Kvartalsrapport Q1 2023

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===== SIDA 1 =====

1 
 
Q1 2023 
BioGaia AB (publ) Interim management statement, January – March 2023.  
 
  
BioGaia AB 
 
Interim Management 
Statement 
January – March 2023

===== SIDA 2 =====

Q1 2023 
 
 
2 
 
BioGaia AB (publ) Interim management statement, January – March 2023  
 
 
FIRST QUARTER 2023  
Figures in parentheses refer to the corresponding period last year, 
unless otherwise specified.  
Net sales amounted to SEK 365.8 million (283.9), an increase of SEK 
82.0 million, or 29% (excluding foreign exchange effects, 19%).  
Net sales in the Paediatric s segment amounted to SEK 306.0 million 
(222.5), an increase of 37% (excluding foreign exchange effects, 
27%). 
Net sales in the Adult Health segment amounted to SEK 56.6 million 
(60.8), a decrease of 7% (excluding foreign exchange effects a 
decrease of 1 4%).  
Operating expenses amounted to SEK 114.5 million (106.9), an 
increase of SEK 7.6 million (7%). Operating ex penses, excluding items 
affecting comparability, increased by 10% to SEK 112.1 million 
(102.2).  
Operating profit increased by 55% to SEK 148.0 million (95.3), which 
corresponds to an operating margin of 40% (34%).  
Adjusted operating profit increased by 5 0% to SEK 150.4 million 
(100.0), which corresponds to an adjusted operating margin of 41% 
(35%).  
Profit after tax amounted to SEK 115.9 million (76.3), an increase of 
52%.  
Earnings per share amounted to SEK 1.15 (0.76) before and after 
dilution. 1) 
Cash fl ow amounted to SEK 93.7 million (85.8).  
Cash and cash equivalents at 31 March  2023 amounted to SEK 
1,580.8 million (SEK 1,571.7 million at 31 March 2022).  
 
 
 
 
Key events in the first quarter of 2023 
 
On 29 March, BioGaia announced that the company’s CEO Isabelle 
Ducellier intends to leave the company and take up employment with 
another company. Isabelle Ducellier will remain in her position until 30 
September 2023. 
On 31 March, BioGaia announced that the company is launching a 
probiotic skin ointment for infants and children, Aldermis. 
 
Key events after the end of the first quarter 
On 26 April, BioGaia presented the preliminary results for the first 
quarter of 2023.  
On 27 April, BioGaia announced that the  company is launching the 
Prenatal Care product for women before and during pregnancy.  
 
 
  
 Jan–Mar 2023  Jan–Mar 2022  
Net sales, SEK 000s  365,821  283,855  
Growth in net sales  29% 41% 
Operating profit, SEK 000s  147,998  95,295  
Operating margin  40% 34% 
Profit after tax, SEK 000s  115,945  76,297  
Number of shares, thousands  100,982  100,982  
Earnings per share, before and after dilution, SEK 1) 
2) 
1.15 0.76 
 
1) In view of the 5:1 share split, which took place in May 2022, historical key ratios based on the number of shares have been restated.  
2) Key ratio defined according to IFRS. For definitions of other key ratios, see page 16. 
 
This information is information t hat BioGaia AB is obliged to make public pursuant to the EU Market Abuse Regulation.  The information was submitted 
for publication, through the agency of the CEO, at 8:00 a.m. CEST on 5 May 2023.  
 
 
 
 
 
Jan–Mar 
2023 
Operating 
margin  
40% 
Change in 
sales  
29%  
19% excl. 
foreign  exchange 
effects  
Operating 
profit  
148  
SEK million   
Net sales  
366 
SEK million

===== SIDA 3 =====

Q1 2023 
 
 
3 
 
BioGaia AB (publ) Interim management statement, January – March 2023  
 
 
 
CEO’s comments  
Following on from another record year in 2022, when sales passed 
SEK 1 billion, our multi -year growth has continued with a very strong 
first quarter when we reported net sales of SEK 366 million. This is an 
increase of 29% compared with the year -earlier period (19% 
excluding changes in foreign exchange rates) driven by two regions, 
the Americas and APAC. When we concluded 2022, our five markets 
with direct sales accounted for about one quarter of total sales. Now 
with the addition of direct sales in Canada, we can realise important 
synergies with the USA market.  
In the Americas, we can see continued growth of 64%, driven by 
BioGaia Canada, the new subsidiary that was established following 
the termination of the agreement with our former distributor Ferring. As 
I have said, we can already see operating synergies with BioGaia USA 
and our online channels. BioGaia USA has continued its double -digit 
growth, driven by sales via Amazon. For the first time in the history of 
BioGaia in the USA, we sold for more than USD 1 million via Amazon 
during a single month. We also decided to launch our own first 
cosmetic probiotic product, Aldermis, a skin ointment for infants and 
children with dry and sensitive s kin, as a good complement to our 
Paediatrics product portfolio. LATAM is overperforming thanks to the 
successful regional launch of Gastrus and the continuing success of our 
Protectis drops in Brazil.  
With net sales of SEK 81 million, the APAC region is on ce again 
growing with an impressive sales increase of 72%, mainly due to the 
reopening of China after another wave of Covid. South Korea, the 
Philippines, Malaysia and Thailand also made significant contributions 
to total growth. Sales on Amazon Japan note d a strong upswing during 
the first quarter supported by a number of influencer campaigns in 
conjunction with the relaunch of BioGaia Prodentis. As a result, the 
product was ranked number one in Amazon Japan’s Drugstore 
category for a whole week. This succ ess reinforces our conviction that 
the implementation of our omnichannel strategy with Amazon is working 
and will be highly beneficial in many more Amazon marketplaces 
worldwide.  
 
