Euroapotheca group's revenue grew by 3.9% reaching EUR 1.7 billion
The international group of companies, Euroapotheca, increased its revenue by 3.9% last year, reaching EUR 1.7 billion. In the Baltic states, the fastest growth in revenue was recorded in e-commerce channel — an 11.8% increase compared to 2023. Meanwhile, pharmacy network sales across the Baltics grew by 7.9%. In Sweden, total sales growth was more modest at 2.1%. Higher growth in Sweden is expected after completion of ongoing business integration processes.
Business optimization in Sweden remains a priority
“Last year, we continued to devote significant attention to the integration of our companies operating in Sweden, including investments in the improvement of IT infrastructure and the optimization of operations within the pharmacy network operating under the Kronans Apotek brand with a goal to improve employee as well as customer experience. We also continued to strengthen our omnichannel sales model by increasing the competitiveness of the Kronans Apotek e-commerce channel and improving its business performance,” says Vytautas Liatukas, Chairman of the Board at Euroapotheca.
In 2024, the Euroapotheca group reported a net loss of EUR 20.8 million, compared to a net profit of EUR 25.8 million in 2023. This change was largely due to an accounting record of EUR 32.5 million impairment charge made to the group’s consolidated results for 2024 in order to maintain the fair current value reflection of intangible assets related to the Swedish business. A significant negative impact on the group’s results also came from a continued increase in pharmacists’ personnel costs in Lithuania measured by double-digit percentage growth. This increase is linked to the amendment to the Pharmacy Law that came into effect on July 1, 2023, which no longer allows pharmacy technicians to dispense medications under remote supervision by a pharmacist.
It is reminded that at the beginning of 2022, Euroapotheca-owned Euroapotheca Holding SWE and Oriola Corporation signed an agreement to merge their respective pharmacy chains in Sweden — Apoteksgruppen, belonging to Euroapotheca, and Kronans Apotek, owned by Oriola Corporation. As a result, they now jointly operate the largest by number pharmacy network in Sweden under the unified Kronans Apotek brand.
Results in Lithuania: shortage of pharmacists has created a unique market situation
Tomas Kibildis, Chairman of the Board of the pharmacy chain Eurovaistinė in Lithuania, describes 2024 as a year of preparation — with significant focus placed on improving customer experience and employee conditions, as well as the launch of construction for a new Eurovaistinė logistics center.
He notes that 4 new Eurovaistinė pharmacies were opened last year. In addition, renovation works were carried out in 46 locations, 15 of which underwent a complete infrastructure overhaul. In total, nearly 6,000 square meters of pharmacy space were redesigned and adapted to meet the needs of both customers and employees even better. A total of EUR 1.6 million was invested in improving the overall customer and employee experience.
“Both last year and this year, we are paying significant attention to the development of the new logistics center. Our goal is to improve the availability of essential medicines in the country while ensuring pharmaceutical activity requirements of the highest standard. The new logistics center will also enable us to import an even wider range of various medicines and other medical supplies that require highly specific transportation and storage conditions. Without a doubt, it is also very important for us to create comfortable, modern, and ergonomic working conditions for our team,” shares T. Kibildis.
The new Eurovaistinė logistics center is expected to open its doors in the third quarter of this year at Zigmantiškių St. 2 in Lentvaris. The project developer is the real estate development company Galio Group, from which Eurovaistinė will lease the logistics center. The total investment in the project will exceed EUR 22 million.
T. Kibildis also shares that the situation regarding the shortage of pharmacists remains tense in Lithuania. As demand for pharmacists across the country has reached its peak, in order to maintain competitiveness and ensure the availability of medicines in the country, Eurovaistinė strives to be an extremely attractive employer by creating good physical working conditions, modern tools, and a positive cultural climate, while also offering a highly competitive compensation package for pharmacists.
He emphasizes that in 2024, Eurovaistinė continued to invest in its employees in order to remain as an attractive employer, while especially good prices encouraged customers to choose Eurovaistinė. This contributed to an 8.6% increase in sales revenue — from EUR 336 million to EUR 365 million — and allowed the company to continue operating profitably.
About the Euroapotheca Group
Euroapotheca is an international group of companies in Northern Europe, managing retail pharmacy chains, pharmaceutical wholesale companies, as well as online pharmacies in Lithuania, Sweden, Latvia, and Estonia. The group began its operations in 1998. By the end of 2024, Euroapotheca operated 767 pharmacies and 118 franchised pharmacies across four countries, employing more than 6,600 people.
Euroapotheca is part of the international Vilniaus prekyba group — a diversified investment management company that, through its subsidiaries, manages investments in retail and pharmacy chains, as well as in real estate development and rental service companies across the Baltic States, Sweden, Poland, and Bulgaria.