28th Jan 2021 07:00
28 January 2021
BEXIMCO PHARMACEUTICALS LIMITED
Half Year Results 2020-21
Beximco Pharmaceuticals Limited ("Beximco Pharma", "BPL" or "the Company"; AIM Symbol: BXP, LEI No.: 213800IMBBD6TIOQGB56), the fast-growing manufacturer of generic pharmaceutical products and active pharmaceutical ingredients, today announces its unaudited financial results for the six months ended 31 December 2020.
Financial highlights
Half year financial highlights
· Net sales increased 15.2% to Bangladesh Taka ("BDT") 14,400.2m / £125.8m (2019-20: BDT 12,495.5m / £112.6m)
o Domestic sales increased 17.1% to BDT 13,005.6m / £113.6m (2019-20: BDT 11,101.8m / £100.0m)
o Achieved Export sales of BDT 1,394.6m / £12.2m (2019-20: BDT 1,393.7m / £12.6m)
· Profit after tax increased 29.8% to BDT 2,226.3m / £19.4m (2019-20: BDT 1,715.3m / £15.5m)
Second quarter financial highlights
· Net sales increased 20.7% to BDT 7,474.3m / £65.3m (2019-20: BDT 6,192.2m / £55.8m)
· Profit after tax increased 35.1% to BDT 1,141.9m / £9.9m (2019-20: BDT 845.5m / £7.6m)
Operational highlights
· Domestic market
o Signed an exclusive agreement with the Serum Institute of India Pvt. Ltd (SII), the world's largest vaccine producer, for the distribution of AstraZeneca/Oxford's COVID-19 vaccine in Bangladesh
o Launched thirteen new products (eighteen presentation forms and strengths) in the domestic market, including the introduction of four products to Bangladesh for the first time
§ Launched an advanced formulation of esomeprazole MUPS (multiple-unit pellet system), an anti-ulcerant, under the brand Remmo®
· US market
o Commenced export of Cyproheptadine, an antihistamine product, to the US
o Received US Food and Drug Administration approval for Flecainide Acetate (50, 100 and 150 mg tablets), an antiarrhythmic drug used for treating irregular heartbeats
o Filed ANDA (Abbreviated New Drug Application) to US Food and Drug Administration for Eletriptan Hydrobromide, a treatment for migraine symptoms
· RoW
o Completed 13 registrations for 12 products in 9 countries
o Entered five new countries (Oman, Lebanon, Venezuela, Bolivia, and Kosovo)
· Joined a group of world's leading generic pharmaceutical manufacturers who have pledged to work together via the Medicines Patent Pool to support the fight against COVID-19 in low- and middle-income countries
· Won the highly prestigious "CPhl Pharma Awards" in the category of 'Innovation in Response to COVID-19'
Post period
· Entered into a binding commitment with Sanofi group to acquire a majority stake (54.6%) in Sanofi Bangladesh Limited, subject to approval by the Foreign Exchange Investment Department of Bangladesh Bank and completing the Share Purchase Agreement
· Received the first planned consignment of five million doses of the Oxford/AstraZeneca COVID-19 vaccine from Serum Institute of India for onward delivery to the government of Bangladesh
Nazmul Hassan MP, Managing Director of Beximco Pharmaceuticals, commented:
"We have delivered strong results in the first half of the year that demonstrate the resilience of the business and reinforce our commitment to ensure an uninterrupted supply of medicines despite macroeconomic headwinds caused by the ongoing COVID-19 pandemic. We have also demonstrated our continued commitment to delivering high-quality products and breakthrough therapies to the growing market in Bangladesh. In addition to expanding our product pipeline, we continue to strengthen our global footprint in line with our growth strategy. Looking ahead, we maintain a positive outlook for FY21 and reiterate, in line with the announcement on 14 January 2021, that while the costings of our vaccine distribution have yet to be determined, we expect to see a positive material difference to the Company's year-end results."
The half yearly accounts can be viewed at the Company's website: www.beximcopharma.com
(Exchange rates of £1 = Taka 114.48 for 31 December 2020 numbers and £1 = Taka 111.0152 for 31 December 2019 have been used in this announcement.)
