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Brakke Consulting’s
Animal Health News & Notes for December 1, 2023
Copyright © Brakke Consulting
Editor: Lynn Fondon DVM MBA
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IN THE NEWS:
Brakke Consulting News
2024 Industry Overview at VMX and WVC
Complimentary Brakke Recruiting Seminar at VMX
Earnings News
ECO Animal Health Group
Kane Biotech
Patterson
Petco
Post Holdings
Other News
ADM Tronics
Aliph Capital
American Pet Products Association
Apax Digital
Boehringer Ingelheim
Independence Pet Group
K9 Carts
Loyal
Paw Prosper
Pet Products Trading Company
The Pet Summit
Petvisor
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Brakke Consulting
Presented at VMX: Monday, January 15th, 2-4 pm, Hyatt Regency, Orlando Ballroom N
Presented at WVC: Monday, February 19th, 2-4 pm, Four Seasons Hotel
How did the top animal health companies perform in 2023? And what critical issues will impact industry performance in 2024? Answers to these questions and more will be covered at Brakke Consulting’s annual Industry Overview at the VMX and WVC conferences next year. Key topics and presenters include:
- Industry and top global company performance, presented by Bob Jones
- What 2023 looked like in vet practices and with pets, presented by John Volk
- An overview of the post-COVID home delivery channel for pet medications including results from the new Pet Medicines Home Delivery Study, presented by Rich Hayworth
- With recent advancements in technology-related products in livestock production and pet care, where is the value and what are the risks? presented by Lourens Havenga
Also, again at both events, you will be able to hear directly from a panel of top leaders in the animal health industry. Moderated by Paul Casady, the topic for the panel will be “Opportunities and Challenges in 2024.” The panel for VMX and WVC will be announced soon.
This information-packed 2-hour session will be especially valuable for executive leadership, sales and marketing, strategy, and finance managers and for decision makers in the animal health industry.
Click here to register for VMX
Click here to register for WVC
You can also email Amanda McDavid or call at 336-396-3916. Registration cost is $399; there are discounts for multiple attendees from the same company. We look forward to seeing you there!
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EARNINGS NEWS RELEASES
- Patterson Companies, Inc. reported operating results for its fiscal 2024 second quarter ended October 28, 2023. Reported net sales in the Animal Health segment for the second quarter of fiscal 2024 were $1.02 billion, an increase of 2% year-over-year (+1% currency adjusted). (company press release)
- ECO Animal Health Group plc reported earnings results for the half year ended September 30, 2023. Group Revenue increased 9% to GBP 38.0 million ($48 million) (+15% on a constant currency basis). Net loss was GBP (1.31) million ($1.65 million) compared to net income of GBP 1.32 million a year ago. (company press release)
- Post Holdings reported results for the full 2023 fiscal year ending September 30, 2023. The firm’s pet food portfolio contributed $680 million in sales. Post Holdings acquired some pet brands from J.M. Smucker during fiscal 2023 and, more recently, private label manufacturer Perfection Pet Foods. (Globalpets)
- Kane Biotech announced its third quarter 2023 financial results. Total revenue was C$717,852 (US$529,000), an increase of 26% due mainly to higher STEM Animal Health (STEM) online and pet retail sales. Loss for the third quarter of 2023 was (C$1,197,889) (US$882,000) compared to (C$851,597) for the quarter ended September 30, 2022. (company press release)
- Petco Health and Wellness Company, Inc. announced its third quarter 2023 financial results. Net revenue was $1.49 billion, a decrease of 0.5% year-over-year. Product revenue declined 3% to $1.26 billion; services revenue increased 15% to $236 million. Net loss was $(1.2) billion, reflecting a $1.2 billion non-cash goodwill impairment charge associated with goodwill originally recorded in 2015, compared to net income of $19.9 million in the prior-year quarter. (company press release)
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Brakke Consulting
Announcing Brakke Consulting’s Inaugural Recruiting Seminar
Monday, January 15 at VMX
Orlando, FL
Hiring managers and talent professionals, join us for an informative and practical seminar at VMX hosted by Executive Recruiter Jeff Santosuosso. We’ll review and discuss the latest ways of breaking through the clutter to attract and hire top talent in today’s increasingly challenging global marketplace. Specific topics will include: attracting Millennials and Gen Z, using video, how to avoid pitfalls in recruiting, and more. If you’re in the market for talent, we know you’ll leave our seminar better equipped and more confident about hiring those stars for your team.
