Dechra Pharmaceuticals revenue up following acquisitions

Dechra Pharmaceuticals reported a jump in underlying profit for the year as revenue grew following a number of acquisitions.

In its preliminary results for the year ended 30 June, the veterinary pharmaceutical business said underlying operating profit came in at £52.9m from £44.4 the year before, on revenue of £247.6m, up from £203.5m.

Dechra said it continues to outperform in the majority of therapeutic areas and markets in which it trades, especially in the US.

In addition, its product development pipeline has delivered two novel global products and several regional and national registrations in the period.

Dechra noted three acquisitions have been made in the year, providing critical mass and an enhanced product development pipeline in the US market, poultry vaccine development capabilities to broaden its EU food producing animal products business and a marketing and registration platform for Dechra’s portfolio in Mexico.

Chief executive officer Ian Page said: “With three acquisitions, pipeline product launches, successful trading in our new subsidiaries and solid growth in our focus portfolio, Dechra has delivered another strong performance in the 2016 financial year."

The company said that although it anticipates a degree of uncertainty following Brexit, the business is naturally hedged by its geographical spread and international sourcing.

“Any significant downturn in the UK economy may impinge on growth rates; however, we do not anticipate any material effect on the group.”