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Neimeth Grows FY Profit to N270.6m on Decline in Borrowings

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Neimeth Pharmaceuticals

By Dipo Olowookere

The financial statements of a leading pharmaceutical company in Nigeria, Neimeth International Pharmaceuticals Plc, for the year ended September 30, 2021, have been released.

An analysis of the results by Business Post showed that in the year under review, the firm improved its turnover by 10.7 per cent to N3.1 billion from N2.8 billion in the corresponding period of 2020.

This was largely impacted by an increase in sales from pharmaceutical products (N2.8 billion versus N2.5 billion in 2020) amid a decline in sales of animal health products (N243.2 million as against N369.0 million).

It was observed that most of the revenues were generated from the Nigerian market, contributing N3.0 billion in the year under review versus N2.8 billion in 2020, while sales from Ghana only accounted for N35.3 million compared with N32.3 million a year ago.

In the year under review, the company recorded an increase in the cost of sales to N1.6 billion from N1.3 billion, resulting in a lower gross profit of N1.45 billion in contrast to N1.51 billion in the corresponding period of 2020.

In the financial statements, Neimeth disclosed that N202.0 million was generated from other income as against the N146.2 million recorded a year ago and this was largely because of the reversal of accrued interest on Daewoo loan of N57.3 million as well as the N4.9 million gains on disposal of property, plant and equipment.

However, the firm posted an increase in marketing and distribution expenses in the 2021 full year to N579.7 million from N505.1 million, just as the administrative expenses rose to N513.9 million from N452.3 million due to spikes in employee cost, adverts and promotions, communication and subscription, energy cost, medical expenses, telephone and postages, corporate expenses and others.

Despite these, the operating profit of the company jumped to N553.5 million from N510.2 million, while the finance costs went down to N188.2 million from N212.8 million as a result of a decrease in borrowings, leaving the debt-to-capital ratio for the period to 0.77 per cent versus 0.80 per cent a year ago.

The primary source of capital for Neimeth is borrowed funds from various financial institutions repayable with interest at specified dates.

In the period under review, the organisation closed with a profit before tax of N365.3 million versus N297.4 million in 2020, while the profit after tax grew to N270.6 million from N212.5 million, with the earnings per share (EPS) at 14 kobo compared with 11 kobo of the preceding year.

Dipo Olowookere is a journalist based in Nigeria that has passion for reporting business news stories. At his leisure time, he watches football and supports 3SC of Ibadan. Mr Olowookere can be reached via [email protected]

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NARD Suspends Indefinite Strike, Gives FG Fresh Two-Week Ultimatum

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resident doctors strike

By Adedapo Adesanya

The Nigerian Association of Resident Doctors (NARD) has suspended its planned nationwide indefinite strike, granting the federal government a two-week ultimatum to address lingering welfare issues affecting resident doctors across the country.

The decision was taken after an emergency meeting of the association’s National Executive Council on Tuesday, where members reviewed assurances from government representatives and resolved to give dialogue another chance.

NARD said the suspension was informed by “progress made” in negotiations, particularly commitments on the prompt payment of salary arrears, hazard allowances, and steps toward resolving issues surrounding the Medical Residency Training Fund.

The association did not declare a full resolution of the dispute. It noted that the government had shown “renewed willingness” to address the concerns that triggered the strike threat.

The association noted that while these engagements signalled a willingness by the government to resolve the dispute, several critical issues remain outstanding, particularly the delayed payment of promotion arrears, salary arrears, the 2026 Medical Residency Training Fund (MRTF), and the backlog of 19 months’ professional allowance arrears owed to resident doctors.

It also expressed concern over the Federal Government’s decision to halt the implementation of the reviewed PAT, which had earlier triggered widespread dissatisfaction among its members and raised fears of disruption to healthcare services nationwide.

Despite these unresolved issues, NARD said it opted to suspend the strike as a demonstration of goodwill and commitment to ongoing dialogue, while giving the government a two-week window to take concrete, measurable and verifiable steps to meet its demands.

The association insisted on the immediate reversal of the decision affecting the PAT, payment of all outstanding arrears, prompt disbursement of the MRTF, and full settlement of the accumulated professional allowance backlog.

It warned that it would reconvene at the expiration of the ultimatum to assess the level of compliance and determine its next course of action, adding that failure by the government to meet its demands within the stipulated timeframe would result in the resumption of the suspended strike without further notice.