 
 
 
 
 
 
 
 
 
After a surge in sales of 52% in EMEA in 2022 due to the recovery 
from Covid, sales of SEK 143 million during the first quarter represents 
a year -on-year decrease of 5%. Some inventory accumulation also 
occurred during the fourth quarter prior to the price increase.  
Excellent results in Turkey, Poland, France and Belgium, as well as a 
slowdown in Italy (following very strong growth in 2022) and Romania 
are also events worthy of note.  
Despite cautious consumer spending during times of high inflation and 
the concern about the future economic outlook, demand  for clinically 
proven probiotics products remains healthy.  
It is also worth noting that BioGaia’s financial situation is very robust,  
and during times such as these with limited access to new capital in the 
biotech sector, we have no such needs in order to drive our growth, 
develop new products, finance possible acquisitions, and continue to 
disburse attractive dividends.  
Lastly, as announced on 29 March, I have, with mixed feelings, decided 
to leave BioGaia and instead join Orkla as CEO of the Orkla Health 
portfolio company. To ensure a smooth 
transition, I will remain in my current 
position until the end of September 
2023. I am leav ing a BioGaia 
that is in a good position to 
develop into the world’s most 
trusted probiotic brand, led 
by a highly competent and 
completely dedicated 
team around the world. I 
have no doubt that 
BioGaia will continue on 
its successful journey. I am 
deeply g rateful for these 
five years of intensive 
transformation from a 
business -to-business 
company to a business -to-
consumer company.  
 
 
 
Isabelle Ducellier  
President and CEO BioGaia  
 
5 May 2023  
 
 
 
  
 
BioGaia AB (publ.) interim management statement 2023  
The Board of Directors and the CEO of BioGaia AB hereby present the interim management statement for the period 1 January – 31 
March 2023.  
 
Teleconference: Investors, analysts and the media are invited to take part in a teleconference on the interim 
management statement to be held today, 5 May 2023, at 9:30 a.m. CEST with CEO Isabelle Ducellier and CFO 
Alexander Kotsinas. More information about the teleconference is available 
here:  https://financialhearings.com/e vent/46020 .

===== SIDA 4 =====

Q1 2023 
 
 
4 
 
BioGaia AB (publ) Interim management statement, January – March 2023  
 
 
Revenue 
 
SALES FIRST QUARTER 
Consolidated net sales amounted to SEK 365.8 million (283.9), which is 
an increase of SEK 82.0 million, or 29% (excluding foreign exchange 
effects, 19%).  
Sales in EMEA totalled SEK 143.3 million (150.4), down 5% due to 
decreased sales in both the Paediatrics and Adult Health segments. In 
EMEA, sales decreased mainly in Spain, Russia and Italy.  BioGaia has 
no sales  to Russia since the first quarter of 2022. The decline in sales 
was partially due a certain degree of inventory accumulation among 
some distributors during the fourth quarter of 2022 prior to the price 
increase.  
 
Sales in APAC amounted to SEK 80.8 millio n (46.9), an increase of 
72%. The Paediatrics segment increased while the Adult Health 
segment decreased slightly. Sales increased primarily in China as 
restrictions attributable to the pandemic were removed and due to 
quarterly variations for individual o rders.  
 
Sales in Americas totalled SEK 141.7 million (86.6), up 64% due to 
increased sales in both the Paediatrics and Adult Health segments. 
Sales growth was strongest in the USA, Canada and Brazil. The sales in 
Americas were positively impacted by certain one -time effects related 
to BioGaia starting t o sell through its own subsidiary, BioGaia Canada.  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
SEKm Jan–Mar Jan–Mar Change  
 
 
2023 2022   
 
Paediatrics  306.0 222.5 37% 
 
Adult Health  56.6 60.8 -7% 
 
Other 3.3 0.6 461% 
 
Total 365.8 283.9 29% 
 
  
  
  
SEKm Jan–Mar Jan–Mar Change 
 
 
2023 2022   
 
EMEA 143.3 150.4 -5% 
 
APAC 80.8 46.9 72% 
 
Americas  141.7 86.6 64% 
 
Total 365.8 283.9 29% 
 
 
 
 
 
SEKm 
 
Change  
2022 283.9  
 
Foreign exchange  27.1 10% 
Organic growth  54.8 19% 
2023 365.8  29%

===== SIDA 5 =====

Q1 2023 
 
 
5 
 
BioGaia AB (publ) Interim management statement, January – March 2023  
 
 
Paediatrics  
 
The Paediatrics segment accounts for approximately 80% of BioGaia’s total sales. BioGaia Protectis drops remain the most sold product and are sold in 
more than 100 countries. Other key products within the Paediatrics segment include Protectis tablets, oral rehydration soluti on as well as cult ures to be 
used as ingredients in licensee products.  
 
 
 
SALES FIRST QUARTER 
Sales in the Paediatrics segment amounted to SEK 306.0 million 
(222.5), an increase of 37% (excluding foreign exchange effects, 
27%). Over the past 12-month period, sales rose 43%.  
 
Sales of BioGaia Protectis drops increased compared to the 
corresponding period last year. Sales increased in the Americas, 
primarily in the USA and Canada, but also in APAC, mainly in China. 
Sales decreased slightly in EM EA, mainly in Spain.  
 
Sales of BioGaia Protectis tablets within Paediatrics increased 
compared to the corresponding period last year. Sales increased in the 
Americas and APAC but decreased in EMEA. Sales increased mainly in 
Brazil and South Korea.   
 
 
 
 
  
SEKm Jan–Mar 2023  Jan–Mar 2022  
2022 
Change  
Paediatrics  306.0 222.5 37%

===== SIDA 6 =====

Q1 2023 
 
 
6 
 
BioGaia AB (publ) Interim management statement, January – March 2023  
 
Adult Health  
 
The Adult Health segment accounts for approximately 20% of BioGaia’s total sales. Sales mainly comprise BioGaia Protectis, Bi oGaia Gastrus, BioGaia 
Prodentis, BioGaia Osfortis, as well as cultures as an ingredient in a licensee’s dairy products and Nutraceutics’ own products.  
 
 
 
 
SALES FIRST QUARTER 
Sales in the Adult Health segment amounted to SEK 56.6 million 
(60.8), a decrease of 7% (excluding foreign exchange effects a 
decrease of 14%). Over the past 12-month period, sales rose 14%. 
Sales of BioGaia Protectis tablets decreased compared to the 
corresponding period last year. Sales declined primarily in Italy, 
Eastern Europe and South Africa.  
Sales of BioGaia Gastrus increased compared to the corresponding 
period last year. Sales increased  mainly in the USA and France.  
Sales of BioGaia Prodentis increased compared to the corresponding 
period last year. Sales increased mainly in the USA and Japan.  
 
