Ugandan pharmaceutical tycoon Emmanuel Katongole’s stake in Cipla Quality Chemical Industries Limited (CiplaQCIL), a Kampala-based pharmaceutical manufacturing firm. is now worth UGX7.13 billion ($1.9 million), according to recent data compiled by Billionaires.Africa.
CiplaQCIL is a pharmaceutical manufacturing firm based in Luzira, a suburb of Kampala, Uganda’s capital city.
The company makes triple-combination antiretroviral drugs such as Lumartem, an antimalarial drug, and Texavir and Zentair, generic Hepatitis-B medications.
Emmanuel Katongole, the chairman of CiplaQCIL, owns a 2.79-percent equity stake in the Uganda-based pharmaceutical company, which translates to 101,933,042 ordinary shares in the company.
Aside from his stake in the company, Katongole also owns a beneficial interest in Vero Food Industries Limited and Tinosoft Limited, an IT company in Kampala.
The company’s total assets have surpassed $64 million under Katongole’s leadership, with retained earnings from operation well above $27 million, further solidifying its position as one of the most profitable pharmaceutical units in East Africa.
In its latest financial statement for the fiscal year ending March 31, 2022, CiplaQCIL reported a profit of Ush24.05 billion ($6.28 million), a significant improvement from the Ush10.54-billion ($2.9 million) loss reported in the previous year’s financial statement.
The increase in earnings was the result of management’s efficient cost-cutting strategies, which resulted in a reversal of impairment allowance totaling Ush20.2 billion ($5.23 million), despite a six-percent decrease in revenue from Ush284.54 billion ($74.6 million) to Ush267.43 billion ($70 million).
This impressive financial performance has materialized in a significant bump in its valuation with its share price increasing by 16.6 percent since the start of the year from Ush60 ($0.016) on Jan. 1 to Ush70 ($0.0187) at the time of drafting this report, thus pushing its market capitalization on the Uganda Stock Exchange closer to the $70-million mark.
In line with the recent valuation, the market value of Katongole’s stake in CiplaQCIL is presently worth Ush7.13 billion ($1.9 million), cementing his position as one of the wealthiest executives in Uganda.