Another year, another business reshuffle at pharma outsourcer UDG Healthcare (UDG) which has, once again, left full-year numbers looking a little puzzling. In April 2016 the group disposed of the United Drug Supply Chain businesses and vaccinations provider MASTA in order to focus on manufacturing and communications services where there is huge potential for growth. The disposals brought in €132m (£112m) of profit and swung the balance sheet into a net cash position, providing scope for acquisitions.
Reported figures omit the €17.6m of operating profit the discontinued businesses contributed prior to their disposal but, excluding that and other one-offs, operating profit rose 8 per cent to €104m. The latter growth was largely as a result of the excellent US performance of the Sharp packaging business, where operational capacity has been increased by 30 per cent.