Duopharma Biotech maintains profit momentum

KUALA LUMPUR: Duopharma Biotech Bhd’s (Duopharma Biotech) fundamentals continue to strengthen, with unaudited profit before tax for its fourth quarter leaping to RM20.47 million, a 47 per cent increase over the RM13.94 million posted in the preceding year corresponding period.

This commendable achievement was made against unaudited quarterly revenue of RM134.09 million.

A er accounting for taxation, net profit for the quarter was recorded at RM16.19 million, resulting in RM58.61 million net profit for financial year 2020.

As a result, earnings per share increased to 8.46 sen for the year, from the 8.25 sen posted previously.

For the current financial year ended December 31, 2020, the board of directors has declared a second interim dividend of six sen.

Duopharma Biotech group managing director Leonard Ariff Abdul Shatar a ributed the stronger performance due to the group’s initiatives and measures in managing operational costs.

Leonard Ariff also cited the following developments which would augur well for Duopharma Biotech, including the extension of the contract period of the offtake agreement for the supply and delivery of human insulin products to the government by one year effective from December 2, 2020 until December 1, 2021 with an additional contract value of RM19,625,100.

This is in addition to the contract period of the supply agreements for the supply of pharmaceutical and/or nonpharmaceutical products to hospitals, clinics and others under the Government of Malaysia being extended for twenty five months, commencing December 1, 2019 until December 31, 2021.

“The extensions augur well for the Duopharma Biotech Berhad Group as these stabilise a significant portion of group revenue. With this assurance, it places us in a be er position to mobilise our resources to intensify our foray into specialty and niche products,” said Leonard Ariff.

In addition, Duopharma Biotech also recently entered into a term sheet agreement with the government to supply 6.4 million doses of the Covid19 vaccine known as “Sputnik V” developed by the Gamaleya National Research Institute of Epidemiology and Microbiology (Gamaleya).