Beximco Pharmaceuticals Ltd. — Interim / Quarterly Report 2021

Apr 30, 2021

National Storage Mechanism | Additional information

RNS Number : 1232X

Beximco Pharmaceuticals Ltd

30 April 2021

30 April 2021

BEXIMCO PHARMACEUTICALS LTD.

Q3 Financial Results

Core business continues to deliver strong growth despite ongoing COVID-19 headwinds

Beximco Pharmaceuticals Limited ("Beximco Pharma", "BPL" or "the Company"; AIM Symbol: BXP, LEI No.: 213800IMBBD6TIOQGB56), the fast-growing manufacturer of generic pharmaceutical products and active pharmaceutical ingredients, announces its unaudited financial results for the third quarter and nine months ended 31 March 2021.

Financial highlights

Nine months ended 31 March 2021 (consolidated)

·   Net sales increased 13.9% to Bangladesh Taka ("BDT") 21,762.4m / £186.8m (2019-20: BDT 19,105.6m / £181.0m)

O Domestic sales increased 15.3% to BDT 19,670.7m / £168.8m (2019-20: 17,063.3m / £161.6m)

O Export sales increased 2.4% to BDT 2,091.7m / £18.0m (2019-20: BDT 2,042.3m / £19.3m)

·   Profit after tax increased 40.8% to BDT 3,695.3m / £31.7m (2019-20: BDT 2,624.7m / £24.9m)

Third quarter ended 31 March 2021 (consolidated)

·   Net sales increased 11.4% to BDT 7,362.3m / £63.2m (2019-20: BDT 6,610.1m / £62.6m)

O Domestic sales increased by 11.8% to BDT 6,665.1m / £57.2m (2019-20: BDT 5,961.5m / £56.5m)

O Export sales increased by 7.5% to BDT 697.2m / £6.0m (2019-20: BDT 648.6m / £6.1m)

·   Profit after tax increased 61.5% to BDT 1,468.9m / £12.6m (2019-20: BDT 909.3m / £8.6m)

Nazmul Hassan MP, Managing Director of Beximco Pharmaceuticals, commented:

"We are delighted to announce such strong financial results for the period. Through the resilience of the business and our commitment to delivering an uninterrupted supply of medicines during the pandemic, we have maintained double-digit revenue growth and delivered a significant increase in profit after tax when compared to the same period last year. This is testament to the underlying strength of our business and our ability to execute during the pandemic. With our impressive progress to date, despite the prevailing pandemic situation and vaccine delays, we remain confident that we will be able to deliver a strong result for the full year". 

The detailed accounts can be viewed at the Company's website: www.beximcopharma.com

(Exchange rates of £1 = Taka 116.51 for 31 March 2021 numbers and £1 = Taka 105.58 for 31 March 2020 have been used in this announcement.)

For further information please visit www.beximcopharma.com or enquire to:

Beximco Pharma

Nazmul Hassan MP, Managing Director

Tel: +880 2 58611001, ext.20080

Mohammed Ali Nawaz, Chief Financial Officer

Tel: +880 2 58611001, ext.20030

Jamal Ahmed Choudhury, Executive Director (A&F)

Tel: +880 2 58611001, ext.20022

SPARK Advisory Partners Limited (Nominated Adviser)

Mark Brady / Andrew Emmott

Tel: +44 (0)20 3368 3551 / 3555

SP Angel Corporate Finance LLP (Broker)

Vadim Alexandre / Abigail Wayne

Tel: +44 (0) 20 3470 0470

FTI Consulting

Simon Conway / Victoria Foster Mitchell / Sam Purewal

Tel: +44 (0)20 3727 1000

Notes to Editors

About Beximco Pharmaceuticals Limited

Beximco Pharma is a leading manufacturer and exporter of medicines based in Bangladesh. Since its inception in 1976, the Company remains committed to health and wellbeing of people across all the continents by providing access to contemporary medicines. Company's broad portfolio of generics encompasses diverse delivery systems such as tablets, capsules, liquids, semi-solids, intravenous fluids, metered dose inhalers, dry powder inhalers, sterile ophthalmic drops, insulins, prefilled syringes, injectables, nebuliser solutions, oral soluble films etc. The Company also undertakes contract manufacturing for multinational and leading global generic pharmaceutical companies.

Beximco Pharma′s state-of-the-art manufacturing facilities are certified by global regulatory authorities of USA, Europe, Australia, Canada, GCC and Latin America, among others and it has a geographic footprint in more than 50 countries. More than 5,500 employees are driving the company towards achieving its aspiration to be among the most admired companies in the world.

