DHM explained that Pharmaniaga is only responsible for the logistics of supplying drugs to government health facilities, rather than the supply itself.
“The big problem is price control, not Pharmaniaga,” says MyCC
Social activist Lim Mah Hui, one of the conductors of the MyCC study, said Pharmaniaga did not have a monopoly over supply but a virtual monopoly over logistics.
The public need to understand that Pharmaniaga's role as a concessionaire and not immediately liken it to a monopoly. Shared some thoughts in this article (https://klse.i3investor.com/blogs/MYpharmaceuticalnews/228733.jsp). Though it could use a bit more context but hope this can get the conversation going.
Overall, Caring has raised its cash balance from RM 77.9 million in 2013 to RM 131.3 million in 2019. Hence, Caring has built itself a solid record of bringing in positive cash flows from operations and opted to split the proceeds half for CAPEX and dividend payments and the remaining half to be retained within its bank account during the period.
Caring has expanded its store network from 46 in 2010 to having a total of 125 outlets in 2019. As of 1 October 2019, Caring is worth RM 446.30 million in market capitalisation. On 30 August 2019, Caring’s three largest shareholders are as follows:
a.) Motivasi Optima Sdn Bhd - 50.35% - Chong Yeow Siang, Soo Chan Chiew, Tan Lean Boon and Ang Khoon Lim are substantial shareholders of Caring through their stakes in MOSB. As I write, they are members of the company’s board of directors.
b.) Perbadanan Nasional Bhd - 9.61%
c.) Jitumaju Sdn Bhd - 5.29% Tan Sri Dato’ Seri Vincent Tan Chee Yioun is a substantial shareholder of Caring with a total of 8.90% indirect shareholdings where his stakes are in Jitumaju, U Telemedia Sdn Bhd & Convenience Shopping (Sabah) Sdn Bhd presently.
Five Years Transformation Plan Caring is embarking on a five-year transformation plan starting in 2020, where it intends to increase its revenue from around RM 600 million in 2019 to as high as RM 1 billion by 2024.
From 2014 to 2019, Caring has generated RM 125.2 million in positive cash flows from operations, RM 11.6 million;interest income and RM 43.8 million from the IPO listing.
Out of RM125.2 million, the compnay has spent RM 35.4 million in net capital expenditures (CAPEX) and RM 31.6 million in dividends to its existing shareholders.
As of 31 May 2019, Caring has RM 153.47 million in shareholders’ equity and RM 7.77 million in non-current liabilities . Thus, its gearing ratio is 5.06%. At that time, Caring has RM 121.27 million in current liabilities and RM 243.07 million in current assets.
Pharmaniaga Bhd witnessed a 300% spike in orders, largely from hospitals and government clinics after the government announced the firm’s drugs and medical supply concession would end on Nov 30.
Caring Pharmacy Group Bhd reported a net profit of RM4.18 million for its first quarter ended Aug 31, 2019 a 2.3% increase from RM4.09 million in the same quarter of the previous year, attributed to the sales generated from the establishment of 16 new outlets.
Its revenue rose 8.9% to RM163.26 million from RM149.97 million.
Pharmaniaga Bhd confirms today that it has secured a five-year extension for the provision of logistics and distribution services to the Ministry of Health, to end on Dec 31, 2024.
Pharmaniaga is contributing to non-profit research and development organization Drugs for Neglected Diseases initiative (DNDi) to support the registration of a new treatment for those with hepatitis C in Malaysia.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
kalofarmako
154 posts
Posted by kalofarmako > 2019-08-22 15:46 | Report Abuse
yup, caring is different from any pharmacy even deorg pun jual ubat-ubatan.