Karachi: The Directors of GlaxoSmithKline Pakistan Limited have released the unaudited financial results for the three-month period ending March 31, 2025, indicating steady net sales of Rs. 15.6 billion, a figure consistent with the same period last year. This financial disclosure aligns with the requirements of Section 227 of the Companies Act, 2017.
The economic environment in Pakistan is marked by a decline in inflation, which has surpassed expectations, but the economic recovery remains sluggish. This combination of low growth and easing inflation is concerning for a growing population, as unemployment rates continue to rise. Amid these challenges, GlaxoSmithKline Pakistan remains committed to addressing the healthcare needs of the country by providing high-quality medicines while improving profitability through sustainability measures and cost-effective initiatives.
According to information available from the Pakistan Stock Exchange (PSX), the company achieved a gross margin of 34.2% for the period, an increase of 20% from the previous period. This improvement in gross profit percentage is attributed to price increases following the deregulation of non-essential products, increases in the Consumer Price Index, and other profitability and sustainability measures.
The company reported that sales to Haleon Pakistan Limited amounted to Rs. 0.33 billion, related to products where marketing authorization rights remain with GSK. The flat sales performance was influenced by the industry's slowdown this quarter, compounded by a strong first quarter last year. Despite these challenges, GlaxoSmithKline Pakistan continued to invest strategically in key business drivers to ensure profitable growth and enhanced operational efficiency.
Earnings per share for the quarter saw a decline from Rs. 6.68 to Rs. 1.78. Operating expenses as a percentage of sales remained consistent with the same period last fiscal year, reflecting the company's focus on maintaining efficiency.
Looking forward, the company acknowledges the uncertainty of the global economic situation, with potential impacts on planned foreign debt and capital inflows. The tariffs imposed by the U.S. administration carry the risk of triggering a recession with global repercussions. However, GlaxoSmithKline Pakistan is committed to investing in its human capital by fostering a culture of collaboration, creativity, and innovation to drive positive outcomes for the company and the patients it serves.
The Board of Directors expressed deep appreciation for the dedication of its employees and acknowledged the support from customers, suppliers, bankers, and shareholders, which has bolstered confidence in the company's products and future endeavors.