Archived article
Please note that tax, investment, pension and ISA rules can change and the information and any views contained in this article may now be inaccurate.
Alliance Pharma PLC on Wednesday said the company generated ‘record sales’ in 2023 on the back of a strong second-half performance.
The Chippenham, England-based distributor of consumer healthcare brands and prescription medicines said in 2023 pretax loss widened to £48.8 million from £23.1 million the previous year.
Revenue rose 7.9% to £180.7 million from £167.4 million.
The company incurred an impairment of goodwill and intangible assets totalling £79.3 million, 70% higher than £46.5 million in 2022.
Cash and equivalents held by the company stood at £22.4 million, 29% lower than £31.7 million at the end of 2022.
Dividends remains paused as the board considers a new dividend policy with cash prioritised for reinvestment in the business to drive growth. Last year Alliance Pharma paid 1.78 pence per share to investors.
Chief Financial Officer Andrew Franklin commented: ‘Despite the non-cash impairments our portfolio continues to provide a solid platform from which to grow our Consumer Healthcare brands and generate strong cash flow.
‘In 2023, we increased marketing investment, launching award-winning advertising campaigns for Kelo-Cote and MacuShield to accelerate organic sales growth whilst bringing new products to market. Our revenues through e-commerce are building strongly, as we strengthen our network of specialist partners and internal capabilities and enter new geographies.’
Looking ahead, Alliance Pharma will focus on its core Consumer Healthcare business which is expected to deliver modest revenue growth. Furthermore, the company intends on increasing investment into sales, marketing, and innovation with the hope of maintaining brand leadership in each category.
Profit for 2024 is expected to again be weighted towards the second half of the year and overall, fall in line with the most recent full year results.
Alliance Pharma shares were up 8.8% to 38.64 pence each in London on Wednesday morning.
Copyright 2024 Alliance News Ltd. All Rights Reserved.