Dechra Pharmaceuticals PLC Trading Update & Notice of Interim Results (9410M)

TIDMDPH

RNS Number : 9410M

Dechra Pharmaceuticals PLC

14 January 2019

Monday, 14 January 2019

Dechra(R) Pharmaceuticals PLC

(Dechra, Group, Company)

Trading Update

The Board of Dechra issues the following unaudited Trading Update covering the half year reporting period from 1 July to 31 December 2018 (the Period).

Highlights

   --      Trading in the period was strong and in line with management expectations 

-- Reported Group net revenue for the Period increased by c.18% at constant exchange rates (CER) (c. 18% at actual exchange rates (AER))

   --      European Pharmaceuticals net revenue growth was c.18% at CER in the Period (AER c.17%) 

-- North American Pharmaceuticals net revenue growth was c.18% at CER in the Period (AER c.20%)

   --      Completed acquisition of Laboratorios Vencofarma do Brasil Ltda (Venco, acquisition) 

-- AST Farma/Le Vet, RX Vet and Caledonian acquisitions performing strongly, in line with our expectations, creating material synergies across the Group

-- Brexit contingency preparations are progressing well towards completion ahead of 29 March 2019, and in line with existing scope/cost expectations.

Operational Review

European Pharmaceuticals

In the Period, our total European Pharmaceuticals segment reported net revenue increased by c.18% at CER (AER c.17%), including the Acquisitions RX Vet (acquired 17 December 2017), AST Farma / Le Vet (acquired 13 February 2018), Caledonian Holdings (acquired 8 October 2018) and Venco (acquired 17 December 2018).

Existing net revenues, excluding third party contract manufacturing (non-animal health which Dechra is strategically exiting) increased by c.4% at CER (AER c.3%).

North American Pharmaceuticals

In the Period, our North American segment reported net revenue growth c.18% at CER (AER c.20%). Growth was driven mainly by the expansion of our US direct sales force in 2018 which is continuing to generate significant sales growth, and was further helped by the temporary absence from the market of a competitor product to Zycortal.

Acquisition

The acquisition of Venco completed on 17 December 2018. The planned revenue and EBIT contribution to the Group will feature in the second half of the year. The integration plan is underway.

Notice of Results

Dechra will announce its Interim Results for the Period on 25 February 2019.

Ian Page, Chief Executive Officer, commented:

"We are pleased with the Group's trading in the Period; Dechra continues to deliver above market revenue growth in our existing business and in our acquisitions, in line with the Board's expectations."

 
 Enquiries: 
 Dechra Pharmaceuticals PLC 
 Ian Page, Chief Executive Officer         Office: +44 (0) 1606 
                                            814 730 
 Richard Cotton, Chief Financial           Office: +44 (0) 1606 
  Officer                                   814 730 
  e-mail: [e-mail] 
 
 TooleyStreet Communications Ltd 
 Fiona Tooley, Director                    Mobile: [phone] 
  e-mail: [e-mail]            703 523 
                                            Office: +44 (0) 121 
                                            309 0099 
 

Notes:

1) Foreign Exchange Rates:

FY2019 H1 Average: EUR 1.1243: GBP 1.0; USD 1.2954: GBP 1.0

FY2019 H1 Closing: EUR 1.1179: GBP 1.0; USD 1.2800: GBP 1.0

FY2018 H1 Average: EUR 1.1205: GBP 1.0; USD 1.3176: GBP 1.0

FY2018 H1 Closing: EUR 1.1271: GBP 1.0; USD 1.3517: GBP 1.0

FY2018 Average: EUR 1.1286: GBP 1.0; USD 1.3465: GBP 1.0

About Dechra

Dechra is an international specialist veterinary pharmaceuticals and relates products business. Our expertise is in the development, manufacture and sales and marketing of high quality products exclusively for veterinarians worldwide. Dechra's business is unique as the majority of its products are used to treat medical conditions for which there is no other effective solution or have a clinical or dosing advantage over competitor products.

For more information, please visit: www.dechra.com

Stock Code: Full Listing (Pharmaceuticals): DPH

LEI: 213800J4UVB5OWG8VX82

Trademarks

Dechra and the Dechra "D" logo are registered trademarks of Dechra Pharmaceuticals PLC.

Forward Looking Statement

This document may contain certain forward-looking statements. The forward-looking statements reflect the knowledge and information available to the Company during the preparation and up to the publication of this document. By their very nature, these statements depend upon circumstances and relate to events that may occur in the future thereby involve a degree of uncertainty. Therefore, nothing in this document should be construed as a profit forecast by the Company.

Market Abuse Regulation (MAR)

The information contained within this announcement may constitute inside information stipulated under the Market Abuse Regulation (EU) No. 596/2014. Upon the publication of this announcement via the Regulatory Information Service, this inside information is now considered to be in the public domain.

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January 14, 2019 02:00 ET (07:00 GMT)