Over the last decade this niche portfolio has contributed substantially to both the increase in sales and to the relatively high margins achieved by the Group. It has been a priority for Richter management to further strengthen this therapeutic area where we traditionally have possessed special 
knowledge. The acquired Grünenthal oral contraceptive portfolio represents a strategic fit for Richter to both strengthen its presence in Western European markets and expand its oral contraceptive portfolio. Additionally the acquisition 
of PregLem increases Richter’s exposure to specialty pharma and complements its existing Women’s Health franchise. 
The separate section on Female healthcare describes our gynaecological products in detail.

Richter also markets as part of its portfolio original products and continues to carry out intensive research activities on diseases of the Central Nervous System. It is management’s opinion that it is important for the longer term success of the Group that it continues to research own developed compounds.

Gedeon Richter is a regional mid-sized pharma company with a vertically integrated structure. This is based on a good market position with geographic and therapeutic niches supported by continuous enhancement through the supply of specialties partly via licensing agreements. Licensing-in is becoming an increasingly important route for the Group to 
renew its product portfolio. This is accomplished partly as an expansion of our existing generic product line and partly via providing high added value or original products either in the field of female healthcare or in other therapeutic areas.

Richter’s management continues to endeavour to provide greater focus and improved shape to the product portfolio. With this background it is understandable that most of the top ten products in 2010 originate from the three largest therapeutic categories. Gynaecological, cardiovascular and central nervous system products together generated 72 percent of total pharmaceutical sales.

Central nervous system related drugs contributed altogether 14 percent to total pharmaceutical sales.

Cardiovascular drugs showed an above average sales growth in 2010, accounting for 25 percent of total pharmaceutical sales.

Muscle relaxant drugs amounted to 6 percent of the total pharmaceutical revenue of the Group in 2010.

Gastrointestinal products represented 4 percent of total pharmaceutical sales.

The sales of antifungal increased during 2010, primarily due to higher sales levels recorded in France and in the CIS.

In line with the Group’s strategy the product portfolio has been successfully enhanced. This focus continues through withdrawing low volume and low margin products and introducing new products with improved profit potential. Progress by the Group in launching new products continued in 2010. Several new generic products were launched on our markets.

Gynaecological products