For the third quarter ended 30 September 2024, Pharmaniaga Berhad recorded RM1,029.8 million in revenue, reflecting a 16.3% increase from RM885.5 million in the corresponding quarter of the previous financial year. This growth was primarily driven by the increased demand in the concession segment, attributed to the addition of new products to the Approved Product Price List and price adjustments.

Profit after tax improved significantly from a loss in Q3FY23 to RM101 million in the current quarter.

The group said the higher revenue was also contributed by increased customer demand in the Indonesia segment, fuelled by a surge in orders from existing principals and additional sales generated from the opening of two new branches in February 2024.

However, this growth was also partially offset by a decline in revenue in the non-concession segment, which was impacted by the completion of the supply of a blood product.
For the period under review, the lower net cash generated from operations was mainly due to the payment of the overdue suppliers. With the higher revenue in the current quarter and the absence of substantial one-off impairments and provisions recorded in the previous corresponding quarter—such as the provision for stock obsolescence of expiring pandemic-related consumables (e.g., personal protective equipment and needles), the write-off of new product development costs due to the non-commercial viability of certain products, and the cessation of non-core businesses, which also led to a write-down of machinery and equipment—the Group's earnings before interest, taxation, depreciation and amortisation (EBITDA) rebounded
significantly to RM166.2 million, compared to a loss before interest, taxation, depreciation and amortisation (LBITDA) of RM30.7 million in the corresponding quarter of the previous year.

Higher payables as of 30 September 2024 were primarily due to increased purchases resulting from the addition of new products to the Approved Product Price List in the new concession period, as well as price revisions under the new concession cycle due to increased supplier costs. Additionally, higher revenue was also contributed by increased customer demand in the Indonesia segment, fueled by a surge in orders from existing principals and additional sales generated from the opening of two new branches in February 2024. However, this growth was partially offset by a decline in revenue in the non-concession segment, which was impacted by the completion of the supply of a blood product.

Correspondingly, the Group's profit before zakat and taxation (PBT) showed a significant improvement to RM138.5 million, compared to a loss before zakat and taxation (LBT) of RM56.3 million in the corresponding quarter of the previous year.