Imexpharm announces 2023 annual results

The Imexpharm Corporation, a pioneer in Vietnam’s pharmaceutical industry, announced its business results for fiscal year ending December 31, 2023, on March 27.

Imexpharm takes pride in achieving record-breaking sales and profits, solidifying its position as a leader in the pharmaceutical industry in terms of market-leading growth rates. As the foremost provider of antibiotics in Vietnam and ranking fifth in market scale nationwide, it remains dedicated to ongoing development. With a steadfast commitment to innovation, Imexpharm aspires to pioneer new advancements both domestically and internationally.

Financial highlights

Total revenue in 2023 stood at over VND2.1 trillion ($84.6 million), up 26 per cent year-on-year. This represents record annual growth and is much higher than the overall market growth of 8 per cent. Its recorded earnings before interest, taxes, depreciation, and amortization (EBITDA) of VND466 billion (nearly $18.75 million) by the end of the year, up 31 per cent over the previous fiscal year, significantly exceeded the company’s budgeted figures.

Costs in the year were well controlled, with a 15 per cent rise in selling expenses comfortably below the rise in revenue. General and administrative expenses fell 9 per cent compared to the previous year, as the company continued to implement process efficiencies in both production and sales. This impressive result allows Imexpharm to propose to the upcoming General Meeting of Shareholders an increase to the dividend ratio on charter capital to 20 per cent (10 per cent in cash and 10 per cent in shares), compared to the previously announced plan of 15 per cent.

Business highlights

Imexpharm continued to hold its Number 1 position in producing and selling antibiotics in Vietnam during 2023. At the same time, thanks to its efforts in diversifying business operations, the company recorded healthy revenues from other products, most significantly cough medicines, analgesics, and antipyretics, as well as digestive aids. It also started to generate revenue from vitamins and health supplements as part of its strategy to tap the growing wellness market.

Ensuring Quality: Packing finished medicine sachets and hard capsules at Imexpharm's IMP3 facility meets EU-GMP standards

 The company spent 5 per cent of net revenue on R&D activities during the period, thus improving its continued innovations for future growth. Production capacity increased with its newest factory (IMP4) coming on stream. Despite driving record revenues, Imexpharm’s factories still have substantial capacity headroom, indicating the company’s potential to continue significantly growing its revenue in 2024 and beyond.

Alongside plans to meet ever-evolving customer demand by diversifying its product lines, the company also began exploring international markets in 2023. With its world-class SHE (Safety - Health - Environment) and MRO (Maintenance - Repair - Operations) manufacturing standards and 27 EU MAs across eleven products, Imexpharm is well placed to diversify its sales into other markets in Asia as well as Europe.

“In a challenging macro-economic environment, Imexpharm set new records for production and business management in 2023 while aligning itself for future success,” said Ms. Chaerhan Chun, Non-Executive Chairwoman of Imexpharm’s Board of Directors. “Ever since its foundation nearly 50 years ago, the company has been a pioneer in Vietnam’s dynamic pharmaceutical industry, focusing on international partnerships and operating at the highest safety and quality standards. I am confident that Imexpharm is strategically and financially poised for growth in 2024, both at home and on the global stage.”

Touring the state-of-the-art IMP4 factory

About Imexpharm

Imexpharm is a market leader in manufacturing and distributing high-quality antibiotics in Vietnam. Over its close to 50-year history, the company has been a pioneer in Vietnam’s rapidly-evolving pharmaceutical industry, focusing on international partnerships and operating at the highest safety and quality standards. Looking to the future, it is strategically and financially poised for growth domestically and globally, and has been expanding and will continue to expand its portfolio into new treatment areas and wellness.