Beximco Pharmaceuticals Limited and its Subsidiaries

Consolidated Statement of Financial Position (Un-audited)

As at March 31, 2021

					Taka '000
		March 31, 2021			June 30, 2020
ASSETS
Non-Current Assets		37,837,566			37,069,663
Property, Plant and Equipment- Carrying Value			35,763,522		35,000,810
Right-of-use Assets			281,550		240,164
Intangible Assets			1,231,276		1,275,561
Goodwill			546,691		546,691
Other Investment			14,527		3,751
Other Non-current Assets			-		2,686
Current Assets		13,381,732			13,049,079
Inventories			6,839,416		5,944,769
Spares & Supplies			653,103		775,529
Accounts Receivable			2,722,837		3,305,451
Loans, Advances and Deposits			2,797,690		2,388,313
Cash and Cash Equivalents			368,686		635,017
TOTAL ASSETS		51,219,298			50,118,742
SHAREHOLDERS' EQUITY AND LIABILITIES
Equity Attributable to the Owners of the Company		35,569,551			32,495,121
Issued Share Capital			4,461,120		4,055,564
Share Premium			5,269,475		5,269,475
Excess of Issue Price over Face Value of GDRs			1,689,637		1,689,637
Capital Reserve on Merger			294,951		294,951
Revaluation Surplus			1,121,729		1,125,768
Unrealized Gain/(Loss)			11,702		926
Retained Earnings			22,720,937		20,058,800
Non-Controlling Interest		320,899			302,329
TOTAL EQUITY		35,890,450			32,797,450
Non-Current Liabilities		5,719,168			5,963,327
Long Term Borrowings-Net of Current Maturity			1,139,165		1,651,590
Liability for Gratuity and WPPF & Welfare Funds			2,359,251		2,144,053
Deferred Tax Liability			2,220,752		2,167,684
Current Liabilities and Provisions		9,609,680			11,357,965
Short Term Borrowings			6,166,525		7,398,361
Long Term Borrowings-Current Maturity			1,038,516		1,454,312
Creditors and Other Payables			1,017,656		1,397,817
Accrued Expenses			666,388		739,513
Dividend Payable / Unclaimed Dividend			118,311		82,075
Income Tax Payable			602,284		285,887
TOTAL EQUITY AND LIABILITIES		51,219,298			50,118,742

Beximco Pharmaceuticals Limited and its Subsidiaries

Consolidated Statement of Profit or Loss and Other Comprehensive Income (Un-audited) For the Period July 2020 -March 2021

											Taka '000
		July 2020-			July 2019-			January-			January-
		March 2021			March 2020			March 2021			March 2020
Net Revenue		21,762,492	19,105,589			7,362,303			6,610,063
Cost of Goods Sold		(11,488,046)	(10,202,789)			(3,919,447)			(3,515,134)
Gross Profit		10,274,446	8,902,800			3,442,856			3,094,929
Operating Expenses		(5,074,824)	(4,670,945)			(1,710,102)			(1,620,968)
Administrative Expenses		(624,769)		(578,793)			(221,137)			(190,089)
Selling, Marketing and Distribution Expenses		(4,450,055)		(4,092,152)			(1,488,965)			(1,430,879)
Profit from Operations		5,199,622		4,231,855			1,732,754			1,473,961
Other Income		658,780	178,322			488,867			41,557
Finance Cost		(667,381)	(790,022)			(164,526)			(257,697)
Profit Before Contribution to WPPF & Welfare Funds
	5,191,021	3,620,155	2,057,095	1,257,821
Contribution to WPPF & Welfare Funds		(250,375)	(174,869)			(98,460)			(60,402)
Profit Before Tax		4,940,646	3,445,286			1,958,635			1,197,419
Income Tax Expenses		(1,245,355)	(820,584)			(489,643)			(288,063)
Current Tax		(1,190,941)		(806,929)			(463,289)			(278,783)
Deferred Tax		(54,414)		(13,655)			(26,354)			(9,280)
Profit After Tax
	3,695,291	2,624,702		1,468,992		909,356
Profit/(Loss) Attributable to:
Owners of the Company		3,670,643		2,606,853			1,461,959			900,434
Non-controlling interest		24,648		17,849			7,033			8,922
		3,695,291	2,624,702			1,468,992			909,356
Other Comprehensive Income-Unrealized Gain/(Loss)		10,776	(1,578)			3,273			(134)
Total Comprehensive Income		3,706,067			2,623,124			1,472,265			909,222
Total Comprehensive Income Attributable to:
Owners of the Company		3,681,419		2,605,275			1,465,232			900,300
Non-controlling interest		24,648		17,849			7,033			8,922
		3,706,067		2,623,124			1,472,265			909,222
Earnings Per Share (EPS)/Restated EPS		8.23	5.84			3.28			2.02
Number of Shares Used to Compute EPS	Nos.	446,112,089	446,112,089			446,112,089			446,112,089

Beximco Pharmaceuticals Limited and its Subsidiaries

Consolidated Statement of Changes in Equity (Un-audited)

