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Animalcare Group plc

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FY2025 Annual Report · Animalcare Group plc
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Built on three 
principles, focused on 
one sustainable future
Animalcare Group plc
Annual Report for the year ended 
31 December 2025

Who we are
Animalcare Group plc is an international, development-focused sales and marketing organisation 
driven by a collective belief that healthy animals can have a hugely beneficial effect on their 
owners and wider society. 
Listed on the UK’s AIM market, Animalcare operates in ten countries across Europe and Asia Pacific, and exports to 
approximately 45 countries in Europe and worldwide. The Group is focused on growing its business through its chosen 
categories of Companion Animals, Production Animals and Equine over the long term, bringing new and innovative animal 
health products to market through its own development pipeline, partnerships and via acquisition.
Cautionary statement regarding forward looking information
Where this Annual Report contains “forward-looking statements”, they are based on the current expectations and assumptions, and speak 
only as of the date they are made. Such statements and forecasts involve risk and uncertainty because they are based on current expectations 
and assumptions but relate to events and depend upon circumstances in the future; you should not place reliance on them.
Without limitation, any statements preceded or followed by or that include the words “targets”, “plans”, “expects”, “is expected”, “is subject 
to”, “budget”, “estimates”, “forecasts”, “intends”, “anticipates”, “sees”, “believes”, “aims”, “confident”, “will have”, “will be”, “will ensure”, 
“likely”, “foresee” or the negative of these terms or other similar terms are intended to identify such forward-looking statements. There are 
a number of factors that could cause actual results or developments to differ materially from those expressed or implied by forward-looking 
statements and forecasts. Forward-looking statements and forecasts are based on the Directors’ current view and information known to them 
at the date of this statement. The Directors do not make any undertaking to update or revise any forward-looking statements, whether as a 
result of new information, future events or otherwise.
Introducing our  
2025 Annual Report
STRATEGIC REPORT
Chair’s Statement
04
Business at a Glance
06
Building a Sustainable Portfolio
08
Our Strategy
10
Randlab
12
Strategy in Action
14
Our Transformative R&D 
Programmes
18
Our Global Reach
20
Our Marketplace
22
Business Model
26
Key Strengths
28
Chief Executive Officer’s 
Statement 
30
Financial Review 
34
Key Performance Indicators
42
Our Engagement with 
Stakeholders 
44
Our Stakeholders
46
Our Principal Risks
48
Sustainability
58
GOVERNANCE REPORT
Board of Directors
66
Corporate Governance 
Statement
70
Corporate Governance Report
72
Audit and Risk 
Committee Report
78
Remuneration and Nomination 
Committee Report
82
Directors’ Remuneration Report
84
Directors’ Report
91
Statement of Directors’ 
Responsibilities
94
FINANCIAL STATEMENTS
Independent Auditor’s Report
98
Consolidated Income Statement
110
Consolidated Statement of 
Comprehensive Income
111
Consolidated Statement of 
Financial Position
112
Consolidated Statement of 
Changes in Equity
113
Consolidated Cash Flow 
Statement
114
Notes to the Consolidated 
Financial Statements
116
Company Statement of Financial 
Position
166
Company Statement of Changes 
in Equity
167
Notes to the Company Financial 
Statements
168
Directors and Advisers
176

Financial highlights
Revenues for the period increased by 20.0% (20.1% at CER) to £89.1m, reflecting the significant contribution from the 
acquisition of Randlab, underpinned by like-for-like organic growth of 1.7% at AER (0.7% at CER). Revenues from all three 
product categories increased versus the prior year in varied trading conditions across end markets with underlying EBITDA 
margins, before taking into account R&D expenditure, improving by 500bps to 20.6%.
Underlying cash conversion of 79.7% was in line with guidance and demonstrates the highly cash generative qualities of the 
business. Net debt was £9.1m excluding lease liabilities (2024: £9.0m), with leverage at 0.7 times underlying EBITDA.  
£89.1m ↑ 20.0%
REVENUE
£17.7m ↑ 52.6%
CONTINUING UNDERLYING EBITDA1
£89.1m 
£74.2m
£70.7m
25
24
23
£17.7m 
£11.6m
£13.3m
25
24
23
15.7p ↑ 44.0%
CONTINUING UNDERLYING EPS1
£9.1m ↑ 0.6%
NET DEBT1
15.7p
9.9p
10.9p
25
24
23
£9.1m
£9.0m
£1.2m
25
24
23
1	 Alternative Performance Measures (APMs) are reconciled to reported results in the Chief Financial Officer’s review and within the notes to the consolidated financial 
statements. APMs are calculated in line with the Group’s accounting policies and therefore may not be directly comparable with other companies.
Strategic and Operational highlights
	•
Flagship brands, Daxocox and Plaqtiv+ delivered strong double-digit momentum, of 23% and 42% respectively, fuelled by 
new indication launches and improved sales processes
	•
Expanded presence is Asia Pacific, with the successful integration of Australian Equine business, Randlab, which delivered 
strong like-for-like organic growth of c12% at CER
	•
Further strengthened Asia Pacific footprint with a 25% strategic equity investment in InVetro, an Australian Companion 
Animal business
	•
R&D investment increased to 4.5% of revenue in FY25 (FY24: 2.8%), reflecting accelerated activity across the new product 
pipeline
	•
Acquisition of the VHH NGF antibody programme and related assets, supporting the expansion of the pain portfolio
	•
Added a novel biological treatment for equine Sweet Itch to the pipeline, developed through a licence agreement with 272Bio 
	•
Pipeline delivery capability was strengthened with the appointment of Dr Hafid Benchaoui as Chief Strategy and Science 
Officer in November 2025
Annual Report 2025 ANIMALCARE GROUP PLC
GOVERNANCE
FINANCIALS
STRATEGIC REPORT
01

Strategic 
Report
02
ANIMALCARE GROUP PLC Annual Report 2025

STRATEGIC REPORT
Chair’s Statement
04
Business at a Glance
06
Building a Sustainable Portfolio
08
Our Strategy
10
Randlab
12
Strategy in Action
14
Our Transformative R&D 
Programmes
18
Our Global Reach
20
Our Marketplace
22
Business Model
26
Key Strengths
28
Chief Executive Officer’s 
Statement 
30
Financial Review 
34
Key Performance Indicators
42
Our Engagement with 
Stakeholders 
44
Our Stakeholders
46
Our Principal Risks
48
Sustainability
58
STRATEGIC REPORT
03
GOVERNANCE
FINANCIALS
Annual Report 2025 ANIMALCARE GROUP PLC

2025 saw the Company take further strides 
in laying a solid foundation for sustainable 
growth.
A particular highlight has been the increase in expertise 
across our expanding team. Our Group culture and 
capabilities have greatly benefited from the integration and 
collaboration with new colleagues from Randlab and the 
addition of the InVetro team. A key focus has been investing 
in our people through training and development, enhancing 
our execution abilities.
The Group’s sustained strategic execution delivered a 
positive financial performance, with strong revenue and 
underlying EBITDA growth, improved margins and strong 
cash generation, which combined with disciplined capital 
allocation, has maintained our balance sheet strength. 
Following the announcement on 16 April 2026 of a 
recommended acquisition of Animalcare, the Board proposes 
no final dividend for the year ended 31 December 2025.
Of note in the period was the successful integration of 
Randlab following its acquisition at the start of the year, 
delivering significant contributions to both revenue and 
underlying EBITDA in line with our ambitions for the 
business. The acquisition has reinforced Animalcare’s strong 
position in the high-growth Equine market, with Equine now 
representing 24% of Group revenues compared to 10% in 
2024, while enhancing the Group’s cash generation. The 
Board continued to assess further opportunities for inorganic 
growth, with the 25% strategic equity investment completed 
in June in InVetro Pty Ltd, an Australia-based Companion 
Animal business, further evidence of this, strengthening the 
Group’s footprint in this region.
Meanwhile, the Group saw continued double-digit growth in 
our flagship brands, including Daxocox, Plaqtiv+ and Orozyme 
demonstrating the value of a differentiated product portfolio 
– and the importance of its development.
With much of the growth in global animal health markets 
coming from new, differentiated products, notably 
biologics, the Group increased its annual R&D investment 
to 4.5% in 2025, up from 2.8% in 2024. The Group’s new 
product development pipeline now comprises six key 
projects progressing through various development stages, 
encompassing life cycle management projects to extend the 
utility and reach of existing brands alongside new products 
with transformative potential. A key development in the year, 
which strengthened the R&D pipeline, was the acquisition 
of the VHH NGF antibody programme and related assets, 
advanced in collaboration with 272Bio, which also provides 
an opportunity to expand the programme into other species 
and indications. Additionally, the Group entered a licence 
agreement with 272Bio for the development of a treatment 
for Sweet Itch, a common allergic skin condition with a 
significant unmet need in the Equine market.
Our Group culture 
and capabilities have 
greatly benefited 
from the integration 
and collaboration 
with new colleagues 
from Randlab and the 
addition of the InVetro 
team.
ED TORR
Independent Non-Executive Chair
ANIMALCARE GROUP PLC Annual Report 2025
04
Chair’s Statement

Recommended Acquisition of 
Animalcare Group plc
On 16 April 2026, post period end, and following a 
comprehensive review supported by our advisers, the 
Animalcare Directors unanimously recommended the 
acquisition of the Group by a subsidiary of funds managed 
by Charterhouse Capital Partners LLP to shareholders (the 
“Acquisition”).
As Chair, my priority is to ensure that Animalcare 
shareholders have the opportunity to realise fair value for 
their investment. As stated in the announcement on 16 April, 
the Board remains confident in the Group’s standalone 
prospects and committed to the ambitious targets set 
at the March 2026 capital markets event, but recognises 
delivering these ambitions would require a sustained period 
of investment and execution over a number of years, against 
a backdrop of increasing macroeconomic uncertainty.
Having evaluated the Acquisition against the Group’s 
growth strategy, the Board concluded unanimously that 
the Acquisition is in the best interests of Animalcare and 
Animalcare shareholders as a whole, and represents a 
superior outcome for stakeholders than remaining an 
independent AIM-listed entity and that the cash offer of 336 
pence per share provides a premium to recent share trading 
and reflects Animalcare’s future growth prospects.
On behalf of the Board, I want to recognise the hard work of 
the entire Animalcare team, whose commitment and shared 
vision have made the achievements of recent years possible. 
ED TORR
Independent Non-Executive Chair
13 May 2026
Annual Report 2025 ANIMALCARE GROUP PLC
GOVERNANCE
FINANCIALS
STRATEGIC REPORT
05

Animalcare is an AIM-listed international veterinary pharmaceutical sales and marketing 
organisation focused on bringing new and innovative products to market through our own 
development pipeline, partnerships and via acquisition. Animalcare operates in all three 
segments of the animal health market.
OUR THREE PRODUCT CATEGORIES
Companion Animals
Overview
	•
Focused on dogs, cats and other small animals 
	•
Largest part of the Group with revenues generated from 
all European business units (owned and International 
Partners)
	•
Current and future growth expected to be underpinned by 
Daxocox and Plaqtiv+ franchises together with new product 
launches and the creation of a direct-to-retail channel
	•
Historically the largest contributor to profits from a 
gross-margin perspective
Production Animals
Overview
	•
Focused on livestock, including cattle, pigs, sheep and 
poultry
	•
Revenues chiefly generated by our well-established 
Southern European operations and International 
Partners
	•
Profitable and cash-generative portfolio comprised of 
owned/long-term licensed brands (e.g. Dinalgen) and 
those sourced from distribution partners
Equine
Overview
	•
Serving the unique health needs of horses, including 
racing horses and general Equine care
	•
Strengthened presence and expansion opportunities 
with the acquisition of Randlab
	•
Danilon is a strong product within our existing European 
portfolio 
	•
Fastest-growing market
£50.3m
£48.2m
£49.8m
£47.5m
25
23
24
22
£17.7m
£15.8m
£17.0m
£15.7m
25
23
24
22
£21.1m
£6.7m
£7.4m
£5.7m
25
23
24
22
ANIMALCARE GROUP PLC Annual Report 2025
06
Business at a Glance

c.30%
OF OUR EMPLOYEES ARE TRAINED VETS,  
MORE THAN MOST OF OUR COMPETITORS
GEOGRAPHIC REVENUE SPLIT  
(OPERATIONS VS PARTNERS)
Operations
Partners
87%
13%
>50%
OF OUR PEOPLE WORK IN  
CUSTOMER-FACING ROLES
220 
EMPLOYEES AROUND THE WORLD
OUR OPERATIONS AND NETWORK PARTNERS
Animalcare operates in ten countries across Europe and Asia Pacific, accounting for 87% of Group 
revenue. The split of Operations revenue by country is shown below.
In addition, the Group exports to approximately 45 countries in Europe and worldwide, 
accounting for the remaining 13% of Group revenue.
13% 
GERMANY
12% 
ITALY
10% 
AUSTRALIA
5% 
PORTUGAL
1% 
UAE
2% 
NEW ZEALAND
3% 
NETHERLANDS
4% 
BELGIUM
21% 
SPAIN
16% 
UK
Annual Report 2025 ANIMALCARE GROUP PLC
GOVERNANCE
FINANCIALS
STRATEGIC REPORT
07

1. Orozyme
Enzymatic toothpaste for dental care in cats and dogs
£6.5m REVENUE
7% TOTAL SALES
2. Danilon
Oral treatment for pain in horses
£4.9m REVENUE
6% TOTAL SALES
3. Dinalgen
Injectable treatment for pain in cattle, pigs and horses
£4.4m REVENUE
5% TOTAL SALES
4. Aqupharm
Dehydration treatment for cats, dogs, cattle, goats, 
horses, pigs, rabbits and sheep
£4.2m REVENUE
5% TOTAL SALES
5. Ulcershield
Treatment and prevention of gastric ulcers in horses
£3.7m REVENUE
4% TOTAL SALES
TOP 10 PRODUCTS REPRESENT 40% OF TOTAL SALES
Our evolving portfolio
Evolving our portfolio is central to Animalcare’s strategic transformation and long-term success. We 
have progressed from a fragmented, distribution-reliant business to one with a focused portfolio 
of proprietary, high-margin brands across all our markets. This evolution is supported by strategic 
acquisitions and new pipeline development. R&D activities and investment have accelerated across a 
range of opportunities, creating innovative treatments that address unmet veterinary needs and have a 
transformative potential. 
ANIMALCARE GROUP PLC Annual Report 2025
08
Building a Sustainable Portfolio

6. Daxocox
Treatment of osteoarthritis pain and inflammation 
in dogs
£3.2m REVENUE
4% TOTAL SALES
7. Plaqtiv+
Biofilm-based dental care for cats and dogs
£2.5m REVENUE
3% TOTAL SALES
8. Thiamacare
Treatment for hyperthyroidism in cats
£2.2m REVENUE
2% TOTAL SALES
9. Hemo
Injectable nutritional solution for horses
£2.1m REVENUE
2% TOTAL SALES
10. Cosequin
Complementary feed for dogs and cats to strengthen 
and protect joints
£1.8m REVENUE
2% TOTAL SALES
How we want our portfolio to continue 
to evolve
From a “distribution”-based business to having the majority 
of IP either owned, or built on, long-term license, which 
reduces risk and provides greater sustainability.
From generic to more novel and differentiated products, 
replicating the success of Daxocox and Plaqtiv+ and enabling 
life cycle management through new indications and market 
expansion.
OWN BRAND SALES 
ACCOUNT FOR
70%
OF TOTAL REVENUE
NOVEL OR 
DIFFERENTIATED  
PRODUCTS ACCOUNT FOR
25%
OF TOTAL REVENUE
Annual Report 2025 ANIMALCARE GROUP PLC
GOVERNANCE
FINANCIALS
STRATEGIC REPORT
09

2030
2029
2028
2027
2026
2025
2024
NPD
Inorganic
Organic
Growth Plan
Current Organic Business
Illustrative potential 
acquisition 2027; contributing 
meaningfully from 2028
NPD begins to drive 
value from 2029
Near-term incremental organic 
growth from strategic investments 
in the core business: sales force 
capacity, commercial excellence; 
dental channel expansion
InVetro contribution 
assumes option exercised in 
H2 2029 to take 51% stake
Randlab acquisition and 
organic growth
Transformational 
growth from R&D 
pipeline expected 
post 2030
Revenue (£m)
HOW WILL THIS CONTRIBUTE TO VALUE GROWTH?
O
PE
R
AT
IO
N
AL
 E
XC
EL
LE
N
CE
ST
R
O
N
G 
FI
N
A
N
CE
S
G
R
E
AT
 P
E
O
PL
E
VALUE 
GROWTH
Inorganic Growth
Pursuing external opportunities 
that accelerate revenue growth 
with accretive margins, expanding 
geographic reach and scale, and 
strengthening the pipeline through 
late-stage in-licensing.
Organic Growth
Developing and nurturing a 
high-quality portfolio diversified 
across species and geographies to 
deliver strong and resilient growth.
New Product 
Development
Building a balanced pipeline while 
increasing innovation that will 
generate a flow of new products 
that meet the needs of our dynamic 
markets is a key contributor to 
sustainable organic growth.
Scaling the business through targeted investment in growth areas of the animal health market, 
including acquisitions, underpinned by a balance of ambition, discipline and our strong 
foundations – great people, operational excellence and financial firepower.
Our strong foundations and size-of-market opportunity mean now is the time to accelerate investment, increasing our growth 
rate and expanding our margins. Modest levels of targeted investment within our three growth pillars (organic, inorganic and 
R&D) will allow us to increase market share and deliver sustainable, long-term growth. 
ANIMALCARE GROUP PLC Annual Report 2025
10
Our Strategy

Organic  
Growth
Inorganic 
Growth
New Product 
Development
Key initiatives
	•
Commercial focus on brands with the 
greatest opportunity for long-term 
growth and higher margins
	•
Continue to build capabilities in 
our commercial teams to drive 
effectiveness and focus on the needs 
of our customers
FY25 Progress
	•
Improved quality of portfolio, 
with own brands now 70% of the 
sales mix
	•
Double-digit growth in the Group’s 
flagship brands, with Daxocox 
growing by 23% and Plaqtiv+ 
growing by 42%
	•
Operational improvements made 
by the commercial team in how we 
take brands to market, as evident in 
the strong growth in Daxocox and 
Plaqtiv+ in Germany
Areas of strategic investment  
to support growth:
	•
Commercial excellence: build a high-
performing commercial organisation 
through investment into capability, 
capacity and sales team onboarding
	•
Retail channel: Capitalise on our rights 
to channels in Europe for Plaqtiv+ 
and globally for Orozyme and other 
over-the-counter (OTC) products, 
by building our digital capability and 
establishing a retail channel, expanding 
our focus more broadly than the 30% 
of the non-prescription dental product 
market currently targeted
	•
Manufacturing strategy: Optimise 
the supply base to unlock significant 
increased manufacturing capacity and 
reduced cost of goods
Key initiatives
	•
Seek opportunities that deliver near-
term revenue and EBITDA growth 
that also:
–	
Expand our geographic footprint 
–	
Develop a high-quality product 
offering diversity across species
–	
Build scale in our existing 
markets
	•
Identify opportunities to build 
the pipeline for future, mid-stage 
products requiring minimal clinical 
and regulatory resource, which 
deliver revenue in excess of our 
largest current brands
FY25 Progress
	•
Acquired and successfully integrated 
of Randlab, providing opportunities for 
further expansion 
	•
Acquired a 25% equity stake in InVetro, 
an Australian Companion Animal 
business, expanding the Group’s 
portfolio and presence in Asia-Pacific
Areas of strategic investment  
to support growth:
	•
We have the capacity to execute a deal 
in 2026 of up to £25m, and we have a 
list of targets that meet our criteria
	•
For the right asset, we would also 
consider an equity raise, as we did for 
Randlab
	•
We have the option to increase our 
investment in InVetro to 51% in 2029, 
significantly growing our presence in 
Companion Animals in Australia
Key initiatives
	•
Identify opportunities to build our 
existing portfolio through new 
indications and formulations
	•
Work with partners to access 
products that offer significant longer-
term revenue opportunities through 
licensing and partnerships 
FY25 Progress
	•
Continued to invest in building a 
balanced pipeline of new products
	•
Six major projects in the pipeline 
with estimated peak year sales (PYS) 
in excess of £15m each
	•
Took full ownership and control 
of the intellectual property of the 
VHH NGF antibody programme 
and related assets, supporting 
the expansion of the Group’s pain 
portfolio
	•
Entered into a license agreement 
with 272Bio to develop a novel 
biological treatment for a common 
equine skin condition, Sweet Itch
Areas of strategic investment  
to support growth:
	•
Building a balanced pipeline of 
products expected to launch between 
2029-2032, delivering growth in the 
medium term and significant PYS 
expected five years after launch
LINKS TO RISKS
A  B  C  E  F  G  
H  I  J  K
LINKS TO RISKS
E  F  G  I  K  
LINKS TO RISKS
B  C  D  F  J  K  
LINKS TO KPIs
1  2  3  4  5  6  
LINKS TO KPIs
2  3  4  5  6  
LINKS TO KPIs
1  2  3  4  5  6  
RISKS
A  Market and economic risk 
B  Competitor risk 
C  Portfolio risk 
D  Product development  
and launch risk 
E  Acquisition risk
F  Financing/Treasury risk
G  Foreign exchange  
translation risk 
H  Supply chain risk 
I  IT systems and  
cybersecurity risk 
J  Regulatory risk 
K  People risk
KPIs
1  Revenue growth 
2  Underlying cash conversion 
3  Basic underlying earnings 
per share (EPS) 
4  Underlying EBITDA margin 
5  New product revenue 
6  Net debt to underlying 
EBITDA leverage
Annual Report 2025 ANIMALCARE GROUP PLC
GOVERNANCE
FINANCIALS
STRATEGIC REPORT
11

Q
What was your experience of joining the 
Animalcare family? 
The best part was that there were no surprises, because 
important relationships and clarity on expectations were 
firmly in place at the close of the transaction. This is not 
always the case with acquisition and integration. Randlab 
has been very warmly welcomed into the Animalcare family 
with the deliberate “light touch” approach to integration to 
preserve Randlab’s entrepreneurial culture respected by all. 
Q
How has this “light touch” approach to 
integration helped your team maintain 
momentum?
Local management has led the process to ensure that the 
customer and employee experience is essentially unchanged. 
Senior leaders from Animalcare, including Jenny Winter, Chris 
Brewster and Martin Gore, have visited Australia and New 
Zealand multiple times for key events and to engage and 
build relationships with the Randlab team, putting a human 
face to Animalcare and dispelling any concerns. Together, 
this approach has allowed the business to grow and thrive 
by ensuring the unique Randlab culture has continued under 
new ownership.
Q
How is Randlab’s on-the-ground 
veterinary experience helping identify 
new product opportunities? 
Randlab’s salespeople have a unique opportunity to develop 
deep relationships with the veterinary community though 
facilitating Gastroscopy days, which involve working with 
vets and support staff for at least several hours in each 
practice to check for ulcers in their clients’ horses. More than 
30,000 horses have been scoped under this initiative, which 
underpins our success in Gastric Ulcer medications. This has 
led to insightful conversations around unmet or poorly met 
needs and, from these conversations, Randlab now has four 
innovation projects in active development. 
With Animalcare’s backing, Randlab 
can transform how the global equine 
veterinary market is served.
Animalcare’s approach 
to integration has 
allowed Randlab to 
grow and thrive.
BRUCE BELL
General Manager, Randlab
ANIMALCARE GROUP PLC Annual Report 2025
12
Randlab: The Gold Standard  
for acquisitions

Q
Do vets and specialists in Australia 
and New Zealand operate differently 
from those in Europe? What insights 
from these markets could help shape 
Animalcare’s global strategy?
In our experience, apart from climatic differences, Equine 
practice is relatively similar between countries in developed 
markets. Because the Equine product category is relatively 
small but highly fragmented, it makes sense to target the 
Equine practitioner, as they treat horses regardless of 
breed or discipline. For that reason, the Randlab ethos 
of “provide Equine veterinarians wherever they practice 
with a comprehensive range of prescription products for 
their everyday practice, and be the people closest to the 
Equine vets” could serve as a potential foundation for 
the geographical expansion of the Equine franchise in 
the Group.
Equine franchise
	•
Potential to build a significant Equine franchise and 
accelerate revenue growth
	•
Launch existing Animalcare products through the Randlab 
network and vice versa
	•
Assess opportunities to increase Randlab’s new product 
development and extend to include Europe
	•
Apply Randlab’s strengths to advance key Equine projects, 
including VHH and Sweet Itch
	•
Enhance future Equine partnering opportunities
	•
Enhance global brand recognition and equity
BRUCE BELL
General Manager, Randlab
13 May 2026
Successful integration
	•
Experienced management team 
embedding well: With multiple major 
acquisition and integration experiences 
in previous multinational Animal Health 
Companies, Randlab’s leadership team was 
well placed to manage the transition from 
what was an entrepreneurial approach to 
being part of an international plc. Critical 
relationships were established early with 
the Senior Executives of Animalcare, which 
enabled Randlab to effect the transition 
while providing a seamless customer and 
employee experience. Bruce Bell has also 
joined Animalcare’s Senior Executive Team
	•
Planned day-to-day integration complete: 
The focus for integration has been first 
and foremost to ensure that the customer 
and employee experience is essentially 
unchanged, and that the strong Randlab 
brand is maintained. Secondly, the back office 
integration has been successfully completed, 
primarily focusing on Finance and reporting 
as well as IT integration, to ensure accurate 
reporting, improved security against cyber 
threats and user experience 
Investing for the future
Commercial team expanded to maximise 
opportunities: 
	•
Highly experienced Export Manager 
recruited: Export is recognised as a significant 
growth opportunity, in both currently served 
regions and new regions with significant 
Equine veterinarian populations across Asia 
and Europe. Benefits of the hire are already 
coming through 
	•
Additional sales role in New Zealand: Built 
on the significant growth already seen in New 
Zealand, resulting in a doubling of Randlab’s 
sales in the region, ahead of expectations, 
as well as increased capacity to focus on 
innovation and the addition of meaningful 
products to the Group 
	•
Additional sales role in New South Wales 
(NSW) Australia: Divided oversight of the 
territory and appointed an additional sales 
head. This investment will enhance our sales 
efforts, enable better servicing of customers, 
increase the number of Gastroscopy days, and 
drive sales growth and brand value for Randlab
Annual Report 2025 ANIMALCARE GROUP PLC
GOVERNANCE
FINANCIALS
STRATEGIC REPORT
13

A YEAR OF STRATEGIC DELIVERY
InVetro: Strategic rationale
	•
The Group has a robust process to identify and 
assess opportunities, using clear criteria such as 
consideration of geographic expansion, portfolio or 
brand growth, pipeline and NPD development and 
financial performance 
	•
In June 2025, Animalcare acquired a 25% strategic 
equity stake in InVetro, an Australia-based Companion 
Animal health business for AUD$3m, fully aligned 
with the Group’s M&A requirements and growth 
ambitions. The agreement includes a call option for 
Animalcare to increase its holding in InVetro to 51% 
in 2029
Our strategic rationale is clear:
	•
The investment expands Animalcare’s presence in the 
growing Asia-Pacific veterinary market, building on its 
acquisition of Randlab completed on 3 January 2025
	•
There is a low overlap between InVetro and 
Animalcare’s existing portfolio, providing an 
opportunity for Animalcare to expand the reach of 
its existing portfolio into Australia and Asia-Pacific, as 
well as bring InVetro’s new product development to 
Europe as this progresses
	•
There is the potential for synergies in bringing 
products to new geographic markets
	•
InVetro has a strong and capable team as well as clear 
growth plans for long-term value creation
Germany: Outperforming through commercial excellence
	•
Commercial excellence delivers accelerated growth 
and margins, as well as improved productivity and 
return on investment, enables better resilience and 
ensures the foundations are laid to scale effectively 
	•
We have developed a scalable, repeatable and 
insight-driven process to improve commercial 
excellence across the Group, focused on process, 
capability and tools
	•
Our commercial excellence model is most fully 
embedded in Germany, which is translating into 
strong commercial performance, highlighting the 
effectiveness of the team’s strategic initiatives and 
execution discipline:
–	 Daxocox has shown significant momentum, with 
2025 sales up 35% versus 2024 compared to 
year-on-year growth of 11% from 2023 to 2024
–	 Plaqtiv+ also continues to grow strongly, with 
2025 sales up 21% versus 2024 compared to 
year-on-year growth of 9% from 2023 to 2024
	•
There are proven activities 
that deliver commercial excellence, as seen 
in Germany, which are being rolled out across 
geographies. These activities are all measured by KPIs 
to track progress and include:
–	 Defining what competence looks like in 
critical roles
–	 Improving our sales process through our 
Customer Engagement Methodology
–	 Investing in strengthening the capability of our 
sales leaders and their teams
–	 Leveraging improved data and analytics to enable 
smarter decision making
A YEAR OF STRATEGIC DELIVERY
ANIMALCARE GROUP PLC Annual Report 2025
14
Strategy in Action

GOVERNANCE
FINANCIALS
STRATEGIC REPORT
15
Annual Report 2025 ANIMALCARE GROUP PLC

Maximising 
our dental  
franchise 
A new channel for a 
new phase of growth
Having a retail channel enhances our organic 
growth pillar, adding a scalable mechanism 
to support brand uptake, deepen customer 
engagement and drive long-term performance. 
It complements our NPD and inorganic pillars 
by extending the commercial runway of both 
existing and future innovations.
This marks Animalcare’s first major expansion into a non-
veterinary sales channel, and represents a significant 
evolution in how we bring products to customers. Built with 
industry experts and a proven operating model, it will enable 
us to broaden the reach of key brands, especially in dental 
health, and accelerate organic growth through new routes  
to market.
O
R
G
A
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I
C
 
G
R
O
W
T
H
N
E
W
 
P
R
O
D
U
C
T
 
D
E
V
E
L
O
P
M
E
N
T
I
N
O
R
G
A
N
I
C
 
G
R
O
W
T
H
VALUE 
GROWTH
European market size
	•
Oral care projected to reach €758bn 
by 2028
	•
8 out of 10 dogs and cats have 
dental issues
	•
Only 10% receiving treatment
€3bn 
EURO
7% 
GROWTH
Growth area online
	•
40% market consolidated into  
<20 retailers
	•
Utilise our existing distribution and 
supply infrastructure
	•
Opportunity for brand halo across all 
market segments
€1bn 
EURO
9–11% 
GROWTH
Our focus today – vet clinics
	•
Animalcare heartland
	•
Will remain our core 
	•
Vet recommendation key 
	•
Vet relationships critical to  
our business
€1bn 
EURO
4–5% 
GROWTH
Growth area physical retail
	•
Selectively partner with omnichannel 
retailers, where it makes sense
€1bn 
EURO
3–4% 
GROWTH
Our focus currently is on vet clinics which represents approximately 30% of the market. This business will remain at our heartland, as vet 
recommendations are key to the success of our brands. However, by building our own retail channel we will capitalise upon our initial success 
through partners and utilise our existing rights to improve repeat business and grow our market share.
16
ANIMALCARE GROUP PLC Annual Report 2025

New route  
to market
Capitalising on our  
existing rights
We already have the 
rights to all channels in 
Europe for Plaqtiv+ and 
global rights for Orozyme 
and other OTC products.
Maximising the 
opportunity 
Growing our  
limited presence in 
a major market
Currently, our presence 
in retail pet channels is 
small, fragmented and 
does not maximise the 
opportunity. By expanding 
our focus, we increase 
the section of the non-
prescription dental market 
we are targeting from 30%, 
currently, to the whole 
channel.
Lever for  
organic growth
Strengthening key 
brands
This will support the 
growth of our Dental 
franchise and provide an 
opportunity for brand 
halo across all market 
segments.
The time is right
For the business  
and the market
The multi-channel dental 
strategy is forecast to 
deliver significant revenue 
by 2030.
Anchored in our organic growth 
strategic pillar, empowered by our new 
product development strategic pillar
Vet only
2025
Growth in vet 
channel
Addition of retail 
channel
Combined vet and 
retail channel
2030
Revenue (£m)
REVENUE GROWTH OVER THE NEXT FIVE YEARS
STRATEGIC REPORT
Annual Report 2025 ANIMALCARE GROUP PLC
17
FINANCIALS
GOVERNANCE

Developing our own R&D pipeline 
with the potential to deliver 
transformational growth 
Animalcare is on an ambitious growth trajectory with a credible 
capability to discover, develop, register and commercialise novel 
therapeutics for animal health. To drive this growth, we plan 
to increase our investment to build a balanced pipeline of new 
products that can replicate and expand the success of novel 
products such as Daxocox and Plaqtiv+, which achieved 23% and 
42% growth, respectively, in 2025.
Q
How does R&D investment support 
Animalcare’s growth trajectory and 
broader strategy?
R&D is a core pillar of Animalcare’s growth strategy of: 
	•
Building a pipeline of proprietary innovations both 
organically and partnered R&D
	•
Developing products through in-licensing, co-
development with external partners and acquisitions 
	•
Building on existing brands through geographic expansion, 
claim extensions and our new omnichannel strategy. It is 
essential to building our own pipeline of novel products 
that meet an unmet need in animal health and have the 
potential to be transformative and drive organic growth. 
Programmes currently in our pipeline have been selected 
due to their strong fit with the Group’s strengths, expertise 
and commercial relationships across the Equine and 
Companion Animal markets
Q
How do you manage the costs  
and risks involved?
We have a lean and flexible operating model by outsourcing 
execution to partners while retaining technical leadership. 
Only 25% of capital is spent on fixed costs, with 75% being 
invested directly into funding the pipeline projects.
We also have a robust governance process in place, 
overseeing “from idea to launch” (FIL), to ensure the Group 
tightly manages costs and risks. This includes involvement 
and oversight from across the senior leadership team, robust 
financial analysis and regular portfolio reviews to ensure our 
portfolio remains balanced. 
Q
How do you see Animalcare’s pipeline 
evolving over the next five years?  
When would you expect to see the 
commercial benefits?
We typically target common disease pathways across our 
Companion Animal, Production Animal and Equine markets, 
so one discovery can lead to multiple products across the 
animal product groups. This built-in efficiency means we 
achieve more with less.
The programmes in 
our pipeline have 
been selected due 
to their strong fit 
with the Group’s 
strengths, expertise 
and commercial 
relationships across the 
Equine and Companion 
Animal markets.
HAFID BENCHAOUI
Chief Strategy and Science Officer
ANIMALCARE GROUP PLC Annual Report 2025
18
Our Transformative R&D Programmes

