United Drug delivers solid first half results
FTSE 250-listed outsourced commercialisation services provider United Drug delivered solid results for the first half of the year underpinned by growth in its US packaging division.
FTSE 250-listed outsourced commercialisation services provider United Drug delivered solid results for the first half of the year underpinned by growth in its US packaging division.
Operating profits across the group in the six months to March 31st were up 13% and revenue was up 14% to €1.02bn, from the corresponding period in 2012.
Earnings per share were 7.0% higher on the same period of 2012. Strong cash flow performance was recorded with operating cash flow of €55.8m in the period, significantly up on the €20.4m generated in the same period of 2012.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
The packaging and specialty division revenue for the period was recorded at €99m, 26% higher than the same period in 2012, with operating profit growing by 25%.
Revenue for the Sales, Marketing & Medical division of €182m was 113% higher than the same period in 2012. Much of the growth came from the recently acquired Pharmexx businesses, the group said, which had lower margins than its existing business at the time of acquisition.
Revenue for the Healthcare Supply Chain division for the period of €736m was 1.0% ahead of 2012. Operating profits increased by 2.0% over the same period in 2012.
In September, the group plans to re-brand as 'UDG Healthcare', subject to shareholder approval so as to apply brand consistency within each division. The group said that an EGM notice seeking approval for the change would be circulated to shareholders in the coming weeks.
Liam FitzGerald, Chief Executive Officer of United Drug, commented: "The first half of 2013 has seen us integrate our recent acquisitions, structure our business for future growth and deliver 13% operating profit growth."
He added: "During the period, the US became our largest profit contributing region, followed closely by the UK and the rest of Europe. We continue to work hard to provide a range and quality of professional outsourcing solutions that enable our international healthcare clients to operate more effectively."
United Drug's share price was down 0.62% to 306.20p at 10:10 on Thursday.
MF
Sign up for MoneyWeek's newsletters
Get the latest financial news, insights and expert analysis from our award-winning MoneyWeek team, to help you understand what really matters when it comes to your finances.
-
What happens if you can’t pay your tax bill, and what is "Time to Pay"?
Millions are due to file their tax return this Friday as the self-assessment deadline closes. Though the nightmare is not over until you pay the taxman what you owe - or face a penalty. But what happens if you can't afford to pay HMRC your tax bill, and what is "Time to Pay"?
By Kalpana Fitzpatrick Published
-
What does Rachel Reeves’s plan for growth mean for UK investors?
Rachel Reeves says she is going “further and faster” to kickstart the UK economy, but investors are unlikely to be persuaded
By Katie Williams Published