Ugandan pharma company Quality Chemicals is expanding its manufacturing capacity

By David Rupiny

Uganda’s pharmaceutical firm, Quality Chemicals Limited, is expanding its manufacturing capacity with a new plant.

The Chair of Quality Chemicals, Emmanuel Katongole, says construction of the new, larger plant has begun, which will expand production of antiretroviral and antimalarial medicines and introduce tuberculosis and sickle-cell treatments and injectable production lines.

The reinvestment, in Uganda Investment Authority-operated Luzira Industrial and Business Park, comes as the company marks two decades of operations, having grown from producing two medicines to a portfolio of 25 registered products, two manufacturing facilities, and annual revenue exceeding 290.5 billion shillings.

Says Katongole: “We are investing in capacity, bringing our next facility on stream to serve a broader range of patients with a broader range of medicines. Our investments in capacity, in people, and in access are investments in the future”.

Video Link: https://x.com/qcil_uganda2/status/2075156904985186804/video/1

Recently, Quality Chemicals completed a manufacturing facility for Hydroxyurea and launched Sikurea, a locally produced treatment for sickle-cell disease, a condition that affects millions of people across Africa.

The Chief Executive Officer, Ajay Kumar Pal, said the company has made significant strides toward diversifying what it does, including the launch of 15 new products in the private and public markets across different therapeutic areas: HIV, malaria, tuberculosis, sickle-cell, diabetes, fungal infection, hypertension, reproductive health, gastro-anti-histatics, and non-bacterial antibiotics.

Video Link: https://x.com/qcil_uganda2/status/2075187945191907683/video/1

Financial performance

Quality Chemicals posted its strongest financial performance in 20 years, with profit after tax jumping 38.8% to 56.4 billion shillings for the year ended March 31, 2026, amid declining donor funding and rising competition from Asian generic drug makers.

The company’s revenue rose 8.7% to 290.5 billion shillings, up from 267.1 billion shillings the previous year.

The gross profit margin expanded to 46.7%, up from 40.6% the prior year, attributed to tighter cost control across the business.

Shareholders will receive a total dividend of 16.6 shillings per share for the year, up from 13.5 shillings the prior year, an increase of 23%.

As a result, Quality Chemical’s share price on the Uganda Securities Exchange (USE) recovered by more than 30% in the last 12 months.

Currently, the share price is trading at about 155 shillings from lows of 89 shillings in the same period last year.