 
 
  
SEKm Jan–Mar 2023  Jan–Mar 2022  
2022 
Change  
Adult Health  56.6 60.8 -7%

===== SIDA 7 =====

Q1 2023 
 
 
7 
 
BioGaia AB (publ) Interim management statement, January – March 2023  
 
Earnings 
First quarter  
 
Gross margin  
The total gross margin for the quarter amounted to 72% (71%). The 
gross margin is still adversely affected by rising purchase prices 
despite price increases by BioGaia. BioGaia intends to continue to 
raise prices to offset higher costs and to defend its gr oss margin.   
The gross margin for the Paediatrics segment amounted to 73% (73%) 
and for the Adult Health segment to 63% (65%).  
Operating expenses and operating profit  
Operating expenses amounted to SEK 114.5 million (106.9), an 
increase of SEK 7.6 million (7%). Operating expenses, excluding items 
affecting comparability, increased by 10% to SEK 112.1 million 
(102.2).  Items affecting comparability in the quarter include primarily 
restructuring costs for personnel.  
Selling expenses amounted to SEK 88 .1 million (72.0), an increase of 
22%, mainly due to higher costs for sales and marketing activities.  
R&D expenses amounted to SEK 18.7 million (24.9), a decrease of 
25%. The decrease in R&D expenses is attributable to lower study 
expenses during the peri od.  
Administrative expenses amounted to SEK 9.8 million (11.1), a 
decrease of 12% .  
Other operating expenses refers to exchange losses/gains on 
receivables and liabilities of an operating nature and amounted to SEK 
-2.1 million ( -1.1).  
Operating profit amounted to SEK 148.0 million (95.3), an increase of 
55%. The operating margin was 40% (34%).  
Adjusted operating profit amounted to SEK 150.4 million (100.0), an 
increase of 50%. The adjusted operating margin was 41% (35%).  
Profit after tax and ear nings per share  
Profit after tax amounted to SEK 115.9 million (76.3), an increase of 
52%. The effective tax rate was 23% (22%).  
Earnings per share amounted to SEK 1.15 (0.76). There are no dilutive 
effects.

===== SIDA 8 =====

Q1 2023 
 
 
8 
 
BioGaia AB (publ) Interim management statement, January – March 2023  
 
Balance sheet and cash flow  
Balance sheet 31 March 2023  
Total assets at 31 March 2023 amounted to SEK 2,324.0 million (SEK 
2,214.0 million at 31 December 2022).  
Goodwill from the acquisition of Nutraceutics was adjusted for 
currency translation, and amortisation of other surplus values identified 
in the acquis ition. The financial liability for the additional purchase 
price was value adjusted. For more information, see Note 4. Compared 
with the preceding year, trade receivables and trade payables 
increased while inventories decreased.  
Cash and cash equivalents a t 31 March 2023 amounted to SEK 
1,580.8 million (SEK 1,488.4 million at 31 December 2022).  
Cash flow first quarter  
Cash flow amounted to SEK 93.7 million (85.8).  
Cash flow from operating activities amounted to SEK 98.4 million 
(93.1). The increase in cash  flow in operations compared with the year -
earlier period is due to higher operating profit despite a negative 
change in working capital.   
Investments in property, plant and equipment amounted to SEK 1.3 
million (5.1).  
Other disclosures  
Employees  
The number of employees in the Group at 31 March 2023 totalled 
211 (189 at 31 March 2022).  
The company has an incentive programme for all employees based 
partly on the company’s sales and profit and partly on qualitative 
targets. The maximum bonus is equa l to 12% of annual salary. In 
addition to this programme BioGaia has also implemented a 
subscription warrants programme as resolved by the 2021 Annual 
General Meeting.  
Future outlook  
BioGaia’s goal is to create strong value growth and a good return for 
the shareholders. This will be achieved through a greater emphasis on 
the BioGaia brand, online sales, increased sales to both existing and 
new customers and a controlled cost level.  
The long -term financial target is an operating margin (operating profit 
in relation to sales) of at least 34% with continued strong growth and 
increased investments in research, product development, brand 
building and the sales organisation. BioGaia’s dividend policy is to 
pay a shareholder dividend equal to 50% of profit after t ax in the 
Group excluding non -recurring items.  
In view of the company’s strong portfolio consisting of an increased 
number of innovative products that are sold predominantly under the 
BioGaia brand, successful clinical trials and a strong distribution 
network that covers a large share of key markets for BioGaia, 
BioGaia’s future outlook remains bright.  
Significant risks and uncertainties – Group and Parent 
Company  
Significant risks and uncertainties are described in the administration 
report of the annual report for 2022 on pages 92 and 93 and in 
Notes 27 and 28. No significant changes in these risks and 
uncertainties are assessed to have taken place at 31 March 202 3.  
Related party transactions  
The Parent Company owns 100% of the shares in BioGaia Probiotics 
Canada Inc, BioGaia UK Ltd, BioGaia Finland Oy, BioGaia Invest AB, 
MetaboGen AB, BioGaia Biologics Inc. USA, BioGaia Japan Inc, 
BioGaia Production AB, CapAble A B and Tripac AB. The Parent 
Company also owns 96% of the shares in BioGaia Pharma AB and 
80% of the shares in Nutraceutics Inc.  
Annwall & Rothschild Investment AB owns 3,703,340 class A shares and 
500,000 class B shares, corresponding to 4.2% of the share  capital 
and 27.9% of the voting rights in BioGaia AB. Annwall & Rothschild 
Investment AB is owned by Peter Rothschild and Jan Annwall. Peter 
Rothschild is Chairman of the Board of BioGaia AB and receives a 
director’s fee of SEK 705,000 per year. During th e quarter, Peter 
Rothschild received additional remuneration for significant working 
duties, in addition to his assignment on the Board, of SEK 150,000 in 
accordance with the decision of the Annual General Meeting and the 
Board of Directors.  
Key events in  the first  
quarter of 2023  
Launches in the first quarter of 2023  
Distributor  Country  Product  
Abbott  Paraguay  BioGaia Protectis tablets with 
vitamin D  
J Health  Hong Kong  Protectis tablets with vitamin D  
Pharma Ace  Malaysia  BioGaia Protectis minipack  
United Life Sciences  Taiwan BioGaia Protectis tablets with 
vitamin D  
 
