Soaring Results For Gehe Helped By OCP

Southern German pharmaceutical production and wholesaling group Gehe AG has reported a 50% increase in sales and profits for 1994, helped by the first-time inclusion in group results of the French wholesale company OCP.

Group sales rose 49.4% to 15.2 billion Deutschemarks ($11.08 billion), while net profits went up 50.4% to 140.2 million marks. Drug wholesale turnover in Germany increased by 8.9% to 4.6 billion marks and offset the downturn triggered by the health reform in the previous year. The total market for drugs in Germany expanded by 6% last year over 1993, but Gehe notes that this was still below the level recorded in 1992.

Gross margins just failed to reach 1993 levels, owing to increased competition in eastern Germany.