Veterinary drugs firm sees healthy increase in profits

Veterinary products firm Dechra saw its underlying pre-tax profits increase by almost a quarter to £93.7m.

The listed firm, which has its manufacturing base in Skipton, North Yorkshire, and its head office in Northwich, Cheshire, has this morning published its preliminary results for the year.

For the year to 30 June 2018, Dechra reported revenue growth of 13.9% to £407.1m – up from £359m in the previous year. Underlying pre-tax profit increased by 23.6%, from £77m to £93.7m.

Dechra is an international specialist veterinary pharmaceuticals and related products business.
Chief executive Ian Page said: “Dechra has delivered another successful year from both a financial and strategic perspective.

“The veterinary market is seeing faster change than at any time in its history. European practice corporate consolidation is increasing, especially in the UK and some Northern European countries.

“ A recent significant move is the leading USA company taking a small presence in the UK and a significant presence in mainland Europe.

“Furthermore, veterinary distributors who operate in the majority of major countries in Western Europe and North America are changing and are beginning to increase focus on the sales and marketing of their own products, which is often in conflict with their core historic suppliers.

“We are also seeing ongoing consolidation of distributors, especially within the USA.

“The board of Dechra believes that we are well positioned to support the needs of the larger veterinary practice groups alongside independent practices and that we also have the flexibility to respond quickly  to any ongoing changes within the distribution network.”