Management changes in BioGaia. On 29 March, BioGaia announced 
that the company’s CEO Isabelle Ducellier  intends to leave the 
company and take up employment with another company . Isabelle 
Ducellier will remain in her position until 30 September 2023.  
BioGaia launches probiotic skin ointment for infants and children.  
On 31 March, BioGaia announced that the com pany is launching its 
own cosmetic probiotic product, Aldermis, which helps combat dry and 
sensitive skin. The ointment contains BioGaia’s patented bacteria strain 
L. reuteri  DSM 17938.  
Key events after the end of the first quarter of 2023  
 
BioGaia presents preliminary results.  On 26 April, BioGaia 
presented the preliminary results for the first quarter of 2023.  
BioGaia launches probiotic food supplement for women before and 
during pregnancy.  On 27 April, BioGaia announced that the company 
is launching the Prenatal Care product, a probiotic food supplement 
for expect ing mothers as well as  women planning to conceive . 
Accounting policies  
This interim management statement was prepared in all material 
respects in accordance with Nasdaq OMX Stockholm’s guidance for 
preparing interim management statements. Disclosures according to IAS 
34 Interim Financial Reporting are provided both in notes a nd 
elsewhere in the interim management statement. The accounting policies 
applied in the consolidated income statement and balance sheet are 
consistent with the accounting policies applied in preparation of the 
most recent annual report.  
The financial acc ounts and segment information correspond to the 
statements used in interim financial reporting prepared in accordance  
with IAS 34 to provide comparability in the presentation between 
quarters. The interim management statement includes a Message from 
the CEO, even if this is not a requirement of Nasdaq Stockholm’s 
guidance. The information is nevertheless deemed important in 
satisfying user needs.  
New accounting standards  
Management’s assessment is that new and amended standards and 
interpretations that ca me into force in 2023 have not had a material 
effect on the Group’s financial statements. Management’s assessment is 
that new and amended standards and interpretations that have not yet 
come into effect will not have a material effect on the Group’s 
financ ial statements for the period of initial application.

===== SIDA 9 =====

Q1 2023 
 
 
9 
 
BioGaia AB (publ) Interim management statement, January – March 2023  
 
  
 Summary consolidated statements of comprehensive income  
(Amounts in SEK 000s)  Jan–Mar 
2023 
Jan–Mar 
2022 
Jan–Dec 
2022 
Apr 2022 –
Mar 2023  
Apr 2021 – 
Mar 2022  
Net sales (Note 1)  365,821  283,855  1,103,957  1,185,923  866,990  
Cost of sales  -103,309  -81,647 -302,028  -323,690  -227,033  
Gross profit  262,512  202,208  801,929  862,233  639,957  
Selling expenses  -88,114 -72,035 -320,798  -336,877  -221,223  
Administrative expenses  -9,773 -11,063 -39,818 -38,528 -37,914 
Research and development expenses  -18,684 -24,904 -106,805  -100,585  -103,192  
Other operating income/expenses  2,057  1,089 26,951 27,919 7,160 
Operating profit  147,998  95,295 361,459  414,162  284,788  
Financial income  2,758 3,769 91,540 90,529 3,854 
Financial expenses  -195 -1,697 -5,386 -3,884 -2,610 
Profit before tax  150,561  97,367 447,613  500,807  286,032  
Tax  -34,616 -21,070 -73,840 -87,386 -63,904 
Profit for the period  115,945  76,297  373,773  413,421  222,128  
Gains/losses arising on translation of the statements of foreign 
operations  -1,079 3,188 25,722 21,455 4,230 
Comprehensive income for the period  114,866  79,485  399,495  434,876  226,358  
Profit for the period attributable to: Owners of the Parent Company  115,945  76,297 373,773  413,421  222,128  
Non-controlling interests  – – – – – 
 
115,945  76,297  373,773  413,421  222,128  
Comprehensive income for the period attributable to:  
Owners of the Parent Company  
114,866  79,485  399,495  434,876  226,358  
Non-controlling interests  – – – – – 
 
114,866  79,485  399,495  434,876  226,358  
Earnings per share  
  
  
 
Earnings per share before dilution, (SEK) *)  1.15 
 
0.76 3.70 4.09 2.20 
Earnings per share after dilution, (SEK) *)  1.15 0.76 3.70 4.09 2.20 
Number of shares (thousands)  100,982  100,982  100,982  100,982  100,982  
Average number of shares before dilution, (thousands) *)  100,982  100,982  100,982  100,982  100,982  
Average number of shares after dilution, (thousands) *)  100,982  100,982  100,982  100,982  100,982  
 
 
*) In view of the 5:1 share split, which took place in May 2022, historical key ratios based on the number of shares have bee n restated.

===== SIDA 10 =====

10 
 
Q1 2023 
BioGaia AB (publ) Interim management statement, January – March 2023.  
 
