Baltic Export, Good for Business, Latvia, Markets and Companies, Medicine

In 2015, the sales of Tonus Elast reached EUR 7.3 million. Profit this year might remain at the same level as last year or at EUR 1.7 million.

In the coming three years the company’s sales and profit might grow 50%. In the near future Tonus Elast sales in Russia and Ukraine are expected to rise.

Olainfarm has acquired Tonus Elast medical goods producer, 50% of which belonged to former Saeima member Valerijs Kravcovs. Olainfarm has signed an agreement with ABLV Bank about a EUR 14 million loan to finance the acquisition of shares in Tonus Elast.

Tonus Elast was established in 1995 and is a producer of elastic medical products, from elastic bandages to complicated corsets for pregnant and lactating women. It has more than 100 products in its product portfolio. The production plant in Nica, western Latvia, turns out over 11.2 million items annually, of which 11% are sold in Latvia and 89% exported to 35 world countries. The main sales markets are CIS and EU countries, India and the countries in the Middle East. In 2015, Tonus Elast generated EUR 7.3 million in turnover and its unaudited profit was EUR 1.7 million.

Turnover of the Olainfarm group in 2015 reached EUR 97.4 million, up 4% from 2014 sales, and consolidated profit increased 25% to EUR 15.289 million. Turnover of the parent company, Olainfarm, in 2015 stood at EUR 84.746 million, also up 4% from 2014, and its profit grew 27.5% to EUR 14.566 million.

Olainfarm shares are quoted on the Main list of Nasdaq Riga stock exchange. The company's largest shareholder is its board chairman, Valerijs Maligins.