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Brakke Consulting’s
Animal Health News & Notes for March 23, 2018
Copyright © Brakke Consulting, Inc.
Editor: Lynn Fondon DVM MBA
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IN THE NEWS:
Brakke Consulting news
OTC Channel
Pain Management Products report – order by March 30 for discount
earnings news
Adisseo
Kane Biotech
Neogen
other news
Adisseo
AVF
BioAdaptives
CASCO Pet
Central Garden & Pet (CASCO)
Central Garden & Pet (Comfort Zone)
FibreCycle Pty Ltd
InClover
Kent Pet Group,
Kinetic Vet
La-Z-Boy
Mad Paws
Merck
Petmate
Petnet
Petnostics
Philco Animal Health
Vetstream
Zoetis (plant expansion)
Zoetis (Equivac HeV)
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BRAKKE CONSULTING, INC.
2018 PAIN MANAGEMENT PRODUCTS REPORT
LAST WEEK FOR PRE-ORDER DISCOUNT!
Pain management is one of the leading topics in veterinary medicine today. Brakke Consulting’s annual report on Pain Management Products for Dogs and Cats includes such valuable information as:
– overview of acute and chronic pain in small animals
– review of new products, including Galliprant and Nocita
– estimates of US sales and prices of leading products
– pain management products in development
– review of nutritional supplements used for chronic pain
– review of therapeutic diets for joint care
– 2018 survey of 300 small animal veterinarians regarding use of pain management products
Pain Management Products for Dogs and Cats 2018 can be purchased for $4,995 if ordered by March 30, 2018, and $5,750 thereafter. The report will be completed in April. Questions about the study can be answered by project manager Lynn Fondon, DVM, MBA at 972-243-4033, or email Lfondon@brakkeconsulting.com.
www.BrakkeConsulting.com
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COMPANY EARNINGS RELEASES
• Neogen Corporation announced results for the third quarter of its 2018 fiscal year ended Feb. 28. Revenues increased 8% to $96 million. Third quarter net income was $16.6 million, an increase of 61% compared to the prior year. Revenues for the Animal Safety unit were $48 million, an increase of 6%. (company press release)
• Kane Biotech Inc. announced its 2017 year-end results. Revenues were C$1,035,302 (US$825,000), an increase of 173% compared to the prior year. Product revenues were C$347,071 and licensing, royalty and option revenues were C$688,231. The net loss for the year was C$(2,786,174) (US$(2.2 million)), an increase of 9% compared to the prior year. (company press release)
• Adisseo reported results for the full year 2017. Operating revenue was CNY10.4 billion (US$1.6 billion), a decrease of 3% compared with last year mainly driven by the significant decrease of methionine prices in 2017. Net profit attributable to shareholders was CNY1.3 billion ($300 million), a decline of 29%. (company website)
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COMPANY NEWS RELEASES
• Zoetis Inc. announced a plan to expand capacity at its Global Manufacturing and Supply facility in Kalamazoo, Mich. Zoetis will install two new production lines and related operations to manufacture oral tablet and chewable medicines for companion animals. (company website)
• Kinetic Vet announced the launch of Pentosan Polysulfate, a veterinary medical device designed to temporarily coat and replenish the glycosaminoglycan (GAG) layer in the urinary bladder. Pentosan Polysulfate is for use in cats, dogs, and horses. (company press release)
• Vetstream announced that it is extending its relationship with CABI (Centre for Agriculture and Biosciences International) in the development of Vetlexicon Bovis, its digital point-of-care resource for veterinarians specializing in cattle and general livestock. Bovis is an extension to Vetstream’s Vetlexicon series and its first service in the livestock sector. (company press release)
• Central Garden & Pet announced that its Comfort Zone pheromone products have been re-engineered with updated formulas that mimic cats’ natural soothing pheromones and an advanced diffusion system, for longer-lasting diffusion and more coverage than before. (company press release)
• Central Garden & Pet Company and CASCO Pet announced a partnership to become the singular solution provider for retailers across the aquatic, reptile, small animal and pet bird categories. (Pet Product News)
• InClover introduced two new pet supplements: BioRadiant, a mix-in powder for skin and coat to support a canine’s healthy, glowing coat, and BioResiliant, which is designed to promote healthy skin and less discomfort while addressing environmental allergies. (Pet Age)
• Petmate and La-Z-Boy announced an exclusive pet licensing agreement to introduce the La-Z-Boy Pet collection, featuring quality crafted pet beds. (Pet Product news)
• Petnet and Petnostics announced an agreement to integrate diagnostic data with nutrition. The agreement will enable Petnet customers to benefit from Petnostics’ intelligent health diagnostics technology to buy their pet the right food. (Animal Pharm)
• EU The European Medicines Agency’s Committee for Medicinal Products for Veterinary Use (CVMP) has offered a positive opinion ruling for Merck’s Bravecto Plus (fluralaner/moxidectin). The spot-on solution is intended for the treatment of tick and flea infestations in cats; the prevention of heartworm disease caused by Dirofilaria immitis; and the treatment of infections with intestinal roundworm and hookworm in cats. (Animal Pharm)
• EU Seventure Partners announced that it has launched AVF, an innovative venture capital fund targeted at supporting companies in the field of animal health, feed and nutrition. The first close of AVF at EUR 24 million ($29 million) is cornerstoned by Adisseo. (Business Wire)