For further information please visit www.beximcopharma.com or enquire to:
Beximco Pharma
Nazmul Hassan MP, Managing Director
Tel: +880 2 58611001, Ext. 20080
Mohammad Ali Nawaz, Chief Financial Officer
Tel: +880 2 58611001, Ext. 20030
Jamal Ahmed Choudhury, Executive Director (A&F)
Tel: +880 2 58611001, Ext. 20022
SPARK Advisory Partners Limited (Nominated Adviser)
Mark Brady / Andrew Emmott
Tel: +44 (0) 20 3368 3551 / 3555
SP Angel Corporate Finance LLP (Broker)
Vadim Alexandre / Abigail Wayne
Tel: +44 (0) 20 3470 0470
FTI Consulting
Simon Conway / Victoria Foster Mitchell
Tel: +44 (0) 20 3727 1000
Notes to Editors
About Beximco Pharmaceuticals Limited
Beximco Pharma is a leading manufacturer and exporter of medicines based in Bangladesh. Since its inception in 1976, the Company remains committed to health and wellbeing of people across all the continents by providing access to contemporary medicines. Company's broad portfolio of generics encompasses diverse delivery systems such as tablets, capsules, liquids, semi-solids, intravenous fluids, metered dose inhalers, dry powder inhalers, sterile ophthalmic drops, insulins, prefilled syringes, injectables, nebuliser solutions, oral soluble films etc. The Company also undertakes contract manufacturing for multinational and leading global generic pharmaceutical companies.
Beximco Pharma′s state-of-the-art manufacturing facilities are certified by global regulatory authorities of USA, Europe, Australia, Canada, GCC and Latin America, among others and it has a geographic footprint in more than 50 countries. More than 5,500 employees are driving the company towards achieving its aspiration to be among the most admired companies in the world.
Beximco Pharmaceuticals Limited and its Subsidiaries
Consolidated Statement of Financial Position (Unaudited)
As at December 31, 2020
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| Taka '000 | |
| December 31, 2020 | June 30, 2020 | |||||
ASSETS |
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| |
Non-Current Assets | 37,372,535 |
| 37,069,663 | |||
Property, Plant and Equipment- Carrying Value |
| 35,341,190 |
|
| 35,000,810 | |
Right-of-use Assets |
| 234,574 |
|
| 240,164 | |
Intangible Assets |
| 1,238,826 |
|
| 1,275,561 | |
Goodwill |
| 546,691 |
|
| 546,691 | |
Other Investment |
| 11,254 |
|
| 3,751 | |
Other Non-current Assets |
| - |
|
| 2,686 | |
Current Assets | 13,816,614 |
| 13,049,079 | |||
Inventories |
| 6,769,702 |
|
| 5,944,769 | |
Spares & Supplies |
| 858,381 |
|
| 775,529 | |
Accounts Receivable |
| 2,909,203 |
|
| 3,305,451 | |
Loans, Advances and Deposits |
| 2,884,723 |
|
| 2,388,313 | |
Cash and Cash Equivalents |
| 394,605 |
|
| 635,017 | |
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| |
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| |
TOTAL ASSETS | 51,189,149 |
| 50,118,742 | |||
SHAREHOLDERS' EQUITY AND LIABILITIES |
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| ||
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Equity Attributable to the Owners of the Company | 34,103,871 |
| 32,495,121 | |||
Issued Share Capital |
| 4,461,120 |
|
| 4,055,564 | |
Share Premium |
| 5,269,475 |
|
| 5,269,475 | |
Excess of Issue Price over Face Value of GDRs |
| 1,689,637 |
|
| 1,689,637 | |
Capital Reserve on Merger |
| 294,951 |
|
| 294,951 | |
Revaluation Surplus |
| 1,123,076 |
|
| 1,125,768 | |
Unrealized Gain/(Loss) |
| 8,429 |
|
| 926 | |
Retained Earnings |
| 21,257,183 |
|
| 20,058,800 | |
|
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|
|
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| |
Non-Controlling Interest | 313,866 |
| 302,329 | |||
TOTAL EQUITY | 34,417,737 |
| 32,797,450 | |||
Non-Current Liabilities | 5,951,596 |
| 5,963,327 | |||
Long Term Borrowings-Net of Current Maturity |
| 1,408,265 |
|
| 1,651,590 | |
Liability for Gratuity and WPPF & Welfare Funds |
| 2,348,485 |
|
| 2,144,053 | |
Deferred Tax Liability |
| 2,194,846 |
|
| 2,167,684 | |
Current Liabilities and Provisions | 10,819,816 |
| 11,357,965 | |||
Short Term Borrowings |
| 6,359,665 |
|
| 7,398,361 | |
Long Term Borrowings-Current Maturity |
| 1,169,234 |
|
| 1,454,312 | |
Creditors and Other Payables |
| 1,198,349 |
|
| 1,397,817 | |
Accrued Expenses |
| 847,009 |
|
| 739,513 | |
Dividend Payable / Unclaimed Dividend |
| 689,788 |
|
| 82,075 | |
Income Tax Payable |
| 555,771 |
|
| 285,887 | |
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| |
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TOTAL EQUITY AND LIABILITIES | 51,189,149 |
| 50,118,742 | |||
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Beximco Pharmaceuticals Limited and its Subsidiaries
Consolidated Statement of Profit or Loss and Other Comprehensive Income (Unaudited)
For the Half Year Ended December 31, 2020
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| Taka '000 |
| July - |
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| July - |
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| October - |
