Earnings grow at Dechra Pharmaceuticals
VETERINARY product specialist Dechra Pharmaceuticals reported today that group revenue increased by 5.5% for the year ended June 30.
The Stoke-based company said revenue climbed from £350m to £369.4m while adjusted operating profit increased by 12.9% to £28.2m, compared with £25m in 2009.
Adjusted profit before taxation rose 11.3% to £26.1m, compared with £23.4m in 2009, while operating profit after deducting exceptional costs and amortisation of acquired intangibles was £19.9m, up from £17.7m.
Pre-tax profit on the same basis was up from £16.1m to £17.7m.
Total cash investment in product development increased from £4.2m to £5.6m.
Group net borrowings were reduced by £8.8m in the year from £15.5m at end-June 2009 to £6.7m at end-June 2010. The group has committed bank facilities totalling £47.5m.
The directors are recommending an increase in the final dividend to 7.2p per share, up from 6.1p per share.
Combined with the interim dividend of 3.3p per share, it makes a total dividend for the year of 10.5p per share, a 15.4 % increase.
Dechra said although continuing to show growth, most of the markets remain competitive with the impact of any future general economic weakness being uncertain.
Despite this, the product development pipeline delivers new products year on year, the international pharmaceutical and diets businesses are delivering good growth and the established UK service business continues to increase its profitability.
The Legal 500: definitive coverage on TheBusinessDesk.com all this week. Click here for details.
