Pharmaniaga posts Q1 earnings of RM17.6m

KUALA LUMPUR: Pharmaniaga Bhd posted a 7% dip in earnings to RM17.59mil in its first quarter ended March 31,2018, from RM18.92mil in the year-ago quarter on the back of flattish revenue of RM617.92mil.

The largest portion of the group's profit was attributed to the manufacturing division, which registered a lower profit before tax of RM20mil from RM26mil in the previous year due to lower demand in the concession business and increased R&D expenses.

The group's logistics and distribution division posted a jump in profit before tax to RM10mil from RM2mil in the previous corresponding quarter due to improved streamlining of marketing and promotional expenses. 

In Indonesia, the group posted a loss of RM400,000 compared with a profit before tax of RM900,000 as the ringgit depreciated against the Indonesian rupiah and finance costs increased.

"With improved contributions from its concession business as well as higher demand from the private sector business and its Indonesian operations, the Group is poised to further tap into vast market opportunities, both in Malaysia and abroad.

"Research and development remains the key driver of growth, resulting in increased product offerings to both domestic and international markets," the group said in a stock exchange filing.

Pharmaniaga declared a first interim dividend of five sen per share with entitlement and payment dates on June 1 and 20 respectively.

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