Adcock profit slides as talks to buy the drugmaker continue

Adcock Ingram Holdings' , the country’s largest supplier of hospital and critical-care products, ​net income for the six months through March dropped to R317.2-million ($32.3-million), from R335.3-million  a year earlier, the company said in a statement today. Diluted earnings per share excluding one-time items declined 5% to 187.9 cents.

Margins were “negatively impacted by the weak rand, competitive trading conditions, inflation-plus cost increases on raw materials and production inputs and the change in mix,” the South African maker of Panado painkillers and Corenza cold medicine said in the statement.

 

Adcock said on May 9 that it had received non-binding proposals that could lead to an offer for the whole company or a controlling stake, sending its shares to their highest in more than two years. The company is in “active discussions” with “a number of parties”, it said on May 31.

 

The interim dividend will be maintained at 86 cents per share, Adcock said. – Bloomberg

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