 Consolidated balance sheets  
Summary (amounts in SEK 000s) 31 Mar  
2023 
31 Mar  
 2022 
31 Dec  
2022 
Assets    
 
R&D projects in progress  46,128 47,713 46,075 
Goodwill  170,084  152,730  171,517  
Right-of-use assets  10,614 13,075 13,557 
Property, plant and equipment  141,679  140,186  144,168  
Financial assets 25,793 22,229 25,793 
Deferred tax assets  7,170 4,970 15,325 
Deposits  49 44 50 
Total non -current assets  401,517  380,947  416,485  
Current assets excl. cash and cash equivalents  341,664  277,522  309,115  
Cash and cash equivalents  1,580,822  1571 693 1,488,366  
Total current assets  1,922,486  1,849,215  1,797,481  
Total assets  2,324,003  2,230,162  2,213,966  
    
Equity and liabilities    
 
Equity attributable to owners of the Parent Company  2,086,866  1,956,644  1,972,416  
Non-controlling interests  2 2 2 
Total equity (Note 2)  2,086,868  1,956,646  1,972,418  
Deferred tax liability  12,532 14,190 12,552 
Non-current liabilities  38,328 106,308  64,005 
Current liabilities  186,275  153,018  164,991  
Total liabilities and equity  2,324,003  2,230,162  2,213,966

===== SIDA 11 =====

Q1 2023 
 
 
11 
 
BioGaia AB (publ) Interim management statement, January – March 2023  
 
Consolidated cash flow statements  
 
  
    
Summary (amounts in SEK 000s)  Jan–Mar 
2023 
Jan–Mar 
2022 
Jan–Dec 
2022 
Operating activities  
 
  
Operating profit  147,998  95,295 361,459  
Depreciation/amortisation  6,519 6,049 23,890 
Other non -cash items  -44           -1,136 -9,103 
Paid tax  -34,995 -17,512 -54,910 
Interest received and paid  2,562 -1,698 2,248 
    
Cash flow from operating activities before changes in 
working capital  122,040  80,998  323,584  
Changes in working capital  -23,606 12,067 -4,641 
    
Cash flow from operating activities  98,434  93,065  318,943  
Purchase of property, plant and equipment  -1,279 -5,081 -17,916 
Purchase of intangible assets  -53 – -225 
Cash flow from investing activities  -1,332 -5,081 -18,141  
Dividend  – – -301,331  
Repayment of lease liability  -2,943 -2,005 -9,143 
Provision to Foundation to Prevent Antibiotic Resistance  – – -2,900 
Repurchase of warrants  -417 -206 -214 
Cash flow from financing activities  -3,360 -2,211 -313,588  
Cash flow for the period  93,742  85,773  -12,786  
Cash and cash equivalents at the beginning of the period  1,488,366  1,484,680  1,484,680  
Exchange difference in cash and cash equivalents  -1,286 1,240 16,472 
Cash and cash equivalents at the end of the period  1,580,822  1,571,693  1,488,366

===== SIDA 12 =====

Q1 2023 
 
 
12 
 
BioGaia AB (publ) Interim management statement, January – March 2023  
 
Note 1 Reporting by segment – Group 
Executive Management has analysed the Group’s internal reporting 
and determined that the Group’s operations are monitored and 
evaluated based on the following segments:  
– Paediatrics segment  (drops, gut health tablets, oral rehydration 
solution (ORS) and cultures to be used as ingredients in licensee 
products (such as infant formula) as well as royalty revenues for 
paediatric products.  
– Adult Health segment  (gut and bone health tablets, oral health 
lozenges and cultures as an ingredient in a licensee’s dairy products, 
Nutraceutics’ own products as wel l as royalty revenues for Adult Health 
products).  
 
 
– Other segment  (smaller segments such as royalty from packaging 
solutions).  
For the above segments BioGaia reports revenue and gross profit, 
which are monitored regularly by the CEO (who is regarded as  the 
chief operating decision maker) together with the Executive 
Management. There is no monitoring of the company’s total assets and 
liabilities against the segments’ assets.  
 
 
 
 
 (Amounts in SEK 000s)  
Revenue by segment  
Jan–Mar 
2023 
Jan–Mar 
2022 
Jan–Dec 
2022 
Apr 2022 – 
 Mar 2023  
Apr 2021 – 
 Mar 2022  
Paediatrics  305,957  222,520  868,355  951,792  664,601  
Adult Health  56,613  60,756  230,205  226,062  198,890  
Other 3,251 579 5,398 8,069 3,499 
Total  365,821  283,855  1,103,957  1,185,923  866,990  
         
Gross profit by segment          
Paediatrics  224,403  161,837  643,607  706,172  499,913  
Adult Health  35,535  39,792  153,298  149,040  136,600  
Other 2,574 579 5,025 7,020 3,444 
Total  262,512  202,208  801,929  862,232  639,957     
   
Selling, administrative, R&D expenses  -116,571  -108,002  -467,421  -475,990  -362,629  
Other operating expenses/income  2,057 1,089 26,951  27,919 7,160 
Operating profit  147,998  95,295  361,459  414,162  284,788  
Net financial items       2,563 2,072 86,154  86,645 1,244 
Profit before tax  150,561  97,367  447,613  500,807  286,032  
      
Sales by geographical market  
Sales by geographical market  
  
   
APAC 
  
   
Paediatrics  51,132  17,343  118,684  152,473  99,191  
Adult Health  27,338  29,014  100,226  98,550  117,423  
Other 2,299 507 4,074 5,865 2,349 
Total APAC  80,769  46,864  222,983  256,888  218,963   
          
EMEA           
Paediatrics  132,752  135,390  450,159  447,521  343,249  
Adult Health  10,143  14,976  60,190  55,357  47,775  
Other 434 35 1,126 1,525 993 
Total EMEA    143,329  150,401  511,475  504,403  392,017   
          
Americas            
Paediatrics  122,072  69,787  299,512  351,798  222,161  
Adult Health  19,133  16,766  69,788  72,154  33,691  
Other 518 37 198 680 158 
Total Americas     141,723  86,590  369,499  424,632  256,010   
          Total  365,821  283,855  1,103,957  
 
1,185,923  866,990

===== SIDA 13 =====

Q1 2023 
 
 
13 
 
BioGaia AB (publ) Interim management statement, January – March 2023  
 
 
 
 
Note 2 Summary consolidated statement of changes in equity  
 
 
(Amounts in SEK 000s)  
Jan–Mar  
2023 
Jan–Mar  
2022 
Jan–Dec  
2022 
Opening balance  1,972,418  1,877,367  1,877,367  
New issue and repurchase of warrants  -417 -206 -214 
Dividend  – – -301,331  
Provision to Foundation to Prevent Antibiotic Resistance       – – -2,900 
Comprehensive income for the period  114,866  79,485 399,495  
Closing balance     2,086,868  1,956,646  1,972,418  
 