NARD also called on its members nationwide to remain calm, united and resolute, while urging the Federal Government to act swiftly to prevent a potential crisis in the health sector.

The association further appreciated the interventions of the Vice President and other stakeholders, expressing hope that their involvement would lead to the timely resolution of the dispute and help sustain healthcare delivery across the country.

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Jacaranda Gets Funds to Expand Affordable Maternal Healthcare in Kenya

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Jacaranda Maternity

By Modupe Gbadeyanka

To expand affordable healthcare in Kenya, Swedfund has invested about $600,000 into Jacaranda Health Limited (Jacaranda Maternity) to support innovations in neonatal intensive care and strengthen Jacaranda’s ability to provide life-saving services to underserved populations.

Jacaranda Maternity provides high-quality maternal health care at more affordable pricing than typical private providers, focusing on women in Nairobi’s low- and middle-income communities.

The new funding will support the opening of new hospitals, upgrading of neonatal care, and improvements to existing facilities.

Maternal and newborn health outcomes in Kenya remain a challenge, with maternal mortality still high despite improvements in skilled birth attendance.

Public health facilities play a central role but face capacity constraints, while access to reliable, quality care varies across regions and income groups.

Private healthcare providers offering essential maternity services at accessible price points can complement public provision.

Jacaranda Maternity aims to expand its network to six hospitals to achieve financial sustainability while scaling its impact. The healthcare provider is a recognised leader in promoting women’s health, with 71 percent of its staff being women, and a track record of effective environmental and social management.

“This investment will help Jacaranda Maternity provide life-saving care to more women and families while furthering Swedfund’s mission to promote inclusive and sustainable healthcare,” a Senior Investment Manager at Swedfund, Audrey Obara, said.

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Nigeria Secures $350,000 FAO Support to Tackle Rising Bird Flu

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bird flu

By Adedapo Adesanya

Nigeria will get a $350,000 intervention from the Food and Agriculture Organisation of the United Nations (FAO) to support its response to the ongoing outbreak of Highly Pathogenic Avian Influenza (bird flu) and strengthen the country’s animal health systems.

An agreement was reached on Wednesday during a strategic meeting between the Minister of Livestock Development, Mr Idi Mukhtar Maiha, and the FAO Representative to Nigeria and the Economic Community of West African States, Mr Hussein Gadain, in Abuja.

The intervention, approved under FAO’s Technical Cooperation Programme, will support disease containment efforts in 11 affected states and enhance surveillance, coordination and response mechanisms to prevent further spread of the disease.

Speaking during the meeting, Maiha said effective disease control remains critical to improving livestock productivity and protecting the livelihoods of farmers across the country.

He explained that factors such as drought, scarcity of feed, interaction between livestock and wildlife, as well as cross-border movement of animals have contributed to the spread of diseases in some areas.

“We must continue to strengthen our animal health systems and build the capacity required to respond effectively to disease outbreaks. Our collaboration with FAO will help protect livestock assets, improve productivity and support the broader transformation of the sector,” the minister said.

Mr Gadain commended the federal government’s commitment to the development of the livestock sector and assured that FAO would continue to provide technical support to Nigeria.

He stressed the need to strengthen veterinary services at the state and community levels, improve early detection of diseases and promote biosecurity practices among livestock farmers.

The meeting also reviewed progress on the global campaign to eradicate Peste des Petits Ruminants, a highly contagious disease that affects sheep and goats.

To advance the initiative, the ministry plans to convene a national technical meeting involving veterinary institutions, researchers and practitioners to review Nigeria’s eradication strategy and address gaps in vaccine supply.

As part of preparations, the ministry will engage the National Veterinary Research Institute to assess its vaccine production capacity while exploring other options for vaccine procurement to meet national demand.

Both parties also agreed to accelerate Nigeria’s access to financing under the Pandemic Fund through the One Health approach in collaboration with the Nigeria Centre for Disease Control and the Federal Ministry of Health to strengthen preparedness and response to zoonotic diseases.

Plans are also underway for the Director-General of FAO to participate in the Antimicrobial Resistance Conference scheduled for June 2026 in Abuja, where President Bola Tinubu is expected to be recognised as the African Champion for the eradication of Peste des Petits Ruminants.

The meeting further agreed to inaugurate a Livestock Donor Working Group to coordinate development partner support and advance key initiatives, including the development of a national feed and fodder strategy aimed at improving productivity and sustainability in the livestock sector.

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