StockMarketWire.com - Healthcare services provider UDG Healthcare said its interim profit more than doubled, though it warned its performance in the second half would be impacted by the Covid-19 crisis.

Pre-tax profit for the six months through March jumped to $62.3m, up from $30.3m on-year, as revenue rose 6% to $693.6m.

UDG Healthcare scrapped its interim dividend, as previously announced, due uncertainty created by the Covid-19 crisis.

'UDG is a strong and diversified business, underpinned by excellent long-term market fundamentals and a robust balance sheet and cash flow position,' chief executive Brendan McAtamney said.

'While uncertainty remains, I am confident the decisive actions taken now will ensure we remain well positioned through the crisis and beyond.'

Within the company's Ashfield division, it had seen some project deferrals and cancellations.

The Sharp business, which packaged critical medicines had been categorised as essential and continued to operate.

'Demand within Sharp remains very robust,' UDG Healthcare said.

'Temporary disruption to production schedules and capacity resulting from the additional health and safety measures, along with workforce availability, is expected to reduce our efficiency and revenue.'

'Actions to mitigate these impacts are being implemented, resulting in workforce availability sequentially improving, and the social distancing measures being partially offset by incremental automation.'






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