Note 3 Largest shareholders at 31 March 2023 (source: Monitor)  
  A shares  B shares  Share capital  No. of votes  Capital  Votes 
1 Annwall & Rothschild Investments AB  3,703,340  500,000  840,668  37,533,400  4.2%  27.9%  
2 EQT   11,164,630  2,232,926  11,164,630  11.1%  8.3%  
3 Fjärde AP -fonden    7,840,182  1,568,036  7,840,182  7.8%  5.8%  
4 Premier Miton Investors    6,215,183  1,243,037  6,215,183  6.2%  4.6%  
5 TIN Fonder    3,144,175  628,835  3,144,175  3.1%  2.3%  
6 Cargill Inc    3,000,000  600,000  3,000,000  3.0%  2.2%  
7 Handelsbanken Fonder    2,600,081  520,016  2,600,081  2.6%  1.9%  
8 AMF Pension & Fonder    2,395,985  479,197  2,395,985  2.4%  1.8%  
9 Tredje AP -fonden    2,037,716  407,543  2,037,716  2.0%  1.5%  
10 Juno Investment Partners    1,977,135  395,427  1,977,135  2.0%  1.5%  
 
Other shareholders    56,403,883  11,280,777  56,403,883  55.9%  42.0%  
 
Total  3,703,340  97,278,970  20,196,462  134,312,370  100%  100%  
 
  
Date of recognition  
Performance obligations met on specific date (Product 
sales)  
 
Jan–Mar 
 
2023 
Jan–Mar 
 
2022 
Jan–Dec 
 
2022 
    
Paediatrics  305,957  221,668  867,503  
Adult Health  54,762 57,900 213,360  
Other 2,887 587 4,488 
Total  363,606  280,155  1,085,352  
 
 
 
 
Performance obligations met over time (Royalty)   
 
 
Paediatrics  0 852 852 
Adult Health  1,851 2,856 16,844 
Other 364 -8 909 
Total  2,215 3,700 18,606  
 
      
Total  365,821  283,855  1,103,957

===== SIDA 14 =====

14 
 
Q1 2023 
BioGaia AB (publ) Interim management statement, January – March 2023.  
 
Note 4 Fair value  
Financial liabilities  
BioGaia has a financial liability relating to the additional purchase 
price in business acquisitions that is measured at fair value through 
profit or loss. The additional purchase price is due to the acquisition of 
Nutraceutics and is based on sales in Nutraceutics in 2026 or 2027. 
The amount, which will be settled in April 2027 or 2028, may also be 
adjusted if the agreed budget for marketing costs is exceeded.  
 
 
 
Revaluation took place during the first quarter of 2023 and BioGaia’s 
best assessment of fair value of the financial liability related to the 
additional purchase price at 31 March 2023 was therefore adjusted to 
SEK 34.8 million. Estimates of fair value are based on Level 3  of the 
hierarchy for fair value, which means fair value is determined using 
valuation models where significant inputs are based on unobservable 
data. The measurement was based on anticipated future cash flows 
discounted with a market -based interest rate. The value adjustment is 
recognised as a financial expense of SEK 1.5 million in the quarter.
 
 
(Amounts in SEK 000s)  Jan–Mar  
2023 
Jan–Dec  
2022 
Opening balance  33,627 100,591  
Value adjustment  1,494 -80,013 
Exchange differences  -302 13,049 
Closing balance  34,819  33,627  
 
 
Financial assets  
BioGaia owns shares in the companies Boneprox AB and Skinome AB 
through BioGaia Invest at a cost of SEK 22.2 million. These financial 
assets are measured at fair value through profit or loss. Estimates of 
fair value are based on Level 3 of the hierarchy fo r fair value, which 
means fair value is determined using valuation models where 
significant inputs are based on unobservable data.  
 
During the period, no transactions occurred in Boneprox AB or Skinome 
AB to indicate a change in value. Fair value of these financial assets 
therefore corresponds to cost for Boneprox AB and value adjustment 
value in previous years for Skinome AB.  
The fai r values of other receivables, cash and cash equivalents, trade 
payables and other liabilities are estimated to be equal to their 
carrying amounts (amortised cost) due to the short maturities.

===== SIDA 15 =====

Q1 2023 
 
 
15 
 
BioGaia AB (publ) Interim management statement, January – March 2023  
 
Consolidated key ratios 
 Jan–Mar 2023  Jan–Mar 2022  Jan–Dec 2022  
Net sales, SEK 000s  365,821  283,855  1,103,957  
Growth of net sales  29% 41% 41% 
Operating profit, SEK 000s  147,998  95,295 361,459  
Adjusted operating profit, SEK 000s  150,400  99,959 366,526  
Profit after tax, SEK 000s  115,945  76,297 373,582  
Return on equity  6% 4% 19% 
Return on capital employed  7% 5% 23% 
Capital employed, SEK 000s  2,099,400  1,970,836  1,984,779  
Number of shares, thousands  100,982  100,982  100,982  
Average number of shares before dilution, thousands 1) 100,982  100,982  100,982  
Average number of shares after dilution, thousands 1) 100,982  100,982  100,982  
Earnings per share before dilution, SEK 1) 1.15 0.76 3.70 
Earnings per share after dilution, SEK 1) 1.15 0.76 3.70 
Equity per share, SEK 1) 20.67 19.38 19.53 
Equity/assets ratio  90% 88% 89% 
Operating margin  40% 34% 33% 
Adjusted operating margin  41% 35% 33% 
Profit margin  41% 34% 41% 
Average number of employees  215 189 203 
 
1) Key ratio defined according to IFRS.  
A list of definitions of key ratios reported in the consolidated financial 
statements is provided on page 121 of BioGaia’s annual report for 
2022. In this report, BioGaia reports information used by Executive 
Management to assess the Group’s development. S ome of the key 
ratios presented are not defined according to IFRS. The company is of 
the opinion that these metrics provide valuable complementary 
information to stakeholders and the company’s management since they 
contribute to evaluation of relevant tren ds and the company’s 
performance. Since not all companies calculate key ratios in the same 
manner, these are not always comparable to metrics used by other 
companies. These key ratios should therefore not be seen as a 
replacement for metrics defined accord ing to IFRS. With effect from 3 
July 2016, ESMA’s guidelines on alternative performance measures are 
applied which means extended disclosure requirements regarding key 
ratios not defined according to IFRS. A reconciliation of key ratios that 
BioGaia consid ers relevant according to these guidelines is provided 
below.

