PT Kimia Farma Tbk : Kimia Farma Prints Positive Performance for the First Quarter of 2023

PRESS RELEASE

No : PR-01/CORSEC/V/2023

Jakarta, 02/05/2023 - PT Kimia Farma Tbk. ("KAEF") started the 2023 period by scoring positive performance in the first quarter of 2023. This part of Bio Farma Pharmaceutical SOE Holding recorded a growth in export and the company's main products sales.

Kimia Farma posted sales growth to IDR2,30 trillion in the first quarter of 2023. This positive performance is in line with the increase in revenue from both the domestic and export markets. Kimia Farma's export sales realization throughout January 2023 to March 2023 grew 77% to 33,11 billion rupiah. Throughout the first three months of this year, main products produced by the company have been marketed throughout the world to Asia, Europe, Australia, Africa, and America.

The positive performance was also reflected in the increase in contribution from sales of over the counter (OTC) products and cosmetics which increased significantly to IDR66,46 billion. In addition, the contribution of ethical products has also increased to IDR774,14 billion by the end of March 2023.

The decision of Kimia Farma's management to implement operational excellence with path to profitability also made the Cost of Goods Sold to decline annually in the 1st quarter of 2023 to IDR1,44 trillion. Therefore, Kimia Farma was able to record a gross profit of 14% to IDR858,58 billion.

President Director of Kimia Farma, David Utama, stated that the growth in revenue was obtained from product sales portfolio improvement with high margin of ethical products. David adds that the company's EBITDA was also positive reaching IDR238,97 billion. This achievement was the outcome from management's strategy to implement operational excellence with path to profitability.

"Starting 2023, KAEF turn around by recording a positive performance and grew compared to the same period in previous year. The operational excellence and human resource transformation has been implemented and are generating outcomes," said David.

Kimia Farma recorded Total Income for The Year Attributable to owners of the parents and Non-Controlling Interest of IDR24,62 billion in the 1st quarter of 2023. This realization grew compared to the same period in previous year of IDR2,52 billion.

Apart from improving financial performance, David revealed that Kimia Farma is also intensively carrying out rebranding of services in pharmacies, health clinics and diagnostic laboratories. The business and operational transformation is fundamental for the company to be stronger in facing the existing challenges.

"Through operational excellence with path to profitability in KAEF's business portfolios covering manufacture, distribution, pharmaceutical retail and health services segement, we are optimistic that KAEF will record a positive performance until the end of 2023. This is our commitment to maintain the trust towards shareholders, public, and stakeholders, said David.