27th Mar 2020 14:48
(Alliance News) - Uniphar PLC on Friday reported double-digit revenue growth in its first annual results since its float back in July, but warned of a potential EUR5 million earnings hit from the coronavirus outbreak.
In 2019, revenue rose 17% to EUR1.67 billion from EUR1.42 billion with its pretax profit more than doubling to EUR26.5 million from EUR11.3 million. Before exceptional items, pretax profit was 55% higher at EUR31.8 million from EUR20.5 million.
Uniphar said: "Exceptional costs incurred during the year of EUR5.3 million are primarily due to acquisition related costs, and costs associated with our IPO.
The healthcare services firm proposed a 0.73 euro cent per share dividend, having not paid one in the comparative period.
Uniphar said: "2019 was a transformative year for Uniphar and a significant milestone in our history. Having successfully completed our listings in Dublin and London in July, we are now well positioned to deliver the group's strategy of doubling 2018 pro-forma earnings before interest, tax, depreciation and amortisation within five years from IPO."
Excluding impact of IFRS 16 - a financial treatment for the governing of leases - Ebitda was 49% higher in 2019 at EUR48.0 million from EUR32.2 million.
Chief Executive Officer Ger Rabbette said: "Our 2019 results reflect a very strong performance by the group, with EUR48 million Ebitda in line with the board expectations.
"The successful IPO of Uniphar in July provided the group with a robust capital structure and strong liquidity at year end."
On the Covid-19 pandemic, Uniphar said its Ebitda could be hit by EUR5 million, though it added there has been limited disruption at the moment.
Uniphar explained: "As we prepare for the full impact of the Covid-19 crisis, we expect to continue to see increased volumes across the group, with likely increases in cost to serve as we invest in additional resources to manage significantly higher volumes, while at the same time dealing with reduced availability of manpower due to potential sick leave, self-isolation or quarantine situations arising.
"Due to reprioritisation of resources within hospitals and other healthcare facilities we are preparing for a possible delay in medical device revenue if certain 'non-urgent' elective surgeries have to be postponed. Using currently available information our best estimate, of a three-month disruption, could result in a reduction of 2020 Ebitda in the region of EUR5 million."
The company secured total proceeds of EUR139.4 million from its July IPO, with its shares priced at EUR1.15 each.
The stock was untraded at EUR1.20 each in London on Friday afternoon.
By Eric Cunha; [email protected]
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