• AUSTRALIA Horse owners in Australia have launched an A$53 million class action lawsuit against Zoetis Australia PTY LTD, claiming that the company did not provide adequate warnings about the potential side effects of the Equivac HeV Hendra vaccine on their horses. According to the lawsuit, about 1,500 horses have experienced adverse reactions and have not been able to return to their regular work. (abc.net.au)
• CANADA BioAdaptives, Inc., announced that it has signed a Letter of Intent to acquire the assets of Philco Animal Health Inc., a Canadian-based facility that can produce a complete line of veterinarian products for BioAdaptives under GMP conditions and market them worldwide. Philco has performed toll manufacturing activities under various contracts for veterinary DIN medication products which included the production of a variety of dosage forms. Financial terms were not disclosed. (Globenewswire.com)
• AUSTRALIA Kent Pet Group, Inc., a subsidiary of Kent Corporation, and the maker of World’s Best Cat Litter, announced it has acquired FibreCycle Pty Ltd, an Australian manufacturer of recycled-paper cat litters and small-pet bedding brands. Financial terms were not disclosed. (Pet Product News)
• AUSTRALIA Qantas Airlines has invested $5 million into the dog-walking app Mad Paws, an Australia-based startup that connects dog walkers and pet sitters with pups (and owners) in need. Qantas and Mad Paws had previously partnered by letting Mad Paws members earn Qantas points on their site. (Veterinary Advantage – Fast Company)
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ANIMAL HEALTH NEWS
• US – VETERINARY BIOLOGICS REGULATIONS USDA’s Animal and Plant Health Inspection Service (APHIS) issued updates to its regulations to clarify points about how expiration dates on veterinary biologics should be calculated and confirmed. The new rule, which becomes effective on April 13, 2018, can be found in the Federal Register at https://www.federalregister.gov/documents/2018/03/14/2018-05143/viruses-serums-toxins-and-analogous-products-expiration-date-required-for-serial-and-subserials-and. (Bovine Veterinarian)
• US – EQUINE STRANGLES GUIDELINES The American College of Veterinary Internal Medicine has published a new consensus statement on treating, controlling and preventing strangles in horses. The consensus statement was published in the Journal of Veterinary Internal Medicine. (Feedstuffs)
• US – PUBLIC HEALTH The University of Missouri has opened applications for the nation’s first online master’s program in veterinary public health. The online program will look into the role of animals in the health of human communities. The master’s degree in veterinary public health is currently offered in class but the online program will open up in the fall. (AVMA SmartBrief – KBIA.org)
• US – CANCER RESEARCH A researcher at Arizona State University (ASU) has been awarded $6.4 million by the Open Philanthropy Project to test a preventative canine cancer vaccine. The frameshift peptide (FSP) vaccine will be tested in at least 800 healthy, middle-aged pet dogs, some of which will receive the vaccine and some which will receive a mock vaccine. The dogs will live their normal lives at home and receive biannual exams with a complete clinical pathology workup. Each owner whose dog develops cancer during the trial will be given a credit toward medical expenses. Cancer will not be induced in the dogs so the effectiveness of the vaccine will only be tested against naturally occurring cancer. (Animal Pharm)
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BRAKKE CONSULTING, INC.
UNDERSTANDING THE OVER-THE-COUNTER MARKET
Whether your business is considering the OTC channels for new business opportunities or you have been distributing in the OTC channels for years, Brakke Consulting’s team can provide significant and quality assistance to businesses seeking to learn more about the details of the OTC channels of distribution. If you are looking for meaningful insights into the OTC channels, the trends found there, and the opportunities that exist, contact our Dallas office or Joel Adamson at adamson.joel@cox.net.
www.BrakkeConsulting.com
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BRAKKE CONSULTING VIEWPOINT
It is hard to believe that next week will be the final week in the first quarter of 2018. Now that most of the major US animal industry meetings are behind us it’s time to roll up the sleeves and get to work on achieving the 2018 goals and objectives.
We’re always a bit reluctant to project year end revenues until we have at least 6 months of data. However, in conversations with some industry executives the past two weeks it sounds like first quarter revenues will be on the soft side versus prior year. Because flea/tick/heartworm products are making up a higher percentage of industry revenue, the cooler and even winter weather conditions still hitting some areas of the US could depress sales year-to-date compared to prior years.
At the same time there has been a limited number of significant new product introductions that would increase overall industry revenue in 2018. The need for new innovation continues to exist in the industry with regulatory requirements related to new drugs and chemicals reducing the interest of the financial community. It takes money to innovate!
Have a great weekend!
Ron Brakke
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Brakke Consulting, Inc.
12005 Ford Rd., Suite 530
Dallas, TX 75234 USA