23rd Jun 2015 09:43
LONDON (Alliance News) - Benchmark Holdings PLC Tuesday said it is currently trading in line with its expectations as it posted a widened pretax loss for its first half.
The company provides technical services, products and specialist knowledge for the food and farming industries.
Benchmark posted a pretax loss of GBP4.4 million for the half year to end-March, compared to a pretax loss of GBP1.8 million a year before, as a rise in revenue to GBP19.8 million from GBP15.2 million was offset by a rise in operating costs.
Revenue growth was driven by acquisitions the company made in December, and the subsequent creation of a new breeding and genetics division, which offset a a reduction in organic sales caused by generic competition to its sea lice treatment Salmosan.
Operating costs increased due to acquisitions, and an increase in headcount to 330 from 222.
The company said it remains confident that its overall strategy is succeeding, and as a result its current growth trajectory will continue.
"Despite the adverse financial impact from aggressive generic competition to our Salmosan product line, mitigation measures have been successfully established, and the group has become strategically more robust through the creation of the new Breeding & Genetics division which is performing well," said Chairman Alex Hambro in a statement.
"The Technical Publishing division is now moving into profitability. Continued and significant investment in research and development and our pipeline of new animal health products bodes well for the future growth and stability of the business," Hambro added.
Shares in Benchmark Holdings were trading flat at 68.50 pence Tuesday morning.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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