2029
2030
2031
2032
The Group currently has six major projects in the pipeline 
at different stages, with another under review via the FIL 
process, each with large market opportunities in excess of 
c.£100m and estimated Peak Year Sales of at least £15m, 
which is considerably larger than the Group’s current largest 
products. 
Q
What opportunity are you most  
excited about?
Animalcare acquired the VHH NGF (nerve growth factor) 
programme and related assets in August 2025, giving us 
full ownership and control of the intellectual property and 
associated assets, enabling independent development 
and commercialisation of the technology across a range of 
indications and species.
The market for VHH assets is large and growing, expecting 
to reach $1.5bn by 2033. VHH antibodies feature significant 
therapeutic advantages over other types of antibody. They 
are small, relatively easy to engineer, have high specificity 
and can be quickly cleared from the system thereby 
promising a good safety profile. 
Animalcare already has a product pertaining to horses based 
on VHH technology, and we are now leveraging our existing 
knowledge base to develop this product for dogs, thereby 
maximising the value of the technology.
HAFID BENCHAOUI
Chief Strategy and Science Officer
13 May 2026
OUR TRANSFORMATIVE R&D PROGRAMMES
KEY
Current Wave Pharmaceuticals
DISC
Discovery
Next Wave Biologics (mAbs)
POC
Proof of Concept
In FIL process
ED
Exploratory Development
FD
Full Development
Sweet Itch 
(Bispecific mAB)
Pain (E-6132)
Pain (E-6132)
Osteoarthritis 
(mAb)
Osteoarthritis 
(mAb)
Daxocox USA
Pain (E-6132)
FD
POC
ED
DISC
ED
POC
ED
Each of these programmes have 
large market opportunities in 
excess of £100m and estimated 
Peak Year Sales of at least £15m
Annual Report 2025 ANIMALCARE GROUP PLC
GOVERNANCE
FINANCIALS
STRATEGIC REPORT
19

Our Global Reach
Collaboration across markets, 
leadership across the Group
Animalcare operates in 10 countries across 
Europe and Asia-Pacific and exports to, 
approximately, 45 countries in Europe  
and worldwide.
56%
20%
24%
2025 REVENUE BY PRODUCT 
CATEGORY
Companion
Production
Equine
2030 REVENUE OPPORTUNITIES 
BY PRODUCT CATEGORY
70%
10%
20%
Companion
Production
Equine
20
ANIMALCARE GROUP PLC Annual Report 2025

AUSTRALIA AND 
NEW ZEALAND
UAE
UK
PORTUGAL
SPAIN
BELGIUM
ITALY
GERMANY
NETHERLANDS
KEY
Current operating  
regions
Current major export  
markets
Key future target  
markets
Annual Report 2025 ANIMALCARE GROUP PLC
GOVERNANCE
FINANCIALS
STRATEGIC REPORT
21

Q
How does Animalcare currently take 
its products to market, and how is that 
evolving?
Most of our products are prescription only and are sold 
to the pet owner by the veterinarian. However, with the 
increase in online sales and with pet owners feeling squeezed 
by the cost-of-living crisis, there has been a significant rise in 
non-pharmaceutical over-the-counter (OTC) products being 
sold in the retail channel and online as pet owners think 
twice before seeing a vet. While the vet is still our primary 
route-to-market and focus, we have responded by investing 
more in our OTC range and assets, especially in dental and 
dermatology. An example of this is how, as part of the STEM 
Animal Health divestment in 2024, we gained the rights to 
sell Plaqtiv+ in all channels in Europe and the UK, not just the 
veterinary channel.
Q
How do local partnerships and 
distribution networks support the 
rollout of newly licensed products in key 
territories?
Animalcare has its own sales and marketing teams in 10 
countries and works with strategic partners in territories 
where we don’t have our own teams. For most of our 
products, we work with local animal health companies 
who understand their local market; however, for our major 
brands, for example Daxocox, we partner with multi-national 
animal health companies who have a wide reach and the 
ability to register, launch, support and grow our brands 
across the globe.
Q
Where do regulatory environments 
meaningfully influence speed-to-market 
or product mix?
New novel pharmaceuticals can take up to 10 years, on 
average, to create a suitable dossier and then to register in 
Europe or the US. Generics developments can be shorter 
(two-to-three years), but still incur a significant cost. OTC 
products need no, or very limited, registration compared to 
pharmaceuticals and can, therefore, be launched in a much 
shorter time frame and with much less cost.
Q
What regions or categories do you 
expect to drive the next phase of growth 
for Animalcare?
In the short term, Europe and Australia will continue to be 
the main growth drivers, building on growing current brands, 
the expansion of dental products into the retail sector and 
the expanding geographic footprint in Europe and the Middle 
East. In the medium to long term, with the extension of 
the Daxocox franchise globally, including in the US, and the 
launch of the VHH and E-6132 developments in the 2030s, 
the Americas and Asia will become strong regions of growth 
for Animalcare.
Q
What macroeconomic trends are 
you seeing and how is Animalcare 
responding?
The global animal health market is forecast to have a CAGR 
growth just over 4% between 2025 and 2030. Primary 
growth factors include increased spending on animal health, 
rising prevalence of zoonoses (infectious diseases that can 
be transmitted from animals to humans), greater uptake of 
pet insurance, pet humanisation, and rapid AI integration 
in diagnostics and product development. The Companion 
Animal sector is expected to see the fastest growth, driven by 
cultural trends in pet ownership and consumer willingness to 
invest in premium care.
Animalcare is responding by increasing investment in 
innovation, especially in therapeutics for Companion Animals 
and Equine. This is supported by targeted M&A activity and 
developing partnerships, especially in the APAC region (the 
fastest-growing region in animal healthcare). 
ANIMALCARE GROUP PLC Annual Report 2025
22
Our Marketplace

Q
Which product categories have the 
strongest long-term growth profile?
Dermatologic diseases with innovative treatments like 
monoclonal antibodies (mAbs) and targeted therapies, 
such as JAK inhibitors, are driving high growth. In Pain 
Management, a rising awareness of pain in ageing pets and 
Equine and the need for long-term treatments for conditions 
like osteoarthritis, continue to grow the category. Dental 
disease is the most common health in issue in dogs, with 
around 80% of dogs showing some sign of dental disease 
by the age of two. However, less than 10% of dog owners in 
the UK brush their dog’s teeth, highlighting the potential for 
strong growth in the preventative dental disease market.
Q
How is Animalcare positioned relative to 
competitors in these product categories?
Animalcare launched the first, and only, once-weekly 
treatment for osteoarthritis in 2021 and in 2025, acquired 
the VHH NGF programme and related assets from Orthros 
Medical. This current programme is researching the 
effectiveness of VHH antibodies in the treatment of pain 
caused by osteoarthritis in horses and dogs. The dental 
market is fragmented with only a couple of competitors 
sharing the broad range of products Animalcare can offer the 
pet owner. We are investing in our dental portfolio to offer 
a wider range of products and to a wider audience through 
investment in the non-veterinary channel. 
Q
Which strengths (portfolio, expertise, 
partnerships) matter most to the success 
of Animalcare?
They are all highly important. We are increasing our R&D 
spend over the next few years to bring to market novel 
new products in key areas, including Pain Management 
and Equine. In order to ensure the success of these new 
products, we are building a strong R&D team to develop 
them, a strong commercial team to launch them and strong 
key strategic partners globally who share our passion for 
these products to successfully market them in countries 
where we don’t have our own teams.
MARTIN GORE
Director, Strategic Alliances and Acquisitions
13 May 2026
Annual Report 2025 ANIMALCARE GROUP PLC
GOVERNANCE
FINANCIALS
STRATEGIC REPORT
23

Companion 
Animals
Key therapeutic 
areas
Pain control, anaesthesia and 
analgesia, antibiotics, fluid 
therapy, dermatology and 
dental welfare
Products
64% of our Companion Animal products are 
Prescription Only Medicines (POMs) prescribed 
by veterinarians. Depending on the country, 
POMs can be dispensed by veterinarians, 
pharmacists or authorised online suppliers. 
Supporting this range, we have a number of 
non-prescription OTC brands in areas including 
dental, microbiome support, dermatology and 
nutritional supplements. OTC products do not 
need to be prescribed by veterinarians, allowing 
other vet practice members such as nurses and 
receptionists, as well as the non-veterinary retail 
channel to sell directly to pet owners.
Equine
Key therapeutic 
areas
Gastric ulcers, pain 
management, joints, 
reproduction
Products
Over 97% of our Equine products are POMs 
that are prescribed by veterinarians who work 
at “mixed” vet practices (a combination of 
Companion Animal, and or Production Animal 
and Equine) or increasingly, and especially 
in Australia, stand-alone dedicated Equine 
veterinary practices. 
Production 
Animals
Key therapeutic 
areas
Antibiotics, pain management, 
anthelmintics
Products
98% of our Production Animal products are 
POMs that are prescribed by veterinarians. The 
remaining 2% are OTC products supporting the 
POM business. Our Production Animal business 
is mainly focused on Southern European 
countries (Spain, Portugal and Italy) and with 
our international partners.
PRODUCT CATEGORY-SPECIFIC MARKET TRENDS
ANIMALCARE GROUP PLC Annual Report 2025
24
Our Marketplace CONTINUED

Market trends and opportunities
The global Companion Animal market is forecast to grow 
at a CAGR of approximately c.6% between 2025 and 2030 
(Stonehaven Analytics). The main driver for this growth is the 
increase in pet ownership, driven by several factors including 
demographic changes, rising income and the COVID-19 
pandemic. Additionally, advances in veterinary medicines and 
diagnostics, improved management of complex conditions by 
veterinarians and increases in pet insurance have all contributed 
to animals living longer and increased expenditure. The 
“humanisation” of pets, especially among younger pet owners, 
and pet owners’ compassion for their animals also contributes 
to the strong growth in the market.
Our response
The Companion Animal sector is the main area of focus for 
Animalcare. Our strategy has been to develop and launch novel 
and innovative products into this market, such as Daxocox and 
Plaqtiv+, while investing in longer-term R&D programmes in key 
therapeutic areas.
Market trends and opportunities
The Equine market can be split between food producing, wild 
and Companion Animal. This can then be divided into racing, 
competition and leisure. High-value racing and competition 
horses receive treatment when needed and at any cost. The 
leisure market can be more variable. Due to its smaller size 
compared to the Companion Animal market, fewer animal 
health companies are active in this product category and it has 
seen less innovation.
Our response
We focus on the Companion Animal Equine market and have 
identified Equine as an attractive market for a company of 
our size. The Randlab acquisition in early 2025 has given us a 
strong platform to grow our Equine business and develop new 
products. In 2025, we partnered with 272Bio to develop novel 
VHH antibody-based treatments in Equine pain management 
and dermatology, and we are investigating the use of the 
Daxocox metabolite E-6132 in Equine pain management. 
Market trends and opportunities
The global demand for protein continues to increase and is 
the key driver for growth in Production Animals. The global 
“one-health” initiative, the integrated, unifying approach that 
aims to sustainably balance and optimise the health of people, 
animals and ecosystems has brought an increased focus on 
animal welfare, pain control and antimicrobial resistance and 
the need to manage the use of antibiotics in animals, especially 
in Production Animals.
Our response
Over the last few years, we have reshaped our Production 
Animal portfolio, moving away from antibiotics and focusing 
more on pain relief and anthelmintics. Today, our leading 
Production Animal brand is a Ketoprofen 15% non-steroidal 
anti-inflammatory drug (NSAID) indicated for the reduction of 
inflammation, pain and fever.
Annual Report 2025 ANIMALCARE GROUP PLC
GOVERNANCE
FINANCIALS
STRATEGIC REPORT
25

Our business model centres on the development, supply and marketing of pharmaceutical and 
non-prescription products to the veterinary profession, underpinned by our strong foundations, 
which enable us to execute our strategy.
We harness our  
key resources...
OUR KEY RESOURCES
TALENTED TEAM WITH A 
COLLABORATIVE CULTURE
Having the right people, capabilities 
and engagement across the 
organisation is fundamental to 
delivering our strategy and the 
long-term success of the Group. We 
seek to create an environment in 
which our colleagues feel valued and 
empowered to be the best version of 
themselves at work. 
DEPTH OF INDUSTRY 
KNOWLEDGE
We have extensive knowledge of 
the Companion Animal, Production 
Animal and Equine markets in which 
we operate and the regulations that 
govern them.
STRONG CUSTOMER 
RELATIONSHIPS 
The relationships with the individual 
vets and veterinary groups that 
represent our core customers are 
key. Our sales force has extensive 
experience and knowledge of their 
markets and products.
STRATEGIC PARTNERSHIPS 
The Group has developed a 
series of critical partnerships that 
help us strengthen our pipeline, 
commercialise innovative products, 
and establish research and 
manufacturing capabilities and 
capacity.
BALANCED PORTFOLIO 
Animalcare operates a portfolio of 
increasing quality and sustainability, 
comprising, approximately, 160 brands.
OUR KEY ACTIVITIES AND ENABLERS
1
2
3
4
5
1. Develop and commercialise 
prescription and 
over-the-counter animal 
pharmaceutical products.
2. Manufacture to high quality 
standards through a network 
of contract manufacturing 
partners.
3. Manage a sustainable 
international supply chain, 
including specialist veterinary 
wholesalers and distributors.
4. Outside our direct 
geographic operations, we 
partner with companies to 
commercialise products.
5. Sell products to veterinary practices and veterinary groups 
through our own highly skilled sales force. Animalcare is 
also building out its own retail channel to sell directly to pet 
owners.
UNDERPINNED BY OUR STRONG FOUNDATIONS
FINANCIAL STRENGTH 
Our solid financial platform enables us to increase investment 
and leverage our stronger base to deliver future growth and 
value to our shareholders.
OPERATIONAL EXCELLENCE
Mature business and veterinary pharmaceutical processes and 
capabilities to exploit sustainable growth opportunities.
ATTRACTIVE MARKETPLACE
Operating in an attractive marketplace with clear growth drivers 
across the Companion Animal, Production Animal and Equine 
markets.
...to deliver high-value solutions that  
generate sustainable growth...
We are driven by our values, helping 
to create an environment in which our 
colleagues feel empowered to be the 
best version of themselves at work.
ONE TEAM
PASSION
ANIMALCARE GROUP PLC Annual Report 2025
26
Business Model

VALUE CREATED FOR STAKEHOLDERS
EMPLOYEES
Our people benefit from the ability to improve 
their skills and work in a challenging, innovation-
driven and forward-thinking organisation.
KEEPERS OF ANIMALS AND SOCIETY
Our veterinary products help maintain or improve 
the health and wellbeing of animals across our 
markets. This brings huge benefits to owners and 
wider society.
CUSTOMERS
Animalcare seeks to provide a choice of 
innovative and trusted products to support 
veterinary professionals and other customer 
stakeholders. Our agile business model and 
close customer relationships help ensure we are 
aligned with the changing needs of our markets.
SUPPLIERS 
The Group does not own manufacturing facilities, 
so it works with third-party manufacturers to 
supply finished products. We engage with these 
suppliers to develop and maintain trusting 
long-term relationships, creating mutual value.
SHAREHOLDERS 
Through the execution of our growth strategy,  
we aim to consistently deliver strong and resilient 
financial performance for our shareholders, 
generating attractive returns over the long term.
PARTNERS 
Our partnerships are wide ranging in scope 
and help ensure the success and effective 
operation of our business. We create value 
through long-term collaborations on mutually 
agreed terms.
...while meeting the evolved needs of our stakeholders
INTEGRITY
TAKING OWNERSHIP
HAVE FUN
Annual Report 2025 ANIMALCARE GROUP PLC
GOVERNANCE
FINANCIALS
STRATEGIC REPORT
27

Where innovation, 
growth and scale...
Competitive 
strength with clear 
routes to a growing, 
global market
Strong relationships 
with partners, vet 
and veterinary 
groups, supporting 
opportunities in a 
growing global market
c.$43bn
MARKET VALUE IN 2025
Proven management 
team supported by 
highly skilled people
Team strengthened 
in 2025 through the 
integration of Randlab 
and recruitment of 
additional leaders 
across our operations
c.30% 
OF EMPLOYEES 
ARE TRAINED VETS, 
MORE THAN MOST 
COMPETITORS
Modest increase 
in R&D investment 
will transform our 
opportunity
Target R&D investment 
of c.5% of revenues in 
2026
Exciting New Product 
Development pipeline 
supporting long-term 
growth
Increasing number of 
novel product launches 
– six significant assets 
expected to launch in 
the medium term
28
ANIMALCARE GROUP PLC Annual Report 2025
Key Strengths

...converge for a 
sustainable future.
Increasingly 
attractive and 
diversified product 
portfolio
Achieving double-digit 
growth in the Group’s 
flagship brands
70%
INCREASED OWN 
BRANDS TO 70% OF 
SALES MIX
Firepower to 
execute further 
M&A
Highly cash generative 
with strong balance 
retained c.£20m 
of firepower post 
acquisition of Randlab
Proactively assess a 
range of opportunities 
to accelerate growth
New initiatives in 
place to accelerate 
our organic growth
New retail channel 
launching in 2026, 
providing access to the 
growing retail market 
for OTC treatments
Increased investment 
into commercial 
capabilities to drive a 
significant sales uplift
STRATEGIC REPORT
29
GOVERNANCE
FINANCIALS
Annual Report 2025 ANIMALCARE GROUP PLC

Continued positive trading performance
2025 has demonstrated the strength within the business, 
providing a strong springboard for growth acceleration in 
future years.
Group revenue increased 20.0% at AER to £89.1m, 
underlying EBITDA increased 52.6% to £17.7m, and the 
Group maintained high levels of cash generation, with 
leverage at 0.7x underlying EBITDA.
A standout of the year was the strong performance by 
Randlab, the Australian Equine business we acquired in 
early 2025 ahead of our initial expectations. We have been 
delighted to welcome Bruce and his team to the Group.
In Companion Animals, flagship brands, such as Daxocox 
and Plaqtiv+, delivered double-digit growth, fuelled by the 
launch of the Peri-Operative Pain indication in Europe, while 
the Production Animals’ portfolio also contributed positively 
due to strong customer relationships. Equine performed very 
strongly, benefiting from the significant contribution from 
Randlab.
Our commercial team has continued to bring operational 
improvements and enhancements to the way in which we 
take our brands to market, demonstrated by the growth in 
our German operations. This is a model we will be taking to 
other regions in the year ahead, as we modestly increase 
our investment into sales and marketing to support further 
growth, particularly in our dental health ranges.
Over the last five years, we have made significant strategic 
progress. We have deliberately evolved from a business with 
fragmented portfolios, limited scale and focus, high levels of 
‘distribution’ products, limited M&A capacity and only one 
asset in the development pipeline, to a growing business 
with strong foundations to execute on our strategic priorities:
	•
Increasing the quality and sustainability of our portfolio
	•
Building competitive capacity and capability in our 
commercial teams
	•
Strengthening our supply chain
	•
Seeking more M&A opportunities
	•
Building new product-development pipeline capability, 
external partnerships and increasing investment from an 
historical average of around 2.0% to 4.5% in 2025
2025 was a year of strategic execution 
and financial delivery, as we continue 
to build a more scalable and growth-
oriented business.
A standout of the 
year was the strong 
performance by 
Randlab, the Australian 
Equine business we 
acquired in early 2025 
ahead of our initial 
expectations.
JENNIFER WINTER
Chief Executive Officer
ANIMALCARE GROUP PLC Annual Report 2025
30
Chief Executive Officer’s Statement

Organic growth
Building and nurturing a focused portfolio of attractive, 
profitable brands that offer sustainable revenues and strong 
margins is at the heart of our long-term strategy. In recent 
years, we have re-engineered our product lineup to place 
greater emphasis on brands that we can commercialise 
across all our markets. Combined with ongoing investment 
in sales and marketing excellence, this gives us important 
synergies that are hard to access from smaller, more local, 
products.
The value of that approach is evident in the continuing 
enthusiastic customer response to brands such as Daxocox 
and Plaqtiv+. Sales of Daxocox, our long-acting NSAID for 
the treatment of osteoarthritic pain, grew by 23% in 2025, 
while revenues generated by the Plaqtiv+ dental range were 
up 42%. Each of our product categories delivered growth 
over the 12 months. Companion Animals returned to normal 
growth, as expected. Production Animals returned to more 
normal demand patterns for the full year, following an 
exceptional first half, and Equine benefited from enhanced 
control over Danilon.
Looking ahead, we have identified an opportunity to 
accelerate growth in our key non-prescription brands, over 
and above the double-digit growth already being achieved, 
through opening up a new retail channel, providing us 
with access to the remaining 70% of buyers who do not 
purchase directly from a vet. Our focus in 2026 will be on 
achieving initial contracts with new digital stores, supported 
by investing in digital marketing capabilities and activities, 
alongside key account management, drawing on the 
expertise of our team, who have delivered digital retail 
growth in past roles.
Another initiative for the year ahead will be further 
refinement of our supply chain management. With the 
business having grown through acquisition in the past, 
we have already achieved a significant reduction in our 
portfolio complexity. We believe that through the further 
simplification of our supply chain we can increase resilience, 
increase revenue growth through availability of product and 
increase our EBITDA margin through strong relationships.
Annual Report 2025 ANIMALCARE GROUP PLC
GOVERNANCE
FINANCIALS
STRATEGIC REPORT
31

Inorganic growth
Animalcare is committed to pursuing value-creating external 
opportunities that have the potential to grow our business 
through M&A, in-licensing and partnerships. We have a 
healthy pipeline at various stages of assessment, undergoing 
our disciplined assessment process.
In early 2025, we achieved a significant milestone with the 
acquisition of Randlab, the Australia-based Equine health 
company. The integration of Randlab into the Group is 
progressing well and, in some cases, ahead of expectations, 
with the objective to preserve the absolute focus on the 
Equine market and entrepreneurial operating environment.
The progress and performance in the year are testament to 
the leadership team brought in to oversee the business and 
their strong collaboration with the highly experienced local 
team as well as their new Animalcare colleagues. Through 
working together, opportunities were identified to grow 
the business, enabling the acceleration of investment plans 
within Australia and into new markets to scale commercially, 
including the UAE, while, at the same time, nurturing the 
local entrepreneurial culture that defines Randlab and 
makes it a trusted choice with its loyal customer base. This 
expansion is supported by the key hires made in 2025 in the 
commercial team, which included a new Export Manager 
and additional sales roles in the Gulf Co-operation Countries, 
New Zealand and New South Wales.
We have continued to build scale internationally, notably 
via the 25% strategic equity investment in the Australian 
Companion Animal business, InVetro Pty Ltd, in June 2025, 
expanding our presence in the growing Asia-Pacific veterinary 
market.
Developing new products
Central to the Group’s growth strategy is building a balanced 
pipeline of new products, to replicate and expand the success 
of our novel products, Daxocox and Plaqtiv+, and meet 
the needs of the animal health market. R&D activities and 
investment have accelerated across a range of opportunities 
(notably Sweet Itch, VHH NGF and E-6132), which the Board 
believes has the potential to drive transformative growth in 
the medium to long term. We were delighted to appoint Dr 
Hafid Benchaoui as Chief Strategy and Science Officer (CSSO), 
to strengthen the development of our new product pipeline. 
He will lead R&D at both a strategic and technical level and 
join the Senior Executive Team. Previously Head of Global 
Research and Development (R&D) at ECO Animal Health, 
Hafid brings extensive international animal health experience 
to the role.
In total, the Group now has six major projects in the pipeline 
at different stages with large market opportunities (in excess 
of c.£100m) and unmet need. These programmes have been 
selected due to their strong fit with the Group’s strengths, 
expertise and commercial relationships across the Equine 
and Companion Animal markets. All are the Company’s own 
IP, other than Sweet Itch which is in-licensed.
ANIMALCARE GROUP PLC Annual Report 2025
32
Chief Executive Officer’s Statement CONTINUED

On 22 August 2025, the Group announced the acquisition 
of the VHH NGF antibody programme and related assets 
for a net cash consideration of €0.7m, which had previously 
been licensed from Orthros Medical in March 2022. This 
provides Animalcare full ownership and control of the 
intellectual property and associated assets, enabling 
independent development working alongside 272Bio 
and commercialisation of the technology to support the 
expansion of the Group’s pain portfolio. The Group is 
advancing the lead Equine asset, with promising early results.
The Group has also entered into a licence agreement 
with 272Bio to develop a novel biological treatment for a 
common Equine skin condition (Sweet Itch), which affects 
an estimated c.8% of horses globally. The deal structure 
includes an initial commitment of c.£2.0m to fund preclinical 
research, which will be expensed over the next 18–24 
months as we work towards achieving proof of concept.
Life cycle management activities of key brands are ongoing, 
expanding their market reach. In late July, Daxocox received 
European Union approval for use in a peri-operative setting, 
adding a new indication for the long-acting NSAID, enabling 
broader market access and reinforcing the Group’s growth 
ambitions for the Daxocox franchise. Meanwhile, the Group 
continues to seek regulatory approval for the use of Daxocox 
in new territories, with approval granted in Japan, as well as 
exploring the opportunity to launch in the US within the next 
few years.
Summary
Our expanding global presence, strong brands and attractive 
product lineup provide a solid platform as the Group 
entered 2026.
I would like to thank colleagues across Animalcare for their 
continued dedication as we pursue our growth strategy, and 
to the Board members for their guidance and support.
JENNIFER WINTER
Chief Executive Officer
13 May 2026
Annual Report 2025 ANIMALCARE GROUP PLC
GOVERNANCE
FINANCIALS
STRATEGIC REPORT
33

Underlying and statutory results
To provide comparability across reporting periods, the Group 
presents its results on both an underlying and statutory (IFRS) 
basis. The Directors believe that presenting our financial 
results on an underlying basis, which excludes non-underlying 
items, provides more useful and relevant information of 
business performance to stakeholders. IFRS results include 
these items to provide the statutory results. 
All figures are reported at actual exchange rates (AER) unless 
otherwise stated. Commentary will include references to 
constant exchange rates (CER) to identify the impact of foreign 
exchange movements. A reconciliation between underlying 
and statutory results is provided at the end of this financial 
review.
Overview of underlying financial results
The financial year has been marked by strong execution and 
strategic progress. The acquisition of Randlab has proved 
transformational, accelerating our growth and enhancing 
profitability and operating leverage. With our growing 
international footprint, continued growth in our leading 
brands and an increasingly attractive product portfolio and 
pipeline, we are confident in our ability to build on this 
momentum into 2026.
2025 
£’m
2024 
£’m
% Change 
at AER
Revenue
89.1
74.2
20.0%
Gross profit
52.4
41.2
27.2%
Gross margin %
58.8%
55.6%
3.2%
Underlying EBITDA
17.7
11.6
52.6%
Basic underlying 
continuing EPS (p)
15.7p
10.9p
44.0%
Revenue – Randlab acquisition 
accelerates growth
Group revenue increased by 20.0% (20.1% at CER) to 
£89.1m, reflecting the marked beneficial effect of the 
successful integration of Randlab, underpinned by 
like-for-like organic growth of 1.7% at AER (0.7% at CER) with 
all three product category revenues increasing versus prior 
year in trading conditions, which were varied across our end 
markets.
Revenue performance by product category is shown in the 
table below:
2025 
£’m
2024 
£’m
% Change 
at AER
Companion Animals
50.3
49.8
1.0%
Production Animals
17.7
17.0
4.0%
Equine (including 
acquisition of Randlab)
21.1
7.4
185.1%
Total
89.1
74.2
20.0%
2025 has been a 
strong year featuring 
significant revenue and 
EBITDA growth, while 
maintaining the Group’s 
highly cash-generative 
profile and strong 
balance sheet. With 
leverage at 0.7X EBITDA, 
this performance gives 
us the platform to 
accelerate our strategic 
priorities and deploy 
capital in a targeted, 
value-accretive way.
CHRIS BREWSTER
Chief Financial Officer
ANIMALCARE GROUP PLC Annual Report 2025
34
Financial Review

Companion Animals
Revenue in Companion Animals increased by 1.0% to £50.3m, 
reflecting sustained and strong momentum across several of 
our flagship brands, including continued double-digit growth 
in Daxocox (+23%) and our dental range, with Orozyme 
(+30%) and Plaqtiv+ (+42%) performing particularly well. This 
solid performance was underpinned by ongoing focus and 
investment in sales and marketing excellence.
Growth in the category was tempered by two factors outside 
of our control: reduced Conofite sales, which, as reported at 
the half-year stage, resulted from the unexpected regulatory 
monitoring of topically applied antibiotics in Spain, and the 
cessation of distribution arrangements across a number of 
older, lower-margin brands. Taken together, these factors 
resulted in a c.8–9% sales impact. Notwithstanding this, 
our Companion Animals business delivered overall growth, 
underscoring the resilience and strength of our core portfolio 
and the robustness of demand for our key brands. 
Production Animals
Production Animal revenue growth returned to more typical 
demand patterns, increasing by 4.0% to £17.7m during a 
period marked by changes within our distribution partner 
supply base and end markets. 
This follows a strong FY24, which saw sales rise by 7.8%. 
Growth was primarily supported by several larger-selling 
brands, including two owned brands within our Top 10 
products. 
Equine
Revenue within Equine increased by 185.1% to £21.1m, 
compromising revenue from the existing portfolio of 
£7.5m and acquired revenue from Randlab of £13.6m. 
Randlab delivered very strong like-for-like organic growth 
of, approximately, 12.0% at CER (c.6.0% at AER), above 
management expectations at CER set at the time of the 
acquisition on 3 January 2025. This strong performance 
was principally driven by significant growth and expansion 
of export market sales alongside growth within the core 
portfolio in Australia and New Zealand, including Ulcershield, 
which is now the Group’s fifth-largest brand. Within 
the existing Animalcare portfolio, continued growth in 
Danilon (up 7.4%) helped to offset a decline in the Equine 
fluids range, which was affected by market changes and 
competition. 
Annual Report 2025 ANIMALCARE GROUP PLC
GOVERNANCE
FINANCIALS
STRATEGIC REPORT
35

Underlying EBITDA and underlying 
earnings per share
Accelerating growth through R&D investment
The Group is committed to expanding and enhancing our 
product development pipeline. With this in mind, we are 
targeting investment of c.5% of revenue per annum to 
support future growth through an increased proportion of 
innovative products within the portfolio. As we move into 
a period of pipeline expansion and, with this, a step-up of 
investment in innovation to support our medium-to-long-
term growth ambitions, we expect an increasing proportion 
of all overall R&D expenditure to be expensed in the income 
statement. 
To aid understanding on the performance of our core 
operations, underlying EBITDA before R&D expenditure 
is used to reflect the contribution from our commercial 
operations prior to the Group’s investment in R&D and is the 
basis on which cash conversion is calculated, as described 
later in this review.
2025 
£’m
2024 
£’m
% Change 
at AER
Underlying EBITDA 
(reported)
17.7
11.6
52.6%
Research and 
development 
expenditure – 
expensed in the year
0.7
–
–
Underlying EBITDA 
before R&D 
expenditure 
18.4
11.6
58.6%
Underlying EBITDA 
margin % 
20.6%
15.6%
5.0%
The Group’s underlying EBITDA before R&D expenditure 
increased by 58.6% to £18.4m (2024: £11.6m). This growth 
was primarily driven by Randlab’s significant contribution 
to EBITDA of £6.4m, underpinned by its high gross margins, 
further enhancing the Group’s overall profitability and 
leading to a 500bps improvement in underlying EBITDA 
margin to 20.6%. 
Gross margins improved by 320bps to 58.8%, again 
predominantly reflecting the benefits of the acquired 
Randlab Equine portfolio, which delivered gross margins of 
72.9%, in line with expectations after taking into account 
reclassification of certain costs from operating expenses 
to cost of goods to align with Group accounting policies. 
Excluding Randlab, like-for-like gross margins moderately 
improved versus the prior year to 56.3% (2024: 55.6%) 
with a positive sales mix largely offsetting input cost 
inflation (COGS). The Group’s targeted pricing strategies 
mitigated a proportion of cost increases while maintaining 
competitiveness across key brands and geographies. 
Underlying overheads, defined as gross profit less underlying 
EBITDA before R&D expenditure, increased to £33.0m 
(2024: £29.7m), of which £3.4m represents additional 
operating costs associated with Randlab. As we have 
progressed with our integration and engagement with the 
local management team, our confidence in the growth 
opportunity has been underpinned, leading to accelerated 
investment in our commercial infrastructure within Australia 
and the UAE. The balance of £0.9m principally encompasses 
organic investment in people costs alongside disciplined 
control of our overall SG&A costs. 
Basic underlying continuing EPS increased by 44.0% to 15.7 
pence (2024: 10.9 pence) primarily driven by the strong 
profit contribution from Randlab and higher net finance 
income largely resulting from unrealised foreign currency 
translation exchange gains, partially offset by a c.2.0p dilutive 
impact of the equity raise completed in December 2024. The 
underlying effective tax rate increased to 24% (2024: 18.9%), 
principally reflecting the shift in the Group profit mix towards 
higher tax jurisdictions, notably in relation to Randlab, partly 
mitigated by recognition of tax losses 
ANIMALCARE GROUP PLC Annual Report 2025
36
Financial Review CONTINUED

