Pharmaniaga’s Q3 net profit up on better margins

In a statement on Thursday, Pharmaniaga attributed the improved results to favourable margins from its manufacturing division, with ongoing cost optimisation measures leading to lower operating expenses.
 
The measures included batch consolidation, enhanced procurement exercises and increased production yields through utilisation of innovative methods.
 
The division delivered a pre-tax profit of RM79.2 mil for the nine-month period, up 19% from RM66.6 mil in the same period last year.
 
Meanwhile, its logistics and distribution division posted a lower pre-tax profit of RM9.8 mil for the nine-month period. This was mainly attributed to reduced government orders and higher amortisation costs.
 
For the nine-month period under review, Pharmaniaga’s cumulative net profit stood at RM67.98 mil, an improvement from RM57.15 mil last year.
 
Revenue over the same period amounted to RM1.51 bil, compared to RM1.49 bil a year ago.
 
“Despite the challenging economic climate, the Group was able to deliver strong results, on the back of the growing demand for healthcare products, as well as continuous cost optimisation initiatives,” said Pharmaniaga chairman Tan Sri Lodin Wok Kamaruddin.
 
Following the results, the group also declared a third interim dividend of 9 sen per share to be paid by Dec 21. This brings its cumulative dividends for the year to 23 sen.