8 November 2022

This announcement contains inside information as stipulated under the UK version of the Market Abuse Regulation 596/2014 which is part of English Law by virtue of the European (Withdrawal) Act 2018, as amended. On publication of this announcement via a regulatory information service, this information is considered to be in the public domain.

BEXIMCO PHARMACEUTICALS LIMITED.

Results for the twelve-month period ended 30 June 2022

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 audited results for the twelve months ended 30 June 2022.

Highlights

Financial (consolidated) - Strong domestic performance underpins growth in challenging macro environment

·      Net sales increased 17.5% to Bangladesh Taka ("BDT") 34,669.2m / £309.7m (2020-21: BDT 29,493.6m / £251.4m)

o  Domestic sales increased 21.3% to BDT 31,984.1m/ £285.8m (2020-21: BDT 26,369.6m / £224.8m)

o  Export sales decreased 14.0% to BDT 2,685.1m / £24.0m (2020-21: BDT 3,124.0m / £26.6m)

·      Profit after tax decreased 3.2% to BDT 4,998.6m / £44.7m (2020-21: BDT 5,165.7m / £44.0m)

·      EPS for the year amounted to BDT 11.48

·      Recommended 35% cash dividend (BDT 3.5 per share)

Operational - continued strengthening of domestic position while building international presence

·      Launched a total of 30 new products (fifty-one presentations) in Bangladesh market, nine of them introduced for the first time in the country

·      Launched world's first generic of MSD's Molnupiravir, an oral antiviral drug for COVID-19 treatment as well the first generic copy of Pfizer's Paxlovid, the first US FDA approved breakthrough drug for COVID-19 treatment

·      Completed acquisition of 54.6% stake in Sanofi Bangladesh Limited with effect from 1 October 2021; and subsequently changed the name of the company to Synovia Pharma PLC; integration on-track

·      Launched three new products (seven presentations) from subsidiary, Synovia Pharma PLC, in the domestic market including the antihistamine product Phenergan Plus first time in Bangladesh

·      Distributed 8 million doses of Oxford/AstraZeneca COVID-19 vaccine over the period, with a cumulative 15 million doses delivered under the tripartite agreement between the Serum Institute of India (SII), Government of Bangladesh (GOB) and Beximco Pharma

o  Looking forward, the broader availability of Covid-19 vaccines in Bangladesh (due, in part, to donations made directly to Bangladesh), means that it is unlikely that GOB will seek to procure any further vaccine doses through this agreement for the foreseeable future

·      Granted two sub-licences by the United Nations-backed Medicines Patent Pool (MPP) to produce the generic versions of MSD's Molnupiravir and Pfizer's Paxlovid (both COVID-19 drugs)

·      Won the Global Generics & Biosimilars Awards 2021 in the category of "Company of the year, Asia Pacific"

·      Won Global Generics & Biosimilars Awards 2022 in the category of Acquisition of the year, (post-period)

US

·      Received US FDA approval for Baclofen tablets (muscle relaxant) and Minocycline tablets (tetracycline antibiotic)

·      Received US FDA approval for Eletriptan tablets and Oxybutynin tablets (post-period)

UK

·      Started manufacturing of Olopatadine Eye Drop, indicated for the treatment of allergic conjunctivitis, under CMO arrangement with a UK Company

·      Received Marketing Authorizations for Beta-Cardone (Sotalol) tablets and Quinine Bisulphate tablets in the UK. Beta-Cardon is prescribed to treat fast irregular heartbeats and Quinine Bisulphate is used in the treatment of chloroquine-resistant malaria and for the nocturnal leg cramps in adults and the elderly.

RoW

·      Completed 32 registrations for 28 products in 11 countries

·      Entered four new countries: Morocco, St.Lucia, Georgia, Timor-Leste (East Timor)

·      Received approval for Bromhexine tablets in Australia (post-period)

Update on COVID-19 Vaccine Supply

As noted above, there was an increase in COVID-19 vaccine supply into Bangladesh in the second half of the financial year, including substantial donations of surplus vaccine from other countries. This, combined with a widespread lack of desire for a third dose from the general population, means that it is unlikely that any further orders will be made through the agreement between SII, GOB and Beximco Pharma and that little to no revenues will be associated with this deal for the foreseeable future. A further announcement will be made in the event that this status changes.

Beximco Pharma managing director Nazmul Hassan MP commented,

"In the current challenging macro environment, we are delighted to be able to report another period of revenue growth. While we have seen the economic downturn have an adverse impact on some of our export markets, this has been more than offset by our domestic performance. With organic growth coupled with the acquisition of Sanofi Bangladesh (now Synovia Pharma), we have continued to further consolidate our domestic market position. Simultaneously, we have maintained our focus on growing our position in high-value markets, such as the US and UK through more product approvals during the period.  

"Over the first quarter of the new financial year, we are seeing the impact of numerous headwinds such as the war in Ukraine, supply chain disruptions and record depreciation of local currency. While we expect these issues to have an impact on Q1 and beyond, we remain committed to expanding our businesses, seeking operational efficiencies and delivering on our strategy to maximise the potential of Beximco Pharma."

Exchange rates of £1 = Taka 117.32 for 2020-21 numbers and £1 = Taka 111.93 for 2021-22 numbers 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 2 586/11001, Ext.20080

S M Rabbur Reza, Chief Operating Officer

Tel: +880 2 58611001, Ext.20111

Mohammad Ali Nawaz, Chief Financial Officer

Tel: +880 2 58611001, ext.20030

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 As at June 30, 2022

Beximco Pharmaceuticals Limited and its Subsidiaries

Consolidated Statement of Profit or Loss and Other Comprehensive Income For the Year ended June 30, 2022

Beximco Pharmaceuticals Limited and its Subsidiaries

Consolidated Statement of Changes in Equity

For the Year Ended June 30, 2022

Beximco Pharmaceuticals Limited and its Subsidiaries

Consolidated Statement of Cash Flows

For the Year ended June 30, 2022

* Includes Cash and Cash Equivalents of Synovia Pharma PLC at the date of acquisition.