Overview of reported financial results
Reported Group profit after tax for the year (after accounting for the non-underlying items and discontinued operations shown 
in the table and discussed below) was £5.1m (2024: £18.5m), with reported earnings per share at 7.3 pence (2024: 30.3 pence 
per share).
2025 
Underlying 
results 
£’m
Amortisation 
and 
impairment of 
intangibles 
£’m
Acquisition, 
restructuring, 
integration 
and other 
costs 
£’m
2025 
Reported 
results 
£’m
2024 
Reported 
results 
£’m
Continuing operations
Revenue
89.1
–
–
89.1
74.2
Gross profit
52.4
–
(1.0)
51.4
41.2
Selling, general and administrative expenses
(37.7)
(5.6)
–
(43.3)
(36.7)
Research and development expenses
(0.7)
–
–
(0.7)
–
Net other operating (expense)/income
–
–
(1.2)
(1.2)
2.6
Impairment losses
–
(0.1)
–
(0.1)
–
Operating profit/(loss)
14.0
(5.7)
(2.2)
6.1
7.1
Net finance income / (expense)
0.3
–
–
0.3
(1.3)
Profit/(loss) before tax
14.3
(5.7)
(2.2)
6.4
5.8
Taxation
(3.4)
1.5
0.6
(1.3)
(1.0)
Profit/(loss) for the year
10.9
(4.2)
(1.6)
5.1
4.8
Profit from discontinued operations
–
–
–
–
13.7
Total profit/(loss) for the year
10.9
(4.2)
(1.6)
5.1
18.5
Basic earnings per share (p)
15.7p
–
–
7.3p
30.3p
Non-underlying items totalling £7.9m (2024: net income of £11.2m) relating to profit before tax have been incurred in the 
year, as further described in note 4. In summary, the principal items in 2025 are as follows:
	•
Amortisation and impairment of acquisition-related intangibles of £5.7m (2024: £4.0m) reflecting the ongoing non-
cash charges associated with the Group’s acquired intangible asset base, largely in relation to the reverse acquisition of 
Animalcare Group plc and the acquisition of Randlab
	•
Restructuring costs of £0.6m relating to targeted organisational changes designed to streamline operations and enhance 
efficiency across key parts of the business
	•
Acquisition and integration costs of £1.9m, the majority of which relates to the Group’s acquisition of Randlab, completed 
on 3 January 2025, including a £1.1m non-cash charge within cost of sales due to the reversal of a fair value uplift on 
acquired inventories
Annual Report 2025 ANIMALCARE GROUP PLC
GOVERNANCE
FINANCIALS
STRATEGIC REPORT
37

Strong cash flow and balance sheet position
Operating cash flow and cash conversion
The Group continues to generate strong operating cash flows demonstrating the highly cash-generative qualities of our 
business. Underlying cash conversion was 79.7%, in line with our guidance. 
As noted earlier, the Group assesses operating cash flow relative to Underlying EBITDA before R&D expenditure. This reflects 
the Group’s decision to treat R&D as a growth investment rather than a core trading cost. In prior periods, cash conversion 
was calculated against Underlying EBITDA after R&D; the methodology has changed in 2025 to align with the Group’s capital 
allocation framework as shown below: 
2025 
£’m
2024 
£’m
Underlying EBITDA – continuing operations
18.4
11.6
Underlying EBITDA – discontinued operations
–
0.2
Total Underlying EBITDA
18.4
11.8
Change in net working capital
(1.5)
(0.7)
Taxation
(3.2)
(0.8)
Non-cash and other adjusting items
(1.2)
1.1
Net cash flow from operations before R&D expenditure
12.5
11.4
Non-underlying cash items 
2.2
0.8
Underlying net cash flow from operations
14.7
12.2
Underlying cash conversion % 
79.7%
103.1%
Underlying net cash flow generated from our operations increased to £14.7m (2024: £12.2m). The net working capital 
outflow of £1.5m was primarily driven by a £2.1m decrease in payables, partially offset by a £1.0m reduction in inventories. 
These movements reflect trading and inventory purchasing patterns towards the year end. Cash taxes significantly increased 
compared to 2024, reflecting Randlab tax payments of £1.4m and a £1.0m increase in like-for-like cash taxes. The rise in 
tax outflows was mainly attributable to the geographic distribution of profits and a higher level of Animalcare balancing tax 
payments relating to previous years. 
ANIMALCARE GROUP PLC Annual Report 2025
38
Financial Review CONTINUED

Net debt bridge
Net debt at
1 January
20251
Net cash
flow from
operations
Capital
expenditure
Adjusted free cash flow
Payment
of lease
liabilities
Repayment
of loans
Net interest
paid
Acquisitions
(including 
M&A fees)
(£9.0m)
Net debt 
at 31 
December
20253
(£9.1m)
£12.8m2
(£4.2m)
(£1.3m)
(£1.0m)
£0.3m
(£0.8m)
Purchase of
equity
investments
(£1.4m)
Dividends
(£3.6m)
Share issue
costs
(£0.1m)
FX on 
cash and 
borrowings
(£0.8m)
£7.3m
1	 Excluding IFRS 16 lease liabilities.
2	 Excluding non-underlying M&A expenses
3	 Prior to accounting for IFRS 16 leases.
Net capital expenditure of £4.3m (2024: £2.5m) largely comprised of investment in our product development pipeline with the 
balance of expenditure relating chiefly to our IT business systems and infrastructure.
The Group continued to advance its R&D pipeline of new products that address significant market opportunities and unmet 
needs within the veterinary sector. Total investment increased to £4.0m (2024: £2.1m) across the five key projects progressing 
through various stages within our pipeline, analysed as follows:
2025 
£’m
2024 
£’m
Research and development expenditure – expensed in the year
0.7
–
Research and development expenditure – capitalised as intangible assets
3.3
2.1
Total expenditure
4.0
2.1
% of revenue 
4.5%
2.8%
Total investment in our VHH NGF antibody programme was £1.9m, comprising:
	•
Gross cash consideration of £0.9m relating to the acquisition of the VHH NGF antibody programme and related assets in 
August 2025
	•
R&D expenditure and an up-front licence payment to access and develop a half-life extension technology for Equine 
biologics totalling £1.0m
The balance of investment in our pipeline of £2.1m primarily related to Sweet Itch, E-6132 and life cycle management activities 
across key brands, notably Daxocox. 
The Group delivered strong free cash generation before Randlab acquisition costs and after accounting for lease costs of 
£7.3m (2024: £7.9m, including £0.4m Identicare contribution). Net debt ended the year, pre IFRS 16 leases, at £9.1m (2024: 
£9.0m). Net debt, including IFRS 16 lease liabilities, was £12.3m (2024: £11.5m), representing a net debt: underlying EBITDA 
leverage ratio of 0.7 times. 
Annual Report 2025 ANIMALCARE GROUP PLC
GOVERNANCE
FINANCIALS
STRATEGIC REPORT
39

Borrowing facilities
As at 31 December 2025, the Group had total credit facilities 
of €54.0m, provided by a syndicate of four banks, with all 
facilities set to mature on 31 March 2029. These facilities 
include a committed €44.0m revolving credit facility 
(RCF) and a €10.0m acquisition line, which is restricted to 
acquisition purposes and cannot be used for operational 
funding.
The loans carry a variable, EURIBOR-based interest rate with 
an applicable margin of either 1.26% or 1.50%. The RCF 
features bullet repayment at maturity in March 2029, while 
the acquisition line is amortised through quarterly payments, 
also concluding in March 2029.
In early 2025, the Group finalised credit documentation with 
the remaining two of the four syndicate banks, bringing the 
total acquisition facility to the €10m committed in 2024. This 
completion ensures an equal allocation of the total credit 
facility across all four syndicate banks, with the maturity 
date for all facilities remaining at 31 March 2029. The 
Group centrally manages its banking arrangements through 
a cross-currency cash-pooling system, whereby funds are 
swept daily from various bank accounts into central accounts. 
This approach optimises the Group’s overall net interest 
payable position.
The Group’s credit facilities are subject to the following 
financial covenants, which are monitored and maintained at 
all times:
	•
Net debt to underlying EBITDA ratio of no more than 3.5x
	•
Underlying EBITDA to interest ratio of at least 4.0x
	•
Solvency ratio (total assets less goodwill/total equity less 
goodwill) of more than 25%
At 31 December 2025, net debt (excluding IFRS 16 lease 
liabilities) was £9.1m (2024: £9.0m). Including net cash 
balances, total on headroom on the revolving credit facility 
(RCF) was £36.1m as at 31 December 2025.
As at 31 December 2025, and throughout the financial 
year, the Group was in full compliance with all covenant 
requirements, maintaining significant headroom across all 
three measures.
Going concern
Going concern is addressed in detail in note 2 of the financial 
statements.
Summary
The Group delivered a resilient trading performance in 
2025, with strong execution across our core portfolio 
and material momentum from the Randlab acquisition. 
Randlab has performed ahead of expectations, contributing 
significantly to revenue growth in Equine and reinforcing 
our strategy of increasing exposure to higher growth, 
higher margin categories. We continue to see increasing 
commercial traction as we expand Randlab’s reach across 
our geographies and integrate our portfolio into our broader 
commercial platform.
The Group ends 2025 in a position of strength with 
Animalcare a more resilient, more scalable and more growth-
focused business. The addition of Randlab has elevated 
our Equine leadership position and provides a platform 
for further international expansion, while our investment 
in InVetro offers a valuable entry point into the Australian 
Companion Animal market.
CHRIS BREWSTER
Chief Financial Officer 
13 May 2026
ANIMALCARE GROUP PLC Annual Report 2025
40
Financial Review CONTINUED

STRATEGIC REPORT
41
GOVERNANCE
FINANCIALS
Annual Report 2025 ANIMALCARE GROUP PLC

Organic revenue  
growth
Underlying cash 
conversion
Basic underlying 
earnings per share
£75.5m 
£74.2m
£70.7m
25
24
23
79.7%
103.1%
85.7%
25
24
23
15.7p
10.9p
9.9p
25
24
23
Definition:
Revenue growth: including 
new products versus prior 
year, excluding the impact of 
acquisitions and disposals
Definition:
Cash generated from operations 
as a percentage of underlying 
EBITDA before R&D expenses
Definition:
Underlying continuing profit 
after tax divided by the 
weighted average number 
of shares
Why we measure this:
Organic revenue growth is an 
important barometer of the 
Group’s success in delivering its 
strategy and is a key component 
of growing our profits and 
cash flow
Why we measure this:
Our quality of earnings is 
reflected in our ability to turn 
underlying EBITDA before 
R&D expenses into cash, an 
important enabler of capital 
allocation and investment in our 
innovation pipeline
Why we measure this:
Underlying continuing EPS 
is a key indicator of our 
performance and the return we 
generate for our stakeholders
Commentary on performance:
Revenue for the year 
excluding Randlab was £75.5m 
(2024: £74.2m), an increase of 
1.7% at AER (0.7% at CER)
Commentary on performance:
The Group continued to 
generate strong operating 
cash flows with underlying 
cash conversion in 2025 in line 
with guidance, reflecting the 
acquisition of Randlab
Commentary on performance:
Basic underlying continuing 
EPS increased by 44% primarily 
driven by the strong profit 
contribution from Randlab
Links to Strategy:
 
Links to Strategy:
 
 
Links to Strategy:
 
 
STRATEGIC PRIORITIES
 Organic growth
 Inorganic growth
 New product development
FINANCIAL KPIS
ANIMALCARE GROUP PLC Annual Report 2025
42
Key Performance Indicators

Underlying EBITDA 
margin
New product  
revenue
Net debt to underlying 
EBITDA leverage
20.6%
15.6%
16.4%
25
24
23
4.1%
6.0%
7.7%
25
24
23
0.7x
1.0x
0.1x
25
24
23
Definition:
Continuing underlying EBITDA 
before R&D expenses1 as a 
percentage of sales
Definition:
Revenue from new products 
launched in the last three 
financial years (including 
territory expansion) as a 
percentage of revenue
Definition:
Leverage is net debt (total debt 
including IFRS 16 liabilities 
less cash balances) divided by 
underlying EBITDA
Why we measure this:
This is a measure of the 
operating efficiency of the 
Group with focus on translation 
of sales growth to profit
Why we measure this:
New product revenue (as 
defined above) was 4.1% in 
2025, of which c.90% related to 
Companion Animal products
Why we measure this:
We seek to maintain a strong 
balance sheet with a maximum 
leverage target of two times 
underlying EBITDA to allow 
capacity for investment in 
future growth
Commentary on performance:
Underlying EBITDA margin 
improved by 500bps to 20.6% 
primarily driven by Randlab’s 
significant contribution to 
EBITDA underpinned by its high 
gross margins
Commentary on performance:
New product revenue (as 
defined above) was 4.1% in 
2025, of which c.90% related to 
Companion Animal products.
Commentary on performance:
Net debt of £12.3m, including 
IFRS 16 leases, represents 
leverage of 0.7 times underlying 
EBITDA against a banking 
covenant of 3.5 times and 
target gearing of <2.0x EBITDA
Links to Strategy:
 
Links to Strategy:
 
 
Links to Strategy:
 
 
1	 R&D expenses are excluded from underlying 
EBITDA margin as the Group considers them a 
strategic investment activity for future growth.
Annual Report 2025 ANIMALCARE GROUP PLC
GOVERNANCE
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STRATEGIC REPORT
43

Our people
Customers
Suppliers
Why we engage
Having the right people, 
capabilities and engagement 
is fundamental to delivering 
our strategy. Our objective is 
to create a high-performing 
business driven by a skilled, 
unified and committed team.
Stakeholder interests 
	•
Career development
	•
Reward and recognition
	•
Engagement
	•
Training and development
	•
Wellbeing
	•
Health and safety
How we engage 
We seek to engage with our 
employees on a continual 
basis to help reinforce the 
Group’s culture. Inspired by an 
employee suggestion is a peer-
driven initiative that honours 
individuals who go above 
and beyond. Employees are 
compensated through incentives 
related to performance targets, 
while individual and team 
development programmes create 
an environment that fosters 
learning and growth. Recognising 
the importance of mental and 
physical health, we provide a 
tailored programme to support 
wellbeing.
Why we engage
As the veterinary market 
continues to evolve, 
understanding the needs of 
our customers is crucial. We 
continue to work closely with 
veterinary professionals and 
other commercial stakeholders to 
ensure we are aligned with their 
changing needs. 
Stakeholder interests 
	•
Safety, quality and reliability
	•
Product availability and 
effectiveness
	•
Competitiveness
	•
Our availability and 
responsiveness 
	•
Customer relationships
	•
Compliance 
	•
Range of products 
How we engage 
Regular meetings with veterinary 
practices and larger veterinary 
groups help us understand 
the changing needs of our 
customers as well as providing 
a platform for commercial 
contract negotiations. Product 
launch and training events 
keep customers abreast of 
innovative new treatments. We 
also provide information about 
our business through a range of 
digital channels and participate 
in industry forums and events 
to engage with a range of 
customer types.
Why we engage
As the Group does not own any 
manufacturing facilities, it relies 
extensively on a large base of 
third-party manufacturers for 
supply of finished products, 
whether our own brands or 
those sold on behalf of other 
companies via distribution 
arrangements. We need to 
maintain trusting relationships 
with suppliers and partners for 
mutual benefit and to ensure 
they are meeting our standards 
and conducting business 
ethically. 
Stakeholder interests 
	•
Quality management
	•
Cost-efficiency
	•
Long-term relationships
	•
Responsible procurement, 
trust and ethics
How we engage 
Under the umbrella of the 
Group’s key partner management 
programme, we meet with 
specialist veterinary wholesalers 
and distributors as well as key 
suppliers that between them 
represent, approximately, 70% 
of purchasing spend. We carry 
out quality management reviews 
and facilitate supplier forums and 
networking meetings.
Our key stakeholders and how we engage with them
Animalcare considers its key stakeholders to be the Group’s employees, customers, suppliers, partners, 
shareholders and the communities and environment in which we operate.
ANIMALCARE GROUP PLC Annual Report 2025
44
Our Engagement with Stakeholders

Partners
Shareholders
Community and 
environment
Why we engage
A central aim of our Group 
strategy is to bring innovation 
to our customers through new 
products. With this in mind, 
we engage with existing and 
potential partners who possess 
technologies that promise 
to complement our R&D 
pipeline or existing portfolio. 
Examples include the VHH NGF 
research programme targeting 
osteoarthritis in canine and horse 
animal models.
Stakeholder interests 
	•
R&D capability
	•
Animal health regulatory 
experience
	•
Track record of 
commercialising new products
	•
Attractive returns on 
successful market penetration
	•
Long-term trusting 
relationships
How we engage 
Key members of the Animalcare 
team assess the potential of 
pipeline and portfolio partners.
We apply a range of methods 
to identify these opportunities, 
including industry networks, 
investor conferences and through 
links with the financial community. 
Once partnerships have been 
struck, we regularly engage 
through platforms that support 
collaboration and coordination.
Why we engage
Trust from our shareholders is key 
to delivering our strategy as access 
to capital will be important to the 
long-term success of our business. 
We ensure that we provide fair, 
balanced and understandable 
information to shareholders, 
potential investors and investment 
analysts and work to ensure that 
they have a clear understanding of 
our strategy and performance.
Stakeholder interests 
	•
Financial performance 
	•
Governance and transparency
	•
Operating and financial 
information
	•
Confidence and trust in the 
Group’s leadership team
	•
Total shareholder returns
How we engage 
The Group provides regular 
updates to the market in line 
with AIM requirements and 
encourages an ongoing dialogue 
through investor roadshows, 
meetings and presentations as 
well as consulting on relevant 
topics. In 2025, Animalcare 
extended its suite of engagement 
tools to address the specific 
interests of individual retail 
investors. The dedicated investor 
section of the Group’s website 
provides valuable information 
for existing shareholders and 
potential investors. 
Why we engage
Animalcare is committed to 
being a responsible member of 
our community and considers 
the environmental impact of our 
operations.
Stakeholder interests
	•
Sustainability
	•
Animal welfare
	•
Community
How we engage 
We aim to conduct our business 
in a sustainable way, in line 
with the expectations of the 
communities in which we live 
and work. Active membership 
of animal and health trade 
associations provides the Group 
with an important voice on key 
industry topics and we support 
local and national charitable 
partnerships, including through 
employee-matched fundraising. 
Our annual Animalcare Day is a 
celebration of unity, teamwork 
and shared values, fostering 
employee engagement through 
meaningful community impact. In 
2025, we organised country-level 
initiatives to support animal 
welfare and environmental 
sustainability.
Annual Report 2025 ANIMALCARE GROUP PLC
GOVERNANCE
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STRATEGIC REPORT
45

Section 172(1) of the Companies Act 2006 requires Directors 
to act in a way they consider, in good faith, would be most 
likely to promote the success of the Company for the benefit 
of its stakeholders as a whole and, in doing so, consider 
(among other matters): 
	•
The likely consequence of any decision in the long term
	•
The interests of the Company’s employees
	•
The need to foster the Company’s business relationships 
with suppliers, customers and others
	•
The impact of the Company’s operations on the 
community and the environment
	•
The desirability of the Company maintaining a reputation 
for high standards of business conduct
	•
The need to act fairly between shareholders of the 
Company. This section forms the Directors’ statement 
under section 414CZA of The Companies Act 2006 
Key Board discussions and decisions 
The Board is ultimately responsible for the direction, 
management, performance and long-term sustainable 
success of the Company. It sets the Group’s strategy and 
objectives, taking into account the interests of all its 
stakeholders. A good understanding of the Company’s 
stakeholders enables the Board to factor the potential 
impact of strategic decisions on each stakeholder group into 
Boardroom discussions. Consequently, Board decisions are 
made with reference to the Company’s key stakeholders: its 
investors, employees, customers, suppliers, the community 
in which it operates and the environment. 
The Board considers the following to be the principal 
decisions and considerations it has made during the year to 
31 December 2025. The Board considers principal decisions 
to be those decisions that entail significant long-term 
implications and consequences for the Company and its 
stakeholders. In all the decisions listed, the Board considered 
its stakeholders as set out above.
The acquisition of a minority stake  
in InVetro Pty Ltd
On 13 June 2025, the Board announced the acquisition of 
a 25% strategic equity stake in InVetro Pty Ltd (InVetro), an 
Australian-based Companion Animal health business. The 
strategic investment expanded Animalcare’s presence in the 
Asia-Pacific veterinary market and built on the acquisition of 
Randlab.
InVetro is an Australian veterinary pharmaceutical company 
committed to advancing Companion Animal care. The Board 
considered that the business is poised for rapid growth over 
the next five years, underpinned by:
	•
A portfolio of pharmaceutical marketing authorisations 
and licences, enabling immediate and near-term revenue 
generation
	•
A pipeline of products tailored to the needs of the 
Australian market
	•
A highly experienced and proven management team with 
deep sector expertise
The Board also considered the wider strategic rationale, 
including:
	•
Speed to market: Immediate access to a business with 
regulatory approvals and infrastructure, accelerating 
Animalcare’s entry into Australia with potential to expand 
across Asia-Pacific
	•
Local expertise: Leverage of InVetro’s established 
relationships, market knowledge, operational and 
regulatory capabilities
	•
Scalable platform: A foundation for future collaboration 
and product distribution, with potential for increased 
ownership by Animalcare over time
	•
Extended bridgehead: Opportunity to expand the reach 
of the Group’s portfolio of existing Companion Animal 
brands into Australia and other Asia-Pacific markets
ANIMALCARE GROUP PLC Annual Report 2025
46
Our Stakeholders

The acquisition of the VHH NGF 
programme and related assets from 
Orthros Medical
On 22 August 2025, the Board announced the acquisition of 
the VHH NGF programme and related assets under a licence 
agreement previously signed with Orthros Medical in March 
2022, which was subsequently terminated.
The Board considered the strategic implications of owning 
the assets, including the fact that the Group’s current 
programme in horses and dogs could be extended across 
further species and different diseases where NGF has a role.
The Board also considered the value offered by the 
transaction. It provides the Group with full ownership and 
control of the intellectual property and associated assets, 
enabling independent development and commercialisation 
of the technology across a range of indications and species, 
furthering the Group’s strategy to build a pipeline of 
innovative products. At the same time, the outstanding 
significant future potential financial obligations under the 
license agreement were extinguished, which included 
development, regulatory and commercial milestones, and 
royalties due on net sales.
The Board considered the adequacy of the Group’s new 
development partner, 272Bio, a highly experienced and 
skilled biotherapeutics company specialising in VHH antibody 
technology.
The agreement to develop innovative 
treatment for the Equine dermatological 
condition, Sweet Itch
On 24 September 2025, the Board announced an agreement 
to develop and commercialise a novel biological treatment 
for the common equine skin condition, Sweet Itch, in 
collaboration with 272Bio. The Board considered the 
strategic rationale for agreement including the following:
	•
Sweet Itch affects an estimated c.8% of horses globally 
and there is a significant unmet need and demand for 
more effective treatments, which, today, largely comprise 
topical applications
	•
The annual addressable market is estimated to be 
worth between €150m and €200m, globally, based on 
management estimates 
	•
The programme is at an early stage and will initially focus 
on preclinical research with the aim of achieving proof of 
concept over the next 18–24 months
The Board also considered the fact that the collaboration 
leverages the Group’s partnership with 272Bio by granting 
Animalcare access to 272Bio’s half-life extension technology 
and significant experience in antibody development.
Annual Report 2025 ANIMALCARE GROUP PLC
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47

Managing our risks
The Board has overall responsibility for the Group’s risk 
appetite and risk management strategy. In doing so, 
the objective of the Board is to foster and embed an 
organisational culture of strong risk management to 
effectively execute the Group’s strategy.
The day-to-day identification, management and mitigation 
of risk is delegated to the Group’s management, executed 
through our risk management framework (RMF). 
We have continued to develop and refine the RMF to 
ensure alignment with the strategic objectives of the 
Group. During 2025, this included embedding an increased 
focus on enhancing our risk assessment with respect to 
R&D, as developed in 2024. Leveraging the extensive 
Board-level expertise and a strengthening of our internal risk 
management resource, the RMF reflects a capital allocation 
that includes increased R&D investment.
We believe this continuous improvement strengthens our 
RMF and our ability to monitor, manage and mitigate the 
most critical risks inherent in our strategic plan to the benefit 
of our stakeholders.
Risk management framework
The RMF is based on an industry standard Three Lines of 
Defence model (3LoD) and includes a detailed risk inventory, 
key risk metrics and regularly reviewed thresholds. The 3LoD 
model is combined with an approach to assess, monitor, 
manage, respond and communicate the Group’s critical risks.
RISK  
ENVIRONMENT
Board
Risk Appetite
Third Line of Defence
Independent Review by 
Audit and Risk Committee
Strategic Risk 
Heatmap
RISK  
MONITORING
Second Line of Defence
Review and Horizon Scan Group
Horizon Scan
RISK  
ASSESSMENT
First Line of Defence
Business Team Meetings
RCSA –  
Risk and Control  
Self Assessments
To be effective, risk management relies on the engagement 
of all parts of the business, which is an integral part of our 
framework and culture. The RMF has been developed in 
support of our operating model – being a combination of 
operating businesses and Group functions, overseen by the 
Senior Executive Team (SET) who owns the risk management 
process and is responsible for managing specific Group risks. 
Within that structure, our operational management teams, 
as well as Group function heads, are expected to identify, 
manage and mitigate risks in their part of the business. They 
manage this process through a consistently applied Risk 
and Control Self-Assessment (RCSA). This process includes 
assessing each risk for its impact and likelihood, scored 
both before and after applying key controls. A standardised 
risk-scoring methodology and template is used to ensure 
a consistent approach across the Group. This part of our 
framework represents the First Line of Defence.
Our Second Line of Defence is executed through a detailed 
SET-level review, where the outputs of the First Line of 
Defence are presented, critiqued and challenged. This is 
combined with a Horizon Scan to create a consolidated 
risk report, which ensures independent oversight and 
consistency. The SET is responsible for ensuring the 
consolidated risk report is mapped against the three pillars of 
the Group’s strategy in the form of a Strategic Risk Heatmap.
In accordance with our governance practices, oversight 
of risk management and risk assessment is undertaken by 
the A&RC, which, operating as our Third Line of Defence, 
provides updates and reports to the Board, based on the 
Horizon Scan and Strategic Risk Heatmap, to assist the Board 
in fulfilling its corporate governance duties and oversees 
responsibilities in relation to financial reporting, internal 
control and risk management.
Risk appetite
Risk appetite is reviewed at a Board level as part of a wider 
assessment of the Group’s risk capacity and risk tolerance. 
Within the RMF, there is a mechanism to apply a weighting 
to the risks identified via the 3LoD process to allow for risk 
appetite. This is reassessed regularly to ensure it reflects the 
current strategic priorities and requires the Board to formally 
consider the nature and level of risk that the Group should 
accept.
In the context of our sector, the Board is clear on those risks 
that it is more willing to take (e.g. investment in innovative 
new product development) and those that it is less willing to 
accept (e.g. regulatory and compliance risks).
ANIMALCARE GROUP PLC Annual Report 2025
48
Our Principal Risks

Emerging risks
Emerging risks are new risks that are unlikely to impact the 
Group in the next year but have the potential to evolve 
over a longer term and could have a significant impact on 
our ability to achieve our objectives. They may develop 
into key risks or they may not arise at all. As part of our 
risk management process, both the Board and the SET are 
tasked with identifying and assessing our emerging risks. No 
material emerging risks have been identified in the current 
financial year.
Sustainability and climate change
As noted, the Board has overall responsibility for ensuring 
risk is appropriately managed across the Group. This includes 
risks relating to environmental, social and governance (ESG) 
matters and climate change.
Principal risks
We map all aspects of our risks against five categories 
that best outline our key challenges: strategic, financial, 
operational (operations and technology), regulatory 
compliance and people. 
We believe, as illustrated by the risk heat map, that our most 
significant challenges are strategic in nature. Our strategic 
plans for the business are based on organic and inorganic 
growth as we continue to pursue geographical expansion 
and seek new product opportunities. The current principal 
strategic and other risks facing the Group have been set out 
below, along with examples of how we mitigate those risks.
There have been no changes to the Group’s principal risks 
during the year.
Risk heat map
The risk heat map represents the Group’s assessment of 
net risk scores; this comprises inherent risk scores plus the 
application of the Group’s mitigating controls.
IMPACT 
LIKELIHOOD 
A
Market and economic risk
B
Competitor risk
C
Portfolio risk
D
Product development and launch risk
E
Acquisition risk
F
Financing/treasury risk
G
Foreign exchange translation risk
H
Supply chain risk
I
IT systems and cybersecurity risk
J
Regulatory risk
K
People risk
G
H
E
A
B
C
D
I
J
K
F
Annual Report 2025 ANIMALCARE GROUP PLC
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49

STRATEGIC PRIORITIES
Organic growth
Inorganic growth
New product development
TREND KEY
Risk increasing
Risk decreasing
No change
A. MARKET AND ECONOMIC RISK
Detailed risk
There is a risk of decline in the market driven by 
macroeconomic uncertainty.
In certain territories, the veterinary market continues to 
trend towards consolidation via the growth of corporate 
customers and buying groups, who are looking for value 
from the products and services we provide. 
Potential impact
Reduction in consumer confidence and spending on 
veterinary products and services in light of inflationary 
pressures. 
The continuing expansion of corporate customers and 
buying groups represents an opportunity for sales volume 
growth, but may result in reduced margins through the 
leverage of buying power.
Link to strategic objectives 
 
Trend 
Existing mitigating controls
Veterinary is considered to be an essential service, and our product portfolio largely consists of pharmaceuticals used in the 
vet practice, which are less prone to pet owner discretionary spending pressure.
We continue to develop and strengthen our relationships with our larger customers, managed through dedicated key 
account teams to better serve our changing customer base and their evolving requirements, both on a national and a 
European basis.
B. COMPETITOR RISK
Detailed risk
Launch of competitor products against our key brands, for 
example, other generic or more innovative products. 
Although our product portfolio is broad, our larger 
and well-established brands operate in a market that 
continues to be attractive to competitors. 
Potential impact
Revenues and gross margins may be adversely affected 
should competitors launch competing generic or superior 
(novel) products. 
Operating costs may increase to protect market share.
Link to strategic objectives 
 
 
Trend 
Existing mitigating controls
We have increased focus on life cycle management strategies for our key brands. 
We monitor new product registrations and competitor launches and develop commercial and marketing responses 
accordingly to mitigate competitor impact. 
We are continuing to seek to strengthen our product portfolio through strategic partnerships and we are exploring a 
number of opportunities, including novel pharmaceuticals.
ANIMALCARE GROUP PLC Annual Report 2025
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Our Principal Risks CONTINUED

C. PORTFOLIO RISK
Detailed risk
Approximately 30% of the Group’s revenues are derived 
from products sourced from our distribution partners, 
which are heavily driven by the associated contractual 
terms.
Potential impact
Loss of one or more distribution contracts may reduce 
overall sales. 
Where we are successful in developing and growing 
the market, the distribution partner may terminate the 
contract through the geographic expansion of their own 
footprint or a different route to market, resulting in lost 
sales. 
Distribution may cease due to change of control of the 
contracting parties.
Link to strategic objectives 
 
 
Trend 
Existing mitigating controls
Led by our Director of Strategic Alliances and Acquisitions, the Group continues to explore and secure new distribution 
opportunities, assessed against a strict set of criteria and in regular consultation with the Board. 
Low-quality distribution products remain subject to portfolio optimisation.
Significant existing contracts are reviewed to assess and mitigate, where possible, business continuity risks. 
Build and grow our owned and long-term licence product portfolio to reduce reliance on third-party distribution partners.
D. PRODUCT DEVELOPMENT AND LAUNCH RISK
Detailed risk
Failure to successfully register and launch products from 
our pipeline, including those that we develop through 
license. 
Projects that initially appear promising may be delayed or 
fail to meet expected clinical or commercial expectations 
or face delays in regulatory approval.
Potential impact
Significant delay or failure in launching a product from 
our pipeline could adversely affect our ability to deliver 
revenue and shareholder expectations. 
Failure of a project in the development phase, or where 
we are unable to recover the costs incurred in developing 
and launching a product, would result in the impairment 
of recognised intangible assets.
Link to strategic objectives 
 
Trend 
Existing mitigating controls
Robust pipeline monitoring processes are in place as part of the Group’s From Idea to Launch (FIL) process. This process has 
regular direct involvement from senior management, including the CEO, CSSO, COO and CFO as well as open dialogue with 
the Board.
Before more costly pivotal studies are initiated, smaller proof of concept studies are conducted to assess the effects of 
the drug on target species and for the target indication. Where applicable, the Group ensures the rigorous application of 
milestone payments.
The risk surrounding the Group’s increased investment in innovation is mitigated by the recruitment of an experienced 
CSSO, a strong R&D team and solid strategic partnerships.
The Group’s objective is to create a balanced pipeline in terms of risk and reward and to establish a broader investment 
approach to launching new products other than from our own pipeline. 
In respect of significant new product launches, detailed sales and marketing plans are established and evolved over time, 
with progress regularly monitored against these plans by our commercial teams. 
Annual Report 2025 ANIMALCARE GROUP PLC
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E. ACQUISITION RISK
Detailed risk
Failure to identify suitable acquisition opportunities 
and/or the inadequate integration of those acquisitions.
Uncertainty exists around valuing acquisitions, evaluating 
potential synergies and future performance.
Potential impact
Insufficient or under-performing acquisitions could result 
in the failure to achieve our growth targets.
Significant acquisitions and integration projects could 
impact the focus and capacity of resources to achieve our 
strategic objectives with the underlying operations.
Link to strategic objectives 
 
 
Trend 
Existing mitigating controls
Our CEO, CFO and Director of Strategic Alliances and Acquisitions are focused on updating a comprehensive list of potential 
targets, which is screened against certain criteria and regularly communicated to the Board.
At the appropriate time, thorough due diligence is performed for all potential acquisitions incorporating commercial, 
financial and legal considerations.
Our experience with the successful Randlab acquisition helps build expertise for future integrations.
Other risks 
Beyond strategic risks, as outlined above, other key risks that are potentially impactful in executing our strategic plan are set 
out below. It is our perspective that, to achieve success, we need to maintain strong finances and an efficient operation that is 
compliant with the laws and regulations of each country of business – all of which needs to be supported by the best people 
with the right skills to execute against our strategic plan. 
ANIMALCARE GROUP PLC Annual Report 2025
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Our Principal Risks CONTINUED

