Ekzon
OJSC "Ekzon"
UNP: 200433278 · 202 Lenin St., Drogichin, Brest Region 225612
Identification
Financial statements
k BYN
| Line item | Reporting year | Prior year |
|---|---|---|
| Fixed assets | 10 086 | 12 409 |
| Intangible assets | 83 | 46 |
| Income-bearing investments in tangible assets | — | — |
| Investments in long-term assets | 340 | 220 |
| Long-term financial investments | — | — |
| Deferred tax assets | 3 | — |
| Long-term receivables | — | — |
| Other long-term assets | — | — |
| Total Section I (long-term assets) | 10 512 | 12 675 |
| Inventories | 9 678 | 7 843 |
| — materials | 6 294 | 6 123 |
| — work in progress | 214 | 502 |
| — finished goods and merchandise | 3 170 | 1 218 |
| Deferred expenses | 13 | 229 |
| VAT on acquired goods, works, services | 5 | 8 |
| Short-term receivables | 7 981 | 7 210 |
| Short-term financial investments | 8 360 | 8 347 |
| Cash and cash equivalents | 6 697 | 6 170 |
| Other short-term assets | — | — |
| Total Section II (short-term assets) | 32 734 | 29 807 |
| BALANCE (assets) | 43 246 | 42 482 |
| Charter capital | 796 | 796 |
| Reserve capital | 779 | 765 |
| Additional capital | 5 159 | 7 456 |
| Retained earnings (uncovered loss) | 29 266 | 26 321 |
| Total Section III (equity) | 36 000 | 35 338 |
| Long-term loans and borrowings | — | — |
| Long-term lease liabilities | — | — |
| Deferred income | — | — |
| Total Section IV (long-term liabilities) | — | — |
| Short-term loans and borrowings | — | — |
| Current portion of long-term liabilities | — | — |
| Short-term payables | 7 229 | 7 144 |
| — to suppliers, contractors, providers | 6 151 | 6 414 |
| — on advances received | 51 | 70 |
| — on taxes and duties | 498 | 180 |
| — on social insurance and security | 105 | 81 |
| — on payroll | 282 | 255 |
| — to other creditors | 142 | 144 |
| Deferred income | 17 | — |
| Total Section V (short-term liabilities) | 7 246 | 7 144 |
| BALANCE (equity and liabilities) | 43 246 | 42 482 |
Computed metrics
Integrity checks
Checks passed: 5 of 6
Failed checks indicate gaps or inconsistencies in the source filing itself (typically in form F4, the cash-flow statement), not data-entry errors. The balance sheet (assets = liabilities) reconciles for every enterprise.
Signals
- Operating margin compression: sales margin fell by 1.99 pp (19.28% → 17.29%).F2.060 · F2.010
- Operating cash flow margin fell by 4.91 pp (10.81% → 5.90%) — a sharper compression than in profit.F4.040 · F2.010
- Rising labor costs: payroll payments +20.5% year on year (5,145 → 6,199k BYN).F4.032
- Finished goods grew 160% (1,218 → 3,170k BYN) — a warehouse build-up that requires monitoring.F1.214
- Operating cash flow fell by 39.8% (2,854 → 1,718k BYN) — through the build-up of finished-goods inventories and payroll pressure.F4.040 · F1.214 · F4.032
- Additional capital declined by 2,297k BYN (7,456 → 5,159), mostly through a revaluation reversal of −2,269; the share of revaluation in equity fell from 21% to 14%.F1.450 · F2.220 · F1.490
- Real equity is substantially positive: equity of 36,000k BYN, of which additional (revaluation) capital is only 5,159; retained earnings of 29,266 are growing (from 26,321).F1.490 · F1.450 · F1.460
- Long-term assets of 10,512k BYN are covered by equity of 36,000 many times over — a structural safety margin.F1.190 · F1.490
- Credit load is entirely absent: balance sheet 43,246 = equity 36,000 + short-term liabilities 7,246 — no long-term or short-term loans and borrowings in either year.F1.700 · F1.490 · F1.690
- Current ratio 4.52; own working capital provision 0.78 — exceptional structural strength.F1.290 · F1.690 · F1.190
- A cash-rich structure: cash of 6,697 + short-term financial investments of 8,360 = 15,057k BYN — 35% of the balance sheet; operating flow is positive (+1,718).F1.270 · F1.260 · F1.300 · F4.040
- Revenue grew 10.3% (26,390 → 29,110k BYN).F2.010
- Net profit is growing: +11.8% (3,000 → 3,353k BYN) — the bottom line is healthy despite the operating-margin squeeze.F2.210
- Dividends paid nearly quadrupled: 68 → 264k BYN.F4.092
Recommendation
Ekzon is a pharmaceutical production in Drogichin (Brest region, district-center population ~14 thousand), 99.1964% state-owned, OKED 21201 (manufacture of pharmaceutical preparations). For the 2025 financial year the enterprise shows an exceptionally strong structural picture: real equity +BYN 30,062k positive and growing (+10.86% YoY), long-term-asset coverage 2.86 on real capital (in the healthy zone), a complete absence of credit load (F1.510/520/610/620 = 0), current ratio 4.52 (3.6× the norm), own working capital ratio 0.78 (5.2× the norm), a cash-rich structure (35% of the balance sheet in cash + short-term financial investments). These characteristics make the enterprise ready to operate independently without the need for state support.
Recommendation: Privatization. Ekzon represents an ideal candidate for commercial privatization: profitability is stable, the balance sheet is clean, there are no unresolved debt obligations, and pharmaceuticals as a sector has potential for commercialization without loss of the strategic function (via tender covenants on preserving production capacity and social obligations). The state-ownership organ has been verified against primary sources: the shares are held by the state through the Belfarmprom holding (managing company: RUE "Belfarmprom Holding Management Company"), sectoral authority: the Ministry of Health.
Why privatization. However, in the operating dimension there is a margin-compression signal: sales profitability -1.99 pp (19.28% → 17.29%), OCF margin -4.91 pp (10.81% → 5.90%), labor-cost growth F4.032 +20.5% YoY. These changes are characteristic of a broad cross-section of the Belarusian state sector in the 2025 financial year and are not an enterprise-specific dysfunction. Net profit nonetheless still grows +11.77% thanks to the investing+financing segment (exchange differences balance +342, interest receivable 327). The preservation of a healthy bottom line amid operating-margin compression demonstrates the enterprise's ability to absorb macro pressure through active cash management.
Confidence: MEDIUM. Grounds: (a) the unexplained accumulation of finished goods F1.214 +160% (either pharma seasonality, weakening demand, or a change in product mix — qualitative interpretation needed); (b) a small discrepancy on check 6 (F3.151 row total or net profit — a strict mismatch of 14 in the reserve-fund allocation, attribution to be clarified).