YSPSAH just released the Q1-FY2026 result a few days ago. Both revenue and profit attributed to shareholders drop yoy. Let us find out the reason from its quarter report.
Picture below shows the segregation of sales from various countries. Obviously, there is a drop in sales from Malaysia (= RM4.5 M). According to the Management, this is due to the drop in revenue from government hospital. Indeed, government hospital would look into cost first during any medication tender. This does not align with the YSPSAH marketing strategy, which is aiming to provide better service so that they could sell the products at slightly higher price.
Interestingly, there is a huge jump in sales in "Other countries" segment. I need to find out more on this.
Now, it is time to work out the core earning (earning from core business i.e. manufacturing and selling of generic drugs, OTC products) of this quarter.
Starting from the reported earning of RM 9.595 M, we adjust the earning based on the table below to get the core earning.
After adjustment, the core earning for Q1 2026 is RM 16.836 M (vs. Q1 2025 of RM 16.939 M).
As a conclusion, the core earning of Q1 2026 is at par with that of Q1 2025, a slight drop in fact, due to slowdown in local sales.
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