Dubai: UAE’s biggest pharma company Julphar now has accumulated losses of Dh317.1 million, which it intends to address by restructuring its product mix as well as launch new therapeutic offerings in the market.
A first step in the recovery process is already underway with Julphar (or Gulf Pharmaceutical Industries) back to selling in markets such as Saudi Arabia, Kuwait, Bahrain and Oman after a ban was lifted in the first and second quarters of 2020.
For the first three months of this year, the Ras Al Khaimah headquartered company’s net loss reduced by 58 per cent from a year ago to Dh29.2 million as revenues gained and there was a decline in selling and distribution expenses.
Net sales for 2020 were Dh581.2 million, which is a 93 per cent gain on 2019’s Dh301.5 million. Dr. Essam Farouk, CEO of Julphar, said in a statement: “We will consolidate our market position and expand our market share in the MENA region. The ongoing transformation programme will make the company more competitive in our core markets.
“Last year, the capital restructuring marked a major milestone in our transformation. We are confident that the company is well on track to regain its leading market position in the MENA region.”
Capital plans Last year, Julphar’s board approved a special resolution for a capital reduction followed by a capital increase through a rights issue.