Blackmores ramps capacity

BLACKMORES has announced a strategic acquisi on of 100% of the Catalent Australia tablet and so|‐ gel capsule manufacturing facility in Braeside, Vic, for $43.2 million (PD breaking news Tue), expanding the company’s ability to respond to changing market condi ons.

The 30,000 square metre site is licensed to produce medicines by the Therapeutic Goods Administra on (TGA) as well as by interna onal regulators.

“Our strategy will be to con nue to source a significant proportion of our products from our exis ng contract manufacturing partners and we will supplement this with our own manufacturing capacity through the Braeside facility,” Blackmores chief execu ve officer Richard Henfrey explained.

In an ASX announcement, Blackmores also reported net sales for the nine months to 31 Mar of $434 million, up 8.5% compared to the prior corresponding period, with net profit after tax at $52 million, up 19.3% on the prior period.

Addi onally, the announcement included the appointment to the Board as Non‐Execu ve Director, of Jackie McArthur, 2016 Telstra NSW Businesswoman of the Year, with “extensive opera onal exper se across the Asia Pacific Region”.

Commen ng on the reported results, Henfrey said, “We made solid market share gains in Australia over the last quarter and remain the clear number one brand in Australia in both total market and domes c sales.”

He added that recent structural changes in the sector had affected supply con nuity of many smaller lines as well as export sales in the second and third quarters.

“The Board expects our current growth trajectory will con nue and that we will deliver good profit growth for the full year,” Henfrey concluded.