United Drug reported a 21 per cent jump in first-half pre-tax profit in Ireland today.
The largest pharmaceutical wholesaler in Ireland, which also trades as Ashfield UK in Britain, posted a pre-tax profit of €19.4 million in the six months to end-March, while fully diluted earnings per share (EPS) rose 17 per cent to 7.29 euro cents.
Profits were boosted by increasing demand for medicines in key markets, and the company has given a bullish view about the full year and beyond.
Turnover increased 15 percent to €617 million. The results were modestly ahead of forecasts but United Drug shares were down 2 per cent at €2.55 this morning in Dublin on what traders said was profit-taking after a strong run.
Chief Executive Liam Fitzgerald said: "Our outlook is very strong. We're very confident we can sustain our track record of double digit growth." He said he was comfortable with broker forecasts for around 15 per cent growth in full-year earnings per share (EPS).
Mr Fitzgerald said the company's wholesale business was being underpinned by the rising age of the populations of Ireland and Britain, and by an increase in the size of the Irish population - a trend expected to continue up to 2030.
United Drug declared an interim dividend of 1.32 cents, up 16 per cent on the same period last year.