Pharmaniaga Q2 earnings 43% lower

PETALING JAYA: Pharmaniaga Bhd's net profit for the second quarter ended June 30, 2018 fell 43% to RM5.39 million from RM9.52 million a year ago mainly due to higher corporate tax as a result of increased profitability of certain subsidiaries compared with corresponding quarter last year.
However, revenue grew 12.5% to RM582.73 million from RM517.97 million in the previous year's corresponding quarter mainly attributable to increased demand from government hospitals.
For the six months period, the group's net profit dropped 19% to RM22.98 million from RM28.44 million a year ago primarily due to higher corporate tax as a result of increased profitability of certain subsidiaries compared with previous year.
Its revenue increased 5.7% to RM1.2 billion from RM1.14 billion in the previous year's corresponding period.
For the second quarter, it declared a second interim dividend of 4 sen per share in respect of the financial year ending Dec 31, 2018, which will be paid on Sept 18, 2018 to shareholders.
Pharmaniaga said it was able to deliver sustained results for the first half of the year on the back of its solid fundamentals and continuous operational improvements despite challenging market conditions.
As the group progresses, it strives to deliver high standards of services and widen its product offerings for domestic and international markets via research and development efforts to meet the evolving needs of the healthcare sector.
Moving forward, the group is committed to expanding its market presence in the private sector, particularly in the consumer healthcare segment via strategic marketing initiatives.
Pharmaniaga’s Indonesia operations remain a key contributor and the group is focused on strengthening business synergies between its subsidiaries, PT Millennium Pharmacon International and PT Errita Pharma, to tap into opportunities in the growing market.