United Drug has reported a 23 per cent rise in operating profit to €16.5 million and proposed a share split to encourage more trading.
The drugs wholesaler posted revenues of €561.5 million, an increase of 18 per cent on the previous mark. The Republic of Ireland wholesale division achieved mid-teen market growth and now commands about 44 per cent of the Irish wholesale drug market.
United Drug said the reasoning behind the proposed share split was to encourage greater liquidity in the shares as the board felt the company's double-digit share price may be off-putting to smaller investors.
United Drug trades at around €13.60 per share.
The propsed split will change the nominal value of United Drug shares from 32 cent to 5 cent, increasing the number of shares in issue. The proposal will need approval at an extraordinary general meeting of shareholders.
The board has declared an interim dividend of 8 cent per share an increase of over 14 per cent on the 2002 payment.