moni Lazar

Hungarian blue-chip pharma firm Gedeon Richter has told the Budapest Business Journal that it has suspended marketing activities in Ukraine. While operations in Russia are uninterrupted for now, it is too soon to predict the effects of sanctions there.

Responding to a direct approach from budapestbusinessjournal.com, the communications and government relations department of Gedeon Richter Plc. noted that the company “has played an important role in the pharmaceutical supply of Ukraine for decades.”

It employs 200 people in the country, but marketing activities in Ukraine will be suspended “until circumstances once again allow for normal operation,” the company spokesman said. 

“As a company listed on the stock exchange, we strictly avoid any speculation regarding the future circumstances. According to our earnings guidance that we shared in our Monday [Feb. 28] press conference, we expect the 2022 revenue in EUR terms to be similar to the 2021 revenue,” the communications department said.

“The higher sales of our specialized products in Western Europe and in the USA could compensate [for] the losses in the CIS markets. However, without the outbreak of the war, the revenue growth could have been in the double digits. The biggest challenge in the current situation is the uncertainty,” the company statement ended.

The Budapest Business Journal is contacting Hungary’s leading companies to gain an understanding of how the war in Ukraine and sanctions against Russia are affecting their business.

See also "Ukraine Crisis: MOL says Hungary's energy supply is secure."

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