GROUP revenues at Staffordshire-based Dechra Pharmaceuticals are expected to be around 5% ahead of 2010 for the full year.
In a trading update for the year ended June 30, 2011, the Stoke-headquartered veterinary products plc said today acquisitions had contributed to 1.8% of that figure while foreign currency movements had a negative impact of 0.5%.
Revenue from its European pharmaceuticals division increased by approximately 5% year-on-year with pharmaceuticals performing robustly but growth in diets revenue slowed in the second half of the financial year.
Overall revenue in US pharmaceuticals was approximately 48.7% higher than last year and this figure included sales from the DermaPet acquisition completed in October.
Dechra says DermaPet is now fully integrated into its existing American operations with the expected synergies being realised.
Revenue grew by approximately 3.7% compared to last year with operating margin being broadly consistent with that achieved in the 2010 financial year.
Cash flow in the second half of the financial year was strong, it said, leading to a substantial reduction in net borrowings compared to December 31, 2010.
The report added: “Although economic conditions have had an impact on our markets, the group has performed in line with our expectations and made solid progress in the financial year. We remain confident about our future.”
Preliminary results for the year ended June 30 will be issued on September 6.
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