LONDON (Alliance News) - BTG PLC Tuesday posted a fall in pretax profit for its recently ended financial year as it increased investment in its business, particularly its Interventional Medicine segment, which offset a strong rise in revenue, and it guided for a further increase in revenue for its current year.
For the year to end-March BTG posted a pretax profit of GBP26.7 million, down from GBP33.3 million in the previous year, as a rise in revenue to GBP367.8 million from GBP290.5 million was offset by an increase in selling, general and administrative expenses of GBP124.8 million from GBP84.0 million, and adjusting and reorganisation costs of GBP33.0 million.
BTG attributed the increase in costs to increased investment in its Interventional Medicine segment, including the launch of varicose veins treatment Varithena in the US, and expansion of its EU Interventional Oncology sales force, as well as expansion in Asia. It also settled a patent dispute, and recognised total expenses and one-off settlement costs to GBP8 million.
The company said its had seen revenue growth across each of its business segments, with Interventional Medicine revenue up 44%, Speciality Pharmaceuticals up 18%, and Licensing revenue up 23%.
The company said it expects further growth in its current year, with revenue expected to be between GBP410 million to GBP440 million. It will continue to invest in expanding its commercial footprint and activities to support new product development and expanding its existing products, which it will mostly focus on its Interventional Medicine business.
The company also separately announced that the trial of its PneumRx endobronchial coil met its primary endpoint, demonstrating that it is superior to the standard of care for improving exercise capacity in patients with severe emphysema at six months.
"We look forward to another year of strong progress, confident that the strategy we are following will over time enable us to become a world leader in Interventional Medicine therapies and deliver significant value for all our stakeholders," said Chief Executive Louise Makin in a statement.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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