Rising sales lift Julphar to record revenues
The Ras Al Khaimah-based pharmaceutical company Julphar yesterday reported its highest ever quarterly revenues, boosted by increased sales across its international footprint.
The company, which manufactures the raw material required to make insulin and other medicines, said revenues were Dh393.5 million for the first quarter of the year, a year on year increase of 19.2 per cent.
Julphar attributed the rise in revenues to a growth in private markets sales, which were up 14.3 per cent. Gross profits rose by 18.3 per cent to Dh237.1m, another quarterly high for the company.
The results follow Julphar’s licensing agreement last month with MSD, the international operations arm of the pharmaceuticals giant Merck.
The five-year licensing agreement provides Julphar with exclusive rights for the production, marketing, distribution and sale of certain MSD products in the UAE, Kuwait, Bahrain, Oman, Qatar and Iraq.
“This partnership is the result of shared values and principles to advance healthcare in the Mena region, as we both strive for the highest standards of quality and, most importantly, focus on the welfare of patients in our communities,” said Ayman Sahli, Julphar’s chief executive.
“This agreement allows a global leader in health care to tap into the local know-how and expertise of a regional leader. Manufacturing locally high-quality medications will enhance accessibility and create greater value for all our stakeholders,” he added.
The licensing builds on an initial agreement, signed in July 2012, which resulted in the two companies collaborating on the merchandising of core pharmaceutical products, and promoting treatments for cardiovascular disease, women’s health, dermatology and pain and inflammation.
“Our partnership with Julphar means stronger focus on innovative ways to address critical diseases, a closer connection with current and potential customers, and a region-wide focus on their healthcare needs,” said Ramsey Morad, MSD’s vice president for the Middle East region, following last month’s agreement.
“In light of the exemplary efforts by regional governments to improve their national healthcare systems, MSD is sharing its latest production methods and expertise with Julphar in this joint initiative to support our customers and patients.”
Julphar shares, listed on the Abu Dhabi Securities Exchange, fell by 7.27 per cent to Dh3.06 yesterday.
Follow us on Twitter @Ind_Insights
Published: May 11, 2014 04:00 AM