September 20, 2012

Anpario plc, the supplier of natural feed additives announces a 25% increase in its adjusted EBITA (earnings before interest, tax and amortisation) for its interim results for the six months to 30 June 2012.

During the period, Anpario's adjusted EBITDA increased by 25% to GBP1.35 million (US$2.19 million), as compared to 2011 EBITA of  GBP1.08 million (US$1.75 million), with sales increasing by 16% to GBP10.82 million, from GBP9.36 million (US$17.52 million) in 2011, benefiting from a maiden three months contribution from Meriden. Underlying earnings per share increased by 20% to 5.24 pence (US$0.0848) per share from 4.36 pence (US$0.0706) per share.

Meriden Animal Health Limited, acquired in March 2012, makes a full three month contribution. In addition, the successful repositioning of its UK Agriculture division delivers continued profit growth on previous year. Organic feed division, Vitrition, more than doubles profitability through production efficiencies.

Richard Edwards, executive vice- chairman, commented, "The Group's performance is very encouraging, despite the disruption in European and Middle Eastern regions, and demonstrates the resilience of our geographic spread. The recent acquisition of Meriden Animal Health Limited has further bolstered our product range and the business is performing to plan. I am particularly pleased with the successful repositioning of the UK Agriculture Division, which is now focused on value-added feed additives, and Vitrition, our organic feed business, which is performing very well."

Its Chinese wholly owned subsidiary Kiotechagil (Shanghai) saw  150% sales growth for the period, albeit from a small base, demonstrating the effectiveness of employing staff locally. Building on the experience gained in China, the Group intends to replicate this process in other areas, including Brazil, where local account managers have recently been recruited.

Among the various business segments, Vitrition, Anpario's organic feed division, has performed well, gaining market share in a very tough market. Also, the Group's aquaculture interests have now been consolidated under the Meriden brand where the sales team will have a broader range of aquaculture products to offer customers.

The company reports that the second half is maintaining the progress of the first and the Group's overall performance is in line with its budget.