Dechra confident of meeting full year expectations
PHARMACEUTICAL group Dechra has said it is well positioned for further growth after meeting a series of business challenges and growing order pipeline.
In a pre-close update, the company said it was confident of meeting full year expectations for the 12 months to June 30, 2014.
It said group revenue for the year was up by approximately 1.6% at constant currency rates compared to last year or 2.3% at actual exchange rates. It said it had achieved positive momentum with improved revenue growth during the second half of 3.7%. This contrasted with a decline of 0.7% during the first six months.
All EU markets with the exception of the Netherlands were said to be showing growth and performance in the US had been boosted by the re-launch of its Ophthalmic range. It has also received clearance for the launch of its Osphos product, which is scheduled for Q1 2015.
European revenue has increased by approximately 0.7% at constant currency compared to last year (circa 2.0% at actual exchange rates). It said it was pleased with the performance of its European markets and the situation in the Netherlands remained challenging due to the competitive environment and focus on antimicrobial reduction.
Sales of Companion Animal Products (CAP) grew by approximately 3.4% and Equine at 13%, both at constant currency. Food Producing Animal Products (FAP) revenue declined by approximately 7.5% at constant currency due to reduced sales of antibiotics.
In the US, revenue growth for the 2014 financial year was approximately 7.1% at constant currency (circa 3.4% at actual exchange rates).
Ian Page, Dechra CEO, said: “Overall, group trading for the year ended June 30, 2014 is in line with management expectations. We have addressed the known challenges during the year, made strong progress with product pipeline delivery, completed a strategic US acquisition and are expanding geographically. We remain well placed for future growth.”
The company will release its preliminary results on September 8, 2014.
