With a net loss of Dh42.1 million in the first half of 2023 compared to a profit of Dh5.3 million the previous year, the UAE pharmaceutical business Julphar has suffered. Julphar attributed the increase in net sales of Dh859.4 million (up 2.5%) to the state of the international markets.
The corporation, which has its headquarters in Ras Al Khaimah, claims that the geopolitical and economic conditions in Iraq, Sudan, and Egypt’s devaluation of its currency are what caused the headwinds. The advances in the wider GCC and the UAE only partially offset these. Its pharmacy division, Planet, also made a contribution with sales of Dh523 million in H1-23, which were up 7.1%.
In order to
hasten Julphar’s financial recovery, it plans to:
Introduce new items to a portfolio that is already well-stocked; Sign licensing arrangements for joint medical product development; and Accelerate divestitures in non-core areas.
There is work to be done because as of the end of June, Julphar had lost a total of Dh295.4 million. Of course, the burden has increased as a result of the losses incurred during the most recent second quarter.
Julphar had recently started experimenting with solutions to the legacy loss problem. As a result, it has tried to rearrange the product line and acquire market share for its key items.
Based in Ras Al Khaimah, Julphar produces a variety of personal care items in addition to generic medications including insulin for diabetes. The Middle East, Africa, and Asia-based organization has been expanding its geographical presence while streamlining its business practices.
At the end of 2022, Julphar’s total assets decreased annually by 1.8% to close to Dh2.4 billion, while its earnings per share increased to Dh0.80.