{"id":54181,"date":"2023-02-23T08:03:09","date_gmt":"2023-02-23T07:03:09","guid":{"rendered":"https:\/\/pharma-trend.com\/en\/genus-plc-interim-results-for-the-six-months-ended-31-december-2022\/"},"modified":"2023-02-23T08:03:09","modified_gmt":"2023-02-23T07:03:09","slug":"genus-plc-interim-results-for-the-six-months-ended-31-december-2022","status":"publish","type":"post","link":"https:\/\/pharma-trend.com\/en\/genus-plc-interim-results-for-the-six-months-ended-31-december-2022\/","title":{"rendered":"Genus plc Interim results for the six months ended 31 December 2022"},"content":{"rendered":"
\n

\nGOOD FINANCIAL AND STRATEGIC PROGRESS ACHIEVED<\/b>\n<\/p>\n

\nWEBCAST AVAILABLE AT 7:01AM GMT, 2.01 EST<\/i>\n<\/p>\n

LONDON–(BUSINESS WIRE)–Genus (LSE:GNS), a leading global animal genetics company, today announces its interim results for the six months ended 31 December 2022. The full report has been made available on the investors<\/a> section of the Genus plc website. The Company will discuss its corporate, operational and financial highlights in a pre-recorded webcast<\/a> at 7:01 AM GMT, 2.01 EST.\n<\/p>\n

\nCommenting on the performance and outlook, Stephen Wilson (Chief Executive) said:<\/b>\n<\/p>\n

\n\u201cThe Group achieved a good performance during the first half of the year, despite challenging market conditions for producers in several markets. PIC delivered a new record half year performance, with strong momentum in North America in particular, and China\u2019s performance improved as the porcine market began a gradual recovery from the cyclical downturn, as we had expected.\n<\/p>\n

\n\u201cThe China porcine market has been on a path to recovery since June 2022, but continues to be volatile. Since December the changes in China\u2019s COVID-19 polices and outbreaks of ASF have caused imbalances in supply and demand. The pig price peaked at 28 RMB\/kg in October, but has since unexpectedly reduced to the current price of 15 RMB\/kg. Industry projections suggest prices will recover in Spring\/Summer of 2023, with consumer demand expected to improve following the reduction of COVID-19 restrictions and supply expected to reduce. However, there is still uncertainty as to the shape and strength of this recovery.\n<\/p>\n

\n\u201cAcross the regions ABS has continued to expand business with strategic accounts by building long-term partnerships and offering the leading combination of Sexcel and NuEra beef genetics. This, along with robust price increases to counter inflation, meant ABS achieved strong performances outside Latin America, in particular in North America. Latin American beef and dairy producers faced very challenging conditions during the period, as a result of the inflationary effects on input costs and weak consumer demand. As a result, ABS\u2019s volume in Latin America declined, despite growing market share in Brazil. The political and economic uncertainties in the region are expected to continue to weigh on beef and dairy producers across Latin America for the remainder of the fiscal year.\n<\/p>\n

\n\u201cWe also made good strategic progress with further investments in R&D, with an increase of spend on gene editing as we move towards FDA and international regulatory approval of our PRRSv-resistant pigs.\n<\/p>\n

\n\u201cThe Board remains confident in the Group\u2019s strategy and the many opportunities for Genus. Expectations for the 2023 fiscal year remain unchanged.\n<\/p>\n

\n\u201cIn a separate statement also made today, I have announced my intention to retire on 30 September 2023 following ten years with Genus, the last four of which I have served as the CEO. It has been a great privilege and pleasure to lead such a talented group of people and help to develop Genus into the leading global animal genetics business it is today.\n<\/p>\n

\n\u201cGenus has many strong growth opportunities, and I will remain fully focused on the continued successful execution of our strategy while the Board progresses the search for my successor, in order to achieve a smooth transition.\u201d\n<\/p>\n

\nOutlook<\/b>\n<\/p>\n

\nAs stated above, conditions remain challenging for our customers in several parts of the world. The most volatile conditions are currently being experienced by Chinese pig producers and Brazilian beef producers, and whilst there is some uncertainty as to when a sustained improvement will occur in those markets, we are confident that Genus remains well-placed to take advantage of a recovery. However, the performances of our business elsewhere, in particular in North America, are a testament to the benefits of Genus\u2019s geographic diversification and the strength of our strategy. More broadly, our strong product portfolio and depth of talent in our company give us confidence that we will continue to make strategic and financial progress. Taking these factors into account, the Board\u2019s expectations for the 2023 fiscal year remain unchanged.\n<\/p>\n

\nResults presentation today<\/b>\n<\/p>\n

\nA pre-recorded analysts and bankers briefing to discuss the preliminary results for the six months ended 31 December 2022 will be held via a video webcast facility and will be accessible via the following link from 7:01am today:\n<\/p>\n

\nhttps:\/\/stream.buchanan.uk.com\/broadcast\/63cab28d777efd4a8b5137d0<\/a>\n<\/p>\n