===== SIDA 16 =====

Q1 2023 
 
 
16 
 
BioGaia AB (publ) Interim management statement, January – March 2023  
 
Key ratio  Definition/calculation  Purpose  
Return on equity  Profit attributable to the owners of the Parent 
Company divided by average equity attributable to 
the owners of the Parent Company.  
Return on equity is used to measure profit generation, over time, 
given the resources attributable to the owners of the Parent 
Company.  
Return on capital 
employed  
Profit before net financial items plus financial income 
as a percentage of average capital employed.  
Return on capital employed is used to analyse profitability, 
based on the amount of capital used.  
Gross margin  Gross profit as a percentage of net sales.   The gross margin is used to measure profitability.  
Equity  per share  Equity attributable to the owners of the Parent 
Company divided by the average number of shares.  
Equity per share measures the company’s net value per share and 
indicates whether a company will increase the shareholders’ 
wealth over time.  
Average number of 
shares  
Time-weighted number of outstanding shares during 
the year taking bonus issue elements into account.  
Used to calculate equity and earnings per share.  
Adjusted operating 
margin  
Adjusted operating margin excluding items affecting 
comparability.  
The adjusted measure provides enhanced understanding of the 
performance of operations.  
Adjusted operating 
profit  
Operating profit (earnings before financial items and 
tax) excluding items affecting comparability.  
The adjusted measure provides enhanced understanding of the 
performance of operations.  
Items affecting 
comparability  
Expenses in conjunction with restructuring, impairment, 
changes in provisions for share -based long -term 
incentive programmes and other items o f a nature that 
affect comparability.  
The separate recognition of items that affect comparability 
between different periods provides enhanced understanding of 
the company’s financial performance.  
 
Earnings per share  Profit for the period attributable to owners of the 
Parent Company divided by the average number of 
shares (definition according to IFRS).  
EPS measures how much of net profit is available for payment to 
the shareholders as dividends per share.  
Operating margin 
(EBIT margin)  
Operating profit expressed as a percentage of net 
sales.  
The operating margin is used to measure operational 
profitability.  
Equity/assets ratio  Shareholders’ equity at the end of the period as a 
percentage of total assets.  
A traditional metric to show financial risk expressed as the share 
of total assets financed by the shareholders. Shows the 
company’s stability and ability to withstand losses.  
Capital employed  Total assets less interest -free liabilities.  Capital employed measures the company’s ability, in addition to 
cash and liquid assets, to meet the requirements of business 
operations.  
Growth  Sales for the period less sales for the year -earlier 
period divided by sales for the year -earlier period. 
Breakdown by foreign exchange, organic growth and 
acquisitions.  
Shows the company’s realised sales growth over time.  
Profit margin  Profit before tax as a percentage of net sales.  This key ratio makes it possible to compare profitability 
regardless of the corporate income tax .

===== SIDA 17 =====

Q1 2023 
 
 
17 
 
BioGaia AB (publ) Interim management statement, January – March 2023  
 
 
Key ratio  
Return on equity, SEK 000s  Jan–Mar 2023  Jan–Mar 2023  Jan–Dec 2022  
Profit attributable to owners of the Parent Company (A)  115,945  76,297 373,773  
Equity attributable to owners of the Parent Company  2,086,866  1956 644  1,972,416  
Average equity attributable to owners of the Parent Company (B)  2,029,641  1,917,005  1,924,891  
Return on equity (A/B)  6% 4% 19% 
Return on capital employed    
 
Operating profit  147,998  95,295 361,459  
Financial income  2,758 3,769 91,540 
Profit before net financial items + financial income (A)  150,756  99,064 452,999  
Total assets  2,324,003  2,230,162  2,213,966  
Interest -free liabilities  -224,603  -259,326  -229,187  
Capital employed  2,099,400  1,970,836  1,984,779  
Average capital employed (B)  2,042,090  1,931,222  1,938,193  
Return on capital employed (A/B)  7% 5% 23% 
 
Key ratio  
(Amounts in SEK 000s)  
 
31 Mar  31 Mar  
 
31 Dec 
Equity/assets ratio  2023 2022 2022 
Equity (A)  2,086,868  1,956,646  1,972,227  
Total assets (B)  2,324,003  2,230,162  2,213,966  
Equity/assets ratio (A/B)  90% 88% 89%   
 
 
Operating margin  
 
 
 
Operating profit (A)  147,998  95,295 361,459  
Net sales (B)  365,821  283,855  1,103,957  
Operating margin (A/B)  40% 34% 33% 
    
Profit margin  
 
 
 
Profit before tax (A)  150,561  97,367 447,613  
Net sales (B)  365,821  283,855  1,103,957  
Profit margin (A/B)  41% 34% 41%   
 
 
Equity per share  
 
 
 
Equity attributable to owners of the Parent Company (A)  2,086,866  1,956,644  1,972,416  
Average number of shares (B)  100,982  100,982  100,982  
Equity per share (A/B)  20.67 19.38 19.53 
 
Change in sales by segment (including and excluding foreign exchange effects)  
 
  Paediatrics  Adult Health  Other Total  
 
(Amounts in SEK 000s)  Jan–Mar 2023  Jan–Mar 2023  Jan–Mar 2023  Jan–Mar 2023  
 
Description  
    
A Previous year’s net sales according to the average rate  222,520  60,756 579 283,855  
B Net sales for the year according to the average rate  305,957  56,613 3,251 365,821  
C Recognised change (B -A) 83,437 -4,143 2,671 81,965 
 Percentage change (C/A)  37% -7% 461% 29% 
D Net sales for the year according to the previous year’s average 
rate  
283,049  52,419 3,251 338,718  
E Foreign exchange effects (B –D) 22,908 4,194 0 27,103 
 Percentage change (E/A)  10% 7% 0% 10% 
F Organic change (C –E) 60,529 -8,337 2,671 54,862 
 Organic change, % (F/A)  27% -14% 461% 19%

