KUALA LUMPUR, Feb 22 — Duopharma Biotech Bhd’s net profit rose to RM58.61 million for the financial year ended Dec 31, 2020 (FY20) from RM55.27 million in the preceding year due to efforts to manage operational costs.
The pharmaceutical company said revenue, however, declined to RM569.90 million from RM576.46 million previously.
The drop was mainly due to lower demand from the private ethical sector and public health sector, but was buffered by higher demand from the consumer healthcare sector, it said in a filing with Bursa Malaysia today.
On prospects, the company said it recently entered into a term sheet agreement with the Health Ministry (MOH) to supply 6.4 million doses of the Covid-19 vaccine known as Sputnik V, developed by the Gamaleya National Research Institute of Epidemiology and Microbiology (Gamaleya).
It also signed a term sheet agreement with the Russian Direct Investment Fund (RDIF) to secure 6.4 million doses of Sputnik V. RDIF is the appointed marketing agent for Gamaleya for international markets.
The supply is subject to the execution of a definitive supply agreement between RDIF and Duopharma, as well as between MOH and Duopharma, pending vaccine approval by Malaysia’s Drug Control Authority.
“Should the definitive supply agreements be successfully executed and the vaccine approved by the authority, the vaccine supply is expected to contribute positively to the future earnings of the group for the financial year ending Dec 31, 2021 (FY21).
“Barring any unforeseen circumstances, the group is expected to achieve satisfactory results in FY21,” Duopharma said. — Bernama