KUALA LUMPUR (Feb 21): Pharmaniaga Bhd's fourth quarter net profit plunged 80% to RM4.44 million, from RM21.7 million a year ago, mainly due to lower demand coupled with higher finance costs.

Earnings per share for the quarter ended Dec 31, 2018 fell to 1.71 sen from 8.36 sen previously, the group said in a filing with Bursa Malaysia.

Revenue was also lower by 3% at RM596.64 million compared with RM613.2 million a year ago.

The group declared a fourth interim dividend of two sen per share, lower than the six sen declared in the previous year. It will be paid on April 10, 2019.

Pharmaniaga said lower demand was recorded from government hospitals under the non-concession business.

It also noted that during the year-ago fourth quarter, there was a one-off compensation receivable in relation to a previous joint venture company in China.

Full-year net profit also came in lower as a result, falling 21% to RM42.47 million from RM53.82 million in the previous year, though revenue rose slightly by 3% to RM2.38 billion from RM2.32 billion.

Moving forward, Pharmaniaga said it will continue its pursuit in boosting its market presence in the private sector via aggressive marketing initiatives with focus on enhancing operational efficiencies as well as ongoing containment measures, both domestic and Indonesia operations.

Pharmaniaga's share price closed two sen or 0.73% higher at RM2.76 today, for a market value of RM718.99 million. Over the past one year the stock has declined some 32%.