Biotechnology manufacturer Genus (LON:GNS) reported a 16 percent rise in profits in 2017, but warned that 2018 results could be reduced by volatile currency movements.
Pre-tax profits at the firm came in at £29 million for the six months to the end of December, up 16 percent at actual currencies and 20 percent on a constant currency basis.
Adjusted basic earnings per share rose 34 percent to 40.9p, with the company declaring an interim dividend of 8.1 pence per share, and revenues rose to £238.6 million.
Karim Bitar, Chief Executive said Genus had “performed strongly” in the first half of the 2018 fiscal year and made substantial strategic progress.
“The launch of Sexcel, our proprietary innovative sexed genetics product, has been well received by customers and early indications of its performance in the field are encouraging.
“We are also pleased to have started sales of the IntelliGen technology to third parties in Europe and India, enabling other bull studs to take advantage of this novel technology.
“ABS overall continued its trend of improved results following the actions taken last year. PIC continued to perform well, despite market headwinds in China, and we continued to strengthen its presence in Europe through the acquisition and partnership with Hermitage.”
However, the group warned that despite the strong results volatile currency movements could have a negative impact on 2018 results to the tune of around £3 million
“We anticipate performing in line with our expectations in the full year on a constant currency basis, but now expect actual currencies to be a headwind for the year”, Bitar concluded.
Shares in Genus are currently trading down 4.11 percent on the news at 2,240.00 (1220GMT).