07-05-2025
- Business
- New Straits Times
Pharmaniaga posts stronger Q1 results, eyes PN17 exit
KUALA LUMPUR: Pharmaniaga Bhd's net profit rose 15.3 per cent to RM29.58 million in the first quarter ended March 31, 2025 (Q1 2025), from RM25.65 million in the same period a year earlier.
The improved performance was driven by stronger revenue, which rose 9.4 per cent year-on-year to RM1.06 billion from RM964.96 million in Q1 2024.
In a filing with Bursa Malaysia, the company said it recorded stronger demand in the concession segment, driven by higher order volumes from government hospitals and the inclusion of new products in the Approved Products Purchase List.
Additionally, its cost optimisation measures led to a 2.5 per cent decrease in operating expenses compared to the same period last year.
This was mainly due to lower warehouse rental costs and reduced spending on advertising and promotional activities.
The group's manufacturing division posted a higher earnings before interest, taxes, depreciation and amortisation (ebitda) of RM30.9 million, up 67.9 per cent from RM18.4 million a year earlier.
Pharmaniaga said this was driven by stronger demand from government hospitals for its in-house manufactured products.
Meanwhile, the company's logistics and distribution division logged a lower ebitda of RM32.5 million versus RM37.8 million due to higher cost of goods sold arising from new pricing under the revised concession agreement.
Pharmaniaga added it is moving forward with the implementation of its regularisation plan to exit its Practice Note 17 (PN17) status after receiving shareholders' approval.
