UAE – Gulf Pharmaceutical Industries, also known as Julphar, based in the United Arab Emirates, has announced a return to profitability as it seeks to introduce new products to the market.

The company, one of the largest pharmaceutical manufacturers in the Middle East and Africa, reported strong top-line growth with 2021 revenues of AED1.1 billion (US$0.30 billion), a 100 percent increase over full-year 2020 revenue of AED573 million (US$156 million).

Reporting a profit of AED 59.4 million (US$16.2 million) for 2021, after a loss of AED 317.1 million (US$86.33 million) in 2020, the company said it would continue its retail pharmacy expansion, while also launching new products in core and non-core therapeutic areas.

Julphar attributed this to increased market share in key operating regions such as the UAE and Saudi Arabia, as well as the contribution from the Planet Pharmacies acquisition in July 2021.

Planet Pharmacies has a retail division, Health First Pharmacies.

In 2021, Julphar reported earnings before interest, taxes, depreciation, and amortization (EBITDA) of AED164.8 million (US$44.9 million), up from a negative EBTIDA of AED165.8 million (US$45.14 million) in 2020, with growth due to sales increase and cost savings.

By the middle of 2021, the company marked a return to profit, and closed out the year with net profits at AED63.9 million (US$17.4 million) compared to an operating loss of AED241.6 million (US$65.8 million) for full year 2020.

Sheikh Saqer Humaid Al Qasimi, chairman, 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 health care solutions in the MENA region.”

Dr Essam Mohamed, CEO of Julphar, added: “The company’s 2021 financial results demonstrate strong topline and bottom-line growth.

“Underscored by sales increase and cost-saving, the strategic acquisition of Planet Pharmacies, 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 added value medicines throughout the region.”

Looking to 2022, the company said it will invest in its in-house research and development function, build new partnerships and launch more than 15 new products.

Julphar employs more than 2,400 people and distributes pharmaceutical products to more than 50 countries across the globe.

It sold subsidiary Gulf Inject in September and a 51 percent stake in Saudi’s Alpha Pharma in June 2021.

UAE, Pharmacy, Julphar, retail pharmacy expansion, pharmaceutical products, Middle East and Africa, HealthFirst Pharmacies, Gulf Inject, Alpha Pharma, Saudi Arabia,

Liked this article? Sign up to receive our regular email newsletters, focused on Africa and World’s healthcare industry, directly into your inbox. SUBSCRIBE HERE