Dechra Pharmaceuticals shares tumbled 7% to 3,250p in early morning trading on Monday, despite a revenue climb to £681.8 million in FY 2022 compared to £608 million in FY 2021.
Dechra commented its revenue levels returned to more normalised historical levels of growth, as the uptick of pets spending by owners over the Covid-19 lockdown slowed down.
The pharmaceutical group reported an underlying operating profit of £174.3 million against £162.2 million, alongside an underlying EBITA of £190.6 million from £177.7 million and an underlying EBIT percentage of 25.6% from 26.7%.
Dechra Pharmaceuticals confirmed a reported operating profit of £95.5 million against £84 million.
The company mentioned an underlying diluted EPS of 120.8p from 108.1p and a diluted EPS of 53.4p compared to 51p.
Dechra noted cash generated from operations before interest and tax of £163.3 million from £141.2 million.
The pharmaceutical firm said it expected the veterinary pharmaceutical market to remain resilient despite macroeconomic uncertainty, especially the CAP sector.
Meanwhile, its acquisition of Med-Pharmex provides strength to its US presence, and its Piedmont acquisitions reportedly adds several “exciting” products to its development pipeline.
“We have continued to progress on all aspects of our strategy; the product development pipeline was strengthened, material acquisitions were completed post year-end and a new subsidiary was established in South Korea as we continue our geographical expansion,” said Dechra Pharmaceuticals CEO Ian Page.
Dechra Pharmaceuticals announced a 44.8p dividend per share against 40.5p the last year.