Dechra Pharmaceuticals PLC (LON:DPH) hiked its full-year dividend as it delivered growth in earnings and revenue, boosted by recent acquisitions.
The veterinary pharmaceuticals firm said underlying earnings (EBITDA) rose to £137.2mln in the year to 30 June from £106.6mln a year ago and revenue increased to £481.8mln from £401.1mln despite supply chain issues at some its own sites and contract manufacturers.
Existing businesses saw revenue rise 8.9% to £447.6mln while recently acquired businesses, including AST Farma, Le Vet and Venco, contributed £34.2mln to revenue.
The underlying EBIT margin grew by 200 basis points to 26.4%, led by improvements in the group’s European pharmaceuticals unit.
Dechra raised its dividend by 23.9% to 31.6p.
In preparation of Brexit, Dechra has changed the ownership of all UK marketing authorisations to a new unit in the Netherlands.
The company has moved all the analytical testing methods for products made at its site in Skipton, England, to a new lab in Zagreb, Croatia. It has also increased its inventory to avoid potential delays at ports.
Chief executive Ian Page said the outlook for the year ahead remains in line with management expectations.
“We continue to identify and deliver opportunities for growth in line with our strategy and remain confident in our current and future prospects,” he said.