Gulf Pharmaceutical Industries, better known as Julphar, one of the largest pharmaceutical manufacturers in the Middle East and Africa, has reported a net loss of AED91.6 million ($24.9 million) for the first quarter of 2019.
The UAE-based company, whose products are banned in Saudi Arabia after the Food and Drug Authority said they failed to meet regional standards, reported revenue of AED118.3 million in Q1.
Jerome Carle, CEO of Julphar, said: “In line with expectations, the first quarter of 2019 has been a challenging period for the company. However, the underlying strengths of our core business remain firmly established and we are seeking to achieve our immediate priorities.
“We are confident that we can lay the foundations to pursue future success. The priority this year is to focus on recovery and we have already laid much of the groundwork for this.”
He said that during 2018, Julphar’s revenue was negatively impacted by the Saudi Food & Drug Authority’s temporary ban on the export of products, adding that the company’s management has focused on cost reductions and has taken several actions to strengthen the organisation and maximise cash flows.
Earlier this year, the company announced the appointment of new executive employees to help guide the company towards profitability and long-term success, he added.
Julphar has cut about 150 jobs, or 3 percent of its workforce, Bloomberg reported earlier this month quoting a person with knowledge of the plans who asked not to be identified because they are private.For all the latest health tips & news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
Subscribe to Arabian Business' newsletter to receive the latest breaking news and business stories in Dubai,the UAE and the GCC straight to your inbox.