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| October - |
| December |
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| December |
|
| December |
|
| December |
| 2020 | 2019 | 2020 | 2019 | ||||||
Net Revenue | 14,400,189 | 12,495,526 | 7,474,259 | 6,192,191 | ||||||
Cost of Goods Sold | (7,568,599) | (6,687,655) | (3,932,210) | (3,325,974) | ||||||
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Gross Profit | 6,831,590 | 5,807,871 | 3,542,049 | 2,866,217 | ||||||
Operating Expenses | (3,364,722) | (3,049,977) | (1,744,949) | (1,541,859) | ||||||
Administrative Expenses | (403,632) |
| (388,704) |
| (206,306) |
| (200,227) | |||
Selling, Marketing and Distribution Expenses | (2,961,090) |
| (2,661,273) |
| (1,538,643) |
| (1,341,632) | |||
Profit from Operations | 3,466,868 |
| 2,757,894 |
| 1,797,100 |
| 1,324,358 | |||
Other Income | 169,913 | 136,765 | 75,817 | 76,645 | ||||||
Finance Cost | (502,855) | (532,325) | (269,459) | (228,287) | ||||||
Profit Before Contribution to WPPF & Welfare Funds |
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3,133,926 | 2,362,334 | 1,603,458 | 1,172,716 | |||||||
Contribution to WPPF & Welfare Funds | (151,915) | (114,467) | (78,529) | (57,316) | ||||||
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Profit Before Tax | 2,982,011 | 2,247,867 | 1,524,929 | 1,115,400 | ||||||
Income Tax Expenses | (755,712) | (532,521) | (382,971) | (269,929) | ||||||
Current Tax | (727,652) |
| (528,146) |
| (368,973) |
| (257,488) | |||
Deferred Tax | (28,060) |
| (4,375) |
| (13,998) |
| (12,441) | |||
Profit After Tax | 2,226,299 |
| 1,715,346 |
| 1,141,958 |
| 845,471 | |||
Profit/(Loss) Attributable to: |
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Owners of the Company | 2,208,684 |
| 1,706,419 |
| 1,134,206 |
| 841,659 | |||
Non-controlling interest | 17,615 |
| 8,927 |
| 7,752 |
| 3,812 | |||
| 2,226,299 | 1,715,346 | 1,141,958 | 845,471 | ||||||
Other Comprehensive Income-Unrealized Gain/(Loss) | 7,503 | (1,444) | 5,606 | (773) | ||||||
Total Comprehensive Income | 2,233,802 |
|
| 1,713,902 |
|
| 1,147,564 |
|
| 844,698 |
Total Comprehensive Income Attributable to: |
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Owners of the Company | 2,216,187 |
| 1,704,975 |
| 1,139,812 |
| 840,886 | |||
Non-controlling interest | 17,615 |
| 8,927 |
| 7,752 |
| 3,812 | |||
| 2,233,802 |
| 1,713,902 |
| 1,147,564 |
| 844,698 | |||
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Earnings Per Share (EPS)/Restated EPS | 4.95 | 3.83 | 2.54 | 1.89 | ||||||
Number of Shares Used to Compute EPS | 446,112,089 | 446,112,089 | 446,112,089 | 446,112,089 | ||||||
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Beximco Pharmaceuticals Limited and its Subsidiaries
Consolidated Statement of Changes in Equity (Unaudited)
For the Half Year Ended December 31, 2020
As at December 31, 2020 |
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| Taka' 000 |
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| Share | Share | Excess of | Capital | Revaluation | Unrealized | Retained | Equity | Non- | Total |
| Capital | Premium | Issue | Reserve | Surplus | Gain/(Loss) | Earnings | attributable | Controlling | Equity |
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| Price over | on |
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| to the | Interests |
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| Face Value | Merger |
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| Owners |
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| of GDRs |
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| of the |
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| Company |
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Balance as on July 01, 2020 | 4,055,564 | 5,269,475 | 1,689,637 | 294,951 | 1,125,768 | 926 | 20,058,800 | 32,495,121 | 302,329 | 32,797,450 |
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Total Comprehensive Income: |
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Profit/(Loss) for the Period | - | - | - | - | - | - | 2,208,684 | 2,208,684 | 17,615 | 2,226,299 |
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Other Comprehensive Income/(Loss) | - | - | - | - | - | 7,503 | - | 7,503 | - | 7,503 |
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Transactions with the Shareholders: |
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Cash Dividend | - | - | - | - | - | - | (608,335) | (608,335) | (6,078) | (614,413) |
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Stock Dividend | 405,556 | - | - | - | - | - | (405,556) | - | - | - |
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Adjustment for Depreciation on Revalued Assets | - | - | - | - | (3,590) | - | 3,590 | - | - | - |
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Adjustment for Deferred Tax on Revalued Assets | - | - | - | - | 898 | - | - | 898 | - | 898 |
