PETALING JAYA: Pharmaniaga Bhd
is entering the next phase of its turnaround with earnings expected to strengthen steadily over the next three years. according to BIMB Research.
“Following the successful completion of its regularisation plan and exit from Practice Note 17, the group has stabilised its balance sheet and returned to sustainable profitability.
“We believe Pharmaniaga is now entering the next phase of its transformation under Vision ONE30, repositioning the company from a concession-driven distributor into a higher-value pharmaceutical manufacturing and biopharmaceutical platform,” it pointed out.
The research house initiated coverage with a “buy” call and target price of 37 sen, based on 13 times 2026 enterprise value over earnings before interest, tax, depreciation and amortisation (Ebitda) multiple
“Management is targeting net profit of RM300mil by 2030 under Vision ONE30, implying a substantial uplift from current earnings levels and signalling a credible multi-year growth trajectory,” it added.
It projected Pharmaniaga’s core net profit to rise to RM70.2mil in financial year 2026 (FY26), RM89.7mil in FY27 and RM106.3mil in FY28, representing annual growth of 45%, 28% and 19% respectively.
Revenue is forecast to expand from RM4.1bil in FY26 to RM4.8bil by FY28, supported by stable concession income, stronger pharmaceutical distribution volumes and gradual contributions from localisation efforts, particularly in vaccines and insulin.
A major earnings catalyst is its manufacturing segment, which BIMB Research saw as the key value-accretive division.
In 2025, manufacturing Ebitda rose 65% year-on-year, driven by stronger demand for in-house products and better cost optimisation across its four plants.
