Business
Half-year Report
Half-year Report.
About this update from Anpario Plc
[{"type":"text","content":"\n\nAnpario plc\n(\"Anpario\", the \"Group\"\nor the \"Company\")\nInterim results\n \nAnpario plc (AIM:ANP), the independent manufacturer of natural sustainable animal feed additives for animal health, nutrition and biosecurity is pleased to announce its unaudited interim results for the six months to 30 June 2023 (\"H1 2023\").\n \nHighlights\n \nFinancial highlights\n \n- 7% decrease in sales to £15.3m (H1 2022: £16.5m) as sales growth in the United States and Australasia was offset by declines across Asia Pacific, Europe and Latin America.\n- Gross profits fell by a lower amount of 3% due to an increase in gross margins to 43.9% (H1 2022: 41.9%)\n- 37% decrease in adjusted EBITDA1 to £1.9m (H1 2022: £3.0m)\n- 42% decrease in profit before tax to £1.4m (H1 2022: £2.4m)\n- Diluted adjusted earnings per share down 42% to 5.66p (H1 2022: 9.81p)\n- 2% increase in interim dividend to 3.20p (H1 2022: 3.15p) per share\n- Cash balances, including short-term investments, of £7.3m at 30 Jun 2023 (31 Dec 2022: £13.6m), after £9.1m transferred to an escrow account ahead of the completion of the tender offer in July. \n \nOperational highlights\n \n- Sales price increases helped soften the reduction in volumes and recovered gross margins previously impacted by raw material price inflation.\n- Sales growth of Orego-Stim® and pHorce® benefiting from the trend to reduce antibiotic use and demand for anti-viral feed mitigants.\n- Strong growth of sustainably sourced omega 3 supplement brand Optomega® Algae.\n- Received first ever King's Award for Enterprise for Sustainable Development.\n \nOutlook\n \n- Further improvement of gross margin expected in H2 2023 through an anticipated further reduction in the cost of raw materials and recovery in sales volumes.\n- Benefits of mitigating cost reductions and efficiency improvements implemented in H1 2023 expected to feed into the latter part of H2 2023 and more fully realised in 2024.\n- Some signs of the recent challenges f...