Financial strength 
We carefully track our financial performance against a wide range of financial measures, including capital, liquidity and margin. 
We also recognise that our results are subject to foreign exchange translation exposure, which is closely monitored and 
reported. We acknowledge that our future growth is highly dependent on a solid financial platform and strong balance sheet, 
and have a range of risk assessments associated with both, including:
F. FINANCING / TREASURY RISK
Detailed risk
Debt facilities are committed for a finite period, and we 
need to plan to renew our facilities before they mature 
and guard against default. Our loan agreements also 
contain various covenants with which we must comply.
Potential impact
Investing for growth constrained by lack of access to 
capital, financial resource and/or reduced profitability. 
Link to strategic objectives 
 
 
 
Trend 
Existing mitigating controls
We continue to focus on maintaining both strong cash conversion and a strong balance sheet with a maximum net debt to 
EBITDA leverage target of two times, reducing the risk of non-compliance with covenants. 
Our existing bank facilities, through a syndicate of four banks with whom we have strong relationships, were successfully 
renegotiated shortly before our acquisition of Randlab, and will expire on 31 March 2029. 
G. FOREIGN EXCHANGE TRANSLATION RISK
Detailed risk
The majority of the Group’s revenues are denominated 
in euros. However, the Group’s presentational currency 
is sterling and, therefore, the reported revenues, profits 
and net debt levels will be impacted by exchange rates 
prevailing during the relevant financial period.
Potential impact
There may be variability in our reported results caused 
by significant fluctuations in the GBP:EUR and GBP:AUD 
exchange rate.
This may impact our net debt to EBITDA leverage 
covenant, depending on volatility and timing, as the 
income statement and balance sheet may be translated at 
different rates.
Link to strategic objectives 
 
 
Trend 
Existing mitigating controls
We conduct a central review of foreign currency exposures, and we assess possible hedging strategies to mitigate risk via 
derivatives. 
Matching currency flows and financing will limit the covenant exposure. 
The Group presents key financial measures on a CER basis to enable shareholders to assess performance with the impact of 
foreign exchange eliminated. 
STRATEGIC PRIORITIES
Organic growth
Inorganic growth
New product development
TREND KEY
Risk increasing
Risk decreasing
No change
Annual Report 2025 ANIMALCARE GROUP PLC
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Operational performance 
The success of our operation relies heavily on both our supply chain and technology platforms; therefore, we highlight below 
how we manage, monitor and mitigate those risks.
H. SUPPLY CHAIN RISK
Detailed risk
The Group relies solely on a large base of third-party 
suppliers for finished products and, to a lesser extent, raw 
materials, whether with our own brands or those sold 
on behalf of our partners via distribution arrangements. 
It is not commercially viable to implement a secondary 
sourcing strategy.
Potential impact
Any disruption, interruption or failure of supply may result 
in lost sales and damage the Group’s reputation with its 
customers. 
Rising inflation costs impacting cost of product and 
adversely affecting margins. 
Manufacturing transfers to resolve longer-term supply 
issues may require additional regulatory approvals, which 
could result in additional costs and/or supply delays.
Link to strategic objectives 
Trend 
Existing mitigating controls
Due to our broad supply base, we have a relatively low dependency on any single supplier. 
We monitor the performance of our supplier base and respond promptly where potential issues are identified, whether 
that be from a quality and/or regulatory perspective. The Group’s largest suppliers operate under a programme of regular 
meetings and audits to manage and support our Contract Manufacturing Organisations (CMOs) to deliver quality products 
on time and in full to our regulatory specifications. 
During 2025, further development and refinements to our structure and processes were undertaken to improve areas such 
as demand forecasting, supplier performance management and the monitoring of KPIs, particularly around the continuing 
impact and mitigation of inflation. These improvements will continue into 2026.
STRATEGIC PRIORITIES
Organic growth
Inorganic growth
New product development
TREND KEY
Risk increasing
Risk decreasing
No change
ANIMALCARE GROUP PLC Annual Report 2025
54
Our Principal Risks CONTINUED

I. IT SYSTEMS AND CYBERSECURITY RISK
Detailed risk
The Group relies heavily on information technology and 
key systems to support the business. 
The risk of cyber attacks that cause system disruption and 
the potential for data and financial fraud is increasing.
Potential impact
A general outage of our IT systems may cause disruption 
to, or the prevention of, normal operations and/or 
additional costs. 
Cyber attacks could result in system and business 
disruption and/or availability of data. 
Failure to adequately protect customer (and others’) data 
may result in a breach of GDPR legislation and/or financial 
fraud.
Link to strategic objectives 
 
 
Trend 
Existing mitigating controls
The Group has maintained focus on mitigating the increasing cyber threat, while continuing to accommodate hybrid 
working practices, including: 
•	 Continued investment in our cloud-based IT systems and security tools to safeguard the IT infrastructure
•	 Engagement with security-aware, reliable and certified IT service global providers
•	 Internal policies surrounding security, user access, change control and the ability to download and install software
•	 Procuring global cyber insurance, which provides specialist technical and legal support in the event of a cyber incident
•	 Undertaking regular large-scale security reviews
•	 Ensuring that all employees undergo mandatory training with sufficient regularity to guard against the proliferation of 
new and more sophisticated forms of cyber attack
We continuously perform a critical data evaluation to categorise our data and implement appropriate safeguards.
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Regulatory compliance 
Given that we operate in a highly regulated market; it is evident that the success of our business is dependent on compliance 
with product regulations in each country of operation; therefore, we highlight below how we manage, monitor and mitigate 
those risks.
J. REGULATORY RISK
Detailed risk
We operate in a highly regulated animal health 
environment, which is designed to ensure the safety, 
efficacy, quality and ethical promotion of pharmaceutical 
products. 
Failure to meet or adhere to regulatory standards could 
affect our ability to register, manufacture, distribute or 
promote our products.
Potential impact
Non-compliance with regulatory requirements may result 
in delays to supply and/or lost sales. 
Delays in regulatory reviews and approvals could impact 
the timing of a product launch and impact sales. 
Our regulatory burden, including compliance with the 
European Medicine Agency’s (EMA) Union Product 
Database and the Veterinary Medicines Directorate (VMD) 
in the UK, results in continuing regulatory and quality 
control requirements and associated costs.
Link to strategic objectives 
 
 
Trend 
Existing mitigating controls
The Group Technical and Regulatory team has established systems and procedures to monitor and maintain compliance, 
which are subject to regular internal and external audits. 
Regular dialogue is maintained with relevant authorities in each country to ensure we maintain a thorough understanding 
of regulatory changes. 
We operate a robust Pharmacovigilance (PV) process to report any adverse reactions and product complaints related to the 
use of our products.
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Our Principal Risks CONTINUED

People 
To successfully deliver our growth strategy in a highly regulated business, we need to attract and retain a high-calibre and 
diverse pool of talent; therefore, our people risk is managed, monitored and mitigated as follows:
K. PEOPLE RISK
Detailed risk
Failure to structure and resource the business to deliver 
our strategic ambitions from both an organic and 
inorganic growth perspective. 
Our growth plans are dependent on our ability to attract, 
develop and retain high-calibre and experienced talent in 
key roles.
Potential impact
Failure to structure and resource our business with quality 
people could result in:
•	 Loss of expertise
•	 Potential business disruption
•	 Reduced growth
•	 Insufficient or overstretched resources
•	 High cost of organisational restructuring in certain 
countries
The rising cost of living and ongoing wage inflation have 
the ability to impact workforce stability and continuity as 
well as our profitability.
Link to strategic objectives 
 
 
 
Trend 
Existing mitigating controls
Our Group People and Culture Director has overall responsibility for setting and overseeing the execution of the Group’s 
people strategy. Alongside fellow SET members, the organisational structure is reviewed as required to confirm that it 
meets our operational and strategic requirements, with appropriate actions taken where necessary. 
Steadfast focus on enhancing overall employee engagement continues to position Animalcare as a “Great Place to Work”. 
This includes:
•	 A strong performance management culture supported by our Competency Framework
•	 Competitive remuneration packages supported by regular benchmarking
•	 Investment in staff training and development including our “High Challenge High Support” leadership and “Pioneering 
Professional” programmes
•	 Group recruitment and onboarding framework
•	 Wellbeing programme, “We Care”, to support mental and physical wellbeing as well as personal development
•	 Undertaking a Qualtric employee engagement survey in early 2026 and critically evaluating the results
We continue to use a team of highly skilled contractors to bridge short-term gaps in key resource areas and support key 
project delivery. 
STRATEGIC PRIORITIES
Organic growth
Inorganic growth
New product development
TREND KEY
Risk increasing
Risk decreasing
No change
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MATERIALITY MATRIX
STAKEHOLDER INTEREST 
VERY HIGH
HIGH
MEDIUM
LOW
IMPACT ON BUSINESS 
A
B
D
E
F
G
H
C
A  Climate change and energy usage
B  Animal welfare
C  Antimicrobial resistance
D  Diversity and inclusion
E  Supply chain and responsible procurement
F  Sustainable packaging
G  Employee wellbeing, development and 
engagement
H  Ethical promotion of veterinary medicines
Our CEO, Jenny Winter, is responsible for our ESG agenda and keeps the Board regularly informed on progress 
and key developments. This ensures that ESG remains an integral part of how we run the business and make 
decisions.
Stakeholder engagement and materiality
Our stakeholder engagement continues to be guided by the Animalcare Group materiality assessment, 
undertaken via an internal employee focus group and informal stakeholder engagement. This matrix is 
periodically reviewed. From this, we identified the material issues of importance to our stakeholders and their 
potential impact on our business. 
This process identifies the issues that matter most to Animalcare and our stakeholders and shows where we 
can have the most positive impact. 
Animalcare is committed to 
the environmental, social and 
governance (ESG) pillars of 
sustainable development.
In the past year, our Company has continued to recognise the importance of sustainability and its impact on our business, 
stakeholders and the environment. 
We remain committed to integrating sustainable practices into our operations and setting the foundation for future initiatives. 
ANIMALCARE GROUP PLC Annual Report 2025
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Sustainability

A: CLIMATE CHANGE AND ENERGY USAGE
Under the umbrella of our Risk Management Framework, we designate climate change as a global issue with potential implications 
for the Group. We have evolved our environmental sustainability initiatives over the year in response to the continually shifting 
regulatory landscape. We are well positioned to embrace both the opportunities and challenges of this dynamic area. 
Our Group energy usage and carbon emissions 
STREAMLINED ENERGY AND CARBON REPORTING (SECR) 
The table below reflects Scope 1 and 2 emissions figures for the whole Animalcare Group. Certain Scope 3 emissions have been 
presented for the UK. We are working towards the Group-wide disclosure of such emissions.
2025
UK
Global (excl. UK)
Total
Scope 
Activity 
CO2e
kWh 
CO2e
kWh 
CO2e
kWh 
Scope 1 Company car travel 
61
236,197
468
1,802,922
529
2,039,119
Scope 2 Grid-supplied electricity 
7
37,652
34
216,072
40
253,724
Scope 3 Private cars utilised for business travel
17
66,690
–
–
17
66,690
Intensity ratio (tCO2e per £m revenue) 
4.9
7.0
6.6
2024
UK
Global (excl. UK)
Total
Scope 
Activity 
CO2e
kWh 
CO2e
kWh 
CO2e
kWh 
Scope 1 Company car travel 
50
196,092
406
1,600,270
456
1,796,362
Scope 2 Grid-supplied electricity 
10
46,815
11
60,039
21
106,854
Scope 3 Private cars utilised for business travel
18
71,255
–
–
18
71,255
Intensity ratio (tCO2e per £m revenue) 
4.5
7.4
6.7
We have used the UK Government GHG conversion factors to calculate our total CO2e emissions figures. 
The Group’s Scope 1 and Scope 2 emissions have been impacted by the acquisition of Randlab, with its operations in Australia, 
New Zealand and UAE. Animalcare Europe’s emissions are broadly consistent with the previous year. This indicates that, 
despite our commitment to face-to-face interaction with our customers, colleagues and other stakeholders, compensating 
initiatives such as a phased adoption of electric vehicles in our Company car fleet are keeping our energy consumption under 
control. The increase in revenue in the same period means our intensity ratio is in line with expectations.
Carbon offset 
Our UK operations continue to maintain their carbon neutral status and we are working towards this status in our territories.
Supply chain and greenhouse gas emissions 
Animalcare works with third parties to manufacture finished products, while engaging with other partners to enable our 
international supply chain. Upstream emissions include those generated by a supplier’s distribution activities and the 
production of raw materials or components purchased by the Company. Downstream covers emissions generated by the use 
or disposal of end products, as well as business travel. 
Value chain emissions (Scope 3) represent a significantly higher proportion of our carbon footprint than operational emissions 
(Scope 1 and Scope 2). Calculating then eliminating these emissions is a challenge that requires effective partnerships built 
on trust. As we develop our sustainability strategy, we will consider further actions to estimate and reduce our value chain 
emissions. 
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B: ANIMAL WELFARE
Animalcare Ltd remains in partnership with Vet Sustain, a 
UK-based social enterprise working to enable and inspire 
veterinary professionals to continually improve the health 
and wellbeing of animals, people and the environment, 
centred around their six goals for sustainability, which 
provide a framework for contributing to the UN’s 
Sustainability Development Goals. 
Randlab is the largest supporter of veterinary education 
in Australasia. Via their sponsorship of events across 
the territory, provision of free gastroscopy services to 
veterinarians and support of equine vets’ volunteer work 
in developing countries, their education programmes have 
global reach. 
C: ANTIMICROBIAL RESISTANCE
Antimicrobial resistance (AMR) continues to be subject to 
regulatory and market trends. While it is a systemic risk that 
impacts multiple sectors, including food and agriculture, the 
impact on our sector has been significant in recent years. 
Our failure to align with these regulations and market forces 
would result in a reduction in sales, reputational and ethical 
implications. 
Significant steps have already been taken to reduce our 
portfolio reliance on antibiotics, both in Production and 
Companion Animals. Despite the disposal of our investment 
in STEM Animal Health Inc. during 2024, we are still able to 
exploit biofilm-targeting technologies in anti-infective roles. 
Our regulatory department ensures that we maintain our 
deep understanding of changing requirements through 
regular dialogue with relevant authorities. We also ensure 
mitigating the risk of AMR is prioritised in the development 
of new products.
In the coming months, the P&C team will conduct deeper 
country-level and functional analysis and implement targeted 
action plans to sustain strengths, strengthen leadership 
transparency, enhance development pathways and simplify 
ways of working. The objective is to further elevate the 
employee experience and elevate long-term business 
performance.
D: DIVERSITY AND INCLUSION
We are committed to ensuring recruitment, promotion 
and all selection processes are conducted on merit against 
objective criteria that avoid discrimination.
The Board recognises that diversity of background, 
experience and perspective enhances decision making, 
innovation and business performance. Appointments at 
Board and Senior Executive level are made on merit, while 
ensuring an appropriate balance of skills, experience and 
diversity to support long-term strategic delivery.
The Board currently consists of 67% (four) male and 33% 
(two) female members. As at the year end, the Senior 
Executive Team consisted of 56% (five) male and 44% (four) 
female members. 
Future appointments will continue to be made on merit, 
with due consideration given to the need for diversity, and 
to complement the existing balance of skills and experience 
across the Group.
BOARD GENDER DIVERSITY
33%
67%
 Female	
 Male
SENIOR EXECUTIVE TEAM
56%
44%
 Female	
 Male
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Sustainability CONTINUED

E: SUPPLY CHAIN AND RESPONSIBLE 
PROCUREMENT
Animalcare does not own any manufacturing assets and we 
work with contract manufacturers of finished goods, mainly 
across Europe and with suppliers that are not in the “Highest 
Risk” countries, which are prone to political unrest, poor 
regulatory practices, or low voice and accountability. 
One of our key principles with external suppliers is to ensure 
they share the same commitment as we do to being a 
responsible and ethical employer, both to their own staff and 
their suppliers. The Group’s external suppliers are required 
to conform to Good Manufacturing Practice (GMP) and 
Good Distribution Practice (GDP) requirements. This means 
there are audits and inspections performed and recorded by 
national regulators. We have to conform to GDP practices, 
which we embrace and completely support. 
F: SUSTAINABLE PACKAGING
Flexible packaging keeps pharmaceuticals and medicinal 
products sterile and protected, while safeguarding against 
tampering and counterfeiting. However, although useful 
and resource-efficient in many ways, its low-volume and 
low-weight properties present a challenge once this 
packaging becomes waste. 
Our focus in 2026 will be implementing the EU Packaging 
and Packaging Waste Regulation (PPWR) legislation. We 
are working to ensure compliance by the 12 August 2026 
deadline and are using this legislation to guide our packaging 
recycling and waste reduction road map out to 2035.
We recognise the environmental impact caused by the use 
of plastics in our business and supply chain, and are taking 
steps to develop more sustainable packaging. Where plastic 
packaging remains the most viable solution, and until the 
time we can transition from virgin plastic to mitigate plastic 
waste, we have implemented offsetting as an interim 
solution. During 2025, we continued to support a clean water 
initiative in Zambia, which offset the CO2e arising from sales 
of our IV fluids in the previous 12 months. 
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G: EMPLOYEE WELLBEING, DEVELOPMENT AND ENGAGEMENT
OUR PEOPLE
Our employees are fundamental to delivering our strategy 
and driving sustainable growth. Our ability to attract, develop 
and retain high-calibre talent in critical roles underpins 
operational excellence, customer satisfaction and long-term 
value creation.
We focus not only on what we deliver, but on how we deliver 
it – embedding a strong customer-centric mindset and a 
One Team culture that enables effective cross-functional 
and cross-country collaboration. This approach strengthens 
execution, reduces organisational silos and enhances our 
ability to respond to evolving market needs.
TALENT MANAGEMENT AND PEOPLE 
DEVELOPMENT 
Strengthening leadership capability and accountability has 
been a key priority during the year.
We introduced a dedicated leadership programme for our 
Senior Operational Team (SOT) centred around clearly 
defined Winning Leader Behaviours, with customer focus at 
its core. These behaviours reinforce commercial discipline, 
collaboration and ownership, ensuring leaders drive results 
while modelling the standards expected across our business.
These leadership expectations have been cascaded into our 
commercial teams, strengthening performance culture and 
reinforcing that sustainable results are achieved not only 
through financial delivery, but through disciplined execution, 
collaboration and accountability.
We continued with our talent review process underpinned 
by our competency framework, strengthening succession 
planning and capability building within sales and marketing 
leadership. Targeted coaching development for sales 
managers further supports high-performance teams and 
consistent customer engagement.
To reinforce alignment between performance and long-term 
value creation, we simplified our performance management 
process and conducted a comprehensive review of our bonus 
and Long-Term Incentive Plan (LTIP) strategy. This ensures 
stronger linkage between strategic priorities, financial 
outcomes and individual accountability, while maintaining 
market competitiveness and supporting retention of key 
talent.
WELLBEING 
Employee wellbeing is key to sustaining engagement, 
performance and resilience in a dynamic operating 
environment.
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Sustainability CONTINUED

Our Global Wellbeing and Resilience Strategy, “We Care”, 
continues to provide structured support to employees 
navigating change and maintaining performance.
During the year, we strengthened this strategy by establishing 
a cross-country network of Wellbeing Ambassadors. These 
ambassadors represent the voice of their local teams and 
collaborate across geographies beyond their core functional 
roles. This initiative exemplifies our One Team culture in 
action – driving shared ownership, knowledge exchange and 
collective responsibility for employee wellbeing.
By combining global direction with local insight, we ensure 
our wellbeing initiatives remain relevant, inclusive and 
impactful.
The Group also provides access to a confidential, 24/7 
Employee Assistance Programme through Workplace 
Options, offering professional support for personal or 
work-related challenges that may affect wellbeing or 
performance.
ENGAGEMENT
In January 2026, the Group conducted a new annual 
Employee Experience Survey with the use of Qualtrics to 
assess engagement, retention, inclusion, wellbeing, and 
alignment between experience and expectations across all 
markets.
The 2026 Employee Experience Survey achieved a strong 
participation rate, with 141 employees responding, 
representing 71% of participants.
This high response rate provides a robust and representative 
data set across markets and functions. Employees with less 
than six months’ tenure were excluded to ensure informed 
and meaningful feedback. Randlab was not included in this 
survey cycle.
Overall results demonstrate a strong and stable employee 
engagement foundation. KPIs around Engagement, 
Retention, Wellbeing and Inclusion show solid favourability, 
confirming a healthy culture characterised by trust, 
collaboration and commitment. Employee advocacy remains 
high, with 79% indicating they would recommend the 
Company as a great place to work.
Key organisational strengths include living our Company 
values, empowerment, collaboration, wellbeing, innovation, 
safety, resource availability and strong trust in direct 
line managers. Identified improvement areas focus on 
performance management, communication, managing 
change and work processes.
In the coming months, the P&C team will conduct deeper 
country-level and functional analysis, and implement 
targeted action plans to sustain strengths, reinforce 
leadership transparency, enhance development pathways 
and simplify ways of working. The objective is to further 
elevate the employee experience and the long-term business 
performance.
H: ETHICAL PROMOTION OF VETERINARY 
MEDICINES
Our values and behaviours (one team, passion, integrity, 
taking ownership, having fun) guide employee conduct along 
with the Group’s Code of Conduct and supporting policies, 
which help us ensure we do business in the right way. 
Randlab is also investing in the sustainability of the equine 
veterinary profession through equipping their teams with 
helmets and other safety initiatives for gastroscoping 
days, industry stewardship of antimicrobials/anthelmintics 
(managing resistance to these drugs), packaging 
sustainability initiatives, working with industry associations to 
nurture the equine vet pipeline by initiating and supporting 
programmes for the attraction and retention of new/recent 
graduates to equine vet practice, and supporting equine et 
Nurse development. 
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Governance
64
ANIMALCARE GROUP PLC Annual Report 2025

GOVERNANCE REPORT
Board of Directors
66
Corporate Governance 
Statement
70
Corporate Governance Report
72
Audit and Risk 
Committee Report
78
Remuneration and Nomination 
Committee Report
82
Directors’ 
Remuneration Report
84
Directors’ Report
91
Statement of Directors’ 
Responsibilities
94
65
GOVERNANCE
Annual Report 2025 ANIMALCARE GROUP PLC
FINANCIALS
STRATEGIC REPORT

Board of Directors
ED TORR
Independent  
Non-Executive  
Chair
JENNIFER  
WINTER
Chief Executive 
Officer
Appointment:
October 2018
Committee membership:
 N/A; attends certain Committee meetings  
by invitation
Responsibilities, relevant skills and experience:
As CEO, Jennifer has responsibility for developing and 
executing the Group’s strategy, as approved by the Board, 
and drives the performance and results of the Group. 
During the year, progress against the Group’s long-term 
strategic objectives was marked by key milestones, 
including the expansion of its innovation pipeline through 
the strengthened partnership with 272Bio and the 
delivery of its geographic expansion strategy through the 
strategic investment in InVetro Pty Ltd. 
With her background in the healthcare sector, 
including senior commercial roles at AstraZeneca and 
GlaxoSmithKline, Jennifer brings significant experience 
of strategic product development, change management, 
marketing and communications. She is also the Board 
member responsible for Sustainability. 
She was a Non-Executive Director of Allied Irish Bank 
from 2004 to 2010, and Chief Executive Officer of 
Barretstown from 2003 to 2007, transforming it into a 
successful, leading children’s charity. 
Jennifer has a BSc in Physiology and Pharmacology from 
the University of Southampton.
Key external appointments:
	•
EKF Diagnostics Holdings plc (Non-Executive Director)
	•
Royal Brompton and Harefield Hospitals Charity (Chair 
of Trustees)
	•
Qureight Limited (Non-Executive Director)
Appointment:
Independent Non-Executive Director July 2017;  
Chair June 2024
Committee membership:
 
Responsibilities, relevant skills and experience:
As Chair, Ed provides leadership of the Board, promoting 
a culture of openness and constructive debate, and 
guiding oversight of the Group’s progress against its 
strategic objectives. During the year, this included 
supporting management as the Group advanced its 
geographic expansion strategy through a strategic equity 
investment in InVetro Pty Ltd, strengthening its presence 
in the Asia Pacific market, and deepened its innovation 
agenda through its partnership with 272Bio.
Ed brings significant experience of business development 
and product development in the animal health sector. 
He was part of the management buyout team that set 
up Dechra Veterinary Products in 1997 and an Executive 
Director on the Board of Dechra Pharmaceuticals 
plc from 2000 until 2013, responsible for business 
development and managing the European business unit, 
and instrumental in setting up the US business. Since 
2014, Ed has independently advised various companies 
on sales and marketing structures, M&A opportunities, 
the “in” and “out” licensing of products, and investment 
opportunities within the veterinary and animal health 
sector.
Ed previously served as a Non-Executive Director of 
Intervacc AB, a company listed on NASDAQ Stockholm.
Key external appointments:
None
ANIMALCARE GROUP PLC Annual Report 2025
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CHRIS  
BREWSTER
Chief Financial 
Officer & Company 
Secretary
MARC 
COUCKE
Non-Executive 
Director
Appointment:
September 2017
Committee membership:
 N/A; attends certain Committee meetings  
by invitation
Responsibilities, relevant skills and experience:
Chris joined Animalcare in 2012 and has since played 
a key leadership role across the Group, with extensive 
experience in M&A, capital raising, financial management 
and risk oversight. Working closely with Jennifer, he 
has been instrumental in shaping and delivering the 
Group’s growth strategy. Chris also successfully led the 
smooth integration of the Randlab business following its 
acquisition in 2025. Chris’ responsibilities also include 
oversight of Group ICT and Legal.
Chris qualified as a Chartered Accountant at KPMG 
in 2003.
Key external appointments:
None
Appointment:
July 2017
Committee membership:
N/A
Responsibilities, relevant skills and experience:
As a Non-Executive Director, Marc brings significant 
experience of maximising value creation and developing 
strategy. Marc founded Omega Pharma NV in 1987, 
developing the company into a leading pan-European 
OTC health and personal care business, and serving as 
both Chair and Chief Executive Officer. Following the 
sale of Omega Pharma NV in 2015, he invested, via his 
private investment firm Alychlo NV, in several listed and 
non-listed companies. Marc is also a director of various 
private Belgian companies.
Key external appointments:
None
COMMITTEE MEMBERSHIP
Audit and Risk Committee
Remuneration and Nomination Committee
By invitation
Chair of Committee
ELS DEGROOTE 
Els was appointed as an alternate Director to Marc 
Coucke in December 2024 and attends Board 
meetings in Marc’s absence. Following Marc stepping 
down at the forthcoming AGM, Els will be appointed 
a Non-Executive Director in his place. She has been 
an Investment Principal at Alychlo NV since April 
2022 and has extensive experience advising on M&A 
transactions. Els also currently serves as a Director 
to a number of companies in Belgium and the 
Netherlands and is a qualified commercial engineer 
with an MBA from Vlerick Business School.
Key external appointments:
None
The Group’s Board has a diverse mix of skills and experience with a strong background in pharmaceutical and animal-related 
businesses. The collective skills and experience of the Directors enable constructive debate and challenge, which is crucial to 
ensuring decisions made by the Board are in the best interests of our shareholders and stakeholders over the long term.
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67
GOVERNANCE
STRATEGIC REPORT

Board of Directors CONTINUED
SYLVIA 
METAYER
Senior  
Independent 
Director
DR DOUG 
HUTCHENS
Independent 
Non-Executive 
Director
Appointment:
Independent Non-Executive Director May 2022; Senior 
Independent Director June 2024
Committee membership:
 
Responsibilities, relevant skills and experience:
Sylvia was the Chief Growth Officer of Sodexo SA leading 
strategy, digital marketing and sales, and a member 
of the Sodexo Group Executive Committee, having 
previously held roles as Group Financial Controller, CFO 
for Europe and CEO of Sodexo’s Corporate Services 
Worldwide segment. She has also held a variety of 
finance and general management roles in companies 
operating in a number of sectors, including Danone 
SA, Mattel Inc, Vivendi Universal Publishing SA and 
Houghton Mifflin Harcourt & Co. Sylvia gained a business 
degree from the French École des Hautes Études 
Commerciales (HEC) and is a graduate of both Queen’s 
University, Canada and the University of Ottawa, Canada. 
As Chair of the Audit and Risk Committee, Sylvia provided 
governance and oversight of compliance and the 
management of risk, as the Group continued to make 
progress against its long-term strategy during the year.
Key external appointments:
	•
Groupe ADP (Aéroports de Paris SA) (Non-
Executive Director and Chair of the Nomination and 
Remuneration Committee)
	•
Groupe Clariane SE (Non-Executive Director, and 
Chair from 14 May 2025)
	•
Mace Group Limited (Non-Executive Director) 
	•
Keolis, SAS (member of Supervisory Board and Chair 
of the Audit and Compliance Committee)
Sylvia stepped down as a Non-Executive Director of 
PageGroup plc on 3 June 2025.
Appointment:
February 2022
Committee membership:
 
Responsibilities, relevant skills and experience:
Doug has held several senior positions in research and 
development and regulatory affairs at leading global 
animal health companies. As part of the executive 
team at Bayer Animal Health, he was an Executive Vice 
President and Chief Veterinary Officer, where he led both 
drug discovery and product development on a global 
basis. As Chair of the Nomination and Remuneration 
Committee, Doug played an active role in supporting the 
Board as the Group continued to deliver on its long-term 
strategic goals.
Before joining the animal health pharmaceutical 
industry, Doug was an Assistant Professor at the 
University of Illinois College of Veterinary Medicine, 
where he conducted studies for most of the major 
animal health companies and participated in the 
development of multiple new products for Companion 
and Production Animals. Early in his career, he was a 
practising veterinarian. He holds a Doctor of Veterinary 
Medicine degree and a PhD in pathobiology with an 
emphasis in immuno-parasitology from the University of 
Illinois.
Key external appointments:
	•
Animol Discovery, Inc. (Chief Scientific Officer)
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68

COMMITTEE MEMBERSHIP
Audit and Risk Committee
Remuneration and Nomination Committee
By invitation
Chair of Committee
69
GOVERNANCE
Annual Report 2025 ANIMALCARE GROUP PLC
FINANCIALS
STRATEGIC REPORT

