KUALA LUMPUR (June 12): Two independent and non-executive directors of Pharmaniaga Bhd, Datuk Lim Thean Shiang and Dr Mary Jane Cardosa, have retired from the board of the Practice Note 17 (PN17) group.

This follows the decision of the two, who joined Pharmaniaga's board in July last year, to withdraw their offer for re-election at the annual general meeting of the company held on Monday (June 12).

Lim, 52, is currently the chairman of Ipoh Cargo Terminal Sdn Bhd, director of Fiberail Sdn Bhd and an independent non-executive director of MSM Malaysia Holdings Bhd.

Cardosa, 71, is the chief technical officer of Integrated Research Associates LLC as well as the founder and director of MAB Explorations Sdn Bhd.

Their withdrawn re-election offers were two of 12 resolutions that were originally to be deliberated by shareholders at the AGM.

Following their decisions, the remaining resolutions, which are mostly for the reappointment of other directors — Izaddeen Daud, Dr Abdul Razak Ahmad — and the payment of directors' fees, benefits and meeting allowances — were put forth and passed by shareholders.

Also passed was the resolution to reappoint Messrs PricewaterhouseCoopers PLT as the group's auditors.

Pharmaniaga slipped into PN17 status in February after it reported a massive RM552.3 million vaccine impairment. It is now required to submit a plan to Securities Commission Malaysia to regularise its condition.

For the first quarter ended March 31, 2023 (1QFY2023), the group recorded a net profit of RM2.65 million, less than 10% of the RM27.73 million net profit it made a year ago, due to lower customer demand in both its concession and Indonesian operations. On top of that, it incurred higher financial cost as a result of the increase in the Overnight Policy Rate. The group’s quarterly revenue fell 8.5% to RM880.45 million from RM962.17 million.

The latest earnings figures were a far cry from its pre-pandemic levels. Pharmaniaga posted a net profit of RM19.6 million in 1QFY2019 on a revenue of RM786.1 million.

Pharmaniaga shares closed two sen or 5.41% higher at 39 sen on Monday, valuing the pharmaceutical group at RM510.98 million. The counter has fallen 29.09% year-to-date and 37.1% over the past year.