For the Period July 2020 -March 2021

As at March 31, 2021																			Taka' 000
	Share Capital		Share Premium	Excess of Issue Price over Face Value of GDRs	Capital Reserve on Merger	Revaluation Surplus	Unrealized Gain/(Loss)	Retained Earnings							Equity attributable to the Owners of the Company		Non- Controlling Interests		Total Equity
Balance as on July 01, 2020	4,055,564		5,269,475	1,689,637	294,951	1,125,768	926	20,058,800							32,495,121		302,329		32,797,450
Total Comprehensive Income:
Profit/(Loss) for the Period	-		-	-	-	-	-	3,670,643							3,670,643		24,648		3,695,291
Other Comprehensive Income/(Loss)	-		-	-	-	-	10,776	-							10,776		-		10,776
Transactions with the Shareholders:
Cash Dividend								(608,335)							(608,335)		(6,078)		(614,413)
Stock Dividend	405,556							(405,556)							-				-
Adjustment for Depreciation on Revalued Assets	-		-	-	-	(5,385)	-	5,385							-		-		-
Adjustment for Deferred Tax on Revalued Assets	-		-	-	-	1,346	-	-							1,346		-		1,346
Balance as on March 31, 2021	4,461,120		5,269,475	1,689,637	294,951	1,121,729	11,702	22,720,937							35,569,551		320,899		35,890,450
Number of Shares										446,112,089
Net Asset Value (NAV) Per Share										Tk.				79.73
As at March 31, 2020																		Taka' 000
	Share Capital		Share Premium	Excess of Issue Price over Face Value of GDRs	Capital Reserve on Merger	Revaluation Surplus	Unrealized Gain/(Loss)	Retained Earnings					Equity attributable to the Owners of the Company			Non- Controlling Interests		Total Equity
Balance as on July 01, 2019	4,055,564		5,269,475	1,689,637	294,951	1,131,853	2,504	17,144,333					29,588,317			276,007		29,864,324
Total Comprehensive Income:
Profit/(Loss) for the Period	-		-	-	-	-	-	2,606,853						2,606,853		17,849		2,624,702
Other Comprehensive Income/(Loss)	-		-	-	-	-	(1,578)	-						(1,578)		-		(1,578)
Transactions with the Shareholders:
Cash Dividend								(608,335)						(608,335)		(3,473)		(611,808)
Adjustment for Depreciation on Revalued Assets	-		-	-	-	(6,086)	-	6,086						-		-		-
Balance as on March 31, 2020	4,055,564		5,269,475	1,689,637	294,951	1,125,767	926	19,148,937						31,585,257		290,383		31,875,640
Number of Shares										405,556,445
Net Asset Value (NAV) Per Share										Tk.				77.88

Beximco Pharmaceuticals Limited and its Subsidiaries

Consolidated Statement of Cash Flows (Un-audited)

For the Period July 2020 -March 2021

								Taka '000
		July 2020-		July 2019-
		March 2021		March 2020
Cash Flows from Operating Activities :
Receipts from Customers and Others		23,003,861					19,181,510
Payments to Suppliers and Employees		(17,426,836)					(13,995,718)
Cash Generated from Operations		5,577,025					5,185,792
Interest Paid		(667,752)	(790,022)
Interest Received		1,844	19,774
Income Tax Paid		(874,544)	(428,060)
Net Cash Generated from Operating Activities		4,036,573		3,987,484
Cash Flows from Investing Activities :
Acquisition of Property, Plant and Equipment		(1,579,680)			(1,920,349)
Intangible Assets		(8,819)			(18,542)
Disposal of Property, Plant and Equipment		27,089			3,647
Dividend Received		857			1,428
Decrease in Short Term Investment		-			274,118
Net Cash Used in Investing Activities
	(1,560,553)	(1,659,698)
Cash Flows from Financing Activities :
Net Increase /(Decrease) in Long Term Borrowings		(932,338)		(912,187)
Net Increase/(Decrease) in Short Term Borrowings		(1,231,836)		(1,067,733)
Dividend Paid		(578,177)		(541,720)
Net Cash (Used in ) / from Financing Activities		(2,742,351)		(2,521,640)
Increase/(Decrease) in Cash and Cash Equivalents		(266,331)	(193,854)
Cash and Cash Equivalents at Beginning of Period		635,017	610,494
Effect of exchange rate changes on Cash and Cash Equivalents*		-	1,058
Cash and Cash Equivalents at End of Period		368,686				417,698
Net Operating Cash Flow Per Share		9.05	9.83
Number of Shares used to compute Net Operating Cash Flow Per Share		446,112,089	405,556,445

*The Company used Janata Bank's end of periods US Dollar-BDT exchange rates as on 31 March 2021 which remained unchanged with the exchange rates as at 30 June 2020. As such there was no effect of exchange rates in the cash flow.

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