The seminar will be held at the Hyatt Regency, Orlando Ballroom N, Monday January 15, 11:00-12:00 noon. There is no cost, but please RSVP here to secure your seat.
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COMPANY NEWS RELEASES
- Loyal announced that the FDA has given its approval for the Reasonable Expectation of Effectiveness section in application for conditional approval for the company’s drug, LOY-001. According to the company, the drug will extend the lifespan of large- and giant-breed dogs and maintain their quality of life as they age, by reducing insulin-like growth factor 1 (IGF-1), a key biomarker hormone that drives cell growth. (DVM360)
- ADM Tronics announced its upcoming commercial launch of the Vet-Sonotron, a non-invasive veterinary therapy device, for non-drug treatment of pain. (marketscreener)
- Paw Prosper has announced the acquisition of K9 Carts, a pet wheelchair company. Financial terms were not disclosed. (Pet Business)
- Pet insurance company Independence Pet Group (IPG) announced it raised $55.6 million through 27 contributing investors. (Globalpets)
- Petvisor, a veterinary and grooming software platform, announced it secured an investment of over $100 million led by private equity firm Apax Digital with participation from Frontier Growth and PeakSpan Capital. Petvisor’s brands include PetDesk, Vetstoria and Groomer.io. (Globalpets)
- The American Pet Products Association (APPA) announced it has acquired The Pet Summit, an educational conference and online platform dedicated to bringing together pet industry stakeholders. Financial terms were not disclosed. (Pet Business)
- EUROPE Boehringer Ingelheim announced it has received marketing authorization from the European Commission for Senvelgo (velagliflozin) once-daily liquid oral solution for the reduction of hyperglycemia in cats with non-insulin-dependent diabetes mellitus. (company press release)
- SAUDI ARABIA Saudi Arabian pet distributor and supplier Pet Products Trading Company announced it secured a capital injection of up to SAR80 million ($21.3 million) from private equity business Aliph Capital. (Globalpets)
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ANIMAL HEALTH STOCK PRICE TRACKER
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ANIMAL HEALTH NEWS
- US – SWINE REPORTING The USDA for the first time is reporting how many hogs are being raised in compliance with animal confinement legislation (ACL), such as California’s Proposition 12. Until now, ACL hogs have been listed as “other;” but the volume of ACL-compliant hogs under federal livestock reporting laws has become large enough to be listed separately. (Vet Advantage)
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BRAKKE CONSULTING VIEWPOINT
This newsletter contains a reference to a new drug in development by Loyal (part of Cellular Longevity, Inc. of San Francisco, CA.). Loyal’s drug, identified only as LOY-001, may eventually be approved to provide life extension in dogs. This week, Loyal released a widely reported conclusion by the US FDA that “the data you provided are sufficient to show that there is a reasonable expectation of effectiveness,“ which could lead to conditional approval by FDA as early as 2026.
LOY-001 is thought to modulate insulin growth factor-1, or IGF-1, which is associated with aging and longevity, and in dogs is known to play a role in determining body size. This initial offering is expected to be available as an extended release implant for use in large adult dogs, which generally have shorter lifespans than small dogs. Several other products are also in Loyal’s pipeline as follow-on compounds to also provide extended life in adult dogs, and may be effective in oral form as well. Other companies and research institutions have also announced other projects focused on this same goal of extending lifespans in dogs (which of course could lead to similar work in humans).
While in its infancy, this work could profoundly affect the health (and the lifespans) of pets and therefore the practice of veterinary medicine. We’ll keep an eye on these trends and try to keep you up to date on the progress as these drugs move forward. Success is not guaranteed; but innovation will proceed no matter what!
Jim Kroman
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YOUR VIEW
Before Thanksgiving, we asked you why you like the Thanksgiving holiday. 45% of respondents said “it’s a great time to be with family and friends,” and 38% said that “it makes me pause and give thanks for the blessings in life.” It sounds like most of our readers have their priorities straight.
This week
As the year winds down, this week we’re asking you for your prediction of inflation in the US consumer price index at the conclusion of 2023. Since so many economic studies highlight this metric as one of the most impactful measures for average consumers, our overall inflation number for the year will be a big driver of a lot of commentary as we move into this coming election year. Here’s your chance to demonstrate your prediction chops.
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