Business
Trading Update and Progress on recent Acquisitions
Trading Update and Progress on recent Acquisitions.
About this update from Venture Life Group Plc
[{"type":"text","content":"\n \n \n \n RNS Number : 5222I\n Venture Life Group PLC\n 13 August 2021\n \n \n \n \n 13 August 2021\n \n \n \n \n \n VENTURE LIFE GROUP PLC\n \n \n (\"Venture Life\" \"VLG\" or the \"Company\")\n \n \n Trading Update and Progress on recent Acquisitions\n \n Venture Life (AIM: VLG), a leader in developing, manufacturing and commercialising products for the self-care market, provides an update on trading and the acquisitions of BBI Healthcare Limited (\"BBI\") announced on 7 June 2021 and the Helsinn Integrative Care Portfolio (\"HICP\") announced on 6 August 2021.\n Trading\n The Company expects to report revenues for the six months ended 30th June 2021 of £13.8 million. Revenues are less than those reported for the first half of 2020 of £16.8 million, due to much lower sales of hand sanitising gel (\"HSG\") and sales to our Chinese partner for Dentyl. Outside of these two revenue streams, the rest of the business showed overall growth of 9% (excluding the impact of the BBI acquisition) over the first half of 2020, which pleased the Board given the backdrop of another extended lockdown due to Covid. Covid once again has had a heavy impact, which was seen during this first half, but we are starting to see encouraging signs of a post Covid recovery in retail in the UK especially. H1 2021 revenues did include a contribution of £1.1 million from the acquisition of BBI in early June.\n HSG delivered revenues of only £0.1 million in the first half (2020: £3.2 million), significantly lower than in 2020 as there remains significant levels of stock in the channel. There was panic buying in Q2 2020 and what now appears to be significant overstocking, which has not yet sold out through retailers. Whilst we had expected HSG sales to be materially lower in 2021 than in 2020, actual trading so far is lower than our expectations due to significant stock still being in the channel. This was an opportunistic, yet meaningful revenue stream for us in 2020, and we do expect some continuing contribution from HSG. However, the data in recent months indicates that it is unlikely to be anywhere near the 2020 levels in the future.\n In addition, whilst we have also seen some sales to our partner for Dentyl in China during the first half of 2021 (£0.2 million vs £2.3 million in H1 2020) as well as the continued paying down of a signifi...