Gulf Pharmaceutical Industries (Julphar) announced today, Sunday, the size of the company's accumulated losses, amounting to about 1.83 billion dirhams.
The company said in a statement to the Abu Dhabi Securities Exchange today, that the accumulated losses constitute about 16% of the capital.
The company explained that the exacerbation of the accumulated losses came due to the temporary suspension imposed by the Food and Drug Authority in Saudi Arabia on the export of medicines to both Saudi Arabia and Bahrain during the fourth quarter of 2018 until the fourth quarter. First of 2020.
It also attributed the increase in losses to the temporary suspension by the Health Council of the Gulf Cooperation Council countries, the export of medicines to Kuwait and the Sultanate of Oman during the fourth quarter of 2018 until the first quarter of 2020.
In addition to the loss of market share due to product recalls, one-time expenses since 2018 due to write-offs of materials and merchandise, reassessment of assets, bid fines, expired products, etc.< /p>
The company said that a set of measures were taken during 2020 and 2021 to return to profitability in the current period (AED 98 million profit during the period from January to September 2021), It is the success in returning to the markets after lifting the temporary export suspension to Saudi Arabia, Bahrain, Kuwait and the Sultanate of Oman during the first and second quarters of 2020, and regaining market share of basic products.
The product portfolio was restructured, new products launched in new therapeutic areas in different markets, and more initiatives were implemented for improvement and productivity processes, and liquidation of distressed assets.