===== SIDA 18 =====

Q1 2023 
 
 
18 
 
BioGaia AB (publ) Interim management statement, January – March 2023  
 
Average key exchange rates  Jan–Mar Jan–Mar Jan–Dec 
 
2023 2022 2022 
EUR 11.14 10.44 10.58 
USD 10.42 9.32 10.03 
JPY  0.0788 0.0804 0.0771 
 
 
 
 
 
Closing date key exchange rates  31 Mar  31 Mar  31 Dec 
 
2023 2022 2022 
EUR 11.28 10.34 11.13 
USD 10.35 9.26 10.44 
JPY  0.0780 0.0763 0.0792 
 
 
 
 
Pledged assets and contingent liabilities   Group  
(Amounts in SEK 000s)  31 Mar  
2023 
 
2022 
31 Mar  
2022 
31 Dec 
2022 
2021 
Floating charges  0 0 0 
Contingent liabilities  None None None 
 
 
Adjusted operating profit   Group  
(Amounts in SEK 000s)  Jan–Mar 
2023 
Jan–Mar 
2023 
Jan–Dec 
2022 
Operating profit  147,998  95,295 361,459  
Adjustments  2,402 4,664 5,067 
Adjusted operating profit  150,400  99,959 366,526

===== SIDA 19 =====

Q1 2023 
 
 
19 
 
BioGaia AB (publ) Interim management statement, January – March 2023  
 
Financial calendar  
 
 
 
 
 
 
 
 
 
 
 
 
Stockholm, 5 May 2023 
 
Isabelle Ducellier  
CEO 
 
 
 
 
 
 
 
This interim management statement has not been audited.  
 
 
 
 
Annual General Meeting 2023  
 
5 MAY 
2023 
8:00 a.m. CEST Interim management statement 1 January – 30 
September 2023  
20 OCT  
2023 
 
8:00 a.m. CEST Interim Report 1 January – 30 June 
2023 
21 JUL  
2023 
 
8:00 a.m. CEST Interim management statement 1 January 
– 31 March 2023  
5 MAY 
2023

===== SIDA 20 =====

Q1 2023 
 
 
20 
 
BioGaia AB (publ) Interim management statement, January – March 2023  
 
BioGaia AB 
 
 
The company 
BioGaia is a Swedish world-leading probiotic company that has been 
at the forefront of microbiome research for more than 30 years with 
a vision of becoming the world’s most trusted probiotic brand. 
BioGaia develops, markets and sells probiotic products for gut, oral 
and bone health with documented health effects. The products are 
primarily based on different strains of the lactic acid bacterium 
Limosilactobacillus reuteri (formerly Lactobacillus). 
The class B shares of the Parent Company BioGaia AB are quoted on the 
Mid Cap List of Nasdaq Stockholm.  
 
Business model 
BioGaia stands on two strategic legs – sales through distribution 
partners and direct distribution to end consumers. The business model 
is based on long-term collaboration with international networks within 
research, production and distribution. 
BioGaia’s revenue comes mainly from the sale to distributors of drops, 
tablets and capsules for gut health, oral rehydration solution (ORS), 
lozenges for oral health and capsules for bone  health. Revenue is also 
earned from the sale of bacterial cultures to be used in licensee 
products (such as infant formula and dairy products), as well as 
royalties for the use of L. reuteri  in licensee products.  
The products are sold in more than 100 cou ntries through distribution 
partnerships with nutrition and pharmaceutical companies and through 
direct distribution. BioGaia’s direct distribution extends across six 
countries (Sweden, Finland, the UK, USA, Canada and Japan).  
BioGaia holds patents for the  use of certain strains of L. reuteri  and 
certain packaging solutions in all major markets. At the end of 2022, 
BioGaia held more than 600 approved patents for various bacteria 
strains.  
The BioGaia brand 
BioGaia launched its own consumer brand in 2006. Today, a number 
of BioGaia’s distribution partners sell finished products under the 
BioGaia brand in a number of markets. One important element of 
BioGaia’s brand strategy is to increase the percentage of sales under 
the BioGaia brand. Of products (drops, tablets for gut and oral 
health, oral rehydration, etc.) sold in 2022, 86% (81%) were sold 
under the BioGaia brand including co-branding.  
Some of BioGaia’s distributors sell finished consumer products under 
their own brand names. On these products, the BioGa ia brand is shown 
on the consumer package since BioGaia is both the manufacturer and 
licensor.  
BioGaia’s licensees add L. reuteri  culture to their products and sell 
these under their own brand names. On these products, the BioGaia 
brand is most often shown  on the package as the licensor/patent 
holder.   
Research and clinical studies 
BioGaia’s strains of L. reuteri are among the most studied in the world, 
in particular studies in young children, with strong pre-clinical and 
clinical evidence. As of December 2022, over 250 clinical studies with 
BioGaia’s various strains of L. reuteri have been performed. These 
studies involved more than 21,000 individuals of all ages in total. 
 
During the year, BioGaia has performed studies in the following areas: 
• Colic and constipation in infants 
• Preventing infections in infants and adults 
• Functional abdominal pain in children 
• Antibiotic-associated diarrhoea (AAD) 
• Acute diarrhoea 
• Gingivitis (inflammation of the gums) 
• Periodontal disease 
• General health 
• Helicobacter pylori  
• Osteopenia 
• Autism spectrum condition 
• Depression 
• Bone health 
• Urinary tract infections
 
 
 
 
 
 
 
 
BioGaia AB Box 3242 SE-103 64 STOCKHOLM 
Street address: Kungsbroplan 3, Stockholm 
Telephone: +46 8 555 293 00, Corporate identity no. 556380-8723, www.biogaia.com