Beximco Pharma Regulatory News (BXP)

1 Aug 2007 09:00

Beximco Pharmaceuticals Ltd01 August 2007 BEXIMCO PHARMACEUTICALS LTD. 1st August 2007 Half Year Results - 2007 Beximco Pharmaceuticals Limited (AIM Symbol: BXP), the leading drug manufacturerin Bangladesh, today announces its unaudited results for the six months ended30th June 2007. Highlights Products • The Company has successfully introduced 11 new products across a rangeof therapeutic classes; the most notable among these is Nitrosol(R), country'sfirst CFC-free HFA (Hydro-fluro alkane) based Glyceryl Trinitrate aerosol sprayfor cardiac patients • In overseas business, the Company has entered four new markets, namelyGhana, Botswana, Belize and Papua New Guinea, registered 79 new products inexisting markets and signed agreement for product registration, distribution &marketing in ten new markets in Gulf Cooperation Council (GCC) countries, SouthAmerica, Asia and Africa Corporate • An expansion project for the existing metered dose inhaler (MDI)facility is undergoing. Once completed, this will allow 25% more productioncapacity, enabling the production of 3.6 million unit inhalers per annum • The projects for Small Volume Parenterals (SVPs), Ophthalmics andNebulizer Solution are advancing well and are nearing completion • International GMP certification process has commenced for the newlyoperational USFDA standard Oral Solid Dosage plant and expecting GMP audit by adeveloped country's drug regulatory authority by end of 2007 Financial • Net sales increased by 6.7% to Tk. 1,960.4 million (£14.1 million) • Gross profit increased to Tk. 880.6 million (£6.3 million) from Tk.857.4 million (£6.2 million) • Pre-tax profit is Tk. 270.6 million (£1.94 million) compared with Tk.287.1 million (£2.06 million) Update Despite a challenging macroeconomic environment in the first six months of theyear, the Company increased its sales by 6.7% compared to 2006. There was aslight decline in gross profit margin to 44.9% compared with 46.7% during thesame period last year due to signficant increases in global raw material pricesand adverse exchange rate movements. The international GMP certification process has commenced for the Company'sUSFDA standard facility and a GMP audit is expected during the second half of2007. The Company has made a substantial investment for an additional three lines, inaddition to the two OSD lines that have already been installed in the Company'sUSFDA standard faciltiy. The timing of delivery, installation and commissioningof these additional OSD lines will be communicated in due course. As of 30 June, the Company had higher accounts receivable compared to the sameperiod in 2006 predominantly owing to increased sales. Since 30 June, theCompany has received substantial payments which have resulted in a normalisedaccounts receivable position currently. Additionally, the Company has reduced its debt as part of its general strategyto strengthen its balance sheet. The Company will keep the market informed of further developments in due course. Nazmul Hassan, CEO of Beximco Pharmaceuticals, commented: "The Bangladesh economy during the period has grown at a rate slower thanexpected with inflation and the resulting overall price index significantlymoving upward during this period. Despite these factors, the Company hascontinued to progress well, increasing sales and successfully launching 11 newproducts. We have showed encouraging expansion with our international businessentering four new geographic strategic markets and we look forward to thecompletion of our pMDI plant and SVP projects adding increased capacity andproducts. We are confident that we can continue our promising growth into thesecond half of the year." The Company's interim financial statements may also be found on the Company'swebsite: www.beximco-pharma.com BEXIMCO PHARMACEUTICALS LTD.Balance Sheet (Unaudited) As at 30th June, 2007, Amount in 000 BDT As at 30th As at 31st Growth June, December, % 2007 2006ASSETS Non-Current Assets 8,747,593 8,555,119 2.25 ______ ______ ______Property, Plant and Equipment- Carrying Value 8,705,610 8,513,136 2.26Investment in Shares 41,983 41,983 - ______ ______ ______Current Assets 2,992,019 3,357,393 (10.88) ______ ______ ______Inventories 1,695,063 1,754,440 (3.38)Accounts Receivable 618,792 430,240 43.82Loans, Advances and Deposits 673,915 591,614 13.91Cash and Cash Equivalents 4,249 581,099 (99.27)TOTAL ASSETS 11,739,612 11,912,512 (1.45) ______ ______ ______EQUITY AND LIABILITIES Shareholders' Equity 8,184,670 7,949,920 2.95 ______ ______ ______Issued Share Capital 1,040,973 1,040,973 -Reserves 3,869,173 3,869,173 -Retained Earnings 3,274,524 3,039,774 7.72 ______ ______ ______Non-Current Liabilities 1,379,376 1,435,171 (3.89)Long Term Borrowing-Net off Current Maturity (Secured) 1,063,634 1,159,410 (8.26)Liability for Gratuity & WPPF 251,173 213,358 17.72Deferred Tax