Corporate Governance Statement
As Chair of the 
Company, I am 
pleased to present the 
Corporate Governance 
Statement for the 
financial year ended 
31 December 2025.
ED TORR
Independent Non-Executive Chair
The Board is committed to promoting high 
standards of corporate governance and our 
governance framework has continued to 
operate effectively during the year, enabling the 
Board to provide advice, counsel and support 
to the Executive team in making decisions and 
taking appropriate actions. 
The principles of corporate governance
Compliance with the 2023 Quoted Companies 
Alliance Corporate Governance Code 
(the “2023 QCA Code”)
We recognise the need for our governance practices and 
disclosures to continue to evolve so they fully support the 
delivery of the Group’s strategy and the effective application 
of the principles under the 2023 QCA Code. Our governance 
framework sets out clear roles, policies and procedures 
designed to ensure our compliance with the 2023 QCA Code, 
the AIM Rules and all other legal, regulatory and compliance 
requirements that apply to the Group. 
We regularly review this framework to ensure it remains 
aligned with the Group’s strategic priorities, long‑term 
growth plans and the expectations of our shareholders. For 
the year ended 31 December 2025, the Company applied 
the 2023 QCA Code, which is effective for financial years 
beginning on or after 1 April 2024, representing our first year 
of reporting under it. The Board applied all 10 principles of 
the 2023 QCA Code during the year under review. 
Further details on how we apply the 2023 QCA Code can be 
found in our Governance Statement on the Group’s website: 
www.animalcaregroup.com/investors/corporate-governance/
governance-statement/
In adopting the 2023 QCA Code for the first time, the Board 
has ensured that our governance practices and disclosures 
align with its updated principles and expectations. In line 
with Principle 9 of the 2023 QCA Code, we have continued 
our practice of putting the Directors’ Remuneration Report 
to an advisory shareholder vote at every Annual General 
Meeting since the Company’s admission to AIM in 2017, and 
this year, we will also be putting the Remuneration Policy to 
an advisory shareholder vote.
Further details of our corporate governance framework and 
activities are set out in our Corporate Governance Report.
ANIMALCARE GROUP PLC Annual Report 2025
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Supporting strategy through  
effective governance
The Board has collective responsibility for reviewing and 
implementing the Group’s strategy, while taking into account 
the risks and opportunities facing the Group. Our strategy is 
articulated in the Strategic Report section of this report and 
on our website, along with our business model. The Board 
considers the expectations of the Company’s shareholder 
base and its wider stakeholder and corporate social 
responsibilities when making decisions, in furtherance of the 
Group’s strategic objectives.
The Board also has oversight of the Group’s internal control 
and risk management systems. Alongside evaluating 
commercial opportunities, the Board regularly considers 
and reviews the Group’s principal and emerging risks and 
ensures that effective and appropriate mitigation strategies 
are in place. During the year, we have continued to review 
the operation of the Group’s risk management framework, 
as explained in our Audit and Risk Committee Report. 
Particular areas of focus for the Committee were monitoring 
the integration of the newly acquired Randlab business, a 
review of foreign exchange risk and policy, a review of supply 
chain risk management and a further review of R&D risk 
and development of the framework for R&D pipeline risk. 
Details of the risk management framework are set out in our 
Principal Risks section. 
Stakeholder engagement and  
corporate culture
The Board places great importance on effective engagement 
with key stakeholders and aims to understand the views and 
interests of stakeholders so that these can be appropriately 
considered as part of its decision making. The Strategic 
Report includes a description of how this engagement has 
worked in practice during the year under review and a 
statement about how the Directors have discharged their 
duty under s172 of the Companies Act 2006. 
In March 2026, the Company hosted a Capital Markets event, 
involving presentations for investors and analysts to provide 
greater insight into Animalcare’s three strategic pillars, 
highlighting opportunities to accelerate organic revenue 
growth, both in the shorter-to-medium term and over the 
longer term, alongside a deeper dive into inorganic growth 
and pipeline potential.
We aim for a happy, motivated and committed workforce 
to deliver long-term success for the Group. As such, it is 
important to the Board that our employees know they are 
valued and recognise that our success depends on their 
continued invaluable contribution. This is reflected in the way 
that the Board and Senior Executive Team (SET) operate. A 
more detailed explanation of the Board and SET’s interaction 
and their monitoring of culture is given in the Corporate 
Governance Report.
Build trust
The Board recognises the importance of disseminating 
clear and understandable information about the Group 
and its activities and maintaining regular dialogue with 
our stakeholders to ensure their views are understood and 
considered. The Board receives information on the Group’s 
employee engagement programme, including details of 
the results of the annual employee engagement survey, 
and regular feedback from the Executive Directors on their 
discussions with shareholders, potential investors, suppliers, 
partners and customers.
Board capabilities
The Board comprises experienced Directors who collectively 
have considerable expertise in the following areas: 
	•
Strong industry experience and knowledge of the animal 
health and pharmaceuticals sector 
	•
Leading organisational change and integration
	•
Managing a global supply chain 
	•
Research and development 
	•
Business planning and development 
	•
Corporate finance and mergers and acquisitions
	•
Financial and risk management 
	•
Governance
Board performance review
An internal Board and Committee performance review 
was conducted in 2025 by way of a set of questionnaires, 
with the Chair’s evaluation conducted by Sylvia Metayer as 
Senior Independent Director. The output from this exercise 
was discussed by the Board and confirmed their view 
that the Board functions well, with open and interactive 
discussion. The Board also agreed that there would be an 
annual evaluation process going forward, which would 
include a review of progress against the prior year’s areas for 
development. The next full review will take place in summer 
2026, the outcome of which will be reported in the 2026 
Annual Report.
Changes to the Board
I would like to take this opportunity to thank Marc for his 
invaluable contributions to the Group and we look forward 
to continuing to benefit from Els’s skills and experience as a 
Director going forward.
ED TORR
Independent Non-Executive Chair
13 May 2026
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Composition of the Board and its Committees
Board composition
The Company maintains a robust and effective corporate governance framework that supports responsible stewardship 
and long-term sustainable success. The roles and responsibilities of the Board and its formally constituted Committees are 
clearly defined and operate within an established governance structure, as outlined in this report. This framework safeguards 
the interests of shareholders and provides a solid foundation for overseeing risk, ensuring accountability and delivering the 
Group’s strategic objectives.
Board of Directors
Chair 
Responsible for the establishing the Company’s 
strategic direction and overseeing a robust 
framework of governance
Ed Torr
Independent Non-Executive 
Chair
Executive Directors
Responsible for the day-to-day management of 
the Company’s operations and the delivery of the 
Group’s strategy
Jennifer Winter
Chief Executive Officer
Chris Brewster
Chief Financial Officer and 
Company Secretary
Non-Executive Directors
Providing independent challenge to, and oversight 
of, the performance of the Executive Directors
Marc Coucke
Els Degroote acts as Alternate 
to Marc when he is absent from 
Board meetings
Non-Independent Non-
Executive Director
Sylvia Metayer
Senior Independent Director
Chair of Audit and Risk 
Committee
Doug Hutchens
Independent Non-Executive 
Director
Chair of Remuneration and 
Nomination Committee
Board Committees
Audit and Risk Committee
Responsible for monitoring the integrity of the Company’s 
financial statements and overseeing the effectiveness 
of the risk management framework and internal control 
environment. The Audit and Risk Committee Report is 
within the Governance section of the Annual Report.
Remuneration and Nomination Committee
Responsible for reviewing the structure, size, composition and 
succession planning of the Board, and for setting fixed and 
variable Executive Director remuneration and monitoring the 
remuneration structure and levels for senior management. 
The Remuneration and Nomination Committee Report is 
within the Governance section of the Annual Report.
As at the date of this report, the Board comprises two Executive Directors, an independent Non-Executive Chair and three 
other Non-Executive Directors, two of whom are independent, and one alternate Director as set out above. The Directors’ 
biographies can be found in the Board of Directors section. The Board’s composition is structured to maintain a balanced mix 
of skills, experience and independence, ensuring that no single individual is able to dominate the decision-making process. 
This balance supports open discussion, constructive challenge and collective accountability across the Board.
The Non-Executive Directors collectively bring a balanced mix of skills and experience, enabling them to provide effective 
support and constructive challenge to the Executive Directors. The Board keeps under review the mix of experience and skills 
that are needed on the Board as the Group continues to grow, so that Board composition can be adjusted, if necessary, over 
time. The Directors believe that, as a whole, the Board possesses the necessary combination of skills, experience, capabilities, 
diversity and personal qualities to deliver the Group’s strategy for the benefit of the Company’s shareholders and wider 
stakeholders over the medium-to-long term. 
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The Board recognises the benefits that diversity brings to 
effective leadership and robust decision making. This includes, 
but is not limited to, gender balance, ethnic diversity, a broad 
mix of skills, professional backgrounds, experience and diversity 
of thought. The Board is committed to fostering an inclusive 
culture throughout the organisation, free from discrimination 
of any kind, which supports individuals in achieving their full 
potential. This commitment extends to Board appointments 
and succession planning, where selection is based on merit 
while taking full account of the value that a diverse Board 
brings to the long-term sustainable success of the Company. 
The Remuneration and Nomination Committee is responsible 
for succession planning for the Board Directors and other 
Senior Executives. Further information can be found on this in 
the Remuneration and Nomination Committee report.
Independence
The Non-Executive Chair, Ed Torr, Senior Independent 
Director, Sylvia Metayer and Non-Executive Director, Dr Doug 
Hutchens, are all considered to be independent. The Board, 
therefore, considers that it complies with the QCA Code in 
respect of Director independence. 
23.34% of the issued share capital is held by Alychlo NV, an 
entity wholly owned by Marc Coucke, non-independent Non-
Executive Director.
Appointments to the Board and  
re-election
The Board has delegated, to the combined Remuneration 
and Nomination Committee, the tasks of reviewing Board 
composition, searching for appropriate candidates and 
making recommendations to the Board on candidates to 
be appointed as Directors. Further details on the role of 
the Remuneration and Nomination Committee, and its 
activities during the year, are set out in its report within the 
Governance section of the Annual Report. 
The Directors have the power to appoint Directors during the 
year, but any person so appointed must stand for election at 
the next Annual General Meeting (AGM), as required by the 
Company’s Articles of Association (Articles). 
In accordance with corporate governance best practice, all 
Directors retire and offer themselves for election or re-election 
at the AGM each year. The Board considers that each of the 
Directors standing for election or re-election continues to 
make a valuable contribution to the Board and to demonstrate 
commitment to the Group. 
Els Degroote was appointed as the alternate Director to Marc 
Coucke in December 2024 and attended Board meetings 
when Marc Coucke was absent in 2025. Marc will be stepping 
down from the Board at the forthcoming AGM and further 
to the approval of Els’s appointment by the Board, in line 
with the approach set out above, a resolution will be put to 
shareholder for her formal election. In June 2025, the initial 
terms of appointment for Sylvia Metayer and Doug Hutchen, 
which expired at the 2025 AGM, were renewed for a second 
three‑year term, running to 2028.
How the Board operates
The Board is responsible for the Group’s strategy and overall 
management. The operation of the Board is documented in 
a formal schedule of matters reserved for its approval, which 
sets out the Board’s responsibilities and covers a number 
of areas:
	•
The Group’s strategic aims and objectives 
	•
The structure and capital of the Group, and dividend 
policy 
	•
Financial reporting and internal controls 
	•
Risk management 
	•
The approval of significant contracts and expenditure 
	•
Effective communication with shareholders 
	•
Board structure, size and composition 
The schedule of matters reserved for Board approval was 
reviewed and approved during the year and is available on 
the Company’s website (www.animalcaregroup.com).
Board meetings 
The Board met formally six times during the year. 
Non-Executive Directors maintain a direct and regular line 
of communication with Executive Directors and senior 
management between formal Board meetings. The Group 
Finance Director also attends all Board meetings.
Directors are expected to attend all meetings of the Board 
and the Committees on which they sit, and to devote 
sufficient time to the Group’s affairs to enable them to fulfil 
their duties as Directors. This requirement is made clear in 
their letters of appointment. In the event that Directors are 
unable to attend a meeting, their comments on papers to 
be considered at the meeting will be discussed in advance 
with the Chair so that their contribution can be included 
in the wider Board discussion. The Board is satisfied that 
each of the Non-Executive Directors devotes sufficient time 
to the business, in accordance with the time commitment 
requirements set out in their letters of appointment. In 
December 2024, the Board approved the appointment of Els 
Degroote as the alternate Director to Marc Coucke. Els has 
been attending Board meetings when Marc Coucke is absent 
and when he steps down from the Board at the 2026 AGM, 
she will be appointed as Director.
Directors are encouraged to question and voice any concerns 
they may have on any topic put to the Board for debate. 
The Board is supported in its work by Board Committees, 
which are responsible for a variety of tasks delegated by the 
Board. There is also a Senior Executive Team composed of the 
CEO, the CFO and representatives from senior management, 
whose responsibilities are to implement the decisions of the 
Board and review the key business objectives and status of 
projects. 
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The table below shows Directors’ attendance at formal scheduled Board and Committee meetings during the year:
Director
Board
Audit and Risk 
Committee
Remuneration 
and Nomination 
Committee
Chris Brewster1
5/6
–
–
Marc Coucke2
0/6
–
–
Els Degroote2
6/6
–
 –
Doug Hutchens
6/6
6/6
3/3
Sylvia Metayer
6/6
6/6
3/3
Ed Torr
6/6
6/6
3/3
Jennifer Winter3
6/6
–
–
1	 Chris Brewster was unable to attend one Board meeting for family reasons. Chris Brewster attends meetings of the Audit and Risk Committee by invitation. 
2	 Els Degroote was appointed as the alternate Director to Marc Coucke on 10 December 2024 and attends Board meetings when Marc Coucke is absent. Due to other 
business commitments, Marc Coucke was unable to attend Board meetings in 2025; his alternate Director, Els Degroote, attended in his absence.
3	 Jennifer Winter is invited to attend meetings of the Remuneration and Nomination and Audit and Risk Committees from time to time.
Board decisions and activity during the year 
The Board has an agreed schedule of activity for the financial year covering regular business updates and operational, financial 
and governance issues. Each Board Committee also has an agreed schedule of activity. This ensures that all areas for which the 
Board has overall responsibility are addressed during the year. These schedules of activity are reviewed at least once a year to 
ensure that matters are considered at an appropriate time. 
Board and Committee agendas and papers are circulated to the Board in good time in advance of the meetings and each 
meeting is minuted.
Strategy
M&A opportunities, resulting in the successful acquisition of equity stake in InVetro Pty Ltd
Randlab Integration
Delivery of the Product Development plan and opportunities, including partnership with 
272Bio 
Development of the R&D pipeline
Focused Board strategy sessions 
Performance
Trading updates
Review of budgets and forecasts
Going concern and cash flow
Approval of the 2024 Annual Report, final dividend recommendation, 2025 Interim Results 
and an increase of the interim dividend by 10%
Governance
Board performance evaluation
Succession planning
Review of conflicts of interest
Review of regulatory and governance updates
Review and approval of Modern Slavery Statement, Schedule of Matters Reserved for the 
Board and Committee Terms of Reference
Stakeholders
People update
ESG and sustainability update
Investor relations and shareholder update
Review of AGM business
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The Board agenda includes a business update covering 
progress against strategy and financial performance, key 
business initiatives, leadership activities and new product 
development. Investor relations updates, financial reports 
and consideration of reports from the Board Committees are 
also covered on the Board agenda. Details of the Board’s key 
discussions and stakeholder considerations are set out in the 
Strategic Report. 
Board Committees 
The Board has delegated specific responsibilities to its two 
Board Committees, the Audit and Risk Committee and the 
Remuneration and Nomination Committee, which are each 
comprised of three independent Non-Executive Directors, in 
accordance with the QCA Code. Each Board Committee has 
written Terms of Reference setting out their duties, authority 
and reporting responsibilities, which were reviewed and 
approved by the Board during the year and are available on 
the Company’s website (www.animalcaregroup.com). 
Details of the operation of the Board Committees are set 
out in their respective reports below. Each of the Board 
Committees is authorised to obtain, at the Company’s 
expense, professional advice on any matter within their 
Terms of Reference and to have access to sufficient resources 
in order to carry out their duties. 
Senior Executive Team 
At year end, the Senior Executive Team (SET) comprised the 
Chief Executive Officer, Chief Financial Officer, Chief Operating 
Officer, Director of Strategic Alliances and Acquisitions, Chief 
Strategy and Science Officer, Group People and Culture 
Director, Group Supply Chain Director, Group Finance Director 
and General Manager, Randlab. The team meets weekly and its 
responsibilities include tracking financial performance, progress 
against our strategic and operational objectives, leadership 
development, improving employee engagement and all aspects 
of the operational leadership of the organisation. 
External advisers 
During the year, the Board sought advice on various matters 
from Stifel Nicolaus Europe Ltd, its nominated adviser, 
corporate finance adviser and joint broker (with Panmure 
Liberum). Advice is also provided by the Company’s 
lawyers, Squire Patton Boggs (UK) LLP, and by its corporate 
governance and company secretarial adviser, Prism Cosec, 
which also provides company secretarial support.
Development, information and support 
Prism Cosec provides a report to the Board at each regular 
meeting regarding changes in relevant legislation, regulations 
and corporate governance best practice that may impact the 
Company. Executive Directors are subject to the Company’s 
performance development review process through which 
their performance against predetermined objectives is 
reviewed and their personal and professional development 
needs are considered. Non-Executive Directors are 
encouraged to raise any personal development or training 
needs with the Chair or Company Secretary. 
Risk management 
The Board has ultimate responsibility for setting the 
Group’s risk appetite and risk management strategy and for 
reviewing the effectiveness of the Group’s framework for risk 
management. Oversight of risk management is undertaken 
by the Audit and Risk Committee, which reports to the 
Board at least three times a year. Further details on risk 
management are set out in the Audit and Risk Committee 
Report and in Our Principal Risks in the Strategic Report. 
Internal controls 
The Board has ultimate responsibility for the Group’s system 
of internal controls and for the ongoing review of their 
effectiveness. 
Systems of internal control can only identify and manage 
risks, and not eliminate them entirely. As a result, such 
controls cannot provide an absolute assurance against 
misstatement or loss. The Board considers that the internal 
controls that have been established and implemented are 
appropriate for the size, complexity and risk profile of the 
Group. 
The main elements of the Group’s internal control 
environment include: 
	•
The close management of the day-to-day activities and 
financial performance of the Group by the SET and other 
senior management
	•
An organisational and IT systems structure with defined 
levels of responsibility and user access
	•
Specified contract approval levels and financial authority 
limits 
	•
An annual budgeting process that is approved by the Board
	•
A quarterly reforecasting process that forms part of the 
financial performance review cycle
	•
Controls to ensure that the assets of the Group are 
safeguarded and that appropriate accounting records are 
maintained
The Board continues to review the system of internal controls 
to ensure it is fit for purpose and appropriate for the size 
and nature of the Company’s operations and resources. The 
internal control procedures were in place throughout the 
financial year and up to the date of approval of this report. 
Board performance review 
An internal Board and Committee performance review 
was conducted in 2025 by way of a set of questionnaires, 
with the Chair’s evaluation conducted by Sylvia Metayer as 
Senior Independent Director. The output from this exercise 
was discussed by the Board and confirmed its view that the 
Board functions well, with open and interactive discussion. 
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Areas for development were agreed and are being monitored 
during the course of the year. The Board also agreed that 
there would be an annual evaluation process going forwards, 
which would include a review of progress against the prior 
year’s areas for development. 
Succession planning 
The Remuneration and Nomination Committee considers 
succession planning in its work and formulates plans for the 
succession of all Directors. Further details can be found in 
the Committee’s report. At senior management level, during 
the year, the Board oversaw the appointment of the Group’s 
first Chief Strategy and Science Officer, underscoring the 
Group’s commitment to strengthening its R&D pipeline and 
innovation leadership.
Conflicts of interest 
The Company has procedures in place for managing conflicts 
of interest. These include a requirement for Directors to 
declare any interests in the matters to be discussed at 
each Board or Committee meeting. Directors also have a 
continuing duty to notify the Company of any changes to 
their potential or actual conflicts and are regularly reminded 
of this. The Company’s Articles provide for the Board to 
authorise any actual or potential conflicts of interest if 
deemed appropriate to do so. 
Independent professional advice 
Directors have access to independent professional advice 
at the Company’s expense. In addition, they have access 
to the advice and services of the Company Secretary, who 
is responsible for advice on corporate governance matters 
to the Board and can receive guidance from the Group’s 
corporate governance and company secretarial adviser, Prism 
Cosec. 
Directors’ and officers’ liability 
insurance 
The Company has Directors’ and officers’ liability insurance in 
place, as permitted by the Company’s Articles. 
Relations with shareholders 
The Group maintains communication with institutional 
shareholders through individual meetings with Executive 
Directors, generally following the publication of the 
Group’s interim and full-year results. Shareholders have the 
opportunity to pose questions to our Directors at the AGM 
and the Chair and independent Non-Executive Directors will 
attend meetings with investors and analysts as required.
Information about the Group is available on the Group’s 
website (www.animalcaregroup.com), including an overview 
of the Group’s activities and details of all recent Group 
announcements. 
A review of the share register is circulated to the Board at 
each Board meeting and key changes are discussed by the 
Board. 
In March 2026, the Company hosted a Capital Markets 
event, involving presentations for investors and analysts to 
provide greater insight into the Group’s three strategic pillars, 
highlighting opportunities to accelerate organic revenue 
growth, both in the shorter-to-medium term and over the 
longer term, alongside a deeper dive into inorganic growth 
and development of pipeline potential.
Board monitoring of culture and 
employee engagement 
The Board and the SET recognise their responsibility for 
setting the tone from the top and for ensuring that the 
Group’s culture is aligned with its purpose, values and 
strategy. By promoting ethical behaviour, sound judgement 
and a responsible mindset across the organisation, the Board 
seeks to embed a culture that supports effective governance, 
underpins the delivery of our customer-focused, people-
led growth strategy and drives long-term value creation for 
shareholders.
The SET holds regular business and functional meetings 
at the Company’s offices across our various locations 
to encourage open dialogue, foster cross functional 
collaboration and support cultural consistency throughout 
the Group. Members of the SET update the Board on key 
strategic and operational matters when appropriate, and the 
Board endeavours, where practicable, to meet at different 
Group sites to enhance visibility and strengthen direct 
engagement with employees.
Non-Executive Directors also maintain regular interaction 
with members of the SET, providing constructive challenge, 
sharing their experience and offering support on emerging 
issues. These engagements provide valuable opportunities 
to understand the views, interests and expectations of 
employees, offering direct insight into how our culture is 
being lived day to day. They also enable the Board to monitor, 
assess and promote a healthy corporate culture in line with 
the principles of the QCA Code.
As the Group continues to grow and develop, the Board 
remains focused on ensuring that our culture evolves 
appropriately, supports a highly engaged workforce and 
remains aligned with the Group’s long-term objectives.
Further details of the Group’s focus on employee 
engagement and culture are set out under Sustainability.
AGM 
The Company’s AGM is scheduled for Friday 12 June 2026. 
Further details of the AGM arrangements can be found in 
the Notice of 2026 AGM, which will be published on the 
Company’s website www.animalcaregroup.com/investors/
shareholder-centre/agm/.
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77
GOVERNANCE
Annual Report 2025 ANIMALCARE GROUP PLC
FINANCIALS
STRATEGIC REPORT

I am pleased to present 
the Audit and Risk 
Committee’s Report 
for the year ended 31 
December 2025.
SYLVIA METAYER
Independent Non-Executive Chair
The Audit and Risk Committee is responsible for ensuring 
the Group maintains a strong control environment and risk 
culture. Its role is to provide effective governance over the 
Group’s financial reporting, including monitoring the integrity 
of the Group’s financial statements, reviewing significant 
financial reporting matters, monitoring the effectiveness 
of the Company’s internal controls, the appropriateness 
and effectiveness of the risk management framework and 
overseeing the relationship with the external auditors. It is 
also responsible for establishing, monitoring and reviewing 
procedures and controls for ensuring compliance with the 
AIM Rules. 
Members of the Audit and Risk 
Committee during the year 
The Committee comprises the following independent 
Non-Executive Directors: 
	•
Sylvia Metayer (Chair) 
	•
Doug Hutchens 
	•
Ed Torr 
The relevant skills and experience of the Committee 
members are set out in their biographies within the Board 
of Directors section. The Board is satisfied that I have 
recent and relevant financial experience. I began my career 
as an auditor and I fully understand the Committee’s 
responsibilities having held a variety of key financial and 
commercial positions in leading international groups and a 
number of Non-Executive roles. My Committee colleagues 
and I are experienced Non-Executive Directors. 
Although only Committee members have the right to attend 
meetings, the Chief Financial Officer and Group Finance 
Director are invited to attend our meetings, and other 
members of the finance team and other internal teams 
attend meetings from time to time, for all, or part of, the 
meeting as appropriate. Representatives from the external 
auditors attend at least two Committee meetings during the 
year to present their audit findings and their audit plan for 
the following year. Other advisers may be invited to attend 
meetings on occasion. 
Key responsibilities 
The role and responsibilities of the Committee are set out 
in its Terms of Reference, which are reviewed annually, 
taking into account relevant regulatory changes and 
recommended best practice, and are available on the 
Company’s website (www.animalcaregroup.com). The 
current Terms of Reference were approved by the Board on 
16 December 2025.
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Audit
Risk
Monitoring the integrity of the Group’s financial statements
Reviewing all significant financial reporting issues and 
judgements
Overseeing the relationship with the external auditors 
including appointment and remuneration, expertise and 
resources
Assessing the effectiveness of the audit process and auditor 
independence and objectivity
Monitoring the scope, adequacy and effectiveness of the 
Group’s internal controls and risk management systems
Reviewing the effectiveness of, and any changes to, the risk 
framework
Reviewing the overall approach to setting risk appetite, 
tolerance levels and risk exposure to ensure it is aligned to 
the Group’s strategic objectives
The Committee reports formally to the Board on its proceedings after each meeting on all matters within its duties and 
responsibilities. 
The Committee challenges both the external auditors and the management of the Group, and reports the findings and 
recommendations of the external auditors to the Board. The Committee meets to review the proposed audit work, review the 
results of the audit work and consider any recommendations arising from the audit. 
Activities undertaken by the Committee 
during the year 
The duties contained in the Terms of Reference form the 
basis for the Committee’s focus and scope of work across 
each financial year, and the Committee meets at appropriate 
times in the reporting and audit cycle and at such other 
times as is necessary to discharge its duties. The Committee 
met six times during the year. Committee meetings are 
arranged to coincide with key dates in the financial reporting 
calendar and audit cycle. Committee members’ attendance 
at the meetings held during the year is set out in the 
Corporate Governance Report. 
The main activities of the Committee during the year are set 
out below. 
Annual and interim financial statements 
The Committee reviewed the full-year and interim financial 
statements including the consideration of significant audit risks 
identified by the external auditors, and the key accounting 
judgements and estimates. The Committee’s response to the 
significant accounting judgements and estimates in respect of 
the 2025 financial statements is set out below. The Committee 
also reviewed the principal risks disclosures. 
External auditors
The Committee oversees the relationship with the external 
auditors to ensure that the auditors’ independence, 
objectivity and effectiveness are maintained, and takes into 
account a number of areas when reviewing the external 
auditors’ appointment, including their performance in 
discharging the audit, the scope of the audit, the terms of 
engagement, and their independence and objectiveness. 
Grant Thornton have been the Company’s auditors since 
their appointment in 2024 and were reappointed by 
shareholders at the 2025 AGM. The Group’s Audit Partner is 
Mark Overfield. 
The Committee considers the fees payable to the external 
auditors and monitors the provision of non-audit services. 
On occasion, there may be advantages in using the external 
auditors to provide non-audit services, given their knowledge 
of the business. Where material non-audit services are 
required, a business case would need to be made to use the 
Group’s external auditors rather than another provider and 
Committee sign-off would be required to ensure there is no 
impact on the auditors’ objectivity and independence. The 
breakdown of fees between audit and non-audit services 
is provided in the Notes to the Consolidated Financial 
Statements. 
The Committee also reviews the external auditors’ 
management letter and detailed presentations are made to 
the Committee by the auditors at least twice a year. There 
is an active ongoing discussion between the Committee 
and the auditors on any recommendations to improve the 
efficiency of the audit process. 
Having reviewed and assessed the auditors’ independence 
and performance, the Committee recommended to the 
Board that a resolution to reappoint Grant Thornton as the 
Group’s external auditors be proposed at the forthcoming 
Annual General Meeting.
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Review of provisions and contingent 
liabilities 
The Committee receives a report on current potential 
contingent liabilities at each scheduled Committee meeting 
and considers the appropriateness of the disclosures and 
provisions in the financial statements. 
Going concern and liquidity 
The Committee is responsible for reviewing the statements 
and disclosures made in respect of going concern, as 
outlined in the Chief Financial Officer’s review and the Note 
to the Consolidated Financial Statements, which provides a 
Summary of Significant Accounting Policies. In considering 
such disclosures, the Committee paid particular attention 
to the robustness of stress-testing scenarios, the cash flows 
forecast by the Group and bank covenant compliance. The 
external auditors have reviewed management’s assessment 
and discussed this review with the Committee. 
Audit process 
The audit process commences each year when the 
Committee receives a detailed plan from the auditors, 
identifying their assessment of the key audit matters and 
their intended areas of focus. This plan is reviewed and 
agreed in advance by the Committee. 
The Committee reviews the quality and effectiveness of the 
external audit process on an annual basis, considering the 
views of both the external audit team and the Chief Financial 
Officer, as well as assessing the Committee’s own interactions 
with the external auditors. During the period, the Group 
Finance Director updated the Committee on progress with 
the audit planning. The Committee will review the 2025 
year-end audit process during the course of 2026. 
Internal audit 
The Committee continues to review the need for an internal 
audit function and is of the view that, given the size and 
nature of the Group’s operations and finance team, there is 
no current requirement to establish a separate internal audit 
function. 
Share dealing 
The Group operates a share dealing code in conformity with 
the requirements of Rule 21 of the AIM Rules. All employees, 
including new joiners, are required to agree to comply with 
this code.
Significant issues considered in relation to the financial statements 
As part of the monitoring of the integrity of the financial statements, significant issues and accounting judgements are 
identified by the finance team, and the external audit process is reviewed by the Committee and reported to the Board. The 
key matters considered by the Committee, in respect of the year ended 31 December 2025, are set out below:
Acquisition of Randlab 
Group
Ensuring the accurate recognition, measurement and presentation of the Randlab acquisition 
in accordance with IFRS 3 Business Combinations, including the judgements and assumptions 
used to record the acquired assets and liabilities at fair value.
Recognition and 
valuation of judgemental 
provisions and liabilities 
Determining the appropriateness of the assumptions used in the recognition and valuation 
of judgemental provisions and liabilities, which principally relate to customer rebates and 
contingent liabilities. 
The Committee was satisfied that each of the matters set out above had been fully and adequately addressed by the Executive 
Directors, appropriately tested by the external auditors and that the disclosures made in this Annual Report and Accounts 
were appropriate.
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Risk management and internal controls
The Committee is responsible for reviewing the risk 
management and internal control framework, and ensuring 
that it operates effectively. 
During the year, the Committee continued to oversee the 
operation of the risk management framework (RMF). Further 
to a third-party review in 2024, risk management reviews are 
now conducted internally by the Corporate Finance team and 
the Committee is satisfied that the Group’s RMF enables the 
Board to monitor, manage and mitigate the key risks in the 
Group’s strategic plan for the benefit of stakeholders. 
Particular areas of focus for the Committee were monitoring 
the integration of the newly acquired Randlab business, a 
review of foreign exchange risk and policy, a review of supply 
chain risk management, and a further review of R&D risk 
and development of the framework for R&D pipeline risk. 
With respect to the Randlab integration, the Committee 
received regular reports from management, covering an 
assessment of its control environment and risk landscape, 
as well as associated foreign exchange risk considerations. 
The Committee considered that the integration of Randlab 
had been well managed, reinforcing a robust foundation for 
the management of future M&A integration risk. Following 
an external review of foreign exchange risk, the Committee 
approved a new foreign exchange risk management policy. 
The Committee also received a report on supply chain risk 
and its mitigation. 
Over the course of the year, the Committee continued to 
refine the approach to assessing the R&D risk framework 
with a focus on R&D pipeline risk. The Committee assessed 
the depth, balance and execution capability of the innovation 
portfolio, including the impact of recent additions such 
as the VHH NGF programme and the collaboration with 
272Bio to develop an innovative treatment for equine Sweet 
Itch. It also evaluated the associated increase in research 
expenditure and its short-term effect on EBITDA. The 
Committee welcomed the appointment of a Chief Strategy 
and Scientific Officer in November 2025, which further 
enhances the execution and governance of the innovation 
pipeline.
The Committee undertook its annual risk review at its 
meeting in September, supported by regular updates from 
the Group Finance Director during the year, ensuring a 
holistic view of the risk environment. It concluded that the 
Group’s processes for identifying and managing principal 
risks remain appropriate. 
The Board reviews the effectiveness of the Group’s internal 
controls at least annually, supported by the Committee. 
This review includes the consideration of reports from 
management, discussions with the external auditors, and 
an assessment of whether key controls are functioning as 
intended. Where areas for improvement are identified, the 
Board ensures that appropriate actions are implemented. 
Further details of the Group’s system of internal controls 
can be found in Our Principal Risks. The Committee is 
satisfied that the RMF and internal control systems operated 
effectively during the financial year and up to the date of 
approval of this Annual Report. We continue to refine and 
strengthen our internal control framework, where required, 
in response to changes in the risk profile of our business. 
Key activities for 2026
During 2026, the Committee will continue its focus on the 
assessment of those risks that impact the Group’s strategic 
goals, including supply chain risk and R&D risk. 
Whistleblowing and prevention of 
bribery and corruption
The Group has in place whistleblowing procedures, which 
set out the formal process by which staff may, in confidence, 
report any suspicion of fraud, financial irregularity or other 
malpractice. An anti-bribery and corruption policy is also in 
place, which provides information and guidance to those 
working for the Group on how to recognise and deal with 
potential bribery and corruption. 
The Committee is satisfied that the procedures are operating 
effectively. No concerns were raised during the year.
SYLVIA METAYER 
Chair of the Audit and Risk Committee 
13 May 2026
Annual Report 2025 ANIMALCARE GROUP PLC
FINANCIALS
81
GOVERNANCE
STRATEGIC REPORT

I am pleased to present 
our Remuneration and 
Nomination Committee 
Report, which sets 
out details of the 
composition, structure 
and operation of the 
Committee, our work 
during the year, our 
remuneration policy 
and remuneration paid 
to Directors during the 
year.
DR DOUG HUTCHENS
Independent Non-Executive Chair
Members of the Remuneration and 
Nomination Committee during the year 
The Committee comprises the following independent 
Non-Executive Directors: 
	•
Doug Hutchens (Chair) 
	•
Sylvia Metayer 
	•
Ed Torr 
Although only members of the Committee have the right to 
attend meetings, other individuals, such as the Chief Executive 
Officer and external advisers, are invited to attend for all, or part 
of, some of our meetings when required.
Key responsibilities 
The Committee considers the Group’s strategy when 
recommending the appointment of Directors and setting and 
reviewing remuneration. The Committee reviews Board and 
Committee composition and manages succession planning 
for Directors, considering skills, knowledge, experience and 
diversity before making appropriate recommendations to 
the Board regarding any changes. We also formulate the 
remuneration policy having regard to the views of shareholders, 
the recommendations of the QCA Corporate Governance Code 
and the AIM Rules for Companies. On behalf of the Board, the 
Committee also agrees all aspects of the remuneration of the 
Executive Directors.
After each meeting, the Committee reports formally to the 
Board on its proceedings on all matters within its duties and 
responsibilities. 
The main duties of the Committee are set out in its Terms of 
Reference, which are reviewed annually and are available on 
the Company’s website (www.animalcaregroup.com). The Board 
approved the current Terms of Reference on 16 December 2025, 
which include the following responsibilities:
Nomination
Remuneration
Board composition
Succession planning
Board appointments
Executive Director remuneration
Design and awards of long and 
short-term incentive plans
Senior management remuneration policy
Activities during the year 
The duties contained in the Terms of Reference form the basis 
for the Committee’s work plan across each financial year, and 
the Committee meets at such times as is necessary to discharge 
its duties. The Committee met three times during the year. 
Committee members’ attendance at the meetings held during 
the year is set out in the Corporate Governance Report. 
As highlighted in our 2024 report, a detailed review of the 
Group’s incentive structure for senior leadership was conducted 
during 2025. This review focused on long-term incentives and 
the Group annual bonus scheme for senior management, with 
ANIMALCARE GROUP PLC Annual Report 2025
82
Remuneration and Nomination Committee Report

support from an external remuneration adviser. As part of 
the review, the Committee considered and approved an 
increase in % salary award to the CEO from 120% to 150% 
under the 2017 LTIP to align with current market practice 
and the introduction of a shareholding requirement of 
100% of salary for Executive Directors. The Committee also 
reviewed and approved proposed changes to the annual 
bonus scheme to ensure closer alignment between senior 
leadership incentives and the Group’s strategic priorities. 
For 2026, the scheme has been redesigned and harmonised 
across all participants, introducing a simpler and more 
consistent structure that balances financial performance 
measures with individual performance objectives. Further 
details are included in the Directors’ Remuneration Report. 
The Committee also considered a proposal to introduce 
a Long-Term Cash Plan (LTCP) for members of the Senior 
Operating Team from 2026. 
Following the review, the Committee approved awards under 
the 2025 LTIP to the Senior Executive Team and Executive 
Directors. In February 2026, they formally approved the 2025 
LTCP rules and minor changes to the 2017 LTIP rules, in which 
the Executive Directors and members of the SET are eligible 
to participate, to align with market practice on good leavers.
Achievement of the EPS and TSR performance criteria of 
the 2022 LTIP award was reviewed by the Committee in 
December 2025. Following the assessment of performance 
targets over the three years ended 30 June 2025, the 
Committee confirmed that the TSR target had been achieved 
in full given the upper quartile performance compared to the 
peer group. The EPS target was partially met, which resulted 
in an overall award of 89.1%.
In December 2025, the Committee also discussed the 
remuneration of the Directors and, after due consideration, it 
was agreed that Executive Directors’ salaries would increase 
by 3% with effect from 1 January 2026. It was further agreed 
by the Board that the Non-Executive Directors’ fees would 
also increase by 3%, with effect from 1 January 2026. 
Full details of the annual bonus outcome, 2025 LTIP award 
and the vesting of the 2022 LTIP are set out in the Directors’ 
Remuneration Report. 
In line with the 2023 QCA Code recommendation, we 
will be putting our Director’s Remuneration Report and 
Remuneration Policy to shareholders for an advisory vote at 
the 2026 AGM.
Succession planning
Sylvia Metayer’s and Doug Hutchen’s initial terms of 
appointment expired at the 2025 AGM and the Committee 
considered and agreed to recommend the renewal of their 
appointments for a second three-year term, to run until the 
conclusion of the AGM in 2028. The Committee also considered 
the succession plan for the Executive Directors in February 
2026, as well as the succession plan for roles in the SET.
Board and Committee composition
In line with the end of Marc’s current and third term of 
appointment as a non-executive director, he will be standing 
down at the 2026 AGM and further to the approval of the 
Board, a resolution to elect Els Degroote as a Director will be 
put to shareholders for approval.
The Committee will continue to consider whether the 
Board would be strengthened with the appointment of an 
additional independent Non-Executive Director. 
Board performance review
An internal Board and Committee performance review was 
conducted during the year by way of a set of questionnaires, 
with the Chair’s evaluation conducted by Sylvia Metayer 
as Senior Independent Director. The Board agreed on 
recommended actions, which would be monitored during the 
course of the year. Further information can be found in the 
Corporate Governance Report.
Induction and development 
On appointment, an induction programme is agreed and 
includes meetings with each of the Directors and members 
of the SET to develop their knowledge and understanding of 
the Group’s operations. 
In addition, the Company’s nominated adviser and joint 
broker, Stifel Nicolaus Europe Ltd, provides briefings for 
the newly appointed Directors on their legal duties and 
responsibilities as Directors of an AIM company. 
We are confident that all Board members have the 
knowledge, ability and experience to perform the functions 
required of a Director of an AIM company. 
Diversity and inclusion 
The Company’s policy is that recruitment, promotion and 
any other selection exercises will be conducted on the basis 
of merit against objective criteria that avoid discrimination. 
No individual should be discriminated against on the 
grounds of race, colour, ethnicity, religious belief, political 
affiliation, gender, age or disability, and this extends to Board 
appointments. 
The Board recognises the benefits of diversity, including 
gender diversity, on the Board and SET. Appointments will 
be made on merit, but with due consideration to the need 
for diversity and to ensure there is an appropriate balance 
of skills and experience. The Board currently consists of 67% 
(four) male and 33% (two) female members. At the year end, 
the SET consisted of 50% (four) male and 50% (four) female 
members. 
DR DOUG HUTCHENS
Chair of the Remuneration and Nomination Committee 
13 May 2026
Annual Report 2025 ANIMALCARE GROUP PLC
FINANCIALS
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GOVERNANCE
STRATEGIC REPORT

