South Africa’s number two drugs maker Adcock Ingram posted a 16,1% rise in full-year profit bolstered by volumes growth and price increases and said it expected further volume growth.
Adcock, which makes painkillers such as Panado and flu remedy Corenza Para-C, said on Tuesday headline earnings per share rose to 450 cents.
Revenue increased 21,3% to R4-billion, boosted by a 12% volume growth and government’s granted price increase of 13,2%.
The company — the biggest over-the-counter medicine maker in South Africa — said it expected further volume growth in its core business.
”Whilst current economic conditions remain challenging, particularly at a consumer level, Adcock expects further volume growth in its core businesses,” it said.
The company said, in a separate statement, it would sell a 13% stake for R1,3-billion to black investors to meet the government’s affirmative action targets.
The transaction would be funded through a combination of unencumbered equity from the black economic empowerment partners and vendor facilitation from Adcock Ingram, the company said. — Reuters