- QCIL reported a Profit After Tax of Shs 22.05 billion 6 million for the half-year ending September 30, marking a substantial increase from Shs 3.56 billion 970,000 in the same period last year.
- The company's revenue rose from Shs 121.1 billion 33 million to Shs 152 billion 41.4 million, driven by strong demand from sovereign and institutional clients.
- QCIL's Board has approved the construction of a second production facility at its Kampala site to meet growing demand and expand into new treatment areas.
Quality Chemical Industries Ltd. QCIL, a prominent pharmaceutical manufacturer based in Kampala, has reported a stunning Profit After Tax of Shs22.05 billion 6 million for the half-year ending Sept. 30. This represents a significant rise from Shs3.56 billion 970,000 in the same period last year, marking a more than 500-percent increase.
The impressive results reflect QCIL's strong performance across key customer segments, with a notable boost in demand from sovereign and institutional clients.
Revenue growth and improved profit marginsQCIL's revenue increased by 25 percent, rising from Shs121.1 billion 33 million to Shs152 billion 41.4 million. Orders from sovereign clients grew by 36 percent, contributing Shs31.6 billion 8.6 million, while institutional orders rose by 35 percent, adding Shs8.3 billion 2.3 million.
Gross profit margins also saw a substantial improvement, increasing from 22 percent in H1 FY24 to 39 percent in H1 FY25. This surge was attributed to enhanced manufacturing efficiencies, disciplined raw material cost management, and a favorable product mix. Antiretroviral ARV sales accounted for 76 percent of total sales in H1 FY25, up from 44 percent the previous year, while anti-malarial drugs ACTs dropped from 53 percent to 24 percent of sales.
Employee incentives and dividendsAs part of its growth strategy, QCIL introduced a long-term incentive program for select employees, with an initial provision of Shs2.0 billion 545,000 for FY24. This initiative is designed to enhance employee engagement and align performance with corporate goals.
