Kiotech International plc, supplier of natural feed additives in agriculture and aquaculture, announced interim results for the 6 months to 30 June 2009.
Sales for the period advanced 29% to £3,467,706 (2008: £2,688,387). Profit before interest and tax increased to £277,725 (2008: £174,139), and the balance sheet remains healthy with a cash balance of £1.78 mln (2008: £1.39 mln).
“We have made a strong start to the second half of the year continuing the sales growth of the first half,” said Kiotech International CEO Richard Edwards. “In agriculture, we remain focused on generating sales from new territories particularly Brazil and China, which are key agricultural markets and where we currently have no presence.”
“We are also continuing our search for suitable acquisitions, at the right price, which offer strategic and commercial benefits.”
Sales in more than two thirds of overseas markets increased with Latin American markets, led by Bolivia, Chile and Mexico, being particularly strong. Recently appointed distributors in Egypt, Ukraine and Vietnam have contributed to growth, while salmonella issues in Finland increased the demand for Salkil. Product registration is also underway in a number of other countries including Brazil.
In China, customer trials for a number of agricultural products are being conducted. China is the world’s largest producer and consumer of pig and poultry meat, says the company, with a combined total of 58 mln t annually, accounting for 34% by weight of world production.
New product development continues, encouraged by the success of new gut acidifier pHorce, which already accounts for over 4% of total Group sales. pHorce is targeted at the faster growing animals in the pig and poultry industry where the high strength acid blend works quickly to eliminate enteropathogens, such as salmonella, Kiotech adds.