2nd Aug 2018 11:34
LONDON (Alliance News) - CVS Group PLC said Thursday it expects to report annual group revenue up 21% and earnings in line with analysts' consensus.
Shares in the company, which provides integrated veterinary services, were trading 19% lower at 912.00 pence each.
CVS said that revenue for the year ended June 30, is expected up to GBP327 million from GBP271 million a year ago, with like-for-like sales up 4.9%.
The company said its revenue has been affected by "the unusually severe snow" at the beginning of 2018, which is "estimated to have reduced sales by approximately GBP1.0 million".
The company expects adjusted earnings before interest, taxes, depreciation and amortisation to be "broadly in line with analysts' consensus expectations", which reflect the impact of snow and the "lower than anticipated" short-term performance of some acquisitions.
The company has acquired 52 surgeries in the past financial year for around GBP50.6 million, operating in 475 veterinary surgeries at year-end.
In relation to the current financial year, the board anticipates further like-for-like growth "in line with normal levels", with the acquisitions adding "significantly" to the group's profitability.
CVS added that it appointed Richard Fairman as a director with immediate effect. He will take on Nick Perrin's role of finance director, following completion an orderly handover, when Perrin will step down.
The company will publish its full-year results on September 27.
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