Logs in highest profit growth among listed drug makers in Jul-Sep
There is no doubt that Beximco Pharmaceuticals is its moment in the sun.
After grabbing headlines globally in May for being the first company to market remdesivir, the antiviral drug that has shown promise in treating COVID-19 patients, the local pharmaceutical company in August announced a tie-up with Indian Serum Institute to be the “exclusive distributor” of Oxford’s Covid-19 vaccine in Bangladesh.
So it was expected that the good press would translate into its financial performance. And turns out it did.
The company posted a 24.7 per cent higher profit of Tk 108 crore between July and September.
During the period, its sales increased 9.8 per cent year-on-year to Tk 692 crore, the company said in its interim first-quarter financial statement for its 2020-21 financial year. Beximco Pharma’s reporting year runs from July to June.
This comes after the local pharma giant reported a 16.6 per cent higher profit of Tk 354.4 crore for the financial year that ended on June 30.
Md Asad Ullah, executive director and company secretary of Beximco Pharmaceuticals, simply credited the improved performance on higher demand amid the pandemic.
“Our country's pharmaceutical products are now being exported to about 200 countries, including the US.”
The demand for Bangladeshi pharmaceutical products in the global market is increasing, mainly due to product diversification and their superb quality, he said.
Between July and September, pharmaceutical exports raked in $42.2 million, up 20.9 per cent year-on-year, according to data from the Export Promotion Bureau.
“We have been doing well in the domestic market too,” Ullah said, adding that many drug companies are also expanding their production units to meet the growing local demand.
Bangladesh’s domestic medicine market is worth about Tk 20,000 crore, according to industry insiders.
Beximco’s competitor, the domestic market leader Square Pharmaceuticals, is doing well for itself, too.
Square Pharmaceuticals saw its profit soar 17.2 per cent to Tk 393.2 crore between July and September.
It posted profit growth of 5.6 per cent for the financial year that ended on June 30. Square Pharmaceuticals logged in profit of Tk 1,335.6 crore.
Another household pharmaceutical name Renata also saw a pick up in fortune during the period: its net profit increased 20.3 per cent to Tk 123.9 crore.
Similarly, Acme Lab posted a profit of Tk 41.5 crore in the first quarter of its 2020-21 financial year, up 3.7 per cent.
Its profit in the 2019-20 financial year was higher at Tk 145.1 crore.