Group at a Glance

Bottle dose production

A leading global CDMO providing advanced delivery technologies, formulation and manufacturing solutions for drugs.

Group at a glance diagram

Who we are

  • Leading global CDMO, providing advanced delivery technologies, formulation and manufacturing solutions for drugs
  • Offering customers a single source for drug and device development, formulation, manufacturing and fill/finish, the Group comprises two integrated operating divisions:

Bespak logo

Aesica logo

Bespak — Devices

  • A global market leader in the development and manufacture of drug delivery devices, serving pharmaceutical companies with inhaler, auto-injector, nasal and ocular technologies and development and manufacturing services
  • Benchmark capabilities in the manufacture of more than 500 million devices per year in regulated markets
  • One of only a handful of operators globally who have the know-how and expertise to consistently deliver above Six Sigma quality for high volume medical components and devices

Aesica — drugs

  • A leading pharmaceutical CDMO serving pharmaceutical companies with API and finished dose formulation development and manufacturing services
  • The only independent CDMO with semi-continuous manufacturing capabilities

Group

  • The Group's customers include some of the world's largest pharmaceutical companies
  • Significant product invention and development resources in R&D including a separate Innovation team in Cambridge
  • High barriers to entry: highly embedded customer relationships, intellectual property, know-how, regulatory approvals, manufacturing complexity and economies of scale
  • Robust finances: profitable, cash generative, low gearing and high dividend payout
Group at a glance map

UK

1Cramlington (Aesica API)

2Newcastle (Aesica Corporate)

3Nelson (IAC)

4Milton Keynes (Bespak manufacturing)

5Hemel Hempstead (Consort HQ)

6Queenborough (Aesica API/FDM/FDD)

7Cambridge (Innovation Centre)

8King’s Lynn (Bespak manufacturing)

Germany

9Monheim (Aesica FDM)

10Zwickau (Aesica FDM)

Italy

11Pianezza (Aesica FDM)

Sales presence in China, India, Japan and North and South America

Our Strategy

  • Sustained organic revenue growth from:
    • Leveraging the Group's core strengths with existing and new customers
    • Broadening the Group's services offering to capture adjacent markets and territories
    • Deepening the Group's offering, capturing more of the value chain
  • Operating leverage
    • Margin expansion from volume growth and ongoing cost efficiency
  • Drive innovation
    • To develop new device and formulation technologies
  • Enhancement
    • Selective acquisitions of, and investments in, companies, producers and technologies which have the potential to leverage the Group's core competencies in drug formulation, manufacturing and delivery

Key Products and Services

  • Development, formulation and production of formulated pharmaceutical products
  • API contract development, formulation and contract manufacturing services
  • Respiratory devices: metered dose inhaler valves, dry powder inhalers, integrated dose counters, actuators
  • Injectables devices: auto-injectors, needle-free injectors, bolus delivery devices
  • Nasal devices: nasal drug delivery devices
  • Ocular devices: ocular drug delivery devices
  • Other devices: POC diagnostics devices, medical check valves

Market Position

  • A leading global CDMO, providing advanced delivery technologies, formulation development and manufacturing solutions for drugs
  • Offering customers a single source for drug and device development, formulation, manufacturing and fill/finish – a highly differentiated offering compared to Consort Medical's competitors
  • A global market leader in inhaled drug delivery
  • Growing franchise in injectables and nasal drug delivery and POC diagnostics consumables
  • Over 500 million devices manufactured annually
  • 15 major Bespak device programmes in development pipeline
  • Firm opportunities in attractive new growth market segments
  • At the leading edge of innovation – growing customer recognition as innovator on demand

Highlights

  • Consort Medical has continued to deliver profitable growth on a reported basis with operating leverage yielding an 8.3% increase in EBIT on 6.2% higher sales
  • Underlying Group EBIT, at constant exchange rates, was 4.1% higher on 2.0% of sales growth
  • Bespak grew revenues by 3.3% and EBIT by 3.9% delivering a further 10bps margin improvement to 21.6%
  • Aesica recorded a significant improvement in operational performance with EBIT increasing by 17.7% and a further 60bps improvement in EBIT margin to 8.0%
  • Adjusted basic EPS 13.1% higher than FY2016 at 65.1p
  • Final proposed dividend increased 5.2% to 13.21p, reflecting the good financial performance and the Board's confidence in the Group's prospects
  • Net debt reduced to £92.6m (FY2016: £97.0m) with good cash generation following further investments in the business. Gearing (Net debt: EBITDA) reduced to 1.7x
  • Landmark deal for Bespak with the first full development agreement for Syrina® / Vapoursoft® device application with a leading global biopharmaceutical company
  • Successfully launched second Bespak injectable device with the UCB Cimzia® AutoClicks® pre-filled pen in the UK and other European markets
  • Launched AstraZeneca's Bevespi Aerosphere® in the US. Bespak awarded significant new multi-year agreement for the scale-up and supply of its proprietary pMDI valves and actuators
  • On course for double-digit operating margins at Aesica including contract extensions with one of Aesica's largest customers and additional new contract wins
  • Aesica now routinely supplying commercial product using the first semi-continuous processing line and technology installed at the Queenborough site. Discussions underway with a number of pharma customers to use this technology
  • Aesica is an early provider in serialisation services that is a growing requirement for pharma clients
  • Successful commercial unveiling of Syrina® AR 2.25 compact auto-injector