Major pharma firm DHG targets $47 mln in 2023 profit

Hau Giang Pharmaceutical Joint Stock Company (DHG Pharma) targets VND1.13 trillion ($47.33 million) in pre-tax profit next year, a year-on-year increase of 32.5%.

In its freshly-approved business plan for 2023, the company, listed on the Ho Chi Minh Stock Exchange (HoSE) as DHG, aims for VND5 trillion ($209.3 million) in revenue, up 18.5% against this year.

In the third quarter of 2022, the company posted net revenue exceeding VND1.16 trillion ($48.55 million), up 23% over the same period last year and after-tax profit of VND262 billion ($10.95 million), up 30%. The quarter also saw DHG Pharma's record profit in its operation history.

The firm attributed the high Q3 revenue and profit growths to its well-organized distribution system and good customer connections. The good management of revenues and inventories also helped improve cash flow and increase operational efficiency, it said.

In the nine months of this year, DHG Pharma recorded net revenues of VND3,346 billion ($139.9 million) and post-tax profit of VND752 billion ($31.44 million), up 15% and 24% year-on-year respectively. After three quarters, the company fulfilled 79% of the year's revenue plan and exceeded 10% of the year's profit target.

DHG Pharma, formerly known as the September 2 Pharmaceutical Enterprise, was established on September 2, 1974 in Khanh Lam commune (now Khanh Hoa commune), U Minh district, the southernmost province of Ca Mau.

On September 2, 2004, Hau Giang-Can Tho Pharmaceutical Joint Venture was transformed into Hau Giang Pharmaceutical Joint Stock Company, which officially became operational with an initial charter capital of VND80 billion ($5 million, based on 2004 exchange rate).