UniPhar turns a healthy €15.6m profit

DRUG distributor UniPhar recorded a 41% rise in profits last year to €15.6 million.

The company, which supplies 500 pharmacies across the country, said turnover in 2005 rose by 21% to €618m.

The results were boosted by a number of acquisitions in recent years.

The company said earnings per share were 40% higher at 52.9 cents.

UniPhar is proposing to pay its shareholders a dividend of 6 cents a share, 14% ahead of the 2004 payout and up 85% over the last five years.

UniPhar chief executive Jim Canavan said that the profit growth was ahead of that of the company's main competitions.

"Our continued investment in the independent pharmacy ownership scheme (IPOS) was also one of the key objectives at the start of the year and I am delighted to report significant progress in this area," Mr Canavan said in a statement.

He warned, though, that the company's wholesale division was facing the prospect of a product prices cut following a review of pricing with the Irish Pharmaceutical Healthcare Association.

"We are confident that our strategy of supporting community pharmacy ownership and the diversification of our business will continue to drive the success of our Group," said Mr Canavan said.

He added that the company was at "an advanced stage" of making its first venture into the British market.

UniPhar is also planning a move out of its existing Dublin facility to a new greenfield site.