Pharmaniaga Bhd became the next post-Covid-19 'victim' after it suffered its worst loss in 2022 which pushed it down to the PN17 category.
Earlier, the pharmaceutical firm reported a net loss of RM607.32 million for the financial year ending 31 December 2022 compared to a net profit of RM172.15 million in the previous year.
Meanwhile, revenue plunged 27.1% to RM3.51 billion from RM4.82 billion due to weak demand to buy the government's Covid-19 vaccine.
According to local media, this may be due to the unsold Sinovac vaccine, resulting in an oversupply.
In addition, the group's balance sheet also showed a sharp increase in its short-term loans amounting to RM968.27 million from RM570.05 million a year ago.
As a result, Pharmaniaga shares fell sharply in early trading this morning to 22 sen, down 50% from 44 sen when they closed on Monday.
PN17 is Practice Note 17/2005 issued by Bursa Malaysia against companies experiencing financial problems.
Companies that fall into this category have to submit a proposal to the Exchange for reorganization and save them from delisting.
