Duopharma net profit rises 15% in 1Q

Duopharma Biotech group managing director Leonard Ariff Abdul Shatar

KUALA LUMPUR: Duopharma Biotech Bhd’s net profit rose 15.2% to RM20.29mil in the first quarter ended March 31 against RM17.61mil a year ago on higher sales.

The pharmaceutical group saw its revenue rise 11.7% to RM185.94mil from RM166.45mil a year prior. Its earnings per share for the quarter stood at 2.19 sen, compared with 1.90 sen last year.

Duopharma group managing director Leonard Ariff Abdul Shatar said earnings in the upcoming quarters will be buoyed by the RM375mil revised Government tender to supply Insugen-Insulin Recombinant Human Formulations.

In addition, the contract to supply pharmaceutical and non-pharmaceutical products to government hospitals and clinics has been extended for 12 months until end-2022.

Duopharma may also enjoy potential savings of more than RM10mil upon the completion of some qualifying assets by 2024, following the Budget 2022 announcement that the period for special reinvestment allowance will be extended to the year of assessment 2024.

“We are cautiously optimistic with our outlook this year as the country’s economy is improving following the reopening of borders and with most Covid-19 restrictions having been lifted.

“Over the longer term, demand for healthcare services is growing and the government’s continuous emphasis on the sector will bode well for the company,” Leonard Ariff said.