Agri-pharmaceutical firm Norbrook has seen its profits soar by more than 40% in just a year, according to its most recent accounts.
Pre-tax profits at the firm – which is headquartered in Rostrevor, Co. Down – rose from £35.5 million (€40.1 million) in 2015-16 to £50.2 million (€56.8 million).
Sales also increased by 13.9% over the year ending July 28, 2017. It builds on a strong performance in 2017 when sales were up by 10.7%.
However, despite good performance, the company’s strategic report warned that uncertainties associated with Brexit had made it difficult to plan ahead and could potentially affect the firm’s future profits.
‘Well positioned’
Writing in the strategic report, Norbrook director JP McGrath said the firm was “well positioned” to capitalise on a number of opportunities within the animal health industry.
McGrath added: “The group has a strong pipeline of new products under development and the directors are confident that this, along with additional investment in manufacturing, information technology, and management structures will support the positive momentum of the business.”
The firm currently employs more than 2,000 people and spent £11 million (€12.4 million) on research and development in 2016.
Brexit
The weaker sterling was also noted as having a positive effect on the business’ exports; however, uncertainty ahead was making longer term planning difficult.
McGrath said: “The uncertainty, however, makes it difficult to plan for the medium to long term and any restrictions to free trade or introduction of duties or tariffs which may arise in the years ahead could have a negative impact on the financial performance of the business.
“The company continues to monitor developments with a view to formulating a strategy to mitigate and manage the risks to the business that may flow from the exit of the UK from the EU.”
