Pre-Close Trading Update
ALLIANCE PHARMA PLC
("Alliance" or the "Group")
Half Year Trading Update
Alliance Pharma plc (AIM: APH), the specialty pharmaceutical company, announces its pre-close trading update ahead of the announcement of its interim results for the six months ended 30 June 2016.
The Group performed well and in line with the Board’s expectations with sales more than doubling to £46.4m (2015: £22.8m), following the Group’s transformational acquisition of the Sinclair Healthcare Products business in December 2015. The Sinclair products contributed sales of £20.6m.
Our three key growth brands performed in line with expectations with our largest-selling brand, Kelo-cote™, acquired from Sinclair in December 2015, achieving sales of £4.1m. Hydromol™ maintained strong sales growth of 10% in the first half with sales of £3.5m for the six month period. Our ophthalmology product, MacuShield™, acquired in February 2015, delivered £2.0m in the first half versus £1.4m in the first five months post-acquisition in February 2015.
The integration of the Sinclair products under the Alliance name is progressing well. Activities relating to finance and operations are expected to be largely complete by the end of the third quarter this year and product transfers in the countries are proceeding in line with local regulatory timelines.
It is too early to assess the long-term impact of the UK’s decision to leave the European Union, although, having operations in France, Germany, Italy and Spain, we do not anticipate any issues over market access. Additionally, we do not expect to be adversely affected by the current sterling exchange rate volatility. Indeed, if current exchange rates prevail we would expect a modest benefit to our sales and financial performance as we expect trading volumes to continue in line with expectations throughout 2016.
Alliance’s interim results for the six months ended 30 June 2016 are scheduled to be released on 14 September 2016.
For further information:
Alliance Pharma plc + 44 (0)1249 466966
Peter Butterfield, Chief Executive Officer
Andrew Franklin, Chief Financial Officer
Buchanan + 44 (0)20 7466 5000
Mark Court / Sophie Wills / Hannah Ratcliff
Numis Securities Limited + 44 (0)20 7260 1000
Nominated Adviser: Michael Meade / Freddie Barnfield
Corporate Broking: James Black
Investec Bank plc + 44 (0)20 7597 5970
Corporate Finance: Daniel Adams / Ed Thomas
Corporate Broking: Patrick Robb / Tejas Padalkar
Notes to editors:
About Alliance Pharma
Alliance, founded in 1998, is an international specialty pharmaceutical company based in Chippenham, Wiltshire, UK. The Company has sales in more than 100 countries worldwide via direct sales, joint ventures and a network of distributors. Alliance has a strong track record of acquiring the rights to established niche products and it currently owns or licenses the rights to approximately 90 pharmaceutical and consumer healthcare products. The Company continues to explore opportunities to expand its product portfolio.
Alliance joined the AIM market of the London Stock Exchange in December 2003 and trades under the symbol APH.