Apex Healthcare Registers 44% Increase In Net Profit For Q4 FY21

Proposes final dividend of 3 sen and a special dividend of 6 sen.

Apex Healthcare Registers 44% Increase In Net Profit For Q4 FY21
Dr. Kee Kirk Chin, Chairman & CEO of Apex Healthcare Berhad

One of Malaysia’s leading manufacturers and distributors of pharmaceutical and consumer healthcare products, Apex Healthcare Berhad (“Apex Healthcare” or “the Group”), recorded a profit after tax of RM20.7 million for Q4 FY21 ended 31 December 2021, representing a 44.2% increase as compared to the corresponding period last year. The Group’s revenue in the same period registered a jump of 22.3% to RM198 million from RM162 million recorded in Q4 FY20.

For FY21 ended 31 December 2021, the Group recorded revenue growth of 10.3% to RM770.8 million from RM698.7 million achieved in the same period in 2020. The Group’s FY21 profit after tax improved by 6.1% to RM59.4 million from RM56.0 million recorded in FY20.

Commenting on its financial performance, Apex Healthcare Berhad’s Chairman and CEO, Dr Kee Kirk Chin said, “The Group registered commendable growth in revenue and profits towards the second half of last year, mainly attributed to the increased market demand for pharmaceuticals, consumer healthcare products and medical devices. COVID-19 is now evolving largely as a community respiratory illness with milder symptoms for the majority of cases, and this has led to a significant rise in demand, especially for our market-leading range of products for coughs and colds. Since the start of the pandemic, we were responding rapidly to meet changing market needs, by quick sourcing and supplying in-demand products such as face masks, hand sanitisers, thermometers, antigen test kits and oximeters. This is in addition to new products that were launched during the year, which further expanded our portfolio of off-patent generic medicines in both prescription and over-the-counter (OTC) categories.”

Apex Healthcare’s core business is in the development, manufacturing and distribution of pharmaceuticals, consumer healthcare products and medical devices. Through its associate, the Group also undertakes contract manufacturing of orthopaedic devices and surgical instruments for global multinational companies. Its comprehensive distribution network covers more than 14,500 hospitals, pharmacies, clinics, medical centres and other customers in Malaysia and Singapore, leveraging on its 8 warehouses located in both countries. The Group currently distributes and exports its products to 18 international markets, including Singapore, Hong Kong, Japan, Australia and other Southeast Asian countries, to name a few.

“Apex Healthcare will continue to focus on strengthening its fundamentals and leveraging its experience and network reach to sustain business growth to meet the healthcare needs of the community. As we move into 2022, Apex Healthcare will focus on 3 key priorities – growing the market share of our pharmaceutical and consumer healthcare products, seizing market opportunities through a rapid supply of in-demand healthcare products and tapping into the prospects for new contract manufacturing partnerships. We are cognisant that the pandemic continues to bring about various challenges such as supply chain disruptions, workforce infections, elevated raw materials and freight costs and the emergence of new variants, amongst others. But we remain steadfast and cautiously optimistic on the growth prospects for the Group, as we celebrate our 60th year in the business, and aim to continuously create value for our shareholders and stakeholders,” concluded Dr Kee.

The Board of Directors at Apex Healthcare has proposed an increased final single-tier dividend of 3.0 sen per share in respect of FY21 ended 31 December 2021, as well as a special single-tier dividend of 6.0 per sen in conjunction with the 60th anniversary of the founding of Apex Healthcare. The proposed dividends will be tabled for shareholders’ approval at its upcoming Annual General Meeting.

As of 31 December 2021, Apex Healthcare’s market capitalisation stood at RM1.28 billion.