Jawad Ahmed

The revenues of pharmaceutical company – Otsuka Pakistan Limited – edged higher by 12% to Rs2.8 billion in the recently-ended financial year 2021-22 from Rs2.5 billion in fiscal 2020-21, reports WealthPK. The company incorporated in Pakistan as a public limited entity is an indirect subsidiary of Otsuka Pharmaceutical Company Limited, Japan. During FY22, the company’s top line showed a strong growth, but the rising prices of raw material, high taxes and increasing cost of sales decreased its profitability.

In FY22, the company reported a gross profit of Rs927 million, up from Rs845 million in FY21, showing a 9.70% growth.
The company's net profitability edged lower by 39.9% to Rs232 million from Rs386 million in FY21, thus dragging the earnings per share (EPS) to Rs19.16 from Rs31.93 in FY21. Company’s performance over the years. The company's net sales for the year 2019 remained almost unchanged at Rs1.8 billion compared to the previous year. However, the net profit dropped from Rs65 million in 2018 to loss of Rs175 million in 2019, also causing the company to suffer a loss per share of Rs14.49 compared to an EPS of Rs5.4 in 2018.

The year 2020 witnessed an increasing trend in the company’s sales revenue, which rose to Rs2.2 billion from Rs1.8 billion the year before. The increase in turnover pushed the net profit to Rs91 million from a net loss of Rs175 million of the previous year, registering a 152% increase year-on-year. A loss per share of Rs14.49 rebounded into EPS of Rs7.53 thanks to a healthy rise in after-tax profit.

In 2021, the company witnessed a steady growth in its turnover, which inched up to Rs2.5 billion, higher by 14.3% than the previous year’s Rs2.2 billion. The company’s profit-after-tax went up to Rs386 million from the previous year’s Rs91 million. Earnings per share also jumped to Rs31.93 from Rs7.53 the year before.

Credit: Independent News Pakistan-WealthPk