Kuala Lumpur, August 30, 2019 – Duopharma Biotech Berhad’s (formerly known as CCM Duopharma Biotech Berhad) (“Duopharma Biotech”) Board of Directors has recommended a single tier interim dividend of 1.0 sen per share based on paid up capital of 680,106,506 shares amounting to approximately RM6.80 million for the current financial period ended 30 June 2019.

The lower interim dividend in comparison to the corresponding period in the previous year {single-tier interim dividend of 1.5 sen per Duopharma Biotech Share based on paid up capital of 661,881,056 shares amounting to RM9.93 million} was to allow for more cash in order to fund existing business expansion and also working capital purpose.

In comparison with the preceding financial quarter ended 31 March 2019, Duopharma Biotech’s unaudited revenue and PBT eased marginally to RM145.47 million and RM18.32 million from RM150.39 million and RM18.79 million respectively. This was due to slower business activities during the festive season for the period ended 30 June 2019.

Nonetheless, the Group’s unaudited revenue grew 15.01 per cent to RM295.85 million for the first six months ended 30 June 2019 (H1 2019) from RM257.25 million in the corresponding period last year.

Meanwhile, the Company’s unaudited profit before tax (PBT) rose 41.77 per cent to RM37.10 million for H1 2019 from RM26.17 million in 2018, mainly due to higher sales and lower provision of inventories during the period under review as compared to the previous corresponding half year.

Commenting on the Company’s latest performance, Duopharma Biotech’s Group Managing Director, Leonard Ariff Abdul Shatar said the improved results reflected increased demand for Duopharma Biotech’s pharmaceutical products from the private and public health sectors despite the economic challenges, internationally and domestically.

“The higher allocation for health services to RM29 billion announced in Budget 2019 bodes well for the Company, as almost 40 per cent of the amount are allocated for the purchasing of medicine and medical equipment, as well as to restore clinics and hospitals.

“We will continue to sharpen our focus to deepen and widen the introduction of specialty products as one of Duopharma Biotech’s key strategies moving forward, in order to create a pool of niche products,” he added.

The Board of Directors has resolved that the Dividend Reinvestment Plan, which provides the shareholders of the Company with the option to elect to reinvest their dividend in new Duopharma Biotech Shares, would apply to the interim dividend. The entitlement date, payment date and electable portion of the single-tier interim dividend will be announced on a later date.

Barring any unforeseen circumstances, Duopharma Biotech is expected to achieve satisfactory results in FY 2019.