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AKARTA: Publicly listed pharmaceutical company PT Kalbe Farma Tbk reported a 14 percent increase in net profits to Rp 1.46 trillion in 2011, from Rp 1.28 trillion in 2010.

The net-profit growth was supported by rising sales of Rp 10.9 trillion in 2011, increasing by 6.7 percent year on year.

“The distribution and logistics division made a higher contribution due to cooperation with a new third party principal,” Kalbe Farma finance director Vidjongtius said in a written statement.

Distribution of Kalbe products is conducted by PT Enseval Putera Megatrading Tbk, which has the largest distribution network in Indonesia for pharmaceutical products. In September 2011, Enseval signed a distribution agreement with PT Abbott Indonesia to distribute Abbott’s nutritional products, which are very popular in the country.

Kalbe Farma has 91.75 percent share ownership of Enseval.

“The addition of a third-party principal supports one of our key long-term strategies, to achieve aggressive top line growth,” Vindjongtius said.

Kalbe Farma is expecting to see a 15 to 20 percent growth in sales this year to approximately Rp 13 trillion. The operating profit margin is expected to be around 15 percent.