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Brakke Consulting’s
Animal Health News & Notes for December 10, 2010
Copyright © Brakke Consulting, Inc.
Editor: Lynn Fondon, DVM MBA
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IN THE NEWS:
Brakke news
2010 Flea Study
2011 Industry Overview
earnings news
ECO
Smithfield Foods
Spectrum Brands
other news
Abaxis
Butterball
Hendrix Genetics
Imagilin Technology
Intervet/Schering-Plough
Lithgows
Mitsui Foods
Natura Pet
Nippon Penet
Seaboard
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NOW AVAILABLE
US FLEA CONTROL AND HEARTWORM MARKETS
2010 UPDATE
Brakke Consulting announces our 2010 report on the US Flea Control and Heartworm Markets. The report includes valuable information on the US market for small animal parasiticides including:
– an overview of the veterinary and OTC flea control markets
– Product descriptions, prices, and sales for the leading veterinary flea and heartworm products
The report also includes a 2010 survey of over 200 veterinarians regarding topics such as product usage, brand switching, the effect of the economy on product sale; the impact of product sales outside the veterinary clinic channel; and developing resistance to new-generation products.
The report on the US Flea Control & Heartworm Markets is available for a purchase price of $5,500.
Please contact Dr. Lynn Fondon at (972) 243-4033 or lfondon@brakkeconsulting.com to order the report, or for more information visit our website at www.BrakkeConsulting.com
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COMPANY EARNINGS RELEASES
> ECO Animal Health reported interim results for the 6 months ended September 30, 2010. Turnover on continuing operations rose 39% to GBP 12.3 million ($19.4 million). Profit for the period was GBP 419,000 ($662,000), a 23% increase over the comparable period in the prior year. (Business Wire)
> Spectrum Brands Holdings, Inc. announced its fiscal 2010 full-year results for the period ended September 30, 2010. The Global Pet Supplies segment delivered net sales of $140 million for the fourth quarter of fiscal 2010, compared with $155 million in the comparable year-ago period. (company website)
> Smithfield Foods Inc. reported record earnings for its second fiscal quarter 2011, ended Oct. 31. Net income was $144 million, compared with a net loss of ($26.4 million) for the same period a year ago. Sales were $3.0 billion, up 11% over the same period a year ago. (Meating Place)
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COMPANY NEWS RELEASES
> Intervet/Schering-Plough Animal Health announced the availability of Protazil, the first and only alfalfa-based top-dress, antiprotozoal pellet indicated for the treatment of equine protozoal myeloencephalitis (EPM) caused by Sarcocystis neurona (S. neurona) in horses. Protazil is an alfalfa-based pellet containing 1.56% diclazuril that is fed as a top-dress on the horse’s daily grain ration. (company press release)
> Abaxis, Inc. announced the launch of the VetScan VSFibrinogen Test, the first automated fibrinogen test. The new test is designed for use with the simple and portable VS-specialty analyzer. (Veterinary Advantage)
> Imagilin Technology announced the launch of its new probiotic product MitoHorse. MitoHorse contains a unique formulation of Pediococcus acidilactici which Imagilin believes to be superior to the commercially available Lactobacillus and Bifidobacterium bacteria strains; the product also includes a blend of Saccharomyces boulardii which has been found in several research papers to be beneficial for equines. (company press release)
> Natura Pet introduced six new senior formulas to its EVO, California Natural, and Innova lines of premium pet foods. (Pet Business)
> Seaboard Corp., announced the completion of the acquisition of a 50% interest in Butterball LLC, the largest turkey integrator in the US. Terms were not released, but analysts have put the acquisition price at $178 million. Smithfield Foods Inc. had owned 49% of the company in partnership with Maxwell Farms LLC but triggered a buy/sell agreement earlier this year in which it offered to buy Maxwell’s 51% interest or to sell its 49% share to Maxwell. Maxwell purchased Smithfield’s 49% share, and Maxwell and Seaboard then announced that they would divide Butterball into a 50-50 partnership. (Feedstuffs)
> Hendrix Genetics B.V., a multi-species breeder of pigs, layers and turkeys, announced an agreement in which it will acquire the Landcatch salmon breeding divisions of Lithgows Ltd, thereby entering the fish genetics market. Financial terms were not disclosed. (Feedstuffs)
> JAPAN Mitsui Foods Co., announced it has acquired the pet care products business of Nippon Penet, the third-largest pet product wholesaler in Japan. Nippon Penet’s net sales were Y 25 billion ($166 million). Both companies are subsidiaries of Mitsui & Co. (Animal Pharm)
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ANIMAL HEALTH NEWS
> US – RACEHORSE CARE The American Association of Equine Practitioners has released guidelines for veterinarians who treat racehorses. The AAEP Racing Committee, formerly the AAEP Racing Task Force, developed The “Clinical Guidelines for Veterinarians Practicing in a Pari-Mutuel Environment.” (AVMA)
> US – ANTIBIOTIC USE The FDA released the first-ever government report of the quantities of antimicrobial drugs sold domestically for use in food animals. The total was 28.7 million pounds for calendar year 2009. The agency did not, however, report the data in a way that makes it possible to distinguish the quantities of drugs used to treat sick animals from those used to promote growth or prevent disease. (FDA)
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REGISTER NOW FOR
BRAKKE CONSULTING’S 2011 INDUSTRY OVERVIEW
AT NAVC AND WVC
Brakke Consulting will be presenting its annual US Animal Health Industry Overview at the North American Veterinary Conference and the Western Veterinary Conference in 2011.
NAVC Overview
Monday, January 17th, 2011
2:00 – 4:00 pm
Gaylord Palms, Orlando
WVC Overview
Date: Tuesday, February 22, 2011
Time: 2:00 – 4:00 pm
Place: The Four Seasons Hotel, Las Vegas
To register, go to www.brakkeconsulting.com and look for the Overview link in the “What’s New” box. Payment by major credit card is required at time of registration.
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BRAKKE CONSULTING VIEWPOINT
We are slowly closing down 2010 with not a great deal of news to report. Many companies are now working hard on their early 2011 sales meetings and marketing plans so that they are ready for NAVC and other meetings.
Most of the new products being introduced or company mergers are minor entries into the marketplace. However, we continue to be pleased with the interest level that financial firms are taking related to the animal health market. Animal health appears to be a good place to invest compared to other product areas.
Earlier this week the Brakke family decided that the best place for our funds for Christmas Gifts for 2010 was in the purchase of animals and poultry to be given to needy families in underdeveloped countries around the world. In the process of placing orders for a number of sheep, goats, cows, pigs, ducks and baby chicks, it struck me that this was almost the perfect gift for someone involved and indebted to the animal health industry. Our family gift, though small, will impact 50-plus needy families in underdeveloped countries. These first animals and poultry along with their offspring will need veterinary care and animal health products.
I encourage others in the animal health industry to consider similar gifts. We have learned in the process that many religious outreach groups, as well as other secular organizations, have a program of this type in their system. If you need some contact numbers let me know. It’ll put you in the Holiday Spirit!!
Have a nice weekend!!
Ron Brakke
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Brakke Consulting, Inc.
2735 Villa Creek, Suite 140
Dallas, TX 75234 USA
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