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Balance as on December 31, 2020 | 4,461,120 | 5,269,475 | 1,689,637 | 294,951 | 1,123,076 | 8,429 | 21,257,183 | 34,103,871 | 313,866 | 34,417,737 |
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Number of Shares |
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| 446,112,089 |
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Net Asset Value (NAV) Per Share |
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| Tk. | 76.45 |
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As at December 31, 2019 |
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| Taka' 000 |
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| Share | Share | Excess of | Capital | Revaluation | Unrealized | Retained | Equity | Non- | Total |
| Capital | Premium | Issue | Reserve | Surplus | Gain/(Loss) | Earnings | attributable | Controlling | Equity |
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| Price over | on |
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| to the | Interests |
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| Face Value | Merger |
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| Owners |
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| of GDRs |
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| of the |
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| Company |
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Balance as on July 01, 2019 | 4,055,564 | 5,269,475 | 1,689,637 | 294,951 | 1,131,853 | 2,504 | 17,144,333 | 29,588,317 | 276,007 | 29,864,324 |
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Total Comprehensive Income: |
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Profit/(Loss) for the Period | - | - | - | - | - | - | 1,706,419 | 1,706,419 | 8,927 | 1,715,346 |
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Other Comprehensive Income/(Loss) | - | - | - | - | - | (1,444) | - | (1,444) | - | (1,444) |
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Transactions with the Shareholders: |
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Cash Dividend | - | - | - | - | - | - | (608,335) | (608,335) | (3,473) | (611,808) |
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Adjustment for Depreciation on Revalued Assets | - | - | - | - | (4,057) | - | 4,057 | - | - | - |
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Balance as on December 31, 2019 | 4,055,564 | 5,269,475 | 1,689,637 | 294,951 | 1,127,796 | 1,060 | 18,246,474 | 30,684,957 | 281,461 | 30,966,418 |
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Number of Shares |
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| 405,556,445 |
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Net Asset Value (NAV) Per Share |
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| 75.66 |
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Beximco Pharmaceuticals Limited and its Subsidiaries
Consolidated Statement of Cash Flows (Unaudited)
For the Half Year Ended December 31, 2020
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| Taka '000 |
| July - December | July - December | |||
| 2020 | 2019 | |||
Cash Flows from Operating Activities : |
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Receipts from Customers and Others |
| 14,968,135 |
| 12,970,054 | |
Payments to Suppliers and Employees |
| (11,819,166) |
| (8,533,250) | |
Cash Generated from Operations |
| 3,148,969 |
| 4,436,804 | |
Interest Paid | (502,855) | (532,325) | |||
Interest Received | 1,318 | 15,547 | |||
Income Tax Paid | (457,768) | (212,520) | |||
Net Cash Generated from Operating Activities | 2,189,664 | 3,707,506 | |||
Cash Flows from Investing Activities : |
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Acquisition of Property, Plant and Equipment |
| (864,972) |
| (1,309,616) | |
Intangible Assets |
| (8,819) |
| (13,065) | |
Disposal of Property, Plant and Equipment |
| 21,171 |
| 3,342 | |
Decrease in Short Term Investment |
| - |
| 127,785 | |
Net Cash Used in Investing Activities |
| (852,620) |
| (1,191,554) | |
Cash Flows from Financing Activities : |
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Net Increase /(Decrease) in Long Term Borrowings |
| (532,178) |
| (750,702) | |
Net Increase/(Decrease) in Short Term Borrowings |
| (1,038,577) |
| (1,875,555) | |
Dividend Paid |
| (6,701) |
| (3,862) | |
Net Cash (Used in ) / from Financing Activities |
| (1,577,456) |
| (2,630,119) | |
Increase/(Decrease) in Cash and Cash Equivalents | (240,412) | (114,167) | |||
Cash and Cash Equivalents at Beginning of Period | 635,017 | 610,494 | |||
Effect of exchange rate changes on Cash and Cash Equivalents* | - | 606 | |||
Cash and Cash Equivalents at End of Period |
| 394,605 |
| 496,933 | |
Net Operating Cash Flow Per Share | 4.91 | 9.14 | |||
\* The Company used Janata Bank's end of periods US Dollar-BDT exchange rates as on 31 December 2020 which remained unchanged with the exchange rates as at 30 June 2020. As such there was no effect of exchange rates in the cash flow.
Related Shares:
Beximco Pharma