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Brakke Consulting’s
Animal Health News & Notes for February 4, 2022
Copyright © Brakke Consulting
Editor: Lynn Fondon DVM MBA
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IN THE NEWS:
Brakke Consulting News
2022 Industry Overview
Earnings News
Central Garden & Pet
Hester Biosciences
Hill’s
IDEXX
Krka
Merck
Novozymes
Other News
Allflex
ASPCA Pet Health Insurance
Athian
Bova Holdings Limited
CareCredit
Crum & Forster Pet Insurance Group
Elanco
Ellie Diagnostics
Emergent Health Corp
Hartville Pet Insurance
Merck
Nextmune
Norbrook Labs
Patterson
Petco
Pet Food Experts
Petriage
PharmaZu Corp
Rover.com
Synchrony
Vimian Group
W.F. Young
Zoetis
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Brakke Consulting
Announcing the 2022 Brakke Industry Overview
Presented at WVC: Monday, March 7th, 2-4 pm, Four Seasons Hotel, Acacia Ballroom
We are back to being in person! Come join us at Brakke Consulting’s annual Industry Overview presented at VMX and WVC in 2022. The Overview will feature industry and top global company performance, brand new market research from companion animal veterinarians, and a closer look at the current and future use of monoclonal antibodies in veterinary medicine.
Brand new this year – led by Brakke Senior Consultant Paul Casady, a panel of industry leaders will discuss their views on the outlook for the companion animal market, so you can hear firsthand from these experts. Panelists for WVC will include:
– Mr. Randolph Legg, President and Head of Commercial Business, Boehringer Ingelheim Animal Health USA
– Mr. Steve Shell, President, MWI Animal Health
– Mr. Greg Hartmann, Chief Executive Officer, NVA
Sign up today using this link, or email Amanda McDavid or call her at 336-396-3916. Pre-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
- Merck announced financial results for the full year 2021. Animal Health sales were $5,568 million, an increase of 18% year-over-year (+16% currency adjusted). Sales growth was primarily driven by companion animal products, led by the Bravecto line of products and vaccines. (company press release)
- IDEXX Laboratories, Inc. announced full year 2021 results. Revenue for the full year was $3,215 million, an increase of 19% as reported and 16% on an organic basis. Net income was $745 million, an increase of 28% compared to 2020. Companion Animal Group (CAG) revenue for the year was $2,890 million, an increase of 21%; CAG income from operations was $824 million, an increase of 43% year-over-year. (company press release)
- Colgate-Palmolive Company reported results for full year 2021. Net sales for Hill’s Pet Nutrition were $3,311 million, an increase of 15% year-over-year. Segment operating profit was $901 million, an increase of 14%. (company press release)
- Central Garden & Pet Company announced financial results for its fiscal 2022 first quarter ended December 25, 2021. Net sales for the Pet segment were $436 million, in line with the prior year. Pet segment operating income increased 4% to $45 million. (company press release)
- Novozymes reported results for the full year 2021. Sales from its agriculture, animal health and nutrition division dropped 3% to DKK1.786 billion ($271 million). (IHS Markit Connect)
- Krka reported preliminary results for the full year 2021. The company’s annual animal health revenues were EUR 81.3 million ($90.5 million), an increase of 7%. (IHS Markit Connect)
- Hester Biosciences reported results for the third quarter of its fiscal 2022. Total revenues were INR 540.01 million ($7.22 million), a year-on-year increase of 2%. The company also said it is in the final stage of launching the pet division, with plans to commercialize the division by the end of Q4 FY22. (IHS Markit Connect)
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COMPANY NEWS RELEASES
- Zoetis announced the launch of its Performance Ranch cow-calf management software, in addition to the new BLOCKYARD blockchain technology solution. Both tools are designed to provide cattle producers the information they need at any time, accessible through digital devices anywhere. (IHS Markit Connect)
- Merck Animal Health announced the release of SenseHub Feedlot, an Allflex Livestock Intelligence SenseHub Feedlot features an illuminating electronic ear tag that makes it easy to identify and sort cattle needing attention. The electronic ear tag tracks behavioral and biometric data to monitor the health of each animal. Body temperature is captured by an infrared thermistor, and a built-in accelerometer measures animal activity. (company press release)
- Elanco announced it is piloting UpLook, an insights engine based on more than 20 years of knowledge gained from its Elanco Knowledge Solutions (EKS) portfolio. UpLook is designed to predict greenhouse gas emissions and identify key drivers of a cattle feeder operation’s carbon footprint. Elanco also announced its investment in Athian, a start-up company created to help the cattle industry capture and claim carbon credits earned through sustainability efforts where possible, primarily by validating and certifying GHG reductions and carbon capture from services like UpLook. (Drovers.com)
