Animalcare FY earnings in line, revenues slightly improved
Animal health business Animalcare said on Tuesday that full-year earnings were anticipated to be in line with market expectations after revenues modestly improved in the twelve months ended 31 December.
Animalcare said revenues were up roughly 5% year-on-year at £74.0m, with growth weighted towards the first half as a result of "exceptional veterinary demand" in the first quarter and markets returning to "more normal levels" through the course of the year.
The AIM-listed group's Companion Animals unit recorded a double-digit sales increase, reflecting positive market fundamentals such as increased pet ownership and the easing of Covid-19 countermeasures, while revenues also benefited from growth in new products including Daxocox, which was successfully launched as a treatment for osteoarthritis-related pain in dogs in 2021.
Animalcare added that earnings were anticipated to be in line with market expectations, upgraded in September 2021, with the company expecting that its underlying earnings growth rate will be ahead of revenue.
Chief executive Jenny Winter said: "The continuing evolution of our product portfolio and the successful launch of Daxocox were important contributors to the group's very positive trading performance in 2021.
"Looking to the future, the further strengthening of our balance sheet provides us with increased capacity to invest in our long-term growth strategy."
As of 0905 GMT, Animalcare shares were down 1.54% to 320.0p.