Veterinary drugs company Dechra confident

DECHRA Pharmaceuticals, which employs around 200 staff in Yorkshire, said today it was confident going forward thanks to a number of new product launches in the US and a growing market.

Reporting its preliminary results for the year ended June 30, the UK’s third- biggest veterinary drugs and services company reported a full-year turnover of £304.4m.

The company said that pre-tax profits rose 33% to £16.9m. However operating profit after deducting costs was £14.1m compared to £13.8m the previous year reducing pre-tax profits to £11.7m.

In January the company acquired Denmark-based veterinary products company VetXX for £61.7m to strengthen its pharmaceuticals division.

The company said that VetXX had now been successfully integrated within the company and that the acquisition had provided Dechra with a strong European footprint.

Dechra’s main manufacturing centre, Dales Pharmaceuticals, is based in Skipton, North Yorkshire.

Dales manufactures veterinary and human pharmaceuticals for Dechra and other customers.

Dechra is headquartered in Stoke-on-Trent.

Chairman Michael Redmond said: “We have achieved good growth in revenue and profitability from our UK businesses, increased market share at National Veterinary Services (NVS), significantly increased US revenues, achieved further penetration of our products in Europe and launched new products in the UK.

“Furthermore, we have made an acquisition, VetXX Holdings A/S, which materially increases our pharmaceutical portfolio and provides a strong European footprint to market the enlarged product range and future developed products.”

Mr Redmond added that Dechra had invested £3.7m in product development over the past year.

The board recommended a dividend of 5.50p per share.