In an interview after the shareholders' meeting held yesterday (24 May), Chairman Chao-Wang Chen said that with the contribution of the profits from the products related to the Covid-19 pandemic, TaiDoc Technology and its subsidiaries have about NTD$5 billion in cash, and in addition to short-term finances , TaiDoc will also acquire a small pharmacy chain in the Philippines in the near future, aiming to expand to 200 shops in 2 to 3 years.
In terms of this year's operations, the company said that although revenue from anti-epidemic products had declined, sales of blood glucose tests would continue to grow by 3 to 5%, and with the launch of a new product, a ring-type sleep analyzer, in the third quarter at the earliest, the company was optimistic that it would still have a chance of earning a share capital for the year.
Chen said that profits have increased significantly in recent years due to the pandemic, and now has over $4 billion in cash on hand, with nearly $5 billion in cash in its subsidiaries. TaiDoc has a US$60 million fixed deposit arrangement in US dollars, which is equivalent to a monthly interest of NT$7 million to NT$8 million.
Since last year, TaiDoc has also established a subsidiary in Germany, where it has purchased a five-storey factory building at a cost of €2 million, which is expected to be completed this year in preparation for TaiDoc's brand launch in Europe.
In addition, in order to expand its vertical integration, TaiDoc will recently acquire a majority stake in a small pharmacy chain in the Philippines for NT$60 million, with the goal of expanding to 200 shops in the Philippines within two to three years.
Chen said that he had also evaluated Taiwan pharmacy chains, but the valuation of $5 million for a single shop was too high, so he turned to overseas markets to seek merger and acquisition targets from existing customers. In addition to manufacturing its own products, the company also outsources the manufacturing of its products or distributes other brands.
In terms of the company's main products, Chen said that sales of pandemic-related products will decline this year, but in the first quarter there will still be rapid screening products shipped to Japan; the most important main blood glucose products can still maintain 3 to 5% growth this year; the newly developed ring-type sleep analyzer will be launched in the third quarter at the earliest, so TaiDoc is optimistic about the business this year.
TaiDoc is currently developing a continuous glucose monitor (CGM) and will begin clinical trials in Taiwan this year, with the goal of obtaining certification in the first half of next year. The company explains that CGM is targeted at type 1 and type 2 patients with severe diabetes, with the entire population accounting for 10% to 20% of all diabetes patients.
