Uniphar, the pharmaceutical distribution group, reported a 24 per cent increase in profits before tax and exceptional items to €11.5 million last year.

The company, which is owned by 450 independent pharmacists around the country, said turnover rose by 26 per cent to €513 million, boosted by the acquisition last year of the Whelehan Group in a deal believed to have been worth between €45 million and €50 million.

Following the deal, Uniphar, whose two main rivals in the Irish market are German-owned Cahill May Roberts and the publicly-quoted United Drug, now boasts a market share of 32-33 per cent of the Irish wholesale drugs market compared with 28-29 per cent previously.

Earnings per share increased by 15 per cent to 146.8 cent and Uniphar is proposing a dividend of 21 cent per share, an increase of 17 per cent on 2003.

The group said the number of pharmacies in its independent pharmacy ownership scheme (IPOS), which helps mainly young pharmacists to acquire chemist shops through a funding mechanism, had reached 125 by year-end.

This fell short of the group's original target of 150, largely due to the high multiples currently being paid for pharmacies in the Republic.

However, Uniphar chief executive, Jim Canavan, said the company would continue to drive the scheme forward to support its wholesale business. The scheme plans to grow to 250 pharmacies, he said.

Meanwhile, Uniphar continues to look for further opportunities in the healthcare system such as the use of different distribution channels.