Indies Pharma Reports Growth in Earnings Y-o-Y

• Despite a 5.0% decline in revenues, Indies Pharma reported net earnings of $50.22Mn for its three months ending January 31, 2022, a 5.7% or $2.70Mn increase relative to the prior period. 
• A 34.4% reduction in direct cost, which led to a 13.1% increase in Indies’ gross profit, was the main contributor to the growth in its bottom line.  Furthermore, though the company had increased administrative expenses, profit from operations remained relatively flat at J$64.70Mn in 2021/22 versus J$63.44Mn in the corresponding period of 2020/21. 
• The Company aims to maintain its performance by executing its strategy to strengthen its intellectual property (new drug approvals for the US market) and tangible assets (prime real estate). In 2020 Indies successfully raised growth capital of $805Mn from the market through a bond issue. 50% of the bond proceeds allowed the company to acquire 3 acres of prime real estate in Ironshore, Montego Bay which has and is expected to continue to deliver capital gains that will support the company's performance. 
• Furthermore, the company has two new drugs going through the approval process in the US to commercialise on the US market by 2023, which is also expected to support the company’s financial performance going forward. 
• Indies’ stock price has decreased by 7.7% since the start of the calendar year. The stock closed Wednesday's trading session at $3.06 and currently trades at a P/E of 24.0x earnings which is above the Junior Market Distribution Sector Average of 22.8x

(Source: Company Financials)