Jamjoom Pharma 2022 net profit slightly up to SAR 171.3 mln

Jamjoom Pharmaceuticals Factory Co. (Jamjoom Pharma) posted a net profit of SAR 171.3 million in 2022, a slight increase from SAR 170.7 million a year earlier.

The modest positive performance was driven by a 25% year-on-year (YoY) hike in revenues on higher revenues from the pharmaceutical and consumer health products segments by 20% and 65% YoY, respectively. This was offset by a stable gross profit margin of 65% due to the rise in the cost of sales.

Operating income climbed 26% YoY. Meanwhile, the operating profit margin stood at 25% due to higher operating expenses and recording an impairment provision of SAR 9.14 million against an interest-free loan to Jamjoom Hub Pharma Ltd., which is an investment offered for sale.

The company reported a 14% YoY decline in Zakat provision.

This came despite an increase in financing costs to SAR 48.8 million in 2022, compared to SAR 4.2 million a year earlier. This is in addition to a decrease in the net profit margin from 23% in 2021 to 19% in the year after.

On a yearly basis, the company also posted lower other income.

Shareholders’ equity, no minority interest, increased to SAR 1.21 billion as of Dec. 31, 2022, compared to SAR 1.23 billion a year earlier.