The following disclosures are made in accordance with best 
practice governance standards as an AIM company and to 
provide transparency about how Directors are rewarded. 
This report covers the financial year ended 
31 December 2025. In line with the 2023 QCA Code 
recommendation, the Director’s Remuneration Report 
and remuneration policy will be put to shareholders for an 
advisory vote at the 2026 AGM.
The Remuneration and Nomination 
Committee 
The Board has delegated certain responsibilities for Executive 
remuneration to the Remuneration and Nomination 
Committee (the Committee). Details of the Committee, its 
remit and its activities, are set out in the Remuneration and 
Nomination Committee Report. 
The Committee is, among other things, responsible for 
setting the remuneration policy for Executive Directors and 
the Chair, and recommending and monitoring the level and 
structure of remuneration for senior management. 
Remuneration policy 
The Board recognises the pivotal role of the SET in delivering 
the Group’s growth strategy and performance, and with 
this, the long-term success of the Company and creating 
shareholder value. 
In setting the remuneration policy, the Committee is 
responsible for ensuring alignment with the Company’s 
strategy and culture. The policy aims to promote the 
Company’s long-term success, taking into consideration 
the views of shareholders and other stakeholders. It should 
support and reinforce the desired corporate culture and 
reflect the Company’s risk appetite and long-term strategic 
objectives.
In developing the remuneration policy for Executive 
Directors, the Committee has regard to the Company’s 
reward philosophy, which is intended to drive and recognise 
high performance. The Committee also takes into account 
pay and employment conditions throughout the Group, 
ensuring that policies remain fair and consistent for all 
employees.
The table below summarises the key elements of the Remuneration Policy for Executive Directors:
Component and 
purpose 
How this is applied
Maximum opportunity
Performance 
conditions and targets
Recovery
Base salary (fixed pay) 
Have regard to the 
Directors’ experience 
and the nature and 
complexity of their 
work in order to 
pay a competitive 
salary, in line with 
applicable benchmarks 
and comparable 
companies, that 
attracts and retains 
Directors of the 
highest quality
In setting appropriate 
salary levels, the 
Committee aims to 
position Executive 
Directors competitively 
within this reference 
group.
While there is no 
prescribed maximum 
salary or increase, 
base salary is 
reviewed annually 
by the Committee, 
considering: 
•	 Individual 
performance
•	 The scope of the 
role
•	 Pay levels in 
comparable 
organisations
•	 Pay increases for 
other employees
Not applicable, 
although individual 
performance is 
considered when 
determining base 
salary increases.
Not applicable
ANIMALCARE GROUP PLC Annual Report 2025
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Directors’ Remuneration Report (unaudited)

Component and 
purpose 
How this is applied
Maximum opportunity
Performance 
conditions and targets
Recovery
Annual Bonus 
(variable pay)
To incentivise and 
reward Directors for 
their contribution to 
the Group’s strategic 
goals as outlined in the 
Strategic Report 
Supports the 
recruitment 
and retention of 
high-quality Executive 
Directors
The Company 
operates an annual 
bonus scheme with 
awards based on 
agreed performance 
measures.
The Committee has 
agreed performance 
conditions for the 
Executive Directors’ 
annual bonus based 
on the achievement of 
certain financial and 
operational KPIs and 
individual objectives. 
Each Executive 
Director has 
performance 
conditions related 
to the profitable 
growth of the Group 
and additional 
performance 
conditions relevant 
to their own areas of 
responsibility.
The Committee 
assesses performance 
against a graduated 
scale of financial 
targets with no payout 
for performance below 
the threshold level.
The Committee has 
discretion to amend 
the payout should any 
formulaic outcome not 
reflect its assessment 
of overall business 
performance.
The maximum 
bonus opportunity 
where targets are 
overachieved is 130% 
of the base bonus, 
being 50% of salary for 
the CEO and 40% of 
salary for the CFO.
For the CEO, 80% 
of the bonus award 
is aligned to the 
achievement of the 
following Group 
financial targets: 
budgeted revenue 
(30%), underlying 
EBITDA (30%), and 
underlying cash 
conversion (20%). 
The balance of 20% 
is dependent on 
the achievement of 
personal objectives. 
For the CFO, 80% 
of the bonus award 
is aligned to the 
achievement of Group 
financial targets: 
budgeted revenue 
(30%), underlying 
EBITDA (30%) and 
underlying cash 
conversion (20%). 
The balance of 20% 
is dependent on 
the achievement of 
personal objectives.
Malus and 
clawback 
provisions will 
apply to enable 
the Company 
to recover sums 
paid, or withhold 
the payment of 
any sum in the 
event of a material 
misstatement 
resulting in an 
adjustment to 
the audited 
consolidated 
accounts of the 
Group or action 
or conduct that, 
in the reasonable 
opinion of the 
Board, amounts 
to employee 
misbehaviour, 
fraud or gross 
misconduct.
Annual Report 2025 ANIMALCARE GROUP PLC
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STRATEGIC REPORT

Component and 
purpose 
How this is applied
Maximum opportunity
Performance 
conditions and targets
Recovery
LTIP (variable pay) 
Incentivise Executive 
Directors and 
deliver long-term 
performance-related 
pay with direct 
alignment to 
shareholder interests
Subject to Committee 
discretion, awards 
under the LTIP will 
normally vest three 
years after the date 
of grant subject to 
performance criteria, 
based on EPS and 
TSR being met over a 
three-year financial 
period.
The maximum LTIP 
grant is 150% of base 
salary in a financial 
year (or 200% in 
circumstances which 
the Committee, at its 
discretion, deems to 
be exceptional). 
The current 
application is 150% 
of salary for CEO and 
75% of salary for CFO.
50% of the option 
award will be 
subject to the EPS 
performance condition 
and the remaining 
50% will be subject to 
the TSR performance 
condition. 
Accordingly, if one 
of the performance 
conditions is met but 
the other is not, the 
option award will 
partially vest.
The LTIP 
includes malus 
and clawback 
provisions that 
enable the 
Committee 
to recover 
or withhold 
value in certain 
circumstances, 
including material 
misstatement 
or misleading 
representation 
of performance 
or serious 
misconduct.
Benefits (fixed pay) 
To provide market 
competitive benefits 
to support the 
recruitment and 
retention of Executive 
Directors
A range of benefits 
may be provided 
including company 
car allowance, private 
medical insurance, life 
assurance and other 
general employee 
benefits. 
The Committee 
also retains the 
discretion to offer 
additional benefits 
as appropriate, 
such as assistance 
with relocation, tax 
equalisation and 
overseas tax advisory 
fees.
The value of such 
benefits is not capped 
but is based on cost, 
which may change 
from year to year.
Not applicable
Benefits are 
provided up to 
termination of 
employment.
Shareholding 
guideline
Guidance to 
encourage Director 
share ownership and 
ensure alignment 
of their long-term 
interests with that of 
shareholders
The Committee 
monitors the Executive 
Directors' share 
ownership to ensure 
they are on track to 
meet the minimum 
shareholding 
requirement. Shares 
that count towards 
these guidelines 
include shares owned 
outright and vested 
share awards on a net 
of tax basis.
The Committee 
expects the Executive 
Director to build up 
a shareholding of at 
least 100% of salary 
within a five-year 
period (including 
options that have 
vested but not yet 
exercised).
Not applicable
Not applicable
ANIMALCARE GROUP PLC Annual Report 2025
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Directors’ Remuneration Report (unaudited) CONTINUED

Base salary 
As reported in the Remuneration and Nomination Committee Report, the Committee agreed that the Executive Directors 
would receive a 3% salary increase with effect from 1 January 2026. 
Annual bonus 
A simplified structure for the Group Annual bonus scheme aligned across all participants was approved for senior management 
including the Executive Directors. From 2026, the financial payout curve begins at 95% (previously 96%), delivers target payout 
at 100%, and provides enhanced stretch opportunities of up to 105% for revenue and cash conversion and up to 110% for 
EBITDA, with overall overachievement allowing payouts of up to 130% of base bonus. Bonuses are weighted 80% to financial 
performance (revenue, EBITDA and cash conversion) and 20% to individual performance KPIs, reflecting role-based and 
leadership objectives, with strategic KPIs included for the CEO and CFO. In line with other participants, the CEO and CFO are 
eligible for payouts for overachievement up to 130%, removing the previous cap at 100%.
The Committee reviewed the performance targets in respect of the CEO and CFO bonus plans for the year. They confirmed 
that Group revenue, EBTIDA and cash conversion targets and personal objectives had been achieved, and approved bonus 
payments accordingly in line with the agreed bonus plans.
Long-Term Incentive Plan 
The Animalcare Group plc Long-Term Incentive Plan 2017 (the LTIP) was approved by the Board in June 2017. A summary 
of the LTIP was set out in the circular sent to shareholders on 24 June 2017, which is available on the Company’s website 
(www.animalcaregroup.com) (on a net of tax basis). The current options outstanding will vest subject to the performance 
conditions as set out below:
Earnings per share growth
Extent to which EPS tranche will vest
Less than 3%
0%
3%
25%
10%
100%
Between 3% and 10%
Between 25% and 100% on a straight-line basis
Rank of the Company’s TSR compared to the 
comparator group
Extent to which EPS tranche will vest
Upper quartile or above
100%
Between median and upper quartile
Pro rata between 25% and 100% on a ranking basis
Median
25%
Below median
0%
The details of the LTIP are set out in the Notes to the Consolidated Financial Statements. 
Non-Executive Directors are not eligible to participate in the LTIP. 
Employees’ pay 
Employees’ pay and conditions across the Group are considered when reviewing the remuneration policy for Executive Directors. 
Service agreements and termination payments 
Details of the Executive Directors’ service agreements are set out below.
Director
Date of contract
Unexpired term
Notice period by 
Company
Notice period by 
Director
Chris Brewster
25 September 2017
Rolling contract
6 months
6 months
Jennifer Winter
2 August 2018
Rolling contract
6 months
6 months
The Executive Directors may be put on gardening leave during their notice period, and the Company can elect to terminate 
their employment by making a payment in lieu of notice of up to the applicable notice period.
Annual Report 2025 ANIMALCARE GROUP PLC
FINANCIALS
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GOVERNANCE
STRATEGIC REPORT

Letters of appointment 
Details of the Non-Executive Directors’ letters of appointment are set out below.
Director
Date of contract
Renewed on
Term 
expires
Notice 
period by 
Company
Notice 
period by 
Director
Marc Coucke
17 June 2017
13 June 2023
2026 AGM
3 months
3 months
Doug Hutchens
10 February 2022
10 June 2025
2028 AGM
3 months
3 months
Sylvia Metayer
3 May 2022
 10 June 2025
2028 AGM
3 months
3 months
Ed Torr
17 June 2017
13 June 2024
2027 AGM
3 months
3 months
Alternate Director
Date of contract
Notice 
period by 
Company
Notice 
period by 
Director
Els Degroote (alternate to Marc Coucke)
10 December 2024
3 months
3 months
Non-Executive Directors 
The remuneration payable to Non-Executive Directors (other than the Chair) is decided by the Chair and Executive Directors. 
Fees are designed to ensure the Company attracts and retains high-calibre individuals. They are reviewed annually, taking 
account of the level of fees paid by companies of a similar size and complexity. Non-Executive Directors do not participate in 
any annual bonus, share options or pension arrangements. The Company repays the reasonable expenses that Non-Executive 
Directors incur in carrying out their duties as Directors. 
During the year, the Committee reviewed the annual fees for Non-Executive Directors and the Non-Executive Chair and 
recommended to the Board a 3% increase, which was approved. 
Remuneration policy for 2026 
The remuneration policy for 2026 will operate as follows:
Role
Basic salary/fee
£’000
Maximum 
opportunity2
Executive
Jennifer Winter
Chief Executive Officer
376
50%
Chris Brewster
Chief Financial Officer
256
40% 
Non-Executive
Ed Torr
Chair
77
– 
Sylvia Metayer
Chair of Audit and Risk Committee
52
– 
Doug Hutchens
Chair of Remuneration and 
Nomination Committee
52
– 
Marc Coucke1
Non-Executive Director
46
– 
1	 Els Degroote is appointed as Marc Coucke’s alternate. In accordance with the Company’s Articles of Association, the Company does not pay fees to alternate Directors.
Once Marc has stepped down from the Board and Els appointed in his place, it has been agreed that Els will waive her fees as a non-executive director.
2	 The maximum bonus opportunity where targets are overachieved is 130% of the base bonus, being 50% of salary for the CEO and 40% of salary for the CFO.
The other Non-Executive Directors receive a base fee of £51,500 per annum and a fee of £5,150 per annum for chairing a 
Committee.
Statutory information 
The following information includes disclosures required by the AIM Rules and UK company law in respect of Directors who 
served during the year to 31 December 2025. 
ANIMALCARE GROUP PLC Annual Report 2025
88
Directors’ Remuneration Report (unaudited) CONTINUED

Directors’ remuneration 
The following table summarises the gross aggregate remuneration of the Directors who served during the year to 31 December 2025:
£’000
Salary and 
fees
Annual bonus
Benefits
Total
Executive
Jennifer Winter1
2025
364
158
16
538
2024
347
90
16
453
Chris Brewster2
2025
249
69
14
332
2024
237
68
16
321
Non-Executive
Jan Boone3
2025
–
–
–
–
2024
35 
– 
–
35 
Marc Coucke4
2025
45
–
–
45
2024
45 
–
–
45 
Doug Hutchens5
2025
50
–
–
50
2024
48
–
–
48
Sylvia Metayer6
2025
50
–
–
50
2024
50
–
–
50
Ed Torr7
2025
75
–
–
75
2024
60 
– 
–
60 
Total
2025
833
227
30
1,090
2024
822
158
32 
1,012
1	 Jennifer Winter’s benefits comprised a car allowance (£10,500) and private medical insurance (£5,519).
2	 Chris Brewster’s benefits comprised a company car (£11,420) and private medical insurance (£2,918).
3	 Jan Boone stepped down as Chair on 20 June 2024. His annual fee of £75,000 for 2024 was pro-rated from 1 January to 20 June 2024.
4	 Marc Coucke received an annual fee of £45,000. Els Degroote was appointed as alternate to Marc Coucke in December 2024; the Company does not pay fees to 
alternate Directors.
5	 Doug Hutchens received an annual fee of £45,000, and an additional fee of £5,000 for his role as Chair of the Remuneration and Nomination Committee. In 2024, the 
additional fee was pro-rated from the date of his appointment as Committee Chair on 21 June 2024.
6	 Sylvia Metayer received an annual fee of £50,000, including an additional annual fee of £5,000 for her role as Chair of the Audit and Risk Committee. 
7	 Ed Torr received an annual fee of £75,000. In 2024, he received a pro-rated fee from the date of his appointment as Chair.
Long-Term Incentive Plan 
In December 2025, the Board approved the grant of nil-cost options over a total of 294,222 ordinary shares with a nominal 
value of 20p per share to the Executive Directors under the Company’s LTP (the “2025 LTIP Award”). The 2025 LTIP Award 
will vest on confirmation of achievement of the performance criteria being met over the three-year financial period ending 
31 December 2027. 
These were the only award of options made to Executive Directors under the LTIP during 2025. 
Annual Report 2025 ANIMALCARE GROUP PLC
FINANCIALS
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GOVERNANCE
STRATEGIC REPORT

The performance period for the 2022 LTIP awards ended on 1 July 2025. Details of the performance targets set and actual 
achievement against them, based on three-year performance to 1 July 2025, are set out in the table below: 
Performance 
measure
Weighting
Performance 
period end
Threshold 
(25% vesting)
Maximum 
(100% vesting)
Actual
% vesting for this 
part of the award
Underlying EPS
50%
1 July 2025
13.0p 
15.8p
14.8p
78%
TSR
50%
1 July 2025
Median 
Upper quartile 
 Upper 
quartile
100%
On assessment of the three-year performance period as set out above, a total of 164,083 options granted to the Executive 
Directors and members of the Senior Executive Team vested under this award. These options have yet to be exercised; the 
participants have seven years in which to exercise these options. 
The individual interests of the Executive Directors under the LTIP, as at the date of this report, are set out below:
Director
Date of 
grant1
End of three-year 
performance period
Number of LTIP nil 
cost options award
Vested
Lapsed
Exercised
Total 
outstanding
Jennifer Winter
05/11/21
31/12/24
106,844
53,422
53,422
–
53,422
28/04/22
01/07/25
130,620
116,413
14,207
–
116,413
23/04/24
31/12/26
243,913
–
–
–
243,913
22/12/25
31/12/27
219,296
–
–
–
219,926
Chris Brewster
05/11/21
31/12/24
43,806
21,903
21,903
–
21,903
28/04/22
01/07/25
53,488
47,640
5,848
–
47,670
23/04/24
31/12/26
100,004
–
–
–
100,004
22/12/25
31/12/27
74,926
–
–
–
74,926
1	 The earliest exercise date is three years after the date of grant or the end of the applicable performance period which ever is the later.
Directors’ interests in the share capital of the Company 
The Directors’ interests in the share capital of the Company as at 31 December 2025 and the movements during the year are 
set out below:
Director
Number of 
shares held as at 
1 January 2025 
Acquired/
(disposed) during 
the period
Number of 
shares held as at 
31 December 2025
Percentage 
of ISC as at 
31 December 2025
Chris Brewster
285,513 
–
 285,513 
0.41
Marc Coucke
15,611,889 
–
15,611,889 
22.61
Douglas Hutchens1
5,000
7,500
12,500
0.02
Ed Torr
107,455
–
107,455
0.16
Jennifer Winter
100,650
–
100,650
0.15
1	 Douglas Hutchens acquired 7,500 shares on 19 November 2025. 
There were no changes in the Directors’ interests in shares between 31 December 2025 and the date of these financial 
statements. 
DR DOUG HUTCHENS
Chair of the Remuneration and Nomination Committee 
13 May 2026
ANIMALCARE GROUP PLC Annual Report 2025
90
Directors’ Remuneration Report (unaudited) CONTINUED

The Directors present their report, together with the audited financial statements of the Group 
and the Company for the year ended 31 December 2025. 
Principal activities 
Animalcare Group plc is a public limited company 
incorporated in England and Wales with the registered 
number 01058015, and is listed on AIM, London Stock 
Exchange. 
The principal activity of the Group during the year was the 
development, sale and distribution of licensed veterinary 
pharmaceuticals to the Companion Animal, Production 
Animal and Equine veterinary markets.
Statutory information contained 
elsewhere in the Annual Report 
Information required to be part of the Directors’ Report can 
be found elsewhere in this document, as indicated below, 
and is incorporated into this report by reference: 
Information
Location in Annual Report
Financial highlights 
Strategic Report
Key performance indicators
Strategic Report
Review of financial 
performance in the Chief 
Executive Officer’s Review and 
Chief Financial Officer’s Review
Strategic Report
Streamlined Energy and Carbon 
Reporting (SECR)
Strategic Report
Environmental disclosures
Strategic Report
Corporate governance 
framework and compliance 
with the principles of the QCA 
Code
Corporate Governance 
Statement and 
Corporate Governance 
Report
Financial risk management 
objectives
Corporate Governance 
Report
Details of the Company’s 
exposure to financial risk
Notes to the 
Consolidated Financial 
Statements
Salaries, bonuses, benefits and 
share interests of Directors
Directors’ 
Remuneration Report
Details of the key issues and 
stakeholder considerations 
discussed by the Board during 
the year, and how the Company 
engages with its stakeholders, 
including the s172 Statement
Strategic Report
Statement of Directors’ 
Responsibilities
Corporate Governance 
Report
Likely future events
Strategic Report
Dividends 
An interim dividend of 2.2 pence per share was paid on 
14 November 2025 to shareholders whose names were on the 
Register of Members at close of business on 17 October 2025.
Following the announcement on 16 April 2026 of a 
recommended acquisition of Animalcare, the Board proposes 
no final dividend for the year ended 31 December 2025.
Post balance sheet events 
On 16 April 2026, subsequent to the reporting date, 
Animalcare Group plc announced that it had reached 
agreement on the terms of a recommended cash offer by 
CCP Paw 2 Limited, a wholly owned indirect subsidiary of 
funds managed by Charterhouse Capital Partners LLP, to 
acquire the entire issued and to be issued share capital of 
the Company. Further details are set out in the scheme 
document that was published on 12 May 2026.
The announcement constitutes a non adjusting event after 
the reporting period for the purposes of IAS 10 – Events after 
the Reporting Period, and accordingly no adjustments have 
been made to the financial statements in respect of this.
Directors 
Details of the current Directors of the Company up to the 
date of signing the financial statements and their biographical 
details are shown in the Board of Directors section. 
Share capital structure 
The Company’s issued share capital, as at 31 December 2025, 
was £13,809,189 divided into 69,045,945 ordinary shares of 
20.0 pence each. 
During the year, 69,527 ordinary shares were issued pursuant 
to an exercise of options under the Company’s LTIP scheme. 
The Company’s issued share capital as at 31 March 2026, 
being the latest practicable date prior to publication of this 
report, is 69,045,945 ordinary shares of 20.0 pence each. Full 
details relating to the Company’s issued share capital can be 
found in the Notes to the Consolidated Financial Statements. 
The Company’s ordinary shares rank pari passu in all respects 
with each other, including for voting purposes and for all 
dividends. Ordinary shareholders are entitled to receive 
notice of, and to attend and speak at, any general meeting 
of the Company. On a show of hands, every shareholder 
present in person or by proxy (or being a corporation 
represented by a duly authorised representative) shall have 
one vote and, on a poll, every shareholder who is present 
in person or by proxy shall have one vote for every share 
they hold. The Notice of Annual General Meeting specifies 
deadlines for exercising voting rights and appointing a proxy 
Annual Report 2025 ANIMALCARE GROUP PLC
FINANCIALS
91
GOVERNANCE
STRATEGIC REPORT
Directors’ Report

or proxies. Further information on the voting and other 
rights of shareholders are set out in the Company’s Articles 
of Association (the “Articles”), which are available on the 
Company’s website (www.animalcaregroup.com). 
Other than the general provisions of the Articles (and 
prevailing legislation), there are no specific restrictions on 
the size of a holding or on the transfer of any class of shares 
in the Company. No shareholder holds securities carrying any 
special rights or control over the Company’s share capital. 
Authority for the Company to purchase 
its own shares 
Subject to authorisation by shareholder resolution, the 
Company may purchase its own shares in accordance with 
the Act. Any shares that have been bought back may be held 
as treasury shares or cancelled immediately upon completion 
of the purchase. 
At the AGM on 10 June 2025, the Company was generally, 
and unconditionally, authorised by its shareholders to make 
market purchases (within the meaning of section 693 of the 
Companies Act 2006) of up to a maximum of 6,898,492 of its 
ordinary shares. The Company has not repurchased any of its 
ordinary shares under this authority, which is due to expire 
on the date of this year’s AGM (or, if earlier, at the close of 
business on 9 September 2026) save that the Company may, 
before such expiry, make a contract or agreement to make 
a market purchase of its own ordinary shares, which will, or 
may be, executed wholly, or partly, after the expiry of such 
authority and the Company may purchase such shares as if 
the authority conferred hereby had not expired.
Research and development 
Our new product development programme is key to the 
future long-term growth and success of the Group, and we 
are committed to the development of new and innovative 
products to meet the needs of our customers. Further 
information in relation to product development can be found 
in the Chief Executive Officer’s Review. During the period 
under review, the Group incurred research and development 
expenditure, including additions to intangibles of £4.0m 
(2024: £2.1m). 
Articles of Association 
The rules governing the appointment and replacement of 
Directors are set out in the Company’s Articles. Amendments 
to the Articles of the Company may be made by Special 
Resolution of the shareholders. 
Financial instruments and risk 
management
Disclosures regarding risk management and financial 
instruments are provided within the Strategic Report and in 
the Notes to the Consolidated Financial Statements.
Directors’ indemnities and liability 
insurance 
The Company’s Articles provide, subject to the provisions of 
UK legislation, an indemnity for Directors and officers of the 
Company and the Group in respect of liabilities they may 
incur in the discharge of their duties or in the exercise of 
their powers. The Company has made qualifying third-party 
indemnity provisions as defined by section 234 of the 
Companies Act 2006 for the benefit of its Directors during 
the period and these remain in force at the date of this 
report. 
The Group purchases and maintains Directors’ and officers’ 
liability insurance for the benefit of its Directors, which was 
in place throughout the year ended 31 December 2025 and 
remains in place at the date of this report. The Company 
reviews its level of cover annually. 
Political donations 
No political donations were made during the year (2024: £nil). 
Modern slavery 
In compliance with the Modern Slavery Act 2015, the 
Company’s Modern Slavery Statement can be found on the 
Company’s website at www.animalcaregroup.com. 
Stakeholder engagement and key 
decisions
Details of the key decisions and discussions of the Board 
during the year and the main stakeholder inputs into those 
decisions are set out in the Our Stakeholders part of the 
Strategic Report.
Employees 
The Board recognises that the Group’s performance and 
success are directly related to our ability to attract, retain 
and motivate high-calibre employees. We are committed 
to linking reward to business and individual performance, 
thereby giving employees the opportunity to share in the 
financial success of the Group. Employees are, typically, 
provided with financial incentives related to the performance 
of the Group in the form of annual bonuses that are linked to 
local business unit performance and/or Group performance. 
The Board also recognises senior management contribution 
through the use of long-term incentive plans within overall 
remuneration. 
Applications for employment by disabled persons are 
given full and fair consideration. When existing employees 
become disabled, every effort is made to provide continuing 
employment wherever possible. 
ANIMALCARE GROUP PLC Annual Report 2025
92
Directors’ Report CONTINUED

Significant shareholdings 
The Company has been notified of, or is otherwise aware of, 
the following interests representing 3% or more of the issued 
share capital of the Company as at 30 April 2026:
Name of holder
No. of 
ordinary 
shares
% Holding1
Alychlo NV
15,611,889
22.61
Harwood Capital LLP 
12,700,500
18.39
Canaccord Genuity Wealth 
Management Inc.
4,231,966
6.13
BGF Investment 
Management Ltd
4,001,651
5.80
Octopus Investments Limited
3,954,526
5.73
1	 Percentage holdings are shown to two decimal places; full details of holdings 
can be found in the notifications of major holdings available on the London 
Stock Exchange website.
Going concern 
The Directors have, at the time of approving the financial 
statements, a reasonable expectation that the Company 
and the Group have adequate resources to continue in 
operational existence for the foreseeable future. The going 
concern basis of accounting has, therefore, continued to be 
adopted in preparing the financial statements. 
In reaching this conclusion, the Directors have undertaken an 
assessment of the future prospects of the Group (including 
Randlab) taking into account the Group’s current financial 
position and principal risks. This review considered forecasts 
of future trading, including working capital and investment 
requirements for at least 12 months from the reporting 
date, that take into account reasonably possible changes in 
trading performance, in particular, a “severe but plausible” 
downside scenario to factor in a range of downside revenue 
estimates, higher than expected inflation across our cost 
base and higher level of investment in our early-stage R&D 
portfolio, with corresponding mitigating actions. The Group 
also conducted a reverse stress-test assessment to evaluate 
the performance decline necessary to breach its banking 
covenants. The required decline was found to be so severe 
that it was considered implausible, as it would necessitate 
a significant reduction in both gross margin and cash 
conversion to breach the Group’s tightest covenant. Further 
details including the impact of the recommended acquisition 
are included in the statement on going concern in the Notes 
to the Consolidated Financial Statements.
Disclosure of information to the 
auditors 
Each of the persons who are Directors at the date of this 
Annual Report confirm that: 
	•
So far as the Directors are aware, there is no relevant 
audit information of which the Company’s auditors are 
unaware
	•
The Directors have taken all the steps that they ought 
to have taken as Directors in order to make themselves 
aware of any relevant audit information and to establish 
that the Group’s auditors are aware of that information
This confirmation is given and should be interpreted in 
accordance with the provisions of s418 of the Companies 
Act 2006. 
Grant Thornton UK LLP have indicated their willingness to 
continue in office. Resolutions seeking to reappoint them and 
to authorise the Directors to determine their remuneration will 
be proposed at the forthcoming Annual General Meeting. 
Annual General Meeting 
At the 2025 Annual General Meeting, all resolutions put to 
shareholders were passed by a majority. The Company’s 2026 
Annual General Meeting will be held on Friday 12 June 2026. 
The Notice of 2026 Annual General Meeting, including the 
resolutions to be proposed, is set out in a separate Notice 
of Meeting, which accompanies this report and will be 
published on the Company’s website: www.animalcaregroup.
com/investors/shareholder-centre/agm/.
Approval 
The Strategic Report and this Directors’ Report were approved 
by the Board on 13 May 2026 and signed on its behalf by 
CHRIS BREWSTER
Chief Financial Officer and Company Secretary 
13 May 2026
Annual Report 2025 ANIMALCARE GROUP PLC
FINANCIALS
93
GOVERNANCE
STRATEGIC REPORT

The Directors are responsible for preparing the Annual 
Report and the financial statements in accordance with 
applicable law and regulation. 
Company law requires the Directors to prepare financial 
statements for each financial year. Under that law, the 
Directors have prepared the Group financial statements 
in accordance with UK-adopted international accounting 
standards and the Company financial statements in accordance 
with United Kingdom Generally Accepted Accounting Practice 
(United Kingdom Accounting Standards, comprising FRS 101 
“Reduced Disclosure Framework”, and applicable law). 
Under company law, Directors must not approve the financial 
statements unless they are satisfied that they give a true and 
fair view of the state of affairs of the Group and Company and 
of the profit or loss of the Group for that period. In preparing 
the financial statements, the Directors are required to: 
	•
Select suitable accounting policies and then apply them 
consistently
	•
State whether applicable UK-adopted international 
accounting standards have been followed for the Group 
financial statements and United Kingdom Accounting 
Standards, comprising FRS 101, have been followed 
for the Company financial statements, subject to any 
material departures disclosed and explained in the 
financial statements
	•
Make judgements and accounting estimates that are 
reasonable and prudent
	•
Prepare the financial statements on the going concern 
basis, unless it is inappropriate to presume that the 
Group and Company will continue in business
The Directors are responsible for safeguarding the assets of the 
Group and Company and, hence, for taking reasonable steps for 
the prevention and detection of fraud and other irregularities. 
The Directors are also responsible for keeping adequate 
accounting records that are sufficient to show and explain 
the Group’s and Company’s transactions and disclose with 
reasonable accuracy, at any time, the financial position of 
the Group and Company and enable them to ensure that the 
financial statements comply with the Companies Act 2006. The 
Directors are responsible for the maintenance and integrity 
of the Company’s website. Legislation in the United Kingdom, 
governing the preparation and dissemination of financial 
statements, may differ from legislation in other jurisdictions. 
Each of the Directors confirms that, to the best of their 
knowledge:
	•
The Group financial statements, prepared in accordance 
with United Kingdom Generally Accepted Accounting 
Practice, give a true and fair view of the assets, liabilities, 
financial position and profit or loss of the Company and 
the undertakings included in the consolidation taken as 
a whole
	•
The Strategic Report and Directors’ Report include a 
fair review of the development and performance of 
the business and the position of the Company and the 
undertakings included in the consolidation taken as a 
whole, together with a description of the principal risks 
and uncertainties that they face
CHRIS BREWSTER
Chief Financial Officer and Company Secretary 
13 May 2026
ANIMALCARE GROUP PLC Annual Report 2025
94
Statement of Directors’ Responsibilities 
in Respect of the Financial Statements

