YORK-BASED Animalcare Group is confident its long-term strategy will soon be delivering “double-digit growth” as it continues to build for the future.
The AIM-listed business began its investment phase two years ago, which has been on its product development pipeline and its people.
Animalcare’s in-house team is working on several new licences in line with its core strategy, with the benefits starting to show in its 2017 financial year and it then expects to be delivering double-digit sales growth in 2017-18 onwards.
The workforce has grown to 60 people, with the recruitment of Martin Gore from Novartis Animal Health to drive opportunities overseas another factor in the company’s confidence.
Iain Menneer, chief executive of Animalcare, said: “We are delivering on our strategy and we are very pleased with that – and we are still delivering top line growth. It’s really good news.”
Animalcare is continuing to invest in generic medicines, with Mr Menneer keen to differentiate the company in a crowded marketplace.
The focus on its export business – a departure for the group which had previously concentrated on the UK – is already delivering commercial benefit.
“There is interest far and wide to take on our products,” said Mr Menneer.
Revenues for the second half of 2015 showed a 2.7% increase, to £7.11m, although the investments made contributed to a 12.9% fall in pre-tax profits to £1.53m.
Mr Menneer downplayed the 5% drop in revenue from its microchipping business, which equates to £65,000 in a business with annual revenues of £13m.
