Quality Chemical Industries Uganda

Quality Chemical Industries Limited (QCIL), Uganda’s largest pharmaceutical manufacturer, has declared a $6.2 million interim dividend for the financial year ending March 31, 2026, following the full recovery of an outstanding receivable from the Government of Zambia.

The Kampala-based company, formerly Cipla Quality Chemical Industries Limited, said the interim payout of Ush6 ($0.002) per share will be paid on or before March 5, 2026, to shareholders on record as of February 26. The dividend is subject to withholding tax, depending on shareholder domicile.

Zambia recovery unlocks dividend
QCIL said the dividend was made possible by the successful collection of the Zambia government receivable, which had previously been impaired. The one-off inflow improved liquidity, allowing the company to reward shareholders without disrupting ongoing operations.

The board said the payout aligns with its dividend policy and reflects projected full-year performance, while maintaining funding for capital expenditure and growth initiatives.

Dividend is not a recurring signal
QCIL emphasized that the interim dividend should not be viewed as a precedent for future payouts. The company remains in an investment phase, with significant capital commitments toward manufacturing expansion, product development and regional market penetration.

Board reaffirms long-term strategy
The board of the publicly listed pharmaceutical company established in Uganda in 2005, thanked shareholders for their patience during the recovery process, reaffirming its commitment to sustainable value creation and disciplined capital allocation.

QCIL manufactures essential medicines, including triple-combination antiretroviral drugs, the antimalarial Lumartem, and hepatitis B treatments such as Texavir and Zentair.

Under founder and chairman Emmanuel Katongole, who owns over 2.7 percent stake, the company has grown into a key player in East Africa’s pharmaceutical supply chain and is positioning for further regional expansion.