Renata’s profit rises 55% to Tk 362 crore

Renata PLC reported higher revenue and profit in fiscal year 2023-24 primarily due to higher export, and lower finance costs.

The company's revenue increased 14 percent year-on-year to Tk 3,771 crore in FY 24, with the profit surging by 55 percent year-on-year to Tk 362 crore, according to a disclosure by the company.

"Cost efficiency and optimisation measures helped increase the revenue, but selling, marketing, distribution and administration costs were up by around 8 percent. Regardless, net profit improved."

Today at a board meeting, the listed drug maker announced a cash dividend of 92 percent, up from the previous year's 62.5 percent.

"The company's export growth was 4 percent, and export destination has been increased to 50, including the US and Australia," Renata said. 

Meanwhile, the government has re-established the procurement of birth control pills, which was previously deprioritised due to the Covid-19 public vaccination programme.

The company said procurement of a new product for the treatment of tuberculosis has boosted its overall year-on-year contract manufacturing revenue growth to 110 percent.

Its financial risk mitigation initiatives have reduced net finance costs by 13 percent.

"In the pharma segment, we achieved the highest growth among the top five pharmaceutical companies in Bangladesh, recording a 12 percent growth compared to the industry's growth of 7 percent", said Renata. 

In the animal health segment, Renata claimed that it continued to be the market leader with a growth of 9 percent while the market growth was 6 percent.