Gulf Pharmaceutical Industries, known as Julphar, one of the biggest drug manufacturers in the Middle East and Africa, reported a net loss in the 2022 full fiscal year, despite double-digit revenue growth.
The company swung to a net loss of Dh11.7 million ($3.1 million) in the January-December period, from a net profit of Dh59.4 million in 2021, it said in a preliminary earnings statement to the Abu Dhabi Securities Exchange, where its shares are traded.
Its revenue jumped to more than Dh1.6 billion in 2022, a yearly rise of 41.8 per cent.
“The strong revenue growth was generated from continued market share increase in the company’s key markets including the UAE, Saudi Arabia and several North African markets,” Julphar said.
Julphar’s earnings before interest, taxes, depreciation and amortisation stood at Dh156.6 million, nearly 9.7 per cent of its net sales, while its net operating profit dropped 58 per cent on an annual basis to Dh26.8 million.
Last year, the company made “significant progress in its efforts to invest in the product pipelines in its core business areas”, Julphar said.
Based in Ras Al Khaimah, Julphar manufactures largely generic drugs including insulin for diabetics and a range of personal care products. The company, which operates across the Middle East, Africa and Asia, has been growing its regional reach while streamlining operations.
Julphar's total assets dipped an annual 1.8 per cent to nearly Dh2.4 billion at the end of 2022, while earnings per share rose to Dh0.80.
In July 2021, it acquired 100 per cent of Dubai-based pharmaceuticals distribution company Planet Pharmacies, in which it previously held a 40 per cent stake.
Last year, Julphar unveiled a strategy to achieve sustainable business growth and triple revenue by 2030.
The strategy is built around six pillars, including maximising revenue from its current product portfolio, the launch of products, geographical expansion, strategic business initiatives, advanced speciality products initiatives and inorganic growth initiatives.
