Nigerian Exchange (NGX) has commended the board and management of Neimeth International Pharmaceuticals Plc in enhancing operations, promoting business continuity, and restoring investor confidence.
Acting chief executive officer of NGX, Jude Chiemeka stated this at the NEIMETH Facts Behind the Figures Presentation held virtually.
Chiemeka said, “we are delighted that Neimeth has chosen to use this forum to communicate its financial performance, strategic plans, and operational developments to the investment community.
“Given that accurate, accessible, and timely information is essential to stimulate market activity, your presence here today underscores your dedication to providing relevant information to the market. We anticipate that today’s interaction will be fruitful, encouraging transparency, price discovery, and ultimately, enhancing the overall performance of your stocks.”
He also said, “despite the prevailing economic challenges, NGX recognises efforts of the Board and Management of Neimeth in enhancing operations, promoting business continuity, and restoring investor confidence.
MD/CEO, Neimeth, Pharm. Valentine Okelu stated that, Neimeth, after the divestment, developed new alliances to increase its product portfolio, established new business opportunities, and launched its brand of generic products to meet local healthcare needs, saying manufacturing of over 15 ethical and consumer products is done from the Company’s manufacturing plant in Oregun, Lagos State.
Okelu noted that, as at December 31, 2022, the company’s free float stood at 37 per cent, which was 17 per cent above the 20 per cent minimum requirement mandated by the NGX’s rule. However, in the course of 2023, following the conclusion of the company’s rights issue exercise, an assessment of the Company’s free float showed that it had fallen to 17.78 per cent, bringing the company below the NGX’s free float requirement of 20 per cent of its issued share capital.
He explained further that “following Neimeth’s engagement with the NGX Regulation Limited, a two-year extension period has been approved for the Company, within which to achieve the required free float threshold or have trading in its securities suspended. The approval was granted subject to conditions which the Company has committed to meeting.”
On the company’s outlook, NEIMETH MD projected a sales growth of 189.88 per cent from N5.002 billion in 2024 to N14.5 billion in 2028, while profit before tax forecast to grow to N691.685 million from N211.889 million in 2024.
In Q1, 2024, Neimeth posted a turnover of N648.257 million compared to N468.780 million in the corresponding period the previous year while the Q1, 2024 profit before tax stood at N77.653 million compared to a loss of N189.505 million at the same period in 2023.