Junior Market-listed pharmaceutical company Indies Pharma reported a strong financial performance for 2022 and advancements in its drug development initiatives during its annual general meeting on Wednesday, May 31, in Montego Bay.

“Eighteen years in the industry – we started with six basic drugs [and] now we have more than 170 formulations on the market with more than 300 drug registrations at hand,” founding chairman and CEO of Indies Pharma Dr Guna Muppuri revealed. “We have lifetime access of more than 200-300 trademarks, brand names to be capitalised in the future.”

Over the last year, the company’s effective supply chain management and sustained revenue growths have spurred greater net profits despite the challenges of a shifting post-pandemic business environment. Increased revenues and solid performance have brought about a 32 per cent year-on-year increase in net profits for the financial year ending October 31, 2022.

Earnings per share for the 12-month period increased to $0.17 per share compared to $0.13 in the previous year, while total assets at the end of the period increased to $2.048 billion, representing a 0.6 per cent increase from the comparative period in 2021.

The company credited its supply chain logistics strategy of minimising inventory losses through effective management of near-expiry-date goods as a key factor in maintaining market share and tangible profits.

Indies Pharma also reported that it expects to meet its target of achieving at least one drug approval through its drug development programme by the end of 2023, as it has made encouraging progress in its new drug development for United States Food and Drug Administration (USFDA) submission.

In 2021 the company acquired a three-acre prime real estate property in Ironshore, Montego Bay, using funds from the 2020 growth capital. It is anticipated that while awaiting approval of plans from the respective planning authorities, the property will retain its value for creating future growth opportunities.

Despite a slight decrease in stock price to $3.03 per share on October 31, 2022, the company’s liquidity position continues to be robust, marked by a reduced debt-to-equity ratio and improved current ratio suggesting sufficient liquid resources to meet future obligations.

“If you look at the trend after October 31st the stock has gone up again,” Muppuri pointed out. “A surprisingly large volume of stocks have traded value.”

With increased revenues, higher net profits, and promising advancements in USFDA approvals, Indies Pharma is well-positioned for future success.

“The performance of Indies Pharma on the stock exchange is the epitome of stability, consistency and profitability,” Muppuri affirmed. “The most important thing is our commitment to share the dividends in a timely manner.”

“The company is solid with its revenues and it can efficiently manage its cash flows, too, to propel the future growth in a strategic manner while pleasing the investors by delivering the dividends more than what we have committed at the time of listing and that sentiment will continue,” he added. “We try our best to do that.”

Shareholders’ equity increased to $1.16 billion compared to $1.1 billion in the previous year, while total liabilities declined by 7.0 per cent to $891 million.