International animal health business Animalcare Group has said it expects earnings growth for the full financial year will be flat compared to last year following delays to some new product launches and lower demand in the large animal portfolio.
The company said: “Sales growth was affected by supply challenges relating to certain third-party manufacturers. Also, delays to some new product launches and lower demand in the large animal portfolio, particularly for antibiotics, impacted performance.
“This has been partially offset by the disciplined focus on our operating costs.
“For the year ended 31 December 2018, the Board expects 2018 earnings (EBITDA) for the continuing Pharmaceuticals segment to be approximately in line with the prior year.”
Preliminary results will be published on April 30.
Total revenue for the year ended December 31 increased by 3.6% to £84.2m. Excluding the wholesale business, which was sold on September 4, sales from continuing pharmaceuticals segment increased by 3.2% to £71.8m.
The focus during 2019 and beyond would be on five strategic priorities to help to boost growth and profitability while increasing operational effectiveness and efficiency.
The highlights of strategic priorities would include driving supply chain efficiencies including associated working capital, increasing commercial capabilities to drive organic growth and reviewing the portfolio to focus resources on profitable growth, enhanced through in-licensing.
