Alliance Pharma, a specialist pharmaceutical firm, reported a decline in half year pre-tax profit after revenue fell on the back of a 10% drop in sales.
Sales for the six month period totalled £22.0m, down from £24.4m during the same period in 2011, dragging half year profit down from £7.0m to £5.3m. Basic earnings per share totalled 1.80p, compared to 2.38p the previous year.
Michael Gatenby, Alliance Pharma's Chairman, said: "We are pleased with the underlying performance in the first half year. We have an attractive and robust portfolio, which, boosted by the product acquisitions we have made over the past 12 months, gives us plenty of scope for driving organic sales growth. We remain well placed to fund further acquisitions and we have substantially broadened our search for targets to include opportunities on the Continent. We are confident that Alliance will continue to make solid progress."
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Sales of the firm's Deltacortril / enteric coated prednisolone product now appear to have stabilised at a run rate of around £2.0m per annum, following the decline seen in early 2011 after the launch of a second generic competitor and changes in clinical preference.
The Hydromol grew particularly well, recording growth of 28% in the first half, while Nu-Seals, its low dose aspirin product, experienced increased competition in Ireland.
The interim dividend was increased by 10% from 0.25p to 0.275p.
The share price fell 3.76% to 25.62p by 13:16.
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