- The FDA announced it has approved Norbrook Labs‘ Midamox (generic imidacloprid + moxidectin) topical solution for dogs. (FDA)
- Petco Health and Wellness Company, Inc. announced a new initiative with com to connect Petco customers to pet sitting, boarding and dog walking services on Rover directly from petco.com. (company press release)
- W.F. Young announced it has expanded its partnership with Pet Food Experts, bringing new brands to Pet Food Experts’ portfolio and providing nationwide distribution of W.F. Young’s pet products to retailers around the country. (Pet Product News)
- Ellie Diagnostics LLC announced plans to open its first Kentucky location, which will serve as the company’s national hub. Based in Dallas, Texas, Ellie provides lab services to veterinarians in more than 40 states. (Lanereport.com)
- Emergent Health Corp. announced it has acquired PharmaZu Corp., a pure play, e-commerce products and service provider focused on the pet pharmacy, vet telehealth and pet wellness businesses. Financial terms were not disclosed. (streetinsider.com)
- CareCredit, a Synchrony solution, announced it is now integrated with NaVetor veterinary cloud software from Patterson Veterinary. (company press release)
- Petriage and Crum & Forster Pet Insurance Group – provider of ASPCA Pet Health Insurance and Hartville Pet Insurance – announced a partnership wherein insurance subscribers will be able to access the Petriage symptom checker and the 24/7 Petriage Live service directly from their ASPCA Pet Health Insurance or Hartville Pet Insurance program member centers. (PRnewswire)
- UK Vimian Group’s Specialty Pharma segment Nextmune announced an agreement to acquire Bova Holdings Limited, a companion animal health specialty pharmaceuticals company in the United Kingdom. The purchase price (enterprise value) amounts to GBP 50.5 million ($68 million) and an additional, possible amount of maximum GBP 25.5 million vested over a three-year period and subject to EBITDA hurdles. Bova had annual revenues the past twelve months of GBP 8.1 million ($11 million) and an EBITDA of GBP 2.9 million. (Digitaljournal.com)
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ANIMAL HEALTH STOCK PRICE TRACKER
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ANIMAL HEALTH NEWS
- EU – REGULATION New legislation regarding the regulation of animal health medicines in the European Union is now in effect. The Veterinary Medicinal Products Regulation (Regulation (EU) 2019/6) establishes measures to limit the development of antimicrobial resistance: preventive antimicrobial use is only permitted in exceptional circumstances, and the possibility to restrict or prohibit the use of important antimicrobials in animals has been introduced. The regulation also contains measures intended to simplify regulatory processes to reduce administrative burden for current marketing authorization holders, and developers of new medicines. Additionally, information about all veterinary medicines authorized in the EU and European Economic Area (EEA) countries will be available on a central website for the first time, and veterinary prescriptions will be valid throughout the EU. (IHS Markit Connect)
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BRAKKE CONSULTING VIEWPOINT
Happy New Year!
Recently I attended the VMX convention in Orlando. I thought the overall attendance was excellent and more importantly, the positive attitude of our industry was clearly on display for all to see. I really believe we can show great leadership in helping our country move from the ‘pandemic’ to the ‘endemic’ state as it is time to get on with our livelihoods. We humans are social animals and we need the interface – as much as vaccines – so as to ensure a positive mental state for keep having overall better mental and physical health.
At the Brakke Industry overview, during a panel of industry leaders we asked them what worried them the most right now. One of the consistent answers was workforce shortages. My challenge to you is: we can help solve our own problem and be strong ambassadors for our industry during these difficult times. Let’s all go out and help recruit people to join the animal health profession right now. It’s the best profession, in my opinion!
Paul Casady
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YOUR VIEW
Last week we asked those of you who have openings in your business how long is it taking to fill those vacancies. Nearly half of you (47%) said 4-6 months; another 26% said 6-9 months. 21% of you only needed 3 months to fill vacancies. One respondent commented that their selectivity has decreased because of the need to fill open positions.
This week
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