95
GOVERNANCE
Annual Report 2025 ANIMALCARE GROUP PLC
FINANCIALS
STRATEGIC REPORT

Financial 
Statements
96
ANIMALCARE GROUP PLC Annual Report 2025

FINANCIAL STATEMENTS
Independent Auditor’s Report
98
Consolidated Income 
Statement
110
Consolidated Statement of 
Comprehensive Income
111
Consolidated Statement of 
Financial Position
112
Consolidated Statement of 
Changes in Equity
113
Consolidated Cash Flow 
Statement
114
Notes to the Consolidated 
Financial Statements
116
Company Statement of 
Financial Position
166
Company Statement of 
Changes in Equity
167
Notes to the Company 
Financial Statements
168
Directors and Advisers
176
FINANCIALS
97
STRATEGIC REPORT
GOVERNANCE
Annual Report 2025 ANIMALCARE GROUP PLC

Opinion
OUR OPINION ON THE FINANCIAL STATEMENTS 
IS UNMODIFIED
We have audited the financial statements of Animalcare 
Group plc (the ‘parent company’) and its subsidiaries 
(the ‘Group’) for the year-ended 31 December 2025, 
which comprise the Consolidated Income Statement, 
the Consolidated Statement of Comprehensive Income, 
the Consolidated Statement of Financial Position, 
the Consolidated Statement of Changes in Equity, 
the Consolidated Cash Flow Statement, Notes to the 
Consolidated Financial Statements including material 
accounting policy information, the Company Statement of 
Financial Position, the Company Statement of Changes in 
Equity and Notes to the Company Financial Statements, 
including material accounting policy information. The 
financial reporting framework that has been applied in the 
preparation of the Group financial statements is applicable 
law and UK-adopted international accounting standards. The 
financial reporting framework that has been applied in the 
preparation of the parent company financial statements is 
applicable law and United Kingdom Accounting Standards, 
including Financial Reporting Standard 101 ‘Reduced 
Disclosure Framework’ (United Kingdom Generally Accepted 
Accounting Practice). 
In our opinion:
	•
the financial statements give a true and fair view of the 
state of the Group’s and of the parent company’s affairs 
as at 31 December 2025 and of the Group’s profit for the 
year then ended;
	•
the Group financial statements have been properly 
prepared in accordance with UK-adopted international 
accounting standards;
	•
the parent company financial statements have been 
properly prepared in accordance with United Kingdom 
Generally Accepted Accounting Practice; and
	•
the financial statements have been prepared in 
accordance with the requirements of the Companies 
Act 2006.
Basis for opinion
We conducted our audit in accordance with International 
Standards on Auditing (UK) (ISAs (UK)) and applicable law. 
Our responsibilities under those standards are further 
described in the ‘Auditor’s responsibilities for the audit 
of the financial statements’ section of our report. We are 
independent of the Group and the parent company in 
accordance with the ethical requirements that are relevant to 
our audit of the financial statements in the UK, including the 
FRC’s Ethical Standard as applied to listed entities, and we 
have fulfilled our other ethical responsibilities in accordance 
with these requirements. We believe that the audit evidence 
we have obtained is sufficient and appropriate to provide a 
basis for our opinion.
Material uncertainty related to  
going concern
We draw attention to Note 2 (Basis of preparation – Going 
concern) of the financial statements, which indicates that 
on 16 April 2026, the Group announced a recommended 
acquisition of the Group by CCP Paw 2 Limited, a wholly-
owned indirect subsidiary of funds managed by Charterhouse 
Capital Partners LLP. Completion of the transaction remains 
subject to customary conditions, including shareholder 
approval and court sanction, and therefore there is 
uncertainty at the date of approval of these financial 
statements as to whether and when, the transaction will be 
completed. The Directors have considered Charterhouse’s 
stated intentions for the Group but acknowledge that 
decisions as to the future of the Group will be outside of 
their control. As stated in Note 2, these events or conditions, 
along with the other matters as set forth in the said note, 
indicate that a material uncertainty exists that may cast 
significant doubt on the group’s and the parent company’s 
ability to continue as a going concern. Our opinion is not 
modified in respect of this matter.
In auditing the financial statements, we have concluded that 
the directors’ use of the going concern basis of accounting in 
the preparation of the financial statements is appropriate.
Our evaluation of management’s assessment 
of the entity’s ability to continue as a going 
concern
Our evaluation of the directors’ assessment of the Group’s 
and the parent company’s ability to continue to adopt the 
going concern basis of accounting included:
	•
Evaluating the relevant processes and controls in place 
around the going concern assessment and confirming 
they are implemented as designed by performing a 
walkthrough;
	•
Obtaining and assessing management’s going concern 
assessment and supporting information, including 
management’s base case and reverse stress test, covering 
the assessment period;
	•
Evaluating and challenging the key assumptions within 
the cash flow forecasts, including the quantum and 
timing of cash outflows and inflows, and determining 
whether these have been applied appropriately. In 
addition, considering whether the key assumptions 
are consistent with our understanding of the 
business, including relevant uncertainties such as high 
interest rates;
	•
Validating the mathematical accuracy of management’s 
forecasts, in addition to assessing whether the forecasts 
used for going concern are consistent with those used in 
other areas of the audit;
ANIMALCARE GROUP PLC Annual Report 2025
98
Independent Auditor’s Report  
to the members of Animalcare Group plc

	•
Assessing the accuracy of management’s past forecasting 
by comparing management’s forecasts for the last two 
financial periods to the actual results for those periods, 
and considering the impact on the cash flow forecast;
	•
Corroborating the existence of the Group’s facilities and 
related covenant requirements for the period covered by 
management’s forecasts and assessing management’s 
consideration of covenant compliance in the going 
concern period;
	•
Assessing the appropriateness of the assumptions, 
relevance and reliability of data underpinning 
management’s base case, reverse stress testing, and 
sensitivity analysis;
	•
Assessing the adequacy of going concern disclosures;
	•
Comparing actual post year-end results achieved to those 
forecast to determine if the business is trading in line 
with its forecast;
	•
Requesting written representations regarding plans for 
future actions and the feasibility of those plans; and
	•
Evaluating and challenging management’s assessment of 
the impact of the proposed acquisition of the Group by 
CCP Paw 2 Limited, a wholly-owned indirect subsidiary of 
funds managed by Charterhouse Capital Partners LLP, on 
their conclusions.
In our evaluation of the directors’ conclusions, we considered 
the inherent risks associated with the  Group’s and the 
parent company’s business model, including effects arising 
from macro-economic uncertainties such as high inflation 
and interest rates, and we assessed and challenged the 
reasonableness of estimates made by the directors and the 
related disclosures and analysed how those risks might affect 
the Group’s and the parent company’s financial resources or 
ability to continue operations over the going concern period.  
Our responsibilities
We are responsible for concluding on the appropriateness of 
the directors’ use of the going concern basis of accounting 
and, based on the audit evidence obtained, whether a material 
uncertainty exists related to events or conditions that may cast 
significant doubt on the Group’s and the parent company’s 
ability to continue as a going concern. If we conclude that a 
material uncertainty exists, we are required to draw attention 
in our report to the related disclosures in the financial 
statements or, if such disclosures are inadequate, to modify 
the auditor’s opinion. Our conclusions are based on the audit 
evidence obtained up to the date of our report. However, 
future events or conditions may cause the Group or the parent 
company to cease to continue as a going concern.
Our responsibilities and the responsibilities of the directors 
with respect to going concern are described in the relevant 
sections of this report.
Our approach to the audit
OVERVIEW OF OUR AUDIT APPROACH
Overall materiality: 
Group audit: £800,000, which represents 0.9% of the Group’s revenue.
Parent company statutory audit: £2,000,000, which represents 1% of the parent company’s 
total assets.
In addition to the matter described in the Material uncertainty related to going concern 
section, we have determined the matters described below to be the key audit matters to be 
communicated in our report: 
	•
Revenue recognition includes fraudulent transactions (same as previous year)
	•
Completeness and accuracy of customer rebate related liabilities (same as previous year) 
	•
Completeness and accuracy of acquired intangibles in relation to the acquisition of Randlab Australia Pty Ltd and its wholly 
owned subsidiaries (“Randlab”)
Scoping has been determined to ensure appropriate coverage of the significant risks as well as coverage of the key results in 
the financial statements, specifically: 
	•
Group revenue 77%
	•
Group absolute profit before tax 83%
We performed an audit of the financial information of four components (full-scope audit) and an audit of one or more account 
balances, classes of transactions or disclosures of the component (specific-scope audit) for four components assessed to be 
financially significant (including the parent company). 
We performed analytical procedures at Group level (analytical procedures) on the financial information of all the remaining 
Group components and supplemented this with additional testing where we considered it to be appropriate.
Scoping
Materiality
Key audit
matters
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
99

KEY AUDIT MATTERS
Key audit matters are those matters that, in our professional judgement, 
were of most significance in our audit of the financial statements of the 
current period and include the most significant assessed risks of material 
misstatement (whether or not due to fraud) that we identified. These matters 
included those that had the greatest effect on: the overall audit strategy; 
the allocation of resources in the audit; and directing the efforts of the 
engagement team. These matters were addressed in the context of our audit 
of the financial statements as a whole, and in forming our opinion thereon, 
and we do not provide a separate opinion on these matters.
In the graph below, we have presented the key audit matters and significant risks relevant to the audit. This is not a complete 
list of all risks identified by our audit.
High
High
Low
Low
Potential
financial
statement
impact
Extent of management judgement
Completeness and accuracy of
acquired intangibles in relations to the
acquisition of Randlab Australia Pty
Ltd and its wholly owned
subsidiaries (”Randlab”)
Completeness and
accuracy of customer
rebate related liabilities
Revenue recognition
includes fraudulent
transactions
Going concern
Management
override of
controls
Description
Disclosures
Our results
Audit
response
KAM
 Key audit matter
 Significant risk
ANIMALCARE GROUP PLC Annual Report 2025
100
Independent Auditor’s Report  
to the members of Animalcare Group plc CONTINUED

Key Audit Matter – Group
How our scope addressed the matter – Group
REVENUE RECOGNITION INCLUDES FRAUDULENT 
TRANSACTIONS
In responding to the key audit matter, we performed the 
following audit procedures:
We identified the possibility that revenue includes 
fraudulent transactions as one of the most significant 
assessed risks of material misstatement due to fraud.
Revenue is the most significant item in the Consolidated 
Income Statement and impacts several of the Group’s key 
performance indicators set out in the Annual Report and 
Financial Statements.
Revenue is recognised in accordance with International 
Financial Reporting Standard (IFRS) 15 ‘Revenue from 
Contracts with Customers’ and requires management 
judgement and estimation where adjustments are made.
The majority of transactions are non-complex. Hence, 
unusual account combinations outside of the normal 
business processes pose a risk of fraud due to their 
abnormality.
As such, we have pinpointed the significant risk to the 
occurrence of revenue impacting entries falling outside of 
the expected transaction flow (“outliers”), where there is 
an increased risk that management may record fraudulent 
revenue transactions. 
We expected these outliers to include rebates which are 
more susceptible to management bias due to the estimation 
involved.
	•
Evaluated the relevant processes and controls in place 
over revenue recognition, including those related 
to the posting and reconciliation of revenue, and 
performed walkthroughs to check that they have been 
implemented as designed;
	•
Assessed the relevant accounting policies for 
consistency and appropriateness with the financial 
reporting framework, including IFRS 15;
	•
Utilised audit data analytic techniques to identify 
unusual postings to revenue, including the year-end 
adjustments and adjustments in respect of customer 
rebates, by interrogating the revenue population and 
analysing revenue postings from inception to cash 
receipt;
	•
Evaluated whether the adjustments in respect of 
customer rebates, identified through our use of audit 
data analytic techniques, are consistent with the 
findings of our rebate related liabilities audit work; and
	•
Agreed those unusual postings identified to supporting 
documentation and explanation, considering whether 
they are consistent with our audit work in other areas, 
including that performed on customer rebate related 
liabilities;
	•
Tested a sample of revenue transactions to supporting 
documentation to evaluate the occurrence and accuracy 
of revenue and the integrity of the data used within the 
audit data analytic; and
	•
Assessed the adequacy of the revenue recognition 
disclosures included within the financial statements.
RELEVANT DISCLOSURES IN THE ANNUAL REPORT
OUR RESULTS
	•
Financial statements: Note 5, Segment information –  
from continuing operations
Based on our audit work, we did not identify any material 
misstatements in the revenue recognised during the year to 
31 December 2025.
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
101

Key Audit Matter – Group
How our scope addressed the matter – Group
COMPLETENESS AND ACCURACY OF CUSTOMER 
REBATE RELATED LIABILITIES
In responding to the key audit matter, we performed the 
following audit procedures:
We identified the possibility that customer rebate related 
liabilities were misstated as one of the most significant 
assessed risks of material misstatement due to fraud and/or 
error given there is a high degree of estimation uncertainty 
within the rebate agreements. 
Rebates appear in the consolidated income statement as a 
deduction to the revenue transaction price and there is a 
risk of rebate understatement to maximise revenue.
We have pinpointed this significant risk to the UK operation 
given there is a greater level of complexity within these 
calculations as rebates are negotiated with both wholesale 
customers and the wholesaler’s customers.
The total rebate obligation is estimated at the point 
a sale is made to a wholesaler based on an average 
rebate percentage for a product line over the prior 12 
months. Rebates are payable at the point a sale is made 
to the wholesaler and at the point of onward sale by the 
wholesaler to their customer. The timing difference and 
arising estimation uncertainty means that rebates are 
susceptible to misstatement due to fraud and/or error.
	•
Evaluated the relevant processes and controls in place 
over the rebate accrual and performed walkthroughs to 
check that they have been implemented as designed;
	•
Assessed the relevant accounting policies for 
consistency and appropriateness with the financial 
reporting framework, including IFRS 15;
	•
Obtained the year-end rebate accrual listing and tested 
a sample of the data to underlying rebate agreements to 
ensure it is consistent with the contractual arrangement;
	•
Selected a sample of year-end rebate accrual balances 
and recalculated the rebate liability based on the sales 
during the year and agreed back to post year-end 
settlement where applicable;
	•
Recalculated the accuracy of the rebate accrual by 
assessing the mathematical accuracy of management’s 
year-end calculation;
	•
Assessed the stock held with the wholesalers at the 
year-end to ensure this balance (which is subject to 
future rebate payment) is complete, by confirming the 
balance directly with the wholesaler;
	•
Agreed a sample of items from management’s 
calculation of the 12-month weighted average rebate to 
third-party service provider reports, payments made to 
customers in the year, and approved price listings; 
	•
Ensured that the calculations are consistent with the 
findings of our revenue audit data analytics work; and
	•
Assessed the adequacy of the revenue recognition and 
customer rebate liabilities disclosures included within 
the financial statements.
RELEVANT DISCLOSURES IN THE ANNUAL REPORT
OUR RESULTS
Financial statements: Note 3, Summary of material 
accounting policies.
Based on our audit work, we did not identify any material 
misstatements in the completeness and accuracy 
of customer rebate related liabilities in the year to 
31 December 2025.
ANIMALCARE GROUP PLC Annual Report 2025
102
Independent Auditor’s Report  
to the members of Animalcare Group plc CONTINUED

Key Audit Matter – Group
How our scope addressed the matter – Group
COMPLETENESS AND ACCURACY OF ACQUIRED 
INTANGIBLES (RANDLAB)
In responding to the key audit matter, we performed the 
following audit procedures:
We identified the completeness and accuracy of acquired 
intangibles as one of the most significant assessed risks of 
material misstatement due to error. There is a risk that the 
recognition and measurement of goodwill and the other 
intangible assets acquired is not accurate or complete.
The Group acquired Randlab on 3 January 2025. The 
acquisition resulted in the recognition of £34.3m of goodwill 
and £29.3m of other intangible assets including customer 
relationship, brand and registration.
IFRS 3 ‘Business Combinations’ requires acquired assets 
and liabilities in the consolidated financial statements to 
be recorded at fair value. There is significant management 
judgement involved in determining the fair value of the 
assets and liabilities acquired.
	•
Evaluated the relevant processes and controls in place 
over management’s recording of the acquisition, and 
performed walkthroughs to check that they have been 
implemented as designed;
	•
Inspected the share purchase agreement to identify 
any references to intellectual property, trademarks, 
customer contracts, software, brands, licences, or other 
identifiable intangible assets and reconciled these 
items to the intangibles recorded by management to 
ensure all assets described in the agreements have been 
considered;
	•
Cross-referenced the intangible assets identified by 
management to those outlined in IFRS guidance. We 
formed an expectation of the intangible assets expected 
to be recognised in the business combination, including 
comparison to other comparable acquisitions, and 
assessed whether there are any material unrecognised 
assets;
	•
Engaged our internal valuation experts to assist in the 
assessment of the work performed by management’s 
valuation expert in relation to the valuation of acquired 
intangible assets. This included challenge on whether 
the methodology used in the valuation is in line with 
accepted valuation methods, and whether inputs such 
as future profits, attrition rates and discount rates used 
are appropriate and accurate;
	•
Assessed the competence, capabilities and objectivity 
of management’s expert through reference to their 
qualifications and experience;
	•
Obtained the share purchase agreements and 
considered whether terms are consistent with the 
accounting adopted;
	•
Obtained support for the fair value of net assets 
acquired and agreed material balances to supporting 
documentation, including the agreement of cash 
balances to bank statements and property valuations to 
a valuation report;
	•
Challenged whether fair value adjustments to the 
acquired net assets are complete and accurate; and
	•
Assessed the adequacy of disclosures included within 
the financial statements.
RELEVANT DISCLOSURES IN THE ANNUAL REPORT
OUR RESULTS
	•
Financial statements: Note 6, Business Combination
Based on our audit work, we did not identify any material 
misstatements in the completeness and accuracy of 
acquired intangibles in the year to 31 December 2025.
We did not identify any key audit matters relating to the audit of the financial statements of the parent company only.
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
103

Our application of materiality
We apply the concept of materiality both in planning and performing the audit, and in evaluating the effect of identified 
misstatements on the audit and of uncorrected misstatements, if any, on the financial statements and in forming the opinion 
in the auditor’s report.
Materiality was determined as follows:
Materiality measure
Group
Parent company
MATERIALITY 
FOR FINANCIAL 
STATEMENTS AS A 
WHOLE
We define materiality as the magnitude of misstatement in the financial statements that, individually 
or in the aggregate, could reasonably be expected to influence the economic decisions of the users 
of these financial statements. We use materiality in determining the nature, timing and extent of our 
audit work.
Materiality threshold
£800,000 (2024: £466,000), which represents 0.9% (2024: 
0.6%) of the Group’s revenue.
£2,000,000 (2024: £1,500,000) which 
represents 1% (2024: 1%) of the parent 
company’s total assets.
Significant judgements 
made by auditor in 
determining materiality
In determining materiality, we made the following 
significant judgements
	•
The Group’s revenue is considered the most 
appropriate benchmark because it is the most 
relevant stable performance measure to the 
stakeholders of the Group and is presented as the 
first financial highlight on page 1 of the Annual 
Report and Accounts.
Materiality for the current year is higher than the level that 
was determined for the year-ended 31 December 2024 to 
reflect changes in the benchmark percentage used and the 
improved performance of the Group.
In determining materiality, we made the 
following significant judgements 
	•
The total assets of the parent 
company is considered the most 
appropriate benchmark because 
it is the most relevant measure 
of financial position for the 
stakeholders of the parent company, 
which is a holding company. 
Materiality for the current year is higher 
than the level that was determined for the 
year-ended 31 December 2024 due to an 
increase in intra Group receivables.
PERFORMANCE 
MATERIALITY USED 
TO DRIVE THE EXTENT 
OF OUR TESTING
We set performance materiality at an amount less than materiality for the financial statements as a 
whole to reduce to an appropriately low level the probability that the aggregate of uncorrected and 
undetected misstatements exceeds materiality for the financial statements as a whole.
Performance materiality 
threshold
£600,000 (2024: £326,200), which is 75% (2024: 70%) of 
financial statement materiality.
£1,500,000 (2024: £1,050,000) which is 
75% (2024: 70%) of financial statement 
materiality.
Significant judgements 
made by auditor in 
determining materiality
In determining performance materiality, we made significant 
judgements in the following areas: 
	•
The strength of the control environment based on 
our assessment of the design and implementation 
of controls; 
	•
The nature, size and volume of misstatements 
identified in the previous audit; and
	•
Our knowledge of the Group.
In determining performance materiality, 
we made significant judgements in the 
following areas:
	•
The strength of the control 
environment based on our 
assessment of the design and 
implementation of controls; 
	•
The nature, size and volume of 
misstatements identified in the 
previous audit; and
	•
Our knowledge of the company.
ANIMALCARE GROUP PLC Annual Report 2025
104
Independent Auditor’s Report  
to the members of Animalcare Group plc CONTINUED

Materiality measure
Group
Parent company
SPECIFIC 
MATERIALITY
We determine specific materiality for one or more particular classes of transactions, account balances 
or disclosures for which misstatements of lesser amounts than materiality for the financial statements 
as a whole could reasonably be expected to influence the economic decisions of users taken on the 
basis of the financial statements.
Specific materiality
We determined a lower level of specific materiality for 
the following areas:
	•
Directors’ remuneration; and
	•
Identified related party transactions outside of the 
normal course of business
We determined a lower level of specific 
materiality for the following areas:
	•
Directors’ remuneration; and
	•
Identified related party transactions 
outside of the normal course of 
business
COMMUNICATION 
OF MISSTATEMENTS 
TO THE AUDIT 
COMMITTEE
We determine a threshold for reporting unadjusted differences to the audit and risk committee.
Threshold for 
communication
£40,000 (2024: £23,300) which represents 5% of financial 
statement materiality, and misstatements below that 
threshold that, in our view, warrant reporting on qualitative 
grounds.
£100,000 (2024: £75,000) which 
represents 5% of financial statement 
materiality, and misstatements below 
that threshold that, in our view, warrant 
reporting on qualitative grounds.
The graph below illustrates how performance materiality interacts with our overall materiality and the threshold for 
communication to the audit and risk committee.
Overall materiality – Group
Overall materiality – Parent
Group revenue (£89.1m)
FSM £0.8m, 0.9%
Parent total assets (£200m)
FSM £2m, 1%
FSM £800,000
PM £600,000
TfC £40,000
FSM £2,000,000
PM £1,500,000
TfC £100,000
FSM: Financial statement materiality, PM: Performance materiality, TfC: Threshold 
for communication to the audit and risk committee
An overview of the scope of our audit
We performed a risk-based audit that requires an 
understanding of the Group’s and the parent company’s 
business and in particular matters related to:
UNDERSTANDING THE GROUP, ITS COMPONENTS, 
THEIR ENVIRONMENTS, AND ITS SYSTEM OF 
INTERNAL CONTROL INCLUDING COMMON 
CONTROLS
	•
The Group auditor obtained an understanding of the 
Group and its environment, including the Group’s 
common controls, and assessed the risks of material 
misstatement at the Group level;
	•
The Group auditor obtained an understanding of the 
individual components, including component specific 
controls, through planning discussions held between 
the engagement team and the Group’s management 
team; and
	•
The Group auditor performed walkthroughs on key areas 
of focus to identify the key controls and assess their 
design and implementation.
IDENTIFYING COMPONENTS AT WHICH TO 
PERFORM AUDIT PROCEDURES
	•
We have determined the components at which to 
perform further audit procedures, by considering the 
following:
	•
components in scope for further audit procedures due to 
individually including a risk of material misstatement to 
the Group financial statements due to the component’s 
nature or circumstances;
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
105

	•
components in scope for further audit procedures due to 
the nature and size of assets, liabilities and transactions 
at the component (being of financial significance to 
one or more scoped items that it is required to be in 
scope); and
	•
components in scope for further audit procedures 
to obtain sufficient appropriate audit evidence for 
significant classes of transactions, account balances and 
disclosures, or for unpredictability.
TYPE OF WORK TO BE PERFORMED ON 
FINANCIAL INFORMATION OF PARENT AND 
OTHER COMPONENTS (INCLUDING HOW IT 
ADDRESSED THE KEY AUDIT MATTERS)
	•
The Group auditor identified four components which 
were subject to audit of the entire financial information 
of the component which were: 
	•
Animalcare Ltd (UK)
	•
Ecuphar NV BE (Belgium)
	•
Ecuphar Veterinaria SA (Spain)
	•
Randlab Australia Pty Ltd (Australia)
All specified components above included work on a key audit 
matter which was Revenue recognition includes fraudulent 
transactions. Only Animalcare Ltd (UK) included work on 
Completeness and accuracy of customer rebate related 
liabilities.
	•
There were four components which were subject to 
specific audit procedures designed by the Group auditor 
which were: 
	•
Animalcare Group plc (UK)
	•
Ecuphar Italia srl (Italy)
	•
Randlab NZ (New Zealand)
	•
Animalcare Australia Pty (Australia)
Of the specified components above, only Ecuphar Italia srl 
included work on a key audit matter which was Revenue 
recognition includes fraudulent transactions.
	•
The remaining 8 components were subject to analytical 
procedures performed at a Group level.
PERFORMANCE OF OUR AUDIT
The Group auditor visited the Group’s primary location in 
York to perform audit procedures and visited the third-
party stock logistics provider to perform the year-end 
inventory count.
	•
The Group auditor visited the Belgium location to hold 
discussions with the corporate finance team and to meet 
key management specialists. 
	•
The Group auditor held communications with all 
component auditors throughout the audit, each of whom 
visited the client locations for all in-scope components.
	•
The Group auditor, with the support of our specialist, 
obtained an understanding of the IT systems and controls 
across all components within the Group given the 
common controls in place for these systems.
	•
Advanced audit procedures were performed on key 
transactions which were included within the interim 
results including the acquisition of Randlab.
Further audit procedures performed on components subject 
to specific scope and specified procedures may not have 
included testing of all significant account balances of such 
components, but further audit procedures were performed 
on specific accounts within that component that we, the 
Group auditor, considered had the potential for the greatest 
impact on the Group financial statements either due to risk, 
size or coverage. 
The components within the scope of further audit procedures accounted for the following percentages of the Group’s results, 
including the key audit matters identified:
Audit approach
No. of 
components
% coverage 
Revenue
% coverage 
Absolut PBT
Full-scope audit
4 (2024: 3)
65% (2024: 63%)
66% (2024: 54%)
Specific scope procedures 
4 (2024: 3)
12% (2024: 15%)
17% (2024: 28%)
Analytic procedures
8 (2024: 8)
23% (2024: 22%)
17% (2024: 18%)
Total
16 (2024:14)
100% (2024: 100%)
100% (2024: 100%)
ANIMALCARE GROUP PLC Annual Report 2025
106
Independent Auditor’s Report  
to the members of Animalcare Group plc CONTINUED

COMMUNICATIONS WITH COMPONENT 
AUDITORS
	•
We engaged with component auditors for the audit of 
Ecuphar NV, Ecuphar Veterinaria SL, Ecuphar Italia srl, 
and Randlab Australia Pty Ltd. These component auditors 
were all part of the Grant Thornton network. 
	•
Component auditors assisted us in gaining an initial 
understanding of components at the planning 
stage. Subsequently, we held a meeting with the 
component auditor to discuss identified and assessed 
risks, communicated Group instructions, maintained 
communications throughout the audit, reviewed 
component auditors’ audit documentation, attended site 
visits in Belgium, and held key meetings at the planning, 
fieldwork and completion stages of the audit.
CHANGES IN APPROACH FROM PREVIOUS 
PERIOD
	•
Randlab Australia has been added to the full-scope audit 
owing to its financial significance to the Group following 
its acquisition in the year.
	•
Ecuphar Italia srl IT has been selected for specified 
audit procedures in place of Ecuphar GmbH DE for 
unpredictability purposes.
Other information
The other information comprises the information included in 
the annual report, other than the financial statements and 
our auditor’s report thereon. The directors are responsible 
for the other information contained within the annual report. 
Our opinion on the financial statements does not cover 
the other information and, except to the extent otherwise 
explicitly stated in our report, we do not express any form of 
assurance conclusion thereon. 
Our responsibility is to read the other information and, 
in doing so, consider whether the other information is 
materially inconsistent with the financial statements or 
our knowledge obtained in the audit or otherwise appears 
to be materially misstated. If we identify such material 
inconsistencies or apparent material misstatements, we 
are required to determine whether there is a material 
misstatement in the financial statements themselves. If, 
based on the work we have performed, we conclude that 
there is a material misstatement of this other information, 
we are required to report that fact. 
We have nothing to report in this regard.
Our opinion on other matters prescribed by 
the Companies Act 2006 is unmodified
In our opinion, based on the work undertaken in the course 
of the audit:
	•
the information given in the strategic report and the 
directors’ report for the financial year for which the 
financial statements are prepared is consistent with the 
financial statements; and
	•
the strategic report and the directors’ report have 
been prepared in accordance with applicable legal 
requirements.
Matter on which we are required to report 
under the Companies Act 2006
In the light of the knowledge and understanding of the Group 
and the parent company and their environment obtained 
in the course of the audit, we have not identified material 
misstatements in the strategic report or the directors’ report. 
MATTERS ON WHICH WE ARE REQUIRED TO 
REPORT BY EXCEPTION
We have nothing to report in respect of the following matters 
in relation to which the Companies Act 2006 requires us to 
report to you if, in our opinion:
	•
adequate accounting records have not been kept by the 
parent company, or returns adequate for our audit have 
not been received from branches not visited by us; or
	•
the parent company financial statements are not in 
agreement with the accounting records and returns; or
	•
certain disclosures of directors’ remuneration specified 
by law are not made; or
	•
we have not received all the information and 
explanations we require for our audit. 
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
107

Responsibilities of directors
As explained more fully in the Statement of Directors’ 
Responsibilities set out on page 95, the directors are 
responsible for the preparation of the financial statements 
and for being satisfied that they give a true and fair view, 
and for such internal control as the directors determine is 
necessary to enable the preparation of financial statements 
that are free from material misstatement, whether due to 
fraud or error.
In preparing the financial statements, the directors are 
responsible for assessing the Group’s and the parent 
company’s ability to continue as a going concern, disclosing, 
as applicable, matters related to going concern and using 
the going concern basis of accounting unless the directors 
either intend to liquidate the Group or the parent company 
or to cease operations, or have no realistic alternative but 
to do so.
Auditor’s responsibilities for the audit of the 
financial statements
Our objectives are to obtain reasonable assurance about 
whether the financial statements as a whole are free from 
material misstatement, whether due to fraud or error, and to 
issue an auditor’s report that includes our opinion. Reasonable 
assurance is a high level of assurance, but is not a guarantee 
that an audit conducted in accordance with ISAs (UK) will 
always detect a material misstatement when it exists. 
Misstatements can arise from fraud or error and are 
considered material if, individually or in the aggregate, they 
could reasonably be expected to influence the economic 
decisions of users taken on the basis of these financial 
statements.
Irregularities, including fraud, are instances of non-
compliance with laws and regulations. The extent to which 
our procedures are capable of detecting irregularities, 
including fraud, is detailed below: 
	•
We obtained an understanding of the legal and 
regulatory frameworks applicable to the Group and the 
parent company and the industry in which they operate. 
We identified areas of laws and regulations that could 
reasonably be expected to have a material effect on the 
financial statements from our sector experience and 
through discussion with management, the Directors, 
Audit and Risk Committee members. We determined that 
the most significant are applicable law and UK-adopted 
international accounting standards (for the Group), 
United Kingdom Generally Accepted Accounting Practice 
(for the parent company) and relevant tax legislation.
	•
We enquired of the Directors, Audit and Risk Committee 
members and management to obtain an understanding 
of how the Group and the parent company are complying 
with those legal and regulatory frameworks, whether 
there were any instances of non-compliance with laws 
and regulations, and whether they had any knowledge of 
actual or suspected fraud. We corroborated the results 
of our enquiries through our review of Board minutes 
and of the minutes of the Audit and Risk Committee and 
compliance meetings. 
	•
We assessed the susceptibility of the Group’s and the 
parent company’s financial statements to material 
misstatement, including how fraud might occur, by 
evaluating management’s incentives and opportunities 
for manipulation of the financial statements. This 
included an evaluation of the risk of management 
override of controls. Audit procedures performed by the 
engagement team in connection with the risks identified 
included:
	•
­assessing the design and implementation of controls 
that management has put in place to prevent and 
detect fraud;­
	•
checking the completeness of journal entries and 
identifying and testing journal entries, in particular 
those journals determined to be in respect of our 
principal risk documented above;
	•
challenging the assumptions and judgements 
made by management in its significant accounting 
estimates; and
	•
identifying and testing related party transactions 
by agreeing to underlying records and obtaining 
confirmation for directors’ emoluments
	•
These audit procedures were designed to provide 
reasonable assurance that the financial statements 
were free from fraud or error. The risk of not detecting 
a material misstatement due to fraud is higher than 
the risk of not detecting one resulting from error 
and detecting irregularities that result from fraud is 
inherently more difficult than detecting those that result 
from error, as fraud may involve collusion, deliberate 
concealment, forgery or intentional misrepresentations. 
Also, the further removed non-compliance with laws and 
regulations is from events and transactions reflected in 
the financial statements, the less likely we would become 
aware of it; 
ANIMALCARE GROUP PLC Annual Report 2025
108
Independent Auditor’s Report  
to the members of Animalcare Group plc CONTINUED