\nThis will be followed by a live Q&A session to be held by invitation via Zoom at 10:30am. Please contact Verity Parker at Buchanan for details; verityp@buchanan.uk.com<\/a>\n<\/p>\n

\nResults Highlights<\/b>\n<\/p>\n\n\n\n\n\n\n\n\n\n\n\n\n\n
\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\nAdjusted results1<\/sup><\/b>\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\nStatutory results<\/b>\n<\/p>\n<\/td>\n<\/tr>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\nActual currency<\/b>\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\nConstant currency change2<\/sup><\/b>\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\nActual currency<\/b>\n<\/p>\n<\/td>\n<\/tr>\n

\n

\nSix months ended 31 December<\/b>\n<\/p>\n<\/td>\n

\n

\n2022<\/b>\n<\/p>\n<\/td>\n

\n

\n2021<\/b>\n<\/p>\n<\/td>\n

\n

\nChange<\/b>\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n2022<\/b>\n<\/p>\n<\/td>\n

\n

\n2021<\/b>\n<\/p>\n<\/td>\n

\n

\nChange<\/b>\n<\/p>\n<\/td>\n<\/tr>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n\u00a3m<\/b>\n<\/p>\n<\/td>\n

\n

\n\u00a3m<\/b>\n<\/p>\n<\/td>\n

\n

\n%<\/b>\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n%<\/b>\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n\u00a3m<\/b>\n<\/p>\n<\/td>\n

\n

\n\u00a3m<\/b>\n<\/p>\n<\/td>\n

\n

\n%<\/b>\n<\/p>\n<\/td>\n<\/tr>\n

\n

\nRevenue\n<\/p>\n<\/td>\n

\n

\n350.2<\/b>\n<\/p>\n<\/td>\n

\n

\n281.2\n<\/p>\n<\/td>\n

\n

\n25\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n13\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n350.2<\/b>\n<\/p>\n<\/td>\n

\n

\n281.2\n<\/p>\n<\/td>\n

\n

\n25\n<\/p>\n<\/td>\n<\/tr>\n

\n

\nOperating profit\n<\/p>\n<\/td>\n

\n

\n41.2<\/b>\n<\/p>\n<\/td>\n

\n

\n35.0\n<\/p>\n<\/td>\n

\n

\n18\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n6\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n14.7<\/b>\n<\/p>\n<\/td>\n

\n

\n23.9\n<\/p>\n<\/td>\n

\n

\n(38)\n<\/p>\n<\/td>\n<\/tr>\n

\n

\nOperating profit inc JVs\n<\/p>\n<\/td>\n

\n

\n48.3<\/b>\n<\/p>\n<\/td>\n

\n

\n39.7\n<\/p>\n<\/td>\n

\n

\n22\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n9\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\nn\/a<\/b>\n<\/p>\n<\/td>\n

\n

\nn\/a\n<\/p>\n<\/td>\n

\n

\nn\/a\n<\/p>\n<\/td>\n<\/tr>\n

\n

\nOperating profit inc JVs exc gene editing\n<\/p>\n<\/td>\n

\n

\n56.0<\/b>\n<\/p>\n<\/td>\n

\n

\n43.3\n<\/p>\n<\/td>\n

\n

\n29\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n15\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\nn\/a<\/b>\n<\/p>\n<\/td>\n

\n

\nn\/a\n<\/p>\n<\/td>\n

\n

\nn\/a\n<\/p>\n<\/td>\n<\/tr>\n

\n

\nProfit before tax\n<\/p>\n<\/td>\n

\n

\n42.2<\/b>\n<\/p>\n<\/td>\n

\n

\n37.0\n<\/p>\n<\/td>\n

\n

\n14\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n1\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n15.0<\/b>\n<\/p>\n<\/td>\n

\n

\n24.4\n<\/p>\n<\/td>\n

\n

\n(39)\n<\/p>\n<\/td>\n<\/tr>\n

\n

\nFree cash flow\n<\/p>\n<\/td>\n

\n

\n(3.3)<\/b>\n<\/p>\n<\/td>\n

\n

\n(16.1)\n<\/p>\n<\/td>\n

\n

\nn\/m3<\/sup>\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\nn\/m3<\/sup>\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n

\n

\nBasic earnings per share (pence)\n<\/p>\n<\/td>\n

\n

\n48.8<\/b>\n<\/p>\n<\/td>\n

\n

\n42.4\n<\/p>\n<\/td>\n

\n

\n15\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n2\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n20.4<\/b>\n<\/p>\n<\/td>\n

\n

\n30.4\n<\/p>\n<\/td>\n

\n

\n(33)\n<\/p>\n<\/td>\n<\/tr>\n

\n

\nDividend per share (pence)\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n10.3<\/b>\n<\/p>\n<\/td>\n

\n

\n10.3\n<\/p>\n<\/td>\n

\n

\n–\n<\/p>\n<\/td>\n<\/tr>\n<\/table>\n

\nGood Group performance<\/b>\n<\/p>\n