Philab bullish, hopes to resume trading in 2019

PHILAB Holdings Corp. is optimistic that it would resume trading early next year after being suspended for more than six months now.

Philab President and Chief Executive Officer Thomas Navasero told reporters late on Wednesday that his company continued to comply with the necessary reportorial requirements so that the Philippine Stock Exchange (PSE) would allow it to trade shares again.

“I pray that we [would] be back on trading early next year,” he added.

The PSE suspended the trading of Philab shares in May after it rejected the firm’s 2017 annual report and questioned its receivables worth P1.6 billion that was owed by the Department of Education.

Although Philab maintained it complied with all requirements, they are yet to to be approved by the Securities and Exchange Commission.

The company said it expected to grow in the coming year as it continued to expand its businesses, while the infusion of fresh funds was expected to help unlock bottlenecks in sales and operations.

“We expect revenues of subsidiary Philab Industries Inc. alone to quadruple next year,” Navasero said. He added that this would be on the back of the improved distribution of its dengue self-test kits by LABit, as well as the medical laboratory business of Philab Industries Inc.

He predicted that both LABit and Philab Industries would post double-digit earnings.

“The company will also continue to pursue the new acquisitions as well as new products and technology that will have strategic importance to Philab’s existing businesses,” Navasero added.

Meanwhile, Philab Industries President Paolo Cagalingan said the company’s laboratory business was seen to triple its revenues next year as cash-flow challenges—stemming from government contract collection delays—only allowed first-quarter orders to be funded in the fourth quarter and should contribute to sales in 2019.