Alliance Pharma reduces net debt, doubles revenueJanuary 23, 2017
Alliance Pharma’s revenue for 2016, driven by the acquisition of ex-Sinclair products in December 2015, could be more than double compared to the previous year.
Alliance said in its pre-close trading update ahead if its yearly reuslts that its revenue for 2016 is expected to be about £97.5m (2015: £48.3m).
The company said its trading profit before tax is expected to be in line with the Board’s expectations.
The ex-Sinclair products delivered sales of approximately £43.8m and represented 45% of total sales. The remaining Alliance portfolio performed strongly and delivered a sales increase of 13% to approximately £53.7m for the year (2015: £47.5m).
Group sales were pushed by about £4.2m due to the weakening of Sterling, primarily against the Euro and US Dollar. However the effect on profits was much smaller due to the increases in cost of goods and operating costs denominated in these currencies, the company said.
Net debt decreased from £79.0m at 30 June 2016 to approximately £76.1m as at 31 December 2016. The company said that the net debt would have been £73.8m according to the currencies on June 30, 2016. The company said it expects net debt to reduce in 2017.
Furthermore, Alliance could start selling Dicletin in the UK in second half of 2017, and the rest of Euripe from late 2018. Dicletin is a product undergoing approval for the treatment for nausea and vomiting of pregnancy.
Preliminary results for the twelve months ended December 31, 2016 are expected to be announced on Wednesday 29 March 2017.