Cosmo Pharmaceuticals Announces 2021 preliminary results beating guidance, return to dividend distribution AND 2022 guidance

Cosmo Pharmaceuticals N.V. / Key word(s): Preliminary Results

15-Feb-2022 / 06:00 GMT/BST
Release of an ad hoc announcement pursuant to Art. 53 LR
The issuer is solely responsible for the content of this announcement.

Ad hoc announcement pursuant to Art. 53 LR

• Total revenues of €65.1m vs guidance €60m - €64m
• Operating profit of €7m - €10m vs guidance of €3m - €5m
• Profit before taxes of €20m - €23m vs guidance of €4m - €6m

These results take into account the share of Cassiopea's profit for the year 2021, following the licensing of Winlevi(R) to Sun Pharmaceuticals.

In light of these very encouraging results and of the 2022 outlook, Cosmo's Board of Directors has resolved to propose at the upcoming AGM on May 27, 2022, the distribution of a cash dividend of €0.95 (equivalent to approx. CHF1.0) per share to its shareholders.

2022 Financial Outlook

• Total revenues in the range of €90m - €100m vs €65.1m in 2021, representing growth of approx. 38.2% to 53.6% compared to 2021
• Operating profit in the range of €20m - €25m vs €7m - €10m in 2021

The Company is currently considering adopting a dividend distribution policy given its positive longer-term growth outlook. Cosmo will update the market when this review has been completed which is anticipated before or with the full year results.

Mauro Ajani, Chairman of Cosmo, commented: 'After years of investments, Cosmo finally enters two major markets with two revolutionary products. GI GeniusTM steps into a world market of more than 30m annual procedures and growing, with a cutting edge technology. Winlevi(R) tackles the US$5bn acne market for prescription drugs, with a new powerful mechanism of action 40 years after the last innovation. Big opportunities lie in front of us, and I am proud of these achievements'.

Alessandro Della Chà, CEO of Cosmo, commented: '2021 has been a positive inflection point for Cosmo and the reflection of years of hard work to build a pipeline of innovations for very large markets, streamline our operations and proactively manage during the pandemic. In 2022, we anticipate that our new products will start to deliver more substantial sales while our legacy brands will continue to perform. In the meantime, we will look to continue our successful history of business development with a focus on growth, as well as leveraging our current portfolio and promising pipeline, thanks also to our cash resources. We are happy to return to a dividend distribution after these very positive results and we are thankful to those who have continued to trust and support us'.

The audited full financial statements as well as the annual report 2021 will be published on or before March 31, 2022. The final audited result for 2021 may differ from the preliminary reported numbers.

About Cosmo Pharmaceuticals
Cosmo is a specialty pharmaceutical company focused on developing and commercialising products to treat selected gastrointestinal disorders and improve endoscopy quality measures through aiding the detection of colonic lesions. Cosmo has also developed medical devices for endoscopy and has recently entered into a partnership with Medtronic for the global distribution of GI Genius(TM) its artificial intelligence device for use in coloscopies and GI procedures. Cosmo has licensed Aemcolo(R) to Red Hill Biopharma Ltd. for the US and has licensed Relafalk(R) to Dr. Falk Gmbh for the EU and other countries. For additional information on Cosmo and its products please visit the Company's website: www.cosmopharma.com

Contact

Hazel Winchester

Head of Investor Relations

Cosmo Pharmaceuticals N.V. Tel: +353 1 817 03 70

hwinchester@cosmopharma.com

Disclaimer
Some of the information contained in this press release contains forward-looking statements. Readers are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those in the forward-looking statements as a result of various factors. Cosmo undertakes no obligation to publicly update or revise any forward-looking statements.