May & Baker Nigeria, a pharmaceutical manufacturing company, has reported a 38% growth in revenue, reaching N14.3 billion in the first nine months of 2023. This positive performance contrasts with macroeconomic challenges, including significant losses due to the floating of the naira.
Key Points:
- Revenue Growth: May & Baker Nigeria achieved a substantial revenue growth of 38%, increasing from N10.5 billion in the first nine months of 2022 to N14.3 billion in the corresponding period of 2023.
- Impact of Naira Floating: The reported figure for Profit Before Tax (PBT) at the end of Q3 was less than N1 billion due to the impact of projected forex loss, exceeding N800 million. The company highlighted the avoidable economic disruption caused by the naira redesign policy and cash withdrawal limit by the Central Bank of Nigeria (CBN).
- Challenging Year: The managing director described 2023 as one of the most challenging years in the company’s operational history, citing disruptions caused by economic policies and hardships in the first two months.
- Investments in New Product Developments: May & Baker is making strategic investments in new product developments across various therapeutic areas. The company has plans to launch seven products, with over 20 products in its pipeline.
- Appeal for Government Intervention: The managing director called for the federal government’s intervention, requesting that the importation of drug manufacturing machines be made duty-free. Additionally, he urged the removal of customs tariffs on select medical products to reduce import costs, thereby encouraging pharmaceutical companies in the country.
- Herbal Plant Boost: May & Baker’s herbal plant dedicated to manufacturing herbal products received a boost with the completion of NAFDAC registration for its bitter leaf capsule product, Roveda.
May & Baker Nigeria’s positive revenue growth amid challenges underscores its resilience in the pharmaceutical sector, and the company seeks supportive measures from the government to enhance its operations and product development initiatives.
