Leading medical equipment supplier Medilines Distritbutors, Inc. reported a 65 percent jump in net earnings to a record P170 million for 2021 last year from the P103 million registered in 2020.
In a statement, the firm said a dual strategy of expanding its consumables product offerings as well as strong fiscal policies resulted in a double-digit growth in net profits at year-end December 2021.
Medilines Chairman Virgilio Villar said the company “is fully committed to boosting our fundamentals as well as continuously introducing quality life-saving innovations to the country.” The company posted a gross profit margin of 21 percent in 2021 compared with 17 percent in 2020 and a net profit margin of 11 percent as against the previous 7 percent.
It improved its credit position significantly by paying out the majority of its interest-bearing loans.
As for its debt-to-equity ratio (interest bearing debt over total equity), Medilines recorded an outstanding ratio of 0.33 from 1.84, while seeing an improvement in its balance sheet liabilities.
Operating expenditures also benefited from implementing cost improvements, with 13 percent operating margin recorded for 2021 compared with 11 percent over the same period in 2020.
While the pandemic contributed to the growth in company sales because of the surge in demand for medical equipment and supplies, other more important factors include the government’s initiative to advance medical facilities; the Filipino’s realization of the importance of healthcare; and the implementation of the Universal Healthcare Bill.
As of the first quarter of 2022, Medilines already has P1 billion worth of cancer therapy projects that it is working on through the year, according to Medilines President and Director Patricia Yambing.
She added that, “New and cutting-edge medical equipment is set to be delivered to, among others, the Bicol Regional Training and Teaching Hospital, the Northern Mindanao Medical Center, the Mariano Marcos Memorial Hospital and Medical Center, and the Philippine Children’s Medical Center.”
In the next few months, Medilines said it will beef up its consumables product segment, in addition to other initiatives such as maintaining partnerships with current principals, the exploration of new partners that will deliver advanced medical technologies, excellent customer service, and expansion of its private institution portfolio.