Boehringer Ingelheim Animal Health Denmark A/S

Beskrivelse af virksomhedens væsentligste aktiviteter

Principal activities Boehringer Ingelheim Animal Health Denmark A/S' (BI AH DK) main activity is sale and marketing of veterinary products in the Nordic region. The Company also produces food supplements for animals in a production facility located in Kalundborg (Denmark). Additionally, the Company is engaged in veterinary clinical development programs and contributes to the overall Research & Development activities of the corporation.

Beskrivelse af udviklingen i virksomhedens aktiviteter og økonomiske forhold

Development in activities and financial position Profit for the year (including comparison with forecasts previously announced) The 2024 revenue amounted to DKK 634.426 thousand compared to DKK 585.336 thousand in 2023, an increase of 8,39% vs 2023. The year 2024 showed stable local growth in all areas. We benefited of the prompt reaction on the Blue Tongue viruses and was first on the market with vaccines. After a couple of challenging years, the swine vaccine and ruminant business stabilised based on a strong customer focused performance by the Food Producing Animal team. Overall, the Boehringer Ingelheim Animal Health Nordics business finished at a higher revenue with an increase vs 2023 but below budget with 1,61%. Based on the supply and currency issues impacting the business in 2024, Management considers the revenue satisfactory. Boehringer showed a solid growth in Equine and Pets, moderate in Swine and in Ruminant in 2024. The market development is being monitored carefully and the strategy and resource allocation is adapted accordingly. The Kalundborg site performed as expected in 2024 operating with one of the highest customer service levels in Boehringer Ingelheim Animal Health. Expansion opportunities continue to be evaluated while ability to produce in more environmentally friendly ways are considered. An example is the Boehringer Kalundborg productions site membership of Kalundborg Symbiosis. The purpose of the partnership is to promote sustainability and a more circular approach to production. The income statement of the Company for 2024 shows a net result of DKK 40.407 thousand after taxes vs DKK 14.503 compared to 2023, and which is in line with the expected result in outlook 2024. The lower net result in 2023 compared to 2024 is due to the Transfer Price Audit for the years 2017 and 2018, during which we received an adjustment from the Danish Tax Authorities that had a negative effect on the company’s net result in 2023. Achieved net sales fell short of the 2024 outlook by DKK 0.52M. This shortfall is primarily due to sales reductions in Pet Para (DKK -2.2M) and Pet Vaccines (DKK -0.75M) compared to the outlook. However, this was partially offset by higher sales in Swine (DKK +1.49M), including an upside from the latest review of rebate provisions. Intellectual capital Intellectual capital resources in BIAHDK are a vital part in improving the value and competitiveness of the organisation. BIAHDK’s intellectual/human capital is driven by the knowledge and competencies residing with the Company’s employees – our most valuable and relevant resource. This collective know-how is constantly developed with leadership development and training programs as well as proper recruiting of suitable talents. It will remain a key priority for the organisation moving forward (at global, regional, and local level). At Kalundborg, there is a specific know-how on production of boluses for cattle. Operating risks With the head office located in Denmark and covering the Nordic region, an inherent risk of exchange rate fluctuation between the Danish and Swedish and the Danish and Norwegian Kroner exists. No measures are in place to mitigate the risk. Parallel imports increased especially in Pets, Equine and PHC in Sweden and Norway. Data is not available to monitor it in Denmark. Assessment of the impact on the business will be performed in 2025. Consolidation of primary business relations continues, increasing the pressure for animal health companies to offer preferential terms. The impact is considered in the budgeting process but might increase further than estimated during the year.

Omtale af betydningsfulde hændelser, som er indtruffet efter regnskabsårets afslutning

Events after the balance sheet date No events materially affecting the annual report have occurred.

Beskrivelse af virksomhedens forventede udvikling

Outlook The main strategy for BI AH DK is to continue, through dedicated specialised teams, to align our market approach to the evolving needs of our primary customers and portfolio opportunities. Alternative routes of distribution are also being evaluated. Special focus will be on: • Grow market shares in Pet by successful growth of our Pet Para franchise and leveraging full potential of recent and upcoming launches. • Utilize a multimedia and multichannel approach to protect and grow our broad companion animal portfolio for both Equine and Pets. • Continue growth in swine and ruminant vaccine market segment. • Continued sustainable expansion of the Kalundborg plant to ensure reliable cost competitive production. Based on the above, we expect both net sales and operating profit to be increased with approximately 8% in 2025 vs current 2024 result.