Healthcare services company United Drug has said it has made a very good start to the financial year with all divisions trading well with especially strong growth in its US business.
In a trading update, the company said that group revenues and profits for the three months to the end of December are ahead of last year and company expectations. It noted continued strong cash flow generation and said that over 60% of profits are being generated outside of Ireland.
United Drug said that revenues and profits at its contract sales and marketing services division are well ahead of last year. But its healthcare supply chain figures are being affected by regulatory changes over the last year and low capital spending in both Irish and UK hospitals.
The company said that profits and revenues at its packaging and speciality divisions are well ahead of last year.
'Based on trading for the year to date, the outlook for the remainder of the year and current exchange rates, the group expects earnings per share for the year to September 2011 to be ahead of last year,' the company said.