Liability 64,569 62,403 3.47 ______ ______Current Liabilities and Provisions 2,175,566 2,527,421 (13.92) ______Short Term Borrowings 941,275 1,302,817 (27.75)Long Term Borrowing-Current Maturity 780,453 712,123 9.60Creditors and other Payables 347,166 365,256 (4.95)Accrued Expenses 63,874 117,937 (45.84)Dividend Payable 10,313 13,012 (20.74)Income Tax Payable 32,485 16,276 99.59 ______ ______ ______TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY 11,739,612 11,912,512 (1.45) ______ ______ ______ BEXIMCO PHARMACEUTICALS LTD.Profit and Loss Account (Unaudited) For the Half-year ended 30th June, 2007, Amount in 000 BDT Half-year Half-year Growth ended 30th ended 30th % June, 2007 June, 2006Net Sales Revenue 1,960,408 1,836,787 6.73Cost of Goods Sold (1,080,357) (979,347) 10.31 ______ ______ ______Gross Profit 880,051 857,440 2.64Operating Expenses : (514,853) (473,817) 8.66 ______ ______Administrative Expenses (69,831) (66,743) 4.63Selling and Distribution Expenses (445,022) (407,074) 9.32 ______ ______Profit from Operations 365,198 383,623 (4.80)Other Income 15,094 15,240 (0.96)Finance Cost (96,139) (97,373) (1.27) ______ ______ ______Net Profit Before Contribution to WPPF 284,153 301,490 (5.75)Contribution to Workers' (13,531) (14,357) (5.75) Profit Participation/ Welfare Funds ______ ______ ______Net Profit Before Tax 270,622 287,133 (5.75)Income Tax (35,872) (35,931) (0.16) ______ ______ ______Net Profit After Tax Transferred to Statement of Changes in Equity 234,750 251,202 (6.55) ______ ______ ______Earnings Per Share (EPS) 2.26 2.60 (13.08)Weighted average number of shares used to compute EPS 104,097,312 96,615,941 7.74 ______ ______ BEXIMCO PHARMACEUTICALS LTD. Statement of Changes in Equity (Unaudited) For the Half-year ended 30th June, 2007, Amount in 000 BDT Half year Half year ended 30 June ended 2006 30 June 2007 Share Reserves Retained Total Capital EarningsOpening Balance on 01.01.2007 1,040,973 3,869,173 3,039,774 7,949,920 6,820,925Net Profit after Tax - - 234,750 234,750 251,202Dividend of Prior Period - - - - (143,882)Issue of Shares against GDRs - - - - 802,636 Shareholders Equity at the end ofPeriod Tk. 1,040,973 3,869,173 3,274,524 8,184,670 7,730,881 ______ ______ ______ ______ ______ BEXIMCO PHARMACEUTICALS LTD. Cash Flow Statement (Unaudited) For the Half-year ended 30th June, 2007, Amount in 000 BDT Half-year Half-year Growth ended 30th ended 30th % June, 2007 June, 2006Cash Flows from Operating Activities :Cash Receipts from Customers and Others 1,787,026 1,965,313 (9.07)Cash Paid to Suppliers and Employees (1,595,425) (1,261,566) 26.46 ______ ______ ______Cash Generated from Operations 191,601 703,747 (72,77)Interest Paid (96,139) (97,373) (1.27)Income Tax Paid (17,498) (47,506) (63.17) ______ ______ ______Net cash Generated from Operating Activities 77,964 558,868 (86,05)Cash Flows from Investing Activities :Acquisition of Property, Plant and Equipment (262,325) (481,893) (45.56)Disposal of Property, Plant and Equipment 571 138 314.94 ______ ______ ______Net cash Used in Investing Activities (261,754) (481,755) (45.67)Cash Flows from Financing Activities :Net (Decrease) in Long Term Borrowings (28,819) (309,406) (90.69)Issue of Shares against GDR - 81,757 (100.00)Excess of Issue Price Net over Face Value of GDRs - 720,878 (100.00)Net (Decrease) in Short Term Borrowing from Banks (361,542) (33,443) 981.06Dividend Paid (2,699) (355) 659.83 ______ ______ ______Net cash Generated from Financing Activities (393,060) 459,431 (185.55) ______ ______ ______Increase/(Decrease) in Cash and Cash Equivalents (576,850) 536,544 (207.51)Cash and Cash Equivalents at Beginning of Period 581,099 428,563 35.59 ______ ______ ______Cash and Cash Equivalents at End of Period Tk. 4,249 965,107 (99.56) ______ ______ ______ For further enquiries please contact: Beximco PharmaNazmul Hassan, CEOTel: +880 2 861 9151, ext.2080 Libertas CapitalAamir Quraishi/Andrew HardyTel: +44 (0)20 7569 9650 Financial DynamicsDavid Yates / John GilbertTel: +44 (0)20 7269 7169 Notes to Editors About Beximco Pharmaceuticals Limited Founded in 1976 and based in Dhaka, Bangladesh, BPL manufactures and sellsgeneric pharmaceutical formulation products, active pharmaceutical ingredientsand intravenous fluids. The Company also manufactures and markets its ownbranded generics for almost all diseases. The Company also undertakes contractmanufacturing for multinational pharmaceutical companies. The Company operatesfrom a 20 acre site in Dhaka and currently employs over 2,300 staff. The Company's products are sold to retail outlets, medical institutions andother pharmaceutical manufacturers in Bangladesh, in regional markets such asPakistan, Nepal, Bhutan and Myanmar and in other markets overseas, principallyin East Africa and South East Asia, including Singapore. This information is provided by RNS The company news service from the London Stock Exchange