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Lucky Core Pharmaceuticals (LCP) has achieved a key milestone with smooth integration of Pfizer Pakistan Limited’s portfolio, reports WealthPK. The integration will help the company enhance its position in the country’s pharmaceutical sector and broaden its product range. Alongside, LCP has effectively introduced new products to address market needs, improve working capital management and streamline operational processes.

As per its financial report, the company finalised an asset acquisition agreement with Pfizer Pakistan Limited, which includes transferring a manufacturing facility, pharmaceutical products and associated trademarks to LCP, thus expanding its operational capacity to meet the unmet medical needs in Pakistan as the pharmaceutical sector is hit by rising costs and inflationary pressures. The integration will improve LCP’s ability to manage increasing raw material costs. The move is anticipated to deliver immediate advantages by improving LCP’s manufacturing efficiency and creating a more diverse product range to cater to the changing needs of healthcare providers and patients.

LCP has stressed that the acquisition will strengthen its ability to compete in a challenging and evolving market. It said that as Pfizer is a well-established brand, its diverse product range will further add to the growth and expansion of LCP within Pakistan’s pharmaceutical sector. As Pakistan’s economic growth is picking up and is projected at 3.2% in 2025, and with inflation and policy rates easing, LCP is optimistic the lower inflation and supportive monetary policy would herald growth for the pharmaceutical sector. The company also focuses on growth initiatives and efficient capital allocation for its business expansion.

LCP is fostering collaborations with tech firms to drive advancements and deliver high-quality healthcare products. It also focuses on ensuring people’s easy access to essential medicines. Meanwhile, according to the financial results available on the Pakistan Stock Exchange (PSX), LCP reported a standalone net turnover of Rs30.7 billion in 1QFY25 compared to Rs29.1 billion in the same period last year. The operating profit saw a substantial rise of 73%, amounting to Rs4.2 billion in 1QFY25.

During 1QFY25, the company posted a slight gain in net profit to Rs2.59 billion, resulting in earnings per share of Rs28.10 compared to Rs27.21 in the same period last year. This robust growth was driven by the successful integration of Pfizer’s portfolio and favourable market conditions following the recent deregulation of prices for non-essential medicines. Likewise, LCP posted a net profit of Rs2.6 billion in 1QFY25 compared to Rs2.5 billion in the same period last year. The introduction of higher taxes on exports and duties on critical raw materials potentially impacted the profit margins of local manufacturers.

Credit: INP-WealthPk