UDG Healthcare improves FY pretax profit

UDG Healthcare has improved its FY pretax profit from continuing operations to €75.2m, from a restated €53.6m.

Revenue was €943.1m, from €919.3m.

CEO Brendan McAtamney said 2016 saw the continuing business deliver another year of good growth as the group positioned itself for the next phase of development, following the disposal of the United Drug Supply Chain businesses.

"The Group has made significant progress in delivering on its strategy to capitalise on an increasing trend among healthcare companies to outsource non-core and specialist activities on an international basis," he said.

"The Group began to deploy the disposal proceeds with the acquisitions of Pegasus, a UK-based healthcare communications business, and following the year end, STEM, a leading global provider of commercial and medical audits to pharmaceutical companies. Both acquisitions are aligned with the Group's global growth strategy.

"The Group's earnings per share increased by 8% (9% on a constant currency basis) during the year. Sharp's operating profit increased by 16% while Ashfield increased operating profit by 7%, with operating margins in both divisions increasing during the year. Overall Group operating margins continue to improve, increasing from 10.5% to 11.1%.

"The Group remains focused on delivering organic growth and executing strategic acquisition opportunities, complementary to our existing high growth businesses."