Post-Close Trading Update & Notice of Results

RNS Number : 3096V

Animalcare Group PLC

11 January 2013

 



Animalcare Group plc

("Animalcare" or the "Group")

Post-Close Trading Update & Notice of Results

Animalcare, a leading supplier of veterinary medicines, announces that the Half Yearly Report for the six months ended 31^st December 2012 will be released on Thursday 21^st February 2013. In keeping with past practice, the Board issues the following trading update ahead of its publication, which confirms a strong first half in line with management expectations and a positive outlook for the full year to June 2013.

Animalcare has separately announced today that Stephen Wildridge is stepping down as Group CEO and Dr Iain Menneer, currently MD of Animalcare Ltd, has been appointed as his replacement with immediate effect. Stephen will continue to serve on the board and as Executive Director of Strategy and Business Development until 31^st October 2013.

Trading update

Trading from continuing operations in the first six months has been strong and is in line with market expectations.

Animalcare management is pleased to report, in what it believes is a flat veterinary medicines market in the UK, an encouraging set of results for the first half of the financial year with total first half revenue approximately +13% higher than in the comparable period last year at c. £6.1m. Gross profit is performing well ahead of the comparable period, +16%.

As announced earlier this month, the re-introduction of Buprecare ampoules marked a positive start to 2013. Sales of the single-use Buprecare ampoule will add to the strong sales of the Buprecare multi-dose vial launched just 10 months ago. The total market in the UK for each dosage form is estimated at between £1.5m and £1.8m after all discounts.

Whilst Licensed Veterinary Medicines have continued the strong growth reported in recent years, the Companion Animal Identification product group has, as expected, recovered some of the ground lost during the previous financial year. The re-developed registration database has underpinned much of the progress for this product group.

Strong cash generation has continued and the Company holds circa £2.9m of cash balances at 31^st December 2012 (up from £2.3m as at 30^th June 2012).

Summary and Outlook

Animalcare's performance in the first half of the financial year represents a solid start. The launch of Vitofyllin and the re-introduction of Buprecare ampoules have had a motivating influence across the business and we expect to build on these products during the second half. Prospects for the second half look positive with full year results to June 2013 expected to be in line with market expectations.

The product development pipeline is on track and continues to deliver the new veterinary medicines that are the driver for growth of Animalcare. The focus of senior management on the pipeline will be maintained to ensure the short to medium-term projects remain on target.

We expect to meet our target to launch four new veterinary medicines in the current financial year.

For further information, please contact:

Animalcare Group plc
Stephen Wildridge Iain Menneer	Tel: [phone] 01904 487 427
N+1 Singer (Nominated Adviser and Broker)
Aubrey Powell/Richard Lindley	Tel: [phone]
Walbrook PR Ltd	Tel: [phone]
Paul McManus	[e-mail]
Helen Westaway	[e-mail]

 

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