The Pharmacy Industry in Lyngdal: Current Status and Future Prospects

The pharmacy industry in Lyngdal has shown both stability and growth in recent years, with a combination of established businesses and a growing workforce. In 2024, the industry reported 43 employees, an increase from 34 in 2023, and a total sales volume of 107.9 million NOK. This growth has been driven by two main pharmacies, Apotek 1 Lyngdal and Apotek 1 Handelsparken Lyngdal, which together account for nearly all of the industry's activity. At the same time, the industry has shown relative stability in terms of bankruptcy, with no registered bankruptcies among the registered businesses.

In 2024, the pharmacy industry in Lyngdal had a total sales volume of 107.9 million NOK, an increase of 49.6% compared to 2023. This is the most significant increase since 2017, and it shows that the industry has ended a period of uncertainty. Sales had a sharp decline of 78.7% from 2016 to 2017, but recovered with a dramatic rise of 367.1% in 2018. The workforce has also shown a positive trend, with an increase from 34 employees in 2023 to 43 in 2024, although there have been variations in previous years.

In Lyngdal, three pharmacy businesses are registered in the industry:

1. Apotek 1 Lyngdal (Alleen 8) – AS company, 22 employees, sales of 38.7 million NOK, EBITDA of 2.8 million NOK.
2. Apotek 1 Handelsparken Lyngdal (Fiboveien 1) – AS company, 16 employees, sales of 38.7 million NOK, EBITDA of 2.8 million NOK.
3. F&F Konsern As (Kirkeveien 72B) – AS company, 0 employees, no sales or operating profit.

Two of the businesses are established AS companies with high operating profit and a 7% EBITDA margin. The third business, F&F Konsern As, has no operating activity and may be a new or inactive business.

All businesses in the pharmacy industry in Lyngdal are registered in the village of Lyngdal. Two businesses with 38 employees and a total operating income of 78.6 million NOK are registered. This shows that the pharmacy industry is concentrated in the center of the municipality, with a clear focus on the two main pharmacies. No activity is registered in other parts of the municipality or in smaller towns.

The industry has been relatively stable in terms of bankruptcy, with no registered bankruptcies among the three businesses. However, there have been variations in operating profit and sales over time. For example, F&F Konsern As had no operating activity in 2024, which may indicate a temporary pause or a new establishment. At the same time, the two main pharmacies have shown a consistent increase in operating profit and EBITDA over the past few years, indicating a stable business model.

For entrepreneurs considering establishing themselves in the pharmacy industry in Lyngdal, the data show growth in sales and workforce in recent years, especially from 2022 onward. The high EBITDA margin of 7% and the stable operating profit of the two main pharmacies suggest that the industry has potential for further growth. However, entrepreneurs should be aware of previous variations in sales and operating profit, which may indicate market fluctuations or bankruptcy safety. It may also be possible to utilize existing infrastructure and established businesses to create synergies.

The pharmacy industry in Lyngdal shows signs of stable growth and established businesses with good economic performance. With an increase in sales and workforce over the past few years, as well as a high EBITDA margin, the industry can be an attractive choice for entrepreneurs. However, attention should be paid to previous variations in operating profit and sales, as well as possible challenges related to bankruptcy risk. SmartGrunder can help entrepreneurs find suitable addresses and locations in Lyngdal for pharmacy business.