OREANDA-NEWS. On April 19, 2007 OAO Pharmacy Chain 36.6 [MICEX:RU14APTK1007; RTS:APTK] announced its preliminary sales and operational results for the first quarter of 2007 according to management reports, reported the press-centre of OAO Pharmacy Chain 36.6.

Sales
Consolidated sales totaled USD 181,9 million, which is a 75% increase from Q1 2006 .
Sales in the pharmacy business totaled USD 141,0 million, representing 94% growth over Q1 2006.
In Q1 2007 Veropharm sales grew 24% year on year and reached USD 24,5 million.
European Medical Center (EMC) increased its sales by 27% in comparison with Q1 2006. Sales in the medical services segment totaled USD 6,4 million.

Storecount
As at the end of Q1 2007, Pharmacy Chain 36.6 included 854 pharmacies situated in 26 regions throughout Russia.
In Q1 2007 Pharmacy Chain 36.6 acquired 7 pharmacies of the Astrakhan-based pharmacy chain “Dobriy Lekar”. The sales of the acquired pharmacy chain totaled approximately USD 1,2 million in 2006.
In Q1 2007 the Company organically opened 25 pharmacies, rebranded 11 pharmacies and closed 16 pharmacies.

Operational results
During Q1 2007, a total of 22,9 million purchases took place at the Company’s pharmacies, 90% more than in Q1 2006.  The average receipt at pharmacies that have been operating for over a year grew by 30% and totaled USD 7,8; at the Company’s Moscow Business-Unit pharmacies the average ticket was USD 10,4, up 24%; the average receipt in regional pharmacies was USD 6,0, up 38%.
Average floor space of the Company's pharmacies in Q1 2007 decreased by 25% to 63 square meters.
The sales volume per square meter of floor space at pharmacies that have been operating for over a year reached USD 2,600 in Q1 2007, representing an increase of 90% year on year; the sales volume per square meter in Moscow grew 23% year on year and reached USD 2,700 in Q1 2007; sales per square meter in regional pharmacies increased 38% year on year, reaching USD 2,500 in Q1 2007.
Growth in sales at pharmacies that had been opened or acquired prior to January 1, 2006 (like-for-like sales, USD) totaled 34,7%.

Investments and Debt
Late in the first quarter of the year 2007 Pharmacy Chain 36.6 jointly with a consortium of investors led by Standard Bank PLC set up a joint venture to invest in pharmaceutical retail and medical services market. Pharmacy Chain 36.6 contributed to the capital of the new company 24.99% of shares in Veropharm in return for controlling interest in the new company. The arrangements between the parties provide for Pharmacy Chain having the right to acquire the co-investors’ stake in the joint venture. The operational management of the joint venture will be effected by Pharmacy Chain 36.6. The parties are planning to spend up to USD 85 million on investments in 2007.
The net debt of Pharmacy Chain 36.6 at the end of Q1 2007 totaled USD 203,5 million, including Veropharm’s debt totaling USD 20,6 million.