UAE’s Julphar reports net profit of Dhs63.9m in 2021

Ras Al Khaimah (RAK) based Gulf Pharmaceutical Industries (Julphar) has announced its financial results for 2021.  The company reported a revenue of Dhs1,143m, a 100 per cent increase compared to Dhs573m it earned in 2020.

The pharma company attributed the significant rise to increased market share in key operating regions, including the UAE and Saudi Arabia, and the contribution from Planet Pharmacies, which Julphar acquired in July 2021.

The company reported earnings before interest, taxes, depreciation and amortisation (EBITDA) from continuing operations at Dhs164.8m, up from a negative EBTIDA of Dhs-165.8m in 2020.

Julphar ended the year with robust net profit at Dhs63.9m compared to an operating loss of Dhs241.6m in 2020. The company’s profit after tax for 2021 reached Dhs59.4m, as compared to a loss of Dhs317.4m in 2020.

Factors supporting growth

Sheikh Saqer Humaid Al Qasimi,  chairman of the board, Julphar, said: “The return to profitability is testament to the unwavering commitment of the management team to enact effective strategies that create sustainable growth. Julphar is focused on the continued development of its core business to provide affordable and quality healthcare solutions in the MENA region.”

Dr Essam Mohamed, CEO of Julphar, said: “The company’s 2021 financial results demonstrate strong top line and bottom line growth. Underscored by sales increase and cost-saving, the strategic acquisition of Planet Pharmacie, and Julphar’s cash flow positive position primes it for further growth opportunities, as it continues its drive to bring its first-in-class new products and new value added medicines throughout the region.”

This growth was further bolstered by the divestment of non-core assets. In 2021, Julphar sold its stake in Gulf Inject to Yas Holding. Gulf Inject manufactures and distributes sterile parenteral solutions.

Read: Abu Dhabi-based Yas Holding completes acquisition of Gulf Inject from Julphar

Outlook for 2022

In 2022, Julphar will continue to follow its corporate strategy while investing in its in-house research and development function. Julphar also aims to continue building new partnerships to bring high-quality generics and first-in-class treatments to the region to better serve patients’ needs.

Julphar is planning to launch more than 15 new products in 2022, with the aim of securing local supply chains of critical pharmaceuticals and life-saving medicines, supporting the manufacturing of high-quality products locally by implementing new cutting-edge technologies in line with the UAE government’s healthcare agenda.