Plant Health Care PLC
25 January 2006
Embargoed until 07.00 25 January 2006
Plant Health Care plc
POST YEAR-END TRADING AND PRODUCT UPDATE
Major support for Pre-Tect Product
Increasing Interest for Myconate
Trading
Plant Health Care plc ('PHC' or the 'Company'), a leading provider of natural
plant fertility products, is pleased to announce that since the update provided
in its interim statement on 19 September 2005, it has continued to make good
progress. Although some supplier delays have resulted in sales for the year
ended 31 December 2005 being slightly below earlier expectations, better gross
margins and cost containment have been achieved which it believes will enable
the Company to report in line with expectations, before exceptional items, as
previously referred to.
The current year has started well, with the John Deere contract now well
underway and indications that a number of new agreements will provide
significant revenue growth in Europe. The Company has, however, already begun to
invest in additional people, mainly in sales, to manage this growth and to move
forward some other initiatives, including Pre-Tect and Myconate testing.
Major support for Pre-Tect Product
The Company is pleased to announce very encouraging results following
independent trials of its newly formulated, naturally derived Pre-Tect product.
The tests were carried out in the UK on lettuce and spinach crops by several of
the UK's largest salad growing companies and took place in several areas with
diverse climate and soil conditions. The tests were full farm replicated trials
on whole head and cut leaf salads. Pre-Tect consistently increased the shelf
life of the crops by 25% to 40% (3-5 days). Based on these trials, PHC has
entered into supply agreements with several of the largest European salad
growers. Additionally, one of the largest supermarket chains in the UK is
specifying the use of Pre-Tect on all its salad crop purchases.
Increasing Interest for Myconate
PHC reported on the early results of its Myconate testing on 15 December 2005
and still has tests ongoing with some of the world's largest agro chemical and
seed companies. Mainly as a result of the trials that have already been
completed in France, the largest corn growing country in Europe, a number of
major seed companies have expressed interest in expanding trials in 2006 and
have made initial enquiries about entering into distribution agreements.
The Board is of the view that it should not consider any such arrangements until
after completion of all the existing trials. At that time the Company will be in
a better position to determine the most commercially advantageous routes to
market for this product.
PHC is currently reviewing various options for the development and
commercialisation of Myconate, which, it believes, will have applications across
a wide range of the world's most valuable crops and agricultural plants, in
particular maize and soybean, the two highest value row crops in the world.
PHC expects to release its full year results early March 2006 and it will then
provide a further update on the status of the ongoing Myconate trials.
For further information please contact:
John Brady Jeremy Carey / Christian Taylor-Wilkinson
Plant Health Care Tavistock Communications
Tel: 020 7920 3150 (on 25/26 January) Tel: 020 7920 3150
Tel: 001 6035253702 (thereafter)
This information is provided by RNS
The company news service from the London Stock Exchange
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