Tipharco Pharmaceutical Joint Stock Company (DTG) hereby provides an explanation to the State Securities Commission, the Hanoi Stock Exchange, and esteemed shareholders regarding the fluctuations in revenue and profit after tax in the Q1/2026 Financial Statements compared to 2025 as follows:
In the first quarter of 2026, Tipharco's Profit After Tax reached VND 6.02 billion, a sharp increase compared to the same period in 2025, mainly due to the following reasons:
- Optimizing Core Operations: Net revenue recorded a growth of 21.2% compared to the same period last year, primarily driven by sales promotion efforts and the expansion of the distribution system. Alongside the increase in scale, the Company has restructured its product portfolio to focus more on high-margin product groups. Concurrently, measures to optimize processes and enhance production efficiency have helped effectively control the cost of goods sold, thereby improving profit margins and contributing to a 51.2% growth in gross profit compared to the first quarter of 2025.
- Optimization of financial expenses: Thanks to effective cash flow management, abundant cash flow from operating activities helped the Company reduce its short-term bank debt. Interest expenses in the quarter decreased by more than 56% compared to the same period last year, significantly contributing to the increase in net profit.
In the coming time, the Company will continue to review the efficiency of each business channel, strictly control costs, and promote product groups with high profit margins to maintain growth momentum and improve business performance in the following quarters.
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