SLIGHT REBOUND OF
ORGANIC GROWTH
IN THE THIRD QUARTER
Public release - October 17th, 2013
2013 NET SALES Nine months
555.4 M?
_________
TOTAL GROWTH
+5.1%
_________
GROWTH AT CONSTANT EXCHANGE RATES
+9.0%
_________
GROWTH AT CONSTANT SCOPE
+0.4%
Of which:
COMPANION ANIMALS
-1.0%
FOOD PRODUCING ANIMALS
+2.9%
At constant rates and scope, sales grew by +2.1%. This shows a certain rebound of organic growth, as expected by the Group, after the low market dynamics observed in the first half due to the economic environment and to unfavourable weather conditions.
Business evolution during this quarter has been more positive in most regions, with the exception of the USA where sales declined due to a temporary destocking observed in some distributors who have postponed orders until the fourth quarter.
Revenues from companies acquired last year, Centrovet in Chile and Stockguard in New Zealand, keep growing nicely, in line with expectations. In addition, Virbac took recently full control of Santa Elana in Uruguay, a company specialized in vaccines for bovines in which Virbac had purchased a 30% minority stake in 2010. Sales from Santa Elena amounted to 0.7 M? in September and have been consolidated from this date.
With total year-to-date sales of 555.4 M? compared to 528.4 M? last year, Virbac records a +5.1% total growth over 9 months. The Group's performance is strongly impacted by foreign exchange rates as growth would reach 9.0% at constant parities. This evolution reflects an organic growth which has become now slightly positive, +0.4%, and the net impact of recent acquisitions (Chile, New Zealand and Uruguay) and divestments (distribution in OTC channels in Europe).
In terms of species, year-to-date sales at constant scope in the companion animals segment remain, as in the first half, (slightly) declining: -1%. This trend is essentially due to the expected slow-down of CaniLeish in Southern Europe and the decrease of Iverhart in the US and has been even more pronounced, momentarily, due to orders from US distributors being postponed as mentioned previously.
Conversely the food producing animals segment enjoys a +2.9% organic growth, a higher growth rate than in the first half and still driven overall by the emerging markets.
Consolidated numbers Unaudited - in million Euros | 2013 | 2012 | % change | Evolution at constant exchange rates | Evolution at constant scope and exchange rates |
Net sales - 1st quarter | 182.8 | 176.4 | +3.6% | +5.6% | -2.3% |
Net sales - 2nd quarter | 189.2 | 173.0 | +9.3% | +11.7% | +1.3% |
Net sales - 3d quarter | 183.4 | 179.0 | +2.5% | +9.8% | +2.1% |
Net sales - year-to-date | 555.4 | 528.4 | +5.1% | +9.0% | +0.4% |
http://hugin.info/136717/R/1736416/581909.pdf
The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and other applicable laws; and
(ii) they are solely responsible for the content, accuracy and originality of the
information contained therein.
Source: Virbac via Thomson Reuters ONE