IMP - IR Newsletter April 2022

I. REPORT ON BUSINESS AND PRODUCTION RESULTS IN APRIL 2022

(Unit: Billion dongs)

Total net revenue and other incomes of Imexpharm in the first 4 months of 2022 attained VND 421.5 billion, increasing 3.7% year over year and meeting 29.2% of annual plan set by the Annual General Meeting of Shareholders 2022. The Vietnam economy has been gradually recovering after the pandemic and in general, production activities have entered to the new normal period; however, diagnostic and treatments at hospitals have not fully bounced back. Hence, ETC revenue accumulated to end of April of Imexpharm still declined over 39% compared to the previous year’s number while the development motivation of the Company comes from OTC channel. Imexpharm mainly distributes products manufactured by the Company, which account for more than 98% of total net revenue whereas franchising products and other purchases made up about 2%.
Pre-tax profit accumulated to end of April 2022 reached VND 84.5 billion, which is equal to 31.1% the annual target and grew by 12.1% in comparison with the figures of first 4 months in 2021. Cost of goods sold for the first 4 months of 2021 experienced a slight increase of 1.3% year over year whilst selling expenses decreased inconsiderably by 0.2% and administrative expenses went up by 9.2%. Imexpharm has been well controlling expenditures and stockpiling of materials has been effective when gross margin of Imexpharm in the first 4 months of 2022 was 44.4%, which rose nearly 6 percentage points compared to the number of 38.5% in 2021.

II. IMPSTOCK IN April 2022

IMP witnessed low volume of transactions in April 2022. Total order matching amounts were 111,600 stocks and there was no put through transaction. In comparison with the volume of 5 million stock in April 2022, the number of shares transacted in April 2022 was insignificant. However, stocks traded via order matching method in April 2022 was nearly equal to the figures of Mar 2022. Uncertainties of the market as well as changes in shareholder structure are the reasons to make IMP have low liquidity in April 2022.

III. REMARKABLE ACTIVITIES IN April 2022 AND PLANS FOR May 2022

On 25 April 2022 Imexpharm has successfully held the Annual General Meeting of Shareholders 2022 at the Headquarters, Cao Lanh city. All contents discussed at the Meeting have been approved with high portion of agreed votes. In which, the dividend 2021 would be paid in June 2022 at 15% of par value. The Board of Directors had resolution to determine the tentative record date on 26 May 2022 and the dividend payment date on 24 June 2022.
In May 2022, Imexpharm will continue to boost marketing and sales activities when the pandemic is gradually controlled. In front of the complicated movements of the pandemic, high inflation, the Company has maintained the policy to stockpile materials to keep gross margin stable as well as observed the circumstances in the country and the globe to have appropriate solutions. In addition, Imexpharm will continuously manage account receivables and shorten operating cycle of the Company.