KUALA LUMPUR: Duopharma Biotech Bhd
's growth strategy will be anchored by its market expansion plans including widening the presence and enhance the value of its halal-certified healthcare solutions on the international markets.
The pharma company expects to continue facing persistent challenges such as high electricity tariffs, elevated interest rates, and inflationary pressures; all of which is anticipated to exert pressure on manufacturing margins and overall profitability.
"Despite these hurdles, the group remains committed to enhancing internal efficiencies to mitigate the impact of rising operational and finance costs. Furthermore, the acceptance of new supply agreements with Pharmaniaga Logistic Sdn. Bhd. positions the group favourably for delivering satisfactory performance in 2024," it said in the notes to its financial statements filed with Bursa Malaysia.
Pursuant to its results announcement, the company had also doubled its interim dividends announced for its shareholders to 1 sen per share for the current financial period ended June 30 from the 0.5 sen per share interim dividend announced in the corresponding period last year.
Its interim dividends this time will total to RM9.62mil, the company said in a statement. It said the dividend reinvestment plan shall not apply to the aforesaid interim dividend.
Duopharma's second quarter (2Q24) net profit rose by 33% year-on-year (y-o-y) to RM16.69mil as revenues rose 30.3% y-o-y to RM218.32mil.
"The double-digit growth was driven by increased sales in the prescription pharmaceutical markets, ethical specialty and export segments, which cushioned the marginal drop in sales in the consumer healthcare sector in the first half of the financial year 2024," it said.
Its group managing director Leonard Ariff Abdul Shatar said: “Our strong financial performance this quarter reaffirms Duopharma's strategy and reinforces our commitment to delivering high-quality healthcare solutions and expanding our market presence. We will continue to build on our achievements and take strategic measures to address challenges."
He added the group's focus is to drive forward with innovative solutions and strengthening its partnerships to meet the evolving needs of consumers and the healthcare sector.
