Gulf Pharmaceutical Industries reported a double-digit increase in sales as demand for insulin grew across the Middle East.
The pharmaceutical company, based in Ras Al Khaimah and also known as Julphar, generated net profits of Dh42.5 million (US$11.5m) during the third quarter, an increase of 2.6 per cent compared with the same period a year earlier. Revenues increased by 14.9 per cent to Dh271.7m, led by "huge growth" in markets including Libya, Iraq, Egypt, Afghanistan and Saudi Arabia, the firm said.
GVG Krishna, Julphar's chief financial officer, expressed confidence that the company's run of increased profits over the past two quarters would remain on course for the rest of the year.
"Julphar continues to see consistent growth across all of its major markets and these results remain on track with our annual forecasts," he said. "We have seen an excellent contribution from our operation in Saudi Arabia which has been Julphar's leading market for this period."
Last month, the company opened a new insulin manufacturing facility in Ras Al Khaimah capable of producing as much as 1,500kg of insulin per year, equivalent to 45 million vials annually.
Julphar's shares have performed well this year as international investors bet heavily on the growth prospects of the Middle Eastern healthcare market, as so-called "lifestyle diseases" such as diabetes prove a negative side effect of increased incomes and widespread consumption of junk foods.
Julphar is 10.5 per cent owned by the government of Ras Al Khaimah and also counts the Islamic Development Bank among its shareholders.
Shares have risen 48.4 per cent so far this year to Dh3.01 .
Shares in Hikma Pharmaceutical, a Jordanian company, have risen 25 per cent during the same period, while NMC Health successfully listed on the London Stock Exchange in April raising £117m (Dh693.3m).