Newry veterinary pharma firm Norbrook Holdings has reported a 36% increase in profits and a bumper order book as it prepares a new plan for future expansion following years of significant transformation.
The company, a leading global provider of veterinary pharmaceuticals enhancing the health of both companion (pets) and farm animals, saw a slight reduction in its revenues to £219 million, mainly as a result of the impact of foreign exchange rates (notably in Kenya, where Norbrook now has a significant presence).
But chief executive Andrea Iucci, at the end of his first full year in charge (he took over the reins 13 months ago), has heralded the results as “truly outstanding”, with global sales order intake in the second half of 2024 up 16% compared to 2023, generating a net profit of £5.3m compared to the second half of 2023, which represents an increase of £1.4 million or 35.9% versus last year.
Norbrook says its sustained profit levels highlight resilience and support optimism for future profitability as revenues recover.
Improvements in operational excellence and quality metrics, combined with cost reduction initiatives have seen overall improvements in efficiencies ensuring sustainable business success.
The company grew year-on-year in Ireland, UK, and the Middle East and North Africa (MENA) region, despite facing significant price pressures that created a challenging environment in the USA.
Mr Iucci added: “In 2024, we turned around our global order intake growth, launched an endocrinology companion animal product in the USA and a large animal diagnostic product in the UK, started our first ESG certification, and published our first CSR report.
“Building on Norbrook’s strong foundation in quality, safety, and operations, we are now focused on commercial growth.
“Our new five-year plan is centred on strategic growth initiatives, including a 50% increase in R&D investment to expand our differentiated product pipeline and a refined commercial strategy to extend market reach.”
Norbrook currently employs around 1,700 staff of whom more than 1,300 are based in Newry. It also has a presence in Britain, the Republic, Europe, US, Africa, Australia and New Zealand.
During its last trading year, in a £1.3m investment, Norbrook opened a newly upgraded sterile injectable manufacturing suite in Newry, home to products critical in the treatment and prevention of infections in livestock and pets.
It also invested £2.5m in a state-of-the-art facility in Kenya, designed with high-spec, World Health Organization (WHO)-compliant infrastructure.
Mr Iucci says this facility will be pivotal in producing antiparasitic and anti-infective products tailored for the dairy and livestock industries.
Reflecting on his first year as chief executive, he adds: “We can already see clear signs of improvements as a result of the measures we are putting in place. I am proud of Norbrook’s progress and confident that, with our dedicated and skilled employees, we are well-positioned to achieve our goals for the year ahead.
“I am particularly pleased that Norbrook is on track to achieve our first Environmental, Social, and Governance (ESG) certification, a journey that aligns well with our values.”
Meanwhile Norbrook has confirmed a number of key regional leadership appointments, including Brian Hopkins, a seasoned leader in the animal health industry, as US vice president of regional sales and marketing; Ned Flaxman, regional head for Great Britain; and Andrea De Marchis as regional head for Europe, Latin America and Asia.