YORK veterinary medicine and animal chipping specialist Animalcare is “well positioned” for future growth as the now debt free business reports sales of £12.9 million.

While revenue rose to a record high, 6.3 per cent up from 2013, the Group, based at York Business Park in Poppleton, saw underlying pre-tax earnings up 8.4 per cent in the year ending June 30 to £3.2 million.

During the year, the group’s Veterinary Medicine division grew profits by 6.2 per cent to £4.4 million with the launch of three new products, the first of which was a range of tablets to treat epilepsy in dogs, followed by the launch of a treatment for hyperthyroidism in cats, and finally antibiotic tablets to treat infections in dogs and cats.

The company’s chipping division, known as Companion Animal Identification, saw gross profits rise by 6 per cent to £1.7 million as microchip sales grew by 8.2 per cent following the introduction of new legislation making it compulsory for all dogs in England to be chipped.

Animalcare chief executive Iain Menneer said: “Animalcare has again delivered record sales, continuing its track record of top line growth.

“This result has been achieved against a backdrop of a veterinary market that is very slowly responding to the strengthening economy.

“Our objective is to deliver further growth from the current core business and to accelerate that growth with the introduction of enhanced generic veterinary medicines.

“In response to the number of opportunities available, we have developed a more structured approach for managing and monitoring progress in our development pipeline.”

Mr Menneer said Animalcare has changed “significantly” over the last decade and “achieved much” but more change is needed for the group to achieve even more.

He said: “The veterinary market is evolving and consolidating; it is imperative therefore that Animalcare develops a new approach too, while not losing sight of its core strengths that set is apart from its competitors.”

Animalcare has a team of 57 employees including a 16-strong sales force selling to veterinary practices around the UK.

During the year the group has appointed a new head of sales and director of business development.

Animalcare chairman James Lambert said: “The board, I believe, has totally repositioned Animalcare over the past year or so to allow the use of the company’s cash to rapidly grow the business organically from 2016 onwards.

“We are working to develop a high quality, experienced senior management team to deliver this growth plan.”