11 Sep 2019 07:00
Consort Medical plc
11 September 2019
Annual General Meeting Trading Update
Consort Medical plc (LSE: CSRT) ("Consort" or "Consort Medical"), a leading developer and manufacturer of drugs and premium drug delivery devices, issues this trading update ahead of its Annual General Meeting (AGM) later today.
The Group's underlying performance, excluding the incident at Cramlington announced on 15 July 2019, is in line with expectations for the full year. The Bespak devices business is performing well supported by the core MDI valves business and contract awards announced with the full year results. Aesica's results for the first half of the year will reflect the significant operational disruption caused by the incident combined with a slower start to the year.
Following the incident in its Cramlington manufacturing facility that produces Active Pharmaceutical Ingredients (APIs), Consort undertook appropriate safety reviews at all our sites. Although this caused some short-term operational disruption, all processes are now operating normally again, with the exception of the specific Cramlington processes.
We have recently completed the decontamination of the Cramlington plant impacted by the incident which has taken significantly longer than we had initially expected. We are now progressing the investigation of the root causes of the incident. The manufacture of the specific product involved in the incident will only be restarted once the investigation has been completed and appropriate actions have been agreed.
As a result of the above, we now believe that the impact on operating profit is likely to be between £7 million to £9 million in the current financial year, although this will depend on the timing of our anticipated ability to restart manufacture. The Group is working closely with its insurance brokers and the estimated impact does not factor in any claims potentially recovered under its insurance policies.
Enquiries:
Consort Medical | Tel: +44 (0) 1442 867920 |
Jonathan Glenn - Chief Executive Officer | |
Paul Hayes - Chief Financial Officer | |
FTI Consulting | Tel: +44 (0) 20 3727 1000 |
Ben Atwell / Simon Conway |
About Consort Medical plc
Consort Medical plc is a leading, global, single source pharma services drug and delivery device company. We are at the leading edge of innovation and we are committed to investing in patient, clinician and customer driven innovation to create new treatments, new markets and new opportunities.
Our businesses:
Bespak is a global market leader in the manufacture of drug delivery devices for pharmaceutical partner companies, including respiratory, nasal, injectables and ocular products, and the manufacture of devices for the point of care diagnostics market. www.bespak.com.
Aesica is a leading provider of finished dose and active pharmaceutical ingredient (API) development and manufacturing services to pharmaceutical partners. www.aesica-pharma.com.
We employ approximately 2,000 people globally of which approximately 1,400 are located in the UK. We have UK facilities in King's Lynn, Cambridge, Nelson, Milton Keynes, Cramlington, Queenborough and Hemel Hempstead, German facilities in Monheim and Zwickau and a facility in Pianezza, Italy. Consort Medical is a public company quoted on the premium list of the London Stock Exchange (LSE: CSRT). www.consortmedical.com.
This announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014.