Trading Update

Dechra Pharmaceuticals PLC
10 July 2007



Issued on behalf of Dechra Pharmaceuticals PLC
Date: Tuesday 10th July 2007 Embargoed 7am

                           Dechra Pharmaceuticals PLC
                           ('Dechra' or The 'Group')
                                 Trading update

The Board of Dechra issues the following update ahead of the publication of the
Group's Preliminary results for the year ended 30 June 2007 which will be
announced on Tuesday 4 September 2007.

Trading update
The Group has made good progress across all its businesses, performing in line
with management expectations. This is reflected by total revenue being
approximately 9% ahead of last year.

Pharmaceuticals Division
Our Pharmaceuticals Division made good progress, both in the UK and
internationally, through increased penetration of its own-developed licensed
veterinary products. In particular the first year of marketing Vetoryl within
Europe has been encouraging with revenue exceeding budget.

Our pharmaceutical manufacturing business has improved operational efficiency
and has benefited in the second half from significant sales related to the new
contract won at the end of last year.

The Group's Pharmaceutical Product Development Programme also continues to
progress and strengthen. The US-based Clinical Trials for our key veterinary
products, Vetoryl(R), Felimazole(R) and Equidone(R) remain on target. We are
continuing to work closely with the FDA to secure the relevant regulatory
approvals. We remain confident that approval of these products into this key
region will be achieved during 2008.

We continue to identify opportunities to bring new products into our veterinary
medicines portfolio and have increased the number of new products the Group
currently has under development. Towards the end of the financial year, a
generic product was launched into the UK market and a further three are
scheduled to be launched by the end of the 2007 calendar year.

Recently, we significantly strengthened our position in the USA by securing a
long-term trademark license and supply agreement with Pharmaderm Animal Health.
This gives the Group exclusive marketing and distribution rights for a range of
veterinary licensed ophthalmic, otic and dermatological products. This will
provide increased sales and strengthen our profile and brand awareness within
the US veterinary market ahead of the launch of our own developed veterinary
products as mentioned above.


Services Division
The Services Division produced another strong performance further underpinning
its leading market position. Investments made during the 2006 financial year and
standardisation of customer discount terms during the financial year just ended
have already had a positive impact; we expect to see further benefits in 2008.

The integration of Leeds Veterinary Laboratories Limited ('LVL'), a specialist
laboratories business which the Group acquired in April, is proceeding well. We
expect to see further market share penetration and revenue progress during the
2008 financial year.

Summary
Overall, the Group has made strong progress during the 2007 financial year. We
expect to see the Group make further progress as we continue to strengthen and
build our positions both in the UK and in international markets.









Enquiries:
Ian Page, Chief Executive                Fiona Tooley, Director
Simon Evans, Group Finance Director      Citigate Dewe Rogerson
Dechra Pharmaceuticals
PLC                                      Telephone:    [phone]
Telephone:   [phone]         Mobile:       [phone]
Mobile:      [phone] (IP)
Mobile:      [phone] (SE)    Keith Gabriel
                                         Senior Account Manager
                                         Citigate Dewe Rogerson
                                         Telephone: [phone]
www.dechra.com







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