**Summary**
Animalcare Group plc, an international animal health business, reported strong financial results for the year ended 31 December 2025. Revenue increased by 20.0% to ยฃ89.1 million, driven by the significant contribution from Randlab and organic growth across all product categories. Underlying EBITDA rose by 52.6% to ยฃ17.7 million, with improved margins. Underlying profit after tax from continuing operations was ยฃ10.9 million, and underlying continuing basic EPS increased by 44.0% to 15.7 pence. The company maintained a strong cash conversion rate of 79.7% and ended the year with net debt of ยฃ9.1 million.
Strategically, Animalcare expanded its presence in Asia-Pacific through Randlab, which performed ahead of expectations, and made a 25% strategic equity investment in InVetro, an Australian Companion Animal business. The company also strengthened its product pipeline with acquisitions and partnerships, including the VHH NGF antibody programme and a license agreement for an Equine Sweet Itch treatment. R&D investment increased to 4.5% of revenue, reflecting accelerated activity.
Post-period, Animalcare announced a recommended acquisition by CCP Paw 2 Limited, a subsidiary of funds managed by Charterhouse Capital Partners LLP. The Board proposed no final dividend for 2025 due to this development. Trading since the period end has been in line with management expectations.
The companys financial performance was underpinned by strong execution, strategic progress, and the successful integration of Randlab. Animalcares growing international footprint, continued growth in leading brands, and an attractive product portfolio position it well for future growth. The acquisition by Charterhouse is expected to provide a superior outcome for stakeholders, offering a premium to recent share trading and reflecting Animalcares future growth prospects.
### Key Observations:
1. **Revenue Growth**: Revenue increased by 20.0% from ยฃ74.2m in 2024 to ยฃ89.1m in 2025, primarily driven by the acquisition of Randlab and organic growth across all product categories.
2. **Underlying EBITDA**: Underlying EBITDA saw a significant increase of 52.6% from ยฃ11.6m to ยฃ17.7m, reflecting improved operational efficiency and the contribution from Randlab.
3. **Net Debt**: Net debt remained relatively stable, increasing slightly from ยฃ9.0m to ยฃ9.1m, with leverage at 0.7 times underlying EBITDA.
4. **EPS Growth**: Basic underlying continuing EPS increased by 44.0% from 10.9 pence to 15.7 pence, driven by strong profit contributions and higher net finance income.