Trading Update & Notice of Results

RNS Number : 4520N

Venture Life Group PLC

01 February 2021

 

1 February 2021

VENTURE LIFE GROUP PLC

("Venture Life" "VLG" or the "Company")

Full Year Trading Update

Full year profit ahead of market expectations

Venture Life (AIM: VLG), a leader in developing, manufacturing and commercialising products for the self-care market, announces its unaudited trading update for the year ended 31^st December 2020, ahead of the announcement of the Group's audited results on 25^th March 2021.

The Company expects to report revenues for the year ended 31^st December 2020 of £30.1 million, 49% higher than for 2019, and adjusted* EBITDA is expected to be not less than £6 million, more than double the 2019 adjusted EBITDA. There were no further shipments of product to our Chinese oral care partner in H2, but shipments are due to resume in H1 2021.

Despite the challenges presented by the COVID-19 pandemic, revenues across the business grew significantly in 2020, notably in sales of the VLG Brands, which now represent 50% of revenues, compared to 33% in 2019. The significantly increased revenues and higher prevalence of revenues from the VLG Brands in the year have contributed to improving gross margin, as expected. Revenues from the newly acquired PharmaSource business were ahead of 2019, and a number of planned synergies have already been achieved.

The clinical study at Cardiff University on our mouthwashes is still on-going and we will update the market when the results have been published in due course.

Jerry Randall, CEO of Venture Life, commented: "I am delighted to update the market on the delivery of strong growth during 2020. It has been a particularly challenging year for everyone, but the team at Venture Life performed exceptionally well to ensure that the business continued to operate and meet customer requirements. The placing and open offer completed in December 2020 has given us substantial funds, leaving us with net cash (excluding finance lease liabilities) of £35.5m as at the year end,  with which we can now pursue our ambitious acquisition growth and, with an order book ahead of the same time last year, I look forward to updating the market further as we go through the year. "

*Adjusted EBITDA is EBITDA before deduction of exceptional items and share based payments

This announcement contains price sensitive information.

For further information, please contact:

Venture Life Group PLC		[phone]
Jerry Randall, Chief Executive Officer
Cenkos Securities plc (Nomad and Joint Broker)		[phone]
Michael Johnson / Russell Kerr (Sales) Stephen Keys / Camilla Hume (Corporate Finance)
N+1 Singer (Joint Broker)		[phone]
Jonathan Dighe (Sales) Shaun Dobson / Carlo Spingardi (Corporate Finance)

About Venture Life ( www.venture-life.com )

Venture Life is an international consumer self-care company focused on developing, manufacturing and commercialising products for the global self-care market. With operations in the UK, The Netherlands and Italy, the Group's product portfolio includes some key products such as the UltraDEX and Dentyl oral care product ranges, food supplements for maintaining brain function, medical devices for women's intimate healthcare, fungal infections and proctology, and dermo-cosmetics for addressing the signs of ageing.

The products, which are typically recommended by pharmacists or healthcare practitioners, are available primarily through pharmacies and grocery multiples. In the UK and The Netherlands these are supplied direct by the company to retailers, elsewhere they are supplied by the Group's international distribution partners. 

Through its Development & Manufacturing business in Italy, Biokosmes, the Group also provides development and manufacturing services to companies in the medical devices and cosmetic sectors.

 

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