20th Mar 2015 10:11
LONDON (Alliance News) - CVS Group PLC Friday reported growth in revenue and pretax profit for the first half of its financial year, driven by strong like-for-like sales growth generated by the acquisition of new practice surgeries.
The veterinary services provider reported that pretax profit in the six months to December 31 grew 61% to GBP5.2 million, from GBP3.2 million in the same period a year before. Revenue increased 19% to GBP81.9 million from GBP68.8 million, while like-for-like sales were up 10%.
Ten practice surgeries were acquired during the period, and a further five surgeries were purchased after the period end. At the half year, the practice division operated 276 veterinary surgeries across the UK.
CVS Group also noted that loyalty scheme membership grew by around 39% to 192,000 since December 2013.
"Once again the group has delivered a strong set of results showing further growth in revenue and adjusted profit, generated both organically and through acquisitions. Cash flows from operations also improved further," Chairman Richard Connell said in a statement.
CVS Group doesn't pay an interim dividend, but said it continues to review its dividend policy and expects a final dividend for the full year ending June 30 to be at least equal to the 2.5 pence per share paid for its 2014 financial year.
"The board is pleased to report that trading since the half year is in line with expectations. While like-for-like sales growth for January and February 2015 was not at the exceptional level seen in the comparative period, in part due to poor weather in some regions, the underlying growth rate remains strong. With our wide range of organic opportunities and a strong acquisition pipeline, the board looks forward with confidence to the remainder of the year and beyond," Connell said.
CVS Group's shares were trading up 3.0% at 479.00 pence Friday morning.
By Karolina Kaminska; [email protected] @KarolinaAllNews
Copyright 2015 Alliance News Limited. All Rights Reserved.
Related Shares:
CVS Group