March 21, 2022

Anpario reports sales and profits rise in 2021

 

 

Sales growth across all regions and strong demand for key products including Orego-Stim, pHorce and Mastercube, helped Anpario plc increase sales by 9% to £33.4 million (US$44 million) and profit before tax by 7% to £5.7 million (US$7.5 million) in its results for the year ended December 31, 2021

 

"I am delighted to report the group's continued strong operating performance against a backdrop of the COVID-19 pandemic, supply chain disruption and raw material price inflation," said Anpario chief executive Richard Edwards. "Our research and development programmes over the past few years have given the group a strong portfolio of environmentally friendly and sustainable solutions.

 

“It is particularly pleasing to see our key product brands experiencing strong demand as the industry moves away from the use of harmful applications such as formaldehyde and zinc oxide for antimicrobial control in addition to the trend to reduce antibiotic use."

 

Sales of Orego-Stim, which in 2021 was granted a patent for reducing antimicrobial resistance, rose by 24% and sales of pHorce rose by 23%. Mastercube pellet binder sales grew by 37% driven by demand for natural products in aquaculture.

 

During the year, Anpario launched a new 100% natural omega-3 supplement branded Optomega^® Algae. The product has been well received in both the production animal and pet sector where customers are increasingly looking for sustainable solutions from non-animal derived sources, the company said.

 

"We are maintaining the progress of last year but are acutely aware of the inflationary pressures and challenges in the food supply chain," said Edwards. "We will continue to monitor the effect of these issues and manage any potential impact on the business.  We remain confident of continuing the profitable development of the group with further investments in our operations, product technology and global sales channels to deliver effective solutions to the animal production industry."

 

Operational highlights

 

Anpario saw sales growth across all regions: Asia, Europe, Middle East & Africa (MEA) and the Americas. Within these regions, South America, which includes Brazil and Chile, grew sales by 42% largely due to sales of Orego-Stim to both the aquaculture and poultry sectors.

 

Anpario’s China segment continued to benefit from the recent ban on the use of antibiotic growth promoters in animal feed, delivering sales growth of 32% and its Middle East segment recovered from its low in 2020, with a 31% sales growth helped by strong performances from Iraq and India where Anpario has recently appointed new distributors.

 

The Asia Pacific segment, excluding Australasia and China, experienced an a 11% decline in sales compared to the same period last year as continued lockdowns across the region and lack of tourism affected meat consumption.

 

Overall, the Europe segment, including the United Kingdom, delivered sales growth of 8% but there were notable declines from Austria and Spain as distributors increased their stocks at the end of 2020 prior to Brexit taking effect at the beginning of the period.

 

Anpario has continued to invest in sales channels and, during the period, set up new subsidiaries in Mexico, New Zealand and Vietnam. This localisation strategy proved invaluable during the pandemic in supporting end customers. The company also made additional investments at its Manton Wood, UK production plant in raw material storage, bulk handling and the installation of solar panels to further reduce its carbon emissions.

 

Having considered the sanctions that have been put in place against Russia and Belarus, although Anpario's products can be described as being for humanitarian purposes,

 

In another development, Anpario has ceased all trading with both Russia and Belarus following the outbreak of the Ukraine-Russia war, Belarus’ role in the conflict and the introduction of sanctions.

 

In 2021, revenues from Russia and Belarus were less than 1% of group revenues, with no revenues from Ukraine. Anpario has no dependency on material supply from these countries.

- Anpario