CVS Group grows adjusted profit but regulatory costs weigh on reported earnings

CVS Group ($CVSG) increased annual revenue 5.9% to £712.8 million and adjusted pre-tax profit 7.6% to £84.9 million. Reported pre-tax profit, however, fell 1.8% to £32 million. The veterinary-services company recorded £5.1 million in rebranding costs linked to requirements arising from the UK competition regulator’s market review, creating a gap between adjusted and statutory performance.

Adjusted EBITDA rose 5.1% to £141.5 million, and the dividend increased to 9 pence per share from 8.5 pence. Its Australian practice network expanded to 57 sites from 43. The release also reiterated the existing £50 million buyback program rather than announcing an additional authorization. The earnings update concerns the London-listed veterinary group, not US pharmacy and insurance company CVS Health.

Sources:

• Alliance News / AJ Bell — CVS Group annual results