Studies indicate that the profitability of many Iranian pharmaceutical companies has dropped by over 30%, reducing their net profit margins to less than 25%.
Additionally, pharmaceutical industry experts, due to delayed payments and financial issues, have either left some domestic companies or relocated their factories to neighboring countries.
According to the state-run Ham-Mihan newspaper, the decline in pharmaceutical companies’ profitability stems from price-fixing policies, which, amid inflation and severe currency fluctuations, have placed these companies in financial distress.
The report adds that the financial challenges of these companies are not limited to profitability; rising debts and liquidity issues are other aspects of this crisis. The debt-to-asset ratio for some pharmaceutical companies has increased from 58% to 64%, forcing many entities, both public and private, to borrow from banks to continue operations.
According to the report, companies like Roozdaru and Pakhsh Razi have faced reduced production, and some may shut down, leading to drug shortages.
The Director General of Pharmaceuticals at the Food and Drug Organization announced that one holding company with 140 trillion rials (approximately $180 million) in sales now cannot pay its employees’ salaries.
The Sobhan Oncology company has also reported increasing debts and an inability to pay them.
Vahid Mahallati, a pharmacist and the secretary of the state-run Distribution Companies Association, suggests that “quasi-governmental companies should transfer their managerial shares to the private sector to better utilize existing capacities.”
Mahallati added that income limitations in the public sector have created significant problems in attracting talent and affecting its performance.
He further stated, “Publicly traded governmental companies account for about 30% of the pharmaceutical market value. However, the limited production of some public companies places pressure on private companies.”
Mahallati warned, “Quasi-governmental and governmental pharmaceutical companies, with their market share halved in the past decade, are heading toward complete inefficiency.”
Drug Supply Issues in Sistan and Baluchestan Province
In another report by the state-run ILNA news agency, in Sistan and Baluchestan Province, drug import restrictions due to “national macro-policies” have caused difficulties in providing specific medications, particularly for diabetic patients and those undergoing dialysis.
According to Dariush Mohabi, the Pharmaceuticals Manager at Zahedan University of Medical Sciences, “Domestically produced drugs are abundantly available, but there are challenges in supplying imported drugs.”
He noted that some patients visit multiple pharmacies to obtain medications and are even forced to purchase them on the open market at high costs.
Farnaz Firouzkouhi, a diabetic patient, reported issues in accessing imported insulin, stating that domestic insulin was unsuitable for her and she had to obtain the imported version at a high cost.
Similarly, Karbasi, another diabetic patient, mentioned that due to the incompatibility of domestic insulin with his blood sugar levels, he had to purchase the imported drug.
Nasrati, who has a sick family member, reported severe issues in obtaining medications in the province, saying they must travel from various cities to Zahedan to acquire them.
Another citizen shared the difficulties in securing medicine for their MS patient, emphasizing that many pharmacies either lack the required drugs or do not provide them in sufficient quantities.
Experts attribute the crisis in pharmaceutical companies to heavy debts, high costs, delays in payment claims, and the inefficient management of the Iranian regime.