	•
The engagement partner’s assessment of the 
appropriateness of the collective competence 
and capabilities of the engagement team included 
consideration of the engagement team’s: 
	•
understanding of, and practical experience with, audit 
engagements of a similar nature and complexity, 
through appropriate training and participation;
	•
knowledge of the industry in which the Group and 
parent company operate; and
	•
understanding of the legal and regulatory frameworks 
applicable to the Group and the parent company.
	•
We communicated relevant laws and regulations and 
potential fraud risks to all engagement team members, 
including internal specialists, and remained alert to any 
indications of fraud or non-compliance with laws and 
regulations throughout the audit;
	•
In assessing the potential risks of material misstatement, 
we obtained an understanding of: 
	•
the Group’s and the parent company’s operations, 
including the nature of their revenue sources, and of 
their principal activities, to understand the classes 
of transactions, account balances, expected financial 
statement disclosures and business risks that may 
result in risks of material misstatement; and
	•
the Group’s and the parent company’s control 
environment, including the policies and procedures 
implemented to mitigate risks of fraud or non-
compliance with the relevant laws and regulations; 
the significant judgements and assumptions made by 
management in its significant accounting estimates or 
in applying its accounting policies.
	•
Communication with component auditors to request 
identification of any instances of non-compliance with 
laws and regulations that could give risk to a material 
misstatement of the Group financial statements.
A further description of our responsibilities for the audit of 
the financial statements is located on the Financial Reporting 
Council’s website at: www.frc.org.uk/auditorsresponsibilities. 
This description forms part of our auditor’s report.
Use of our report
This report is made solely to the company’s members, 
as a body, in accordance with Chapter 3 of Part 16 of the 
Companies Act 2006. Our audit work has been undertaken 
so that we might state to the company’s members those 
matters we are required to state to them in an auditor’s 
report and for no other purpose. To the fullest extent 
permitted by law, we do not accept or assume responsibility 
to anyone other than the company and the company’s 
members as a body, for our audit work, for this report, or for 
the opinions we have formed.
MARK OVERFIELD BSC FCA
Senior Statutory Auditor 
for and on behalf of Grant Thornton UK LLP 
Statutory Auditor, Chartered Accountants 
Leeds
13 May 2026
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
109

Notes
For the year ended 31 December
Underlying 
2025 
£’000
Non-
Underlying 
(note 4) 
2025 
£’000
Total 
2025 
£’000
Underlying 
2024 
£’000
Non-
Underlying 
(note 4) 
2024 
£’000
Total 
2024 
£’000
Revenue
5
89,107
−
89,107
74,228
−
74,228
Cost of sales
8.1
(36,680)
(1,051)
(37,731)
(32,984)
−
(32,984)
Gross profit
52,427
(1,051)
51,376
41,244
−
41,244
Research and development expenses
8.2
(651)
–
(651)
–
–
–
Selling and marketing expenses
8.3
(14,510)
(2,141)
(16,651)
(12,458)
−
(12,458)
General and administrative expenses
8.4
(23,252)
(3,383)
(26,635)
(20,319)
(3,965)
(24,284)
Net other operating (expenses) / 
income 
8.5
4
(1,253)
(1,249)
30
2,546
2,576
Impairment losses
−
(116)
(116)
−
(23)
(23)
Operating profit / (loss)
14,018
(7,944)
6,074
8,497
(1,442)
7,055
Finance expenses
8.8
(2,421)
−
(2,421)
(1,520)
(988)
(2,508)
Finance income
8.9
2,686
−
2,686
1,205
−
1,205
Finance income / (cost) net
265
−
265
(315)
(988)
(1,303)
Share of net gain from associate / 
joint venture accounted for using the 
equity method
13
4
−
4
31
−
31
Profit/(loss) before tax
14,287
(7,944)
6,343
8,213
(2,430)
5,783
Income tax (expense)/income
8.10
(3,421)
2,156
(1,265)
(1,554)
588
(966)
Net profit/(loss) for the period from 
continuing operations
10,866
(5,788)
5,078
6,659
(1,842)
4,817
Profit for the period from 
discontinued operations
7
−
−
−
48
13,629
13,677
Profit/(loss) for the period
10,866
(5,788)
5,078
6,707
11,787
18,494
Earnings per share for profit 
attributable to the ordinary equity 
holders of the Company:
Total profit for the period
Basic earnings per share
9
15.7p
7.3p
11.0p
30.3p
Diluted earnings per share
9
15.6p
7.3p
10.9p
29.9p
Continuing underlying profit for 
the period
Basic earnings per share
9
15.7p
7.3p
10.9p
7.9p
Diluted earnings per share
9
15.6p
7.3p
10.8p
7.8p
In order to aid understanding of underlying business performance, the Directors have presented underlying results before the 
effect of exceptional and other items. These exceptional and other items are categorised as “non-underlying” and are analysed 
in detail in note 4 to these financial statements. The accompanying notes form an integral part of these consolidated financial 
statements.
ANIMALCARE GROUP PLC Annual Report 2025
110
Consolidated Income Statement
YEAR ENDED 31 DECEMBER 2025

For the year ended 
31 December
2025 
£’000
2024 
£’000
Profit for the period
5,078
18,494
Other comprehensive expense
Exchange differences on monetary items, net investment in foreign operations1
(1,751)
−
Exchange differences on translation of foreign operations1
1,576
(528)
Other comprehensive expense, net of tax
(175)
(528)
Total comprehensive income for the year, net of tax
4,903
17,966
Total comprehensive income attributable to:
The owners of the parent
4,903
17,966
Total continuing other comprehensive income for the period, net of tax
4,903
4,289
Total discontinued other comprehensive income for the period, net of tax
−
13,677
4,903
17,966
1	 May be reclassified subsequently to profit and loss
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
111
Consolidated Statement of Comprehensive Income
YEAR ENDED 31 DECEMBER 2025

As at 31 December
Notes
2025 
£’000
2024 
£’000
Assets
Non-current assets
Goodwill
10
74,161
39,360
Intangible assets
11
42,271
16,597
Property, plant and equipment
12
1,168
305
Right-of-use-assets
24
3,053
2,316
Investments in associates
13
1,493
−
Deferred tax assets
8.10
1,648
2,192
Other financial assets
15
82
82
Total non-current assets
123,876
60,852
Current assets
Inventories
14
13,270
11,754
Trade receivables
15
15,974
13,501
Current tax receivables
8.10
1,043
694
Other current assets
15
1,028
60,297
Cash and cash equivalents
16
2,913
11,715
Total current assets
34,228
97,961
Total assets
158,104
158,813
Liabilities
Current liabilities
Borrowings
18
(2,117)
(976)
Lease liabilities
18, 24
(1,204)
(841)
Trade payables
17
(12,010)
(12,908)
Current tax liabilities
8.10
(896)
(623)
Accrued charges
20
(86)
(47)
Other current liabilities
21
(4,887)
(5,213)
Total current liabilities
(21,200)
(20,608)
Non-current liabilities
Borrowings
18
(9,863)
(19,754)
Lease liabilities
18, 24
(2,024)
(1,594)
Deferred tax liabilities
8.10
(10,303)
(3,395)
Provisions
19
(174)
(150)
Total non-current liabilities
(22,364)
(24,893)
Total liabilities
(43,564)
(45,501)
Net assets
114,540
113,312
Equity
Share capital
23
13,809
13,795
Share premium
149,992
149,992
Reverse acquisition reserve
(56,762)
(56,762)
Accumulated profits
5,586
4,197
Other reserves
1,915
2,090
Equity attributable to the owners of the parent
114,540
113,312
Total equity
114,540
113,312
The accompanying notes on pages 116 to 165 form an integral part of these consolidated financial statements.
The financial statements on pages 110 to 175 were approved by the board of directors and authorised for issue on 
13 May 2026. They were signed on their behalf by:
JENNIFER WINTER	
	
	
CHRIS BREWSTER
Chief Executive Officer	
	
	
Chief Financial Officer
ANIMALCARE GROUP PLC Annual Report 2025
112
Consolidated Statement of Financial Position 
AS AT 31 DECEMBER 2025

Note
Share 
capital 
£’000
Share 
premium 
£’000
Reverse 
acquisition 
reserve 
£’000
Accumulated 
profits 
£’000
Other 
reserve 
£’000
Total 
equity 
£’000
At 1 January 2025
13,795
149,992
(56,762)
4,197
2,090
113,312
Profit for the period
−
−
−
5,078
−
5,078
Other comprehensive expense
−
−
−
−
(175)
(175)
Total comprehensive income
−
−
−
5,078
(175)
4,903
Dividends paid
23
−
−
−
(3,587)
−
(3,587)
Exercise of share options
23
14
–
−
–
−
14
Share-based remuneration
−
–
−
(102)
−
(102)
At 31 December 2025
13,809
149,992
(56,762)
5,586
1,915
114,540
Note
Share 
capital 
£’000
Share 
premium 
£’000
Reverse 
acquisition 
reserve 
£’000
Accumulated 
(losses) / 
profits 
£’000
Other 
reserve 
£’000
Total 
equity 
£’000
At 1 January 2024
12,022
132,798
(56,762)
(12,781)
2,618
77,895
Profit for the period
−
−
−
18,494
−
18,494
Other comprehensive expense
−
−
−
−
(528)
(528)
Total comprehensive income
−
−
−
18,494
(528)
17,966
Dividends paid
23
−
−
−
(3,019)
−
(3,019)
Exercise of share options
23
53
−
−
−
−
53
Capital increase (net of costs)
23
1,720
17,194
−
−
−
18,914
Share-based remuneration
−
−
−
1,503
−
1,503
At 31 December 2024
13,795
149,992
(56,762)
4,197
2,090
113,312
Reverse acquisition reserve
Reverse acquisition reserve represents the reserve that was created upon the reverse acquisition of Animalcare Group plc.
Other reserve
Other reserve relates to currency translation differences. These exchange differences arise on the translation of subsidiaries 
with a functional currency other than sterling. The increase in the charge through other comprehensive income compared to 
the prior period reflects exchange differences arising from monetary items that form part of the Group’s net investment in a 
foreign operation.
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
113
Consolidated Statement of Changes in Equity 
YEAR ENDED 31 DECEMBER 2025

Notes
For the year ended 
31 December
2025 
£’000
2024 
£’000
Operating activities
Profit before tax from continued operations
6,343
5,783
Profit before tax from discontinued operations
−
13,685
Profit before tax
6,343
19,468
Non-cash and operational adjustments
Share in net profit of associate / joint venture
13
(4)
(31)
Depreciation of property, plant and equipment
12, 24
1,500
1,138
Amortisation of intangible assets
11
7,736
6,043
Impairment of intangible assets
11
116
23
Share-based payment expense
27
214
678
Gain on disposal of intangible assets
4
(361)
(430)
Non-cash movement in provisions
446
488
Gain on sale of discontinued operation
7
−
(13,723)
Movement allowance for bad debt and inventories
730
1,193
Finance income
(1,461)
(426)
Finance expense
2,422
230
Impact of foreign currencies
(1,226)
1,552
Gain from sale of joint venture and release of associated liabilities
4
−
(3,375)
Loss / (gain) from IFRS 16 lease modification
10
(1)
Other
7
(3)
Movements in working capital
(Increase) / decrease in trade receivables
(334)
1,008
Decrease / (increase) in inventories
1,029
(3,465)
(Decrease) / increase in payables
(2,164)
1,762
Income tax paid
(3,189)
(777)
Net cash flow from operating activities
11,814
11,352
Investing activities
Purchase of property, plant and equipment
12
(221)
(208)
Purchase of intangible assets
11
(4,031)
(2,802)
Proceeds from the sale of tangible / intangible assets
15
505
Proceeds from the sale of joint venture
−
3,780
Loans repaid / (given)
303
(300)
Proceeds from sale of subsidiary, net of cash disposed
−
24,522
Transaction costs from sale of subsidiary
−
(634)
Advanced payments to acquire subsidiaries
6
−
(59,712)
Purchase of subsidiaries net of cash acquired
6
135
−
Purchase of equity accounted investee
13
(1,440)
−
Interest income
−
989
Net cash flow used in investing activities
(5,239)
(33,860)
Financing activities
(Repayments) / proceeds from loans and borrowings
18
(9,651)
17,812
Repayment of IFRS 16 lease liability
24
(1,325)
(976)
Exercise of share options
23
14
53
Receipts from issue of share capital
−
20,000
Share issue costs
(130)
(956)
Dividends paid
23
(3,587)
(3,019)
Interest paid
(898)
(408)
Other finance expense
(61)
(386)
Net cash flow used in financing activities
(15,638)
32,120
Net (decrease) / increase of cash and cash equivalents
(9,063)
9,612
Cash and cash equivalents at beginning of year
16
11,715
4,642
Exchange rate differences on cash and cash equivalents
18
261
(2,539)
Cash and cash equivalents at end of year
16
2,913
11,715
ANIMALCARE GROUP PLC Annual Report 2025
114
Consolidated Cash Flow Statement 
YEAR ENDED 31 DECEMBER 2025

Note
For the year ended 
31 December
2025 
£’000
2024 
£’000
Reconciliation of net cash flow to movement in net debt
Net (decrease) / increase in cash and cash equivalents in the year
(9,063)
9,612
Cash flow from decrease / (increase) in debt financing
9,651
(17,812)
Foreign exchange differences on cash and borrowings
18
(640)
(2,524)
Movement in net debt during the year
(52)
(10,724)
Net debt at the start of the year
(11,450)
(1,234)
Movement in lease liabilities during the year
24
(793)
508
Net debt at the end of the year
(12,295)
(11,450)
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
115

1. Financial information
Animalcare Group plc (“the Company”) is a public company 
limited by shares incorporated in the United Kingdom under 
the Companies Act 2006 and is domiciled in the United 
Kingdom. The address of its registered office is Moorside, 
Monks Cross, York, YO32 9LB. The Group comprises 
Animalcare Group plc and its subsidiaries. The nature of the 
Group’s operations and its principal activities are set out 
within the Directors’ Report. Details of the subsidiaries can 
be found in note 29.
2. Basis of preparation
The Group financial statements have been prepared and 
approved by the Directors in accordance with UK-adopted 
international accounting standards (IFRS) and the applicable 
legal requirements of the Companies Act 2006 under the 
historical cost convention except for certain financial assets 
and liabilities measured at fair value. They have also been 
prepared in accordance with the requirements of the 
AIM Rules.
The consolidated financial statements are presented in 
thousands of pound sterling (£k or thousands of £) and all 
“currency” values are rounded to the nearest thousand 
(£’000), except when otherwise indicated.
Animalcare Group plc has provided a guarantee under 
section 479a of the Companies Act 2006 to Animalcare 
Limited (Company number: 01500876) for the company to 
take exemption from audit.
The preparation of financial statements in compliance 
with IFRS requires the use of certain critical accounting 
estimates. It also requires Group management to exercise 
judgement in applying the Group’s accounting policies. The 
areas where significant judgements and estimates have been 
made in preparing the financial statements and their effect 
are disclosed in note 3. The accounting policies have been 
applied consistently. 
Changes to significant accounting policies are described in 
note 3, if applicable. 
The consolidated financial statements cover the year ended 
31 December 2025 and comprise the consolidated results of 
the Group. 
In preparing the financial statements of the Group we have 
considered the impact of climate change, with reference to 
our principal risks and the environmental disclosures made in 
the Sustainability Report. There has been no material impact 
on the financial statements for the current year, including 
estimates and judgements made in respect of impairment 
and going concern analyses. The Directors have also assessed 
that climate change is not expected to have a significant 
impact on the Group in the medium term. 
Going concern
​As at 31 December 2025, the Group had total credit facilities 
of €54.0m, provided by a syndicate of four banks, with all 
facilities set to mature on 31 March 2029. These facilities 
include a committed €44.0m revolving credit facility (RCF) and 
a €10.0m acquisition line, which is restricted to acquisition 
purposes and cannot be used for operational funding.
The Group centrally manages its banking arrangements 
through a cross-currency cash pooling system, whereby 
funds are swept daily from various bank accounts into central 
accounts. This approach optimises the Group’s overall net 
finance expenses.
The Group’s credit facilities are subject to the following 
financial covenants, which are monitored and maintained on 
a monthly basis:
	•
Net debt to underlying EBITDA ratio of no more than 3.5x
	•
Underlying EBITDA to interest ratio of at least 4.0x
	•
Solvency ratio (total assets less goodwill/total equity less 
goodwill) of more than 25%
As at 31 December 2025, and throughout the financial 
year, the Group was in full compliance with all covenant 
requirements, maintaining significant headroom across all 
three measures.
The Directors have prepared cash flow forecasts covering 
a period to December 2027, being at least twelve months 
from the date of approval of these financial statements (the 
going concern assessment period). These forecasts indicate 
that the Group will have sufficient funds and liquidity to 
meet its obligations as they fall due, in particular when taking 
into account the potential impact of “severe but plausible” 
downside scenarios to factor in a range of downside revenue 
estimates, higher than expected inflation across our cost 
base and higher level of investment in our R&D portfolio, 
with corresponding mitigating actions. The Group also 
conducted a reverse stress test assessment to evaluate 
the performance decline necessary to breach its banking 
covenants. The required decline was found to be so severe 
that it was considered implausible, as it would necessitate a 
significant reduction in both gross margin and cash conversion 
to breach the Group’s tightest covenant. The output from 
these scenarios shows that the Group expects to comply with 
its banking covenants associated with the current committed 
facilities throughout the going concern assessment period. 
Subsequent to the reporting date, on 16 April 2026, the Group 
announced a recommended acquisition (the “Acquisition”) of 
Animalcare Group plc by CCP Paw 2 Limited, a wholly‑owned 
indirect subsidiary of funds managed by Charterhouse 
Capital Partners LLP (“Charterhouse”). Completion of the 
transaction remains subject to customary conditions, including 
shareholder approval and court sanction, and therefore 
there is uncertainty at the date of approval of these financial 
statements as to whether, and when, the transaction will 
complete.
ANIMALCARE GROUP PLC Annual Report 2025
116
Notes to the Consolidated Financial Statements
YEAR ENDED 31 DECEMBER 2025

The Directors have considered Charterhouse’s stated 
intentions for the Group, but acknowledge that decisions as 
to the future of the Group will be outside of their control.
The Acquisition, therefore, gives rise to a material 
uncertainty related to events or conditions that may cast 
significant doubt on the Group’s ability to continue as 
a going concern. Notwithstanding this, these financial 
statements have been prepared on a going concern basis and 
therefore do not contain the adjustments that would result 
if the Group was unable to continue as a going concern. 
The Directors do not expect this to impact the continued 
operation of the Group in the period to December 2027, 
being a period of at least 12 months from the date of 
approval of these financial statements.
In the event that the acquisition does not complete, the 
Group would continue to operate as normal, relying on its 
existing funding arrangements and the successful execution 
of its business plan. Notwithstanding the uncertainty set out 
above, and for the reasons set out above, the Directors are 
satisfied that it is appropriate to prepare the Group financial 
statements on a going concern basis.
3. Summary of material accounting 
policies, judgements, estimates and 
assumptions
Basis for consolidation
The consolidated financial statements comprise the financial 
statements of the Group and its subsidiaries.
Entities are fully consolidated from the date of acquisition, 
which is the date when the Group obtains control, and 
continue to be consolidated until the date when such control 
ceases. The financial statements of the entities are prepared 
for the same reporting period as the parent Company, using 
consistent accounting policies. All intra-Group balances, 
transactions, unrealised gains and losses resulting from intra-
Group transactions and dividends are fully eliminated.
The Group attributes profit or loss and each component of 
other comprehensive income to the owners of the parent 
Company and to the non-controlling interest based on 
present ownership interests, even if the results in the non-
controlling interest have a negative balance.
A change in the ownership interest of a subsidiary, without 
a loss of control, is accounted for as an equity transaction. 
If the Group loses control over the subsidiary, it will 
derecognise the assets (including goodwill) and liabilities of 
the subsidiary, any non-controlling interest and the other 
components that are equity related to the subsidiary. Any 
surplus or deficit arising from the loss of control is recognised 
in profit or loss. If the Group retains an interest in the 
previous subsidiary, then such interest is measured at fair 
value at the date the control is lost.
The proportion allocated to the parent and non-controlling 
interests in preparing the consolidated financial statements is 
determined based solely on present ownership interests.
Non-underlying items
The Directors believe that presenting the Group’s financial 
results on an underlying basis, which excludes non-
underlying items, offers a clearer picture of business 
performance and hence provides useful information for 
shareholders. These measures are used by the Board and 
management for planning, internal reporting and setting 
Director and management incentive arrangements. In 
addition, they are used by the investor analyst community 
and are aligned to our strategy and KPIs. Underlying 
measures are not intended to be a substitute for, or superior 
to, IFRS results which include non-underlying items to 
provide the statutory results. 
Non-underlying items are items of income or expense which, 
because of either their size, nature and/or the expected 
frequency of the events giving rise to them, merit separate 
presentation and disclosure as detailed in note 4. The 
following key items are adjusted for in the calculation of 
underlying operating profit:
	•
Amortisation and impairment of acquired intangible 
assets through business combinations – these items 
are a result of past transactions, principally the reverse 
acquisition of Animalcare Group plc, the pre-reverse 
acquisition of Esteve, and the more recent acquisition of 
the Randlab group. While they are recorded as a cost to 
the Group each financial year, are not reflective of the 
underlying costs of the Group. Impairment is classified 
as non-underlying due to the significance and one-
off nature
	•
Acquisition and integration costs – these items principally 
relate to acquisition and subsequent integration activity 
which we view as strategic in nature, and therefore they 
are excluded from underlying EBITDA, hence underlying 
operating profit, as this is principally used to manage 
the performance of our operations This category also 
includes the unwind of the one off fair value uplift 
applied to inventory recognised on the acquisition of the 
Randlab group.
	•
Restructuring costs – the Group has recognised historical 
restructuring costs and we expect such costs will likely 
arise in future as the Group develops and evolves. The 
specific nature of the activities will be explained in note 4 
or its future equivalent. We consider restructuring costs 
strategic in nature, and therefore they are excluded from 
underlying EBITDA, hence underlying operating profit, as 
this is principally used to manage the performance of our 
operations
	•
Gain on disposal of intangible assets - Gains arising on the 
disposal of intangible assets are excluded from underlying 
profit. These gains are non-operational in nature, occur 
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
117

only at the point of sale, and do not reflect the ongoing 
trading performance of the Group. As underlying profit 
is used to assess and manage the performance of the 
Group’s core operations, one off disposal gains are 
removed to provide a more consistent and comparable 
view of underlying results
Segment reporting
Our operating segments are reported in a manner consistent 
with the internal reporting provided to the chief operating 
decision maker. The chief operating decision-maker, who 
is responsible for allocating resources and assessing 
performance of the operating segments, has been identified 
as the Senior Executive Team (SET). 
Foreign currency translation
FUNCTIONAL AND PRESENTATION CURRENCY
The Group’s consolidated financial statements are presented 
in pounds sterling (GBP), which is the functional currency 
of the parent company and presentational currency of the 
Group. For each entity, the Group determines the functional 
currency, and items included in the financial statements 
of each entity are measured using the functional currency. 
The Group operates with multiple functional currencies. 
Sterling (GBP) is the functional currency of the UK entities, 
while other subsidiaries use the Euro (EUR). Following 
the Randlab acquisition, the Australian dollar (AUD) was 
introduced as an additional key functional currency within 
the Group. The statement of financial position is translated 
into GBP at the closing rate on the reporting date and their 
income statement is translated at the average exchange rate 
at month-end for both the years ended 31 December 2024 
and 2025. Differences resulting from the translation of the 
financial statements of the parent and the subsidiaries are 
recognised in other comprehensive income as “Exchange 
differences on translation of foreign operations”.
Within the financial statements the Group has disclosed 
balances in currency other than GBP, where this is the case 
the following exchange rates have been applied:
Currency
Closing rate (31 
December 2025)
Average rate (31 
December 2025)
Euro (EUR)
1.146
1.167
Australian Dollar (AUD)
2.045
2.015
Intercompany loans with long-term funding 
nature
Intercompany loans that, in substance, form part of the 
Group’s net investment in a foreign operation are accounted 
for in accordance with IAS 21 The Effects of Changes 
in Foreign Exchange Rates, with associated exchange 
differences recognised in other comprehensive income as 
part of the Group’s net investment in that foreign operation. 
Application of this treatment to the relevant balances 
in the year resulted in a decrease in OCI £1,751k, with a 
corresponding increase in profit before tax of £1,751k. 
Foreign currency transactions
Transactions denominated in foreign currencies are translated 
into functional currency at spot rate at the transaction date. 
Monetary items in the statement of financial position are 
translated at the closing rate at each reporting date and the 
relevant translation gain or loss is recognised in financial or 
operating result depending on its nature except for exchange 
differences on monetary items receivable from or payable to 
a foreign operation for which settlement is neither planned 
nor likely to occur in the foreseeable future (therefore forming 
part of the net investment in the foreign operation), which 
are recognised initially in other comprehensive income and 
reclassified from equity to profit or loss on disposal or partial 
disposal of the net investment.
The presentation of foreign exchange gains or losses 
corresponds to the nature of the underlying transaction, as 
follows:
	•
Foreign exchange differences arising in the course of 
the Group’s ordinary activities are included within the 
operating result
	•
Foreign exchange differences arising from financing 
activities are presented as part of finance costs or income
Property, plant and equipment
Property, plant and equipment is stated at cost, net of 
accumulated depreciation and/or accumulated impairment 
losses, if any. Repair and maintenance costs are recognised in 
the income statement as incurred.
Depreciation is calculated on a straight-line basis over the 
estimated useful lives of the assets as follows:
	•
Plant and equipment
5 years
	•
Office furniture and office 
equipment
3–5 years or lease term if 
shorter
	•
Leasehold improvements
5 years or lease term if shorter
	•
Warehouse and office 
fittings
5–10 years
	•
Property
50 years
An item of property, plant and equipment and any significant 
part initially recognised is derecognised upon disposal or 
when no future economic benefits are expected from its use 
or disposal. Any gain or loss arising on derecognition of the 
asset (calculated as the difference between the net disposal 
proceeds and the carrying amount of the asset) is included 
in the income statement when the asset is derecognised. 
The assets’ residual values, useful lives and methods of 
depreciation are reviewed at each financial year-end and 
adjusted prospectively, if appropriate.
3. Summary of material accounting 
policies CONTINUED
ANIMALCARE GROUP PLC Annual Report 2025
118
Notes to the Consolidated Financial Statements CONTINUED
YEAR ENDED 31 DECEMBER 2025

Leases
The Group leases various vehicles and buildings. Rental 
contracts are typically made for fixed periods 1-10 years but 
may have extension options. Contracts may contain both 
lease and non-lease components. However, for lease of real 
estate for which the Group is a lessee, it has elected not 
to separate lease and non-lease components and instead 
accounts for these as a single lease component. Lease 
terms are negotiated on an individual basis and contain 
a wide range of different terms and conditions. The lease 
agreements do not impose any covenants, but leased assets 
may not be used as security for borrowing purposes. 
Assets and liabilities arising from a lease are initially 
measured on a present value basis. Lease liabilities include 
the net present value of the following lease payments:
	•
Fixed payments, less any lease incentives receivable;
	•
Amounts expected to be payable by the Group under 
residual value guarantees;
	•
The exercise price of a purchase option if the Group is 
reasonably certain to exercise that option; and 
	•
Payments of penalties for terminating the lease, if the 
lease term reflects the Group exercising that option.
Lease payments to be made under reasonably certain 
extension options are also included in the measurement of 
the liability. The lease payments are discounted using the 
lessee’s incremental borrowing rate, which is the rate that 
the individual lessee would have to pay to borrow the funds 
necessary to obtain an asset of similar value to the right-of-
use asset in a similar economic environment with similar 
terms, security and conditions. 
To determine the incremental borrowing rate, the Group:
	•
where possible, uses recent third-party financing 
received by the individual lessee as a starting point, 
adjusted to reflect changes in financing conditions since 
third-party financing was received;
	•
uses a build-up approach that starts with a risk-free 
interest rate adjusted for credit risk for leases held by 
the Group, which does not have recent third-party 
financing; and
	•
makes adjustments specific to the lease, e.g. term, 
country, currency and security.
If a readily observable amortising loan rate is available to the 
individual lessee (through recent financing or market data) 
which has a similar payment profile to the lease, then the 
Group entities use that rate as a starting point to determine 
the incremental borrowing rate. 
The Group is exposed to potential future increases in variable 
lease payments based on an index or rate, which are not 
included in the lease liability until they take effect. When 
adjustments to lease payments based on an index or rate 
take effect, the lease liability is reassessed and adjusted 
against the right-of-use asset. 
Lease payments are allocated between principal and finance 
cost. The finance cost is charged to profit or loss over the 
lease period so as to produce a constant periodic rate of 
interest on the remaining balance of the liability for each 
period.
Right-of-use assets are measured at cost comprising the 
following: 
	•
The amount of the initial measurement of lease liability; 
	•
Any lease payments made at or before the 
commencement date less any lease incentives received; 
	•
Any initial direct costs; and
	•
Restoration costs.
Right-of-use assets are generally depreciated over the shorter 
of the asset’s useful life and the lease term on a straight-
line basis. If the Group is reasonably certain to exercise a 
purchase option, the right-of-use asset is depreciated over 
the underlying asset’s useful life. The term varies between 
four to five years. 
Payments associated with short-term leases of equipment 
and vehicles and all leases of low-value assets are recognised 
on a straight-line basis as an expense in profit or loss. Short-
term leases are leases with a lease term of 12 months or less. 
Low-value assets comprise IT equipment and small items of 
office furniture.
Extension and termination options are included in a number 
of property and equipment leases across the Group. These 
are used to maximise operational flexibility in terms of 
managing the assets used in the Group’s operations. The 
majority of extension and termination options held are 
exercisable only by the Group and not by the respective 
lessor.
Goodwill
Goodwill is not amortised but it is tested for impairment 
annually, or more frequently if events or changes in 
circumstances indicate that it might be impaired, and is 
carried at cost less accumulated impairment losses. Gains 
and losses on the disposal of an entity include the carrying 
amount of goodwill relating to the entity sold. Goodwill is 
attributable to two cash-generating unit for the purpose 
of impairment testing, being the lowest level at which 
business operations are monitored for internal management 
purposes.
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Intangible assets
Intangible assets comprise the acquired product portfolios, 
research and development assets, licensing and distribution 
rights, customers acquired in connection with business 
combinations, product portfolios and product development 
costs, capitalised software and assets under construction 
related to intangible assets.
The useful life of the intangible assets is as follows:
	•
Capitalised software
5 years
	•
Patents, distribution rights, licenses  
and registration costs
7–12 years
	•
Product portfolios, product  
development and brand names
10 years
	•
R&D assets
10 years
	•
Customer relationships
12 years
Intangible assets not yet available for use are assessed 
annually for impairment. Assets under construction are not 
amortised.
Intangible assets acquired separately
Intangible assets with finite useful lives that are acquired 
separately are carried at cost less accumulated amortisation 
and accumulated impairment losses. Intangible assets with 
finite lives are amortised over their useful economic lives 
and assessed for impairment whenever there is an indication 
that the intangible asset may be impaired. The amortisation 
period and the amortisation method for an intangible asset 
with a finite useful life are reviewed at least at the end of each 
reporting period. The amortisation expense on intangible 
assets with finite lives is recognised in the consolidated income 
statement based on its function which may be cost of sales, 
sales and marketing expenses, research and development 
expenses and general and administrative expenses.
Further, the Group has acquired certain intangible assets 
related to licenses with a fixed and variable consideration 
contingent upon the realisation of certain milestones and 
sales volumes. Due to the recognition of this license asset, 
the Group extends its accounting policies on intangible assets 
as follows:
The Group recognises an intangible asset for licenses 
obtained initially measured at the fixed consideration paid. 
The variable consideration subject to the realisation of the 
milestones will only be recognised when the milestones are 
met and will be recognised as an addition to the intangible 
license asset. Once market authorisation is obtained, the 
Group will start amortising the intangible asset over its useful 
life and recognise any future milestone payments as a cost 
of sale.
Internally generated intangible assets – 
research and development expenditures
Research and development expenditure comprises costs 
incurred in connection with the development of new or 
substantially improved products, including pharmaceutical 
and veterinary medicinal products, and product updates and 
enhancements.
Research expenditure is recognised as an expense as 
incurred, in accordance with IAS 38 Intangible Assets.
Development activities involve the application of research 
findings or other knowledge to a plan or design for the 
production of new or substantially improved products before 
the start of commercial production or sale.
Internal development expenditure on an individual project is 
recognised as an intangible asset only when the Group can 
reasonably demonstrate all recognition criteria set out in IAS 
38 are satisfied, being:
	•
The technical feasibility of completing the intangible 
asset so that it will be available for use or sale;
	•
the intention to complete the intangible asset;
	•
the ability to use or sell the intangible asset;
	•
How the intangible asset will generate probable future 
economic benefits;
	•
The availability of adequate technical, financial and other 
resources to complete the development and to use or sell 
the intangible asset; and
	•
The ability to measure reliably the expenditure 
attributable to the intangible asset during its 
development.
Development expenditure incurred prior to the point at 
which these criteria are met is also recognised as an expense 
as incurred.
Product development process
The Group applies a structured six stage product 
development process to assess project progression and the 
appropriate accounting treatment of related expenditure. 
The stages comprise of: 
(i) Discovery assessment: early-stage research activities 
including in vitro and laboratory-based target validation, 
candidate screening and selection are undertaken to assess 
scientific viability;
(ii) Proof of concept: studies are performed in the target 
animal and target disease to demonstrate initial efficacy and 
biological relevance; 
(iii) Exploratory development: formulation and dose 
optimisation activities are undertaken together with initial 
process development and scale up; 
(iv) Full development: pivotal field trials are conducted and 
regulatory dossiers are prepared to support product approval; 
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(v) Submission: regulatory submissions are made and 
technical questions from regulatory authorities are 
addressed; and 
(vi) Full commercial deployment: following regulatory 
approval, the product is manufactured, launched and 
commercially distributed. 
Expenditure incurred in stages (i) to (iii) is typically treated as 
research expenditure and expensed to the income statement 
as incurred. Capitalisation will generally commence once a 
project enters the full development phase (iv), unless there 
is compelling evidence for capitalisation at a different point 
in time. Development costs are capitalised only when the IAS 
38 criteria are demonstrably met and management approval 
is obtained.
The Group’s use of established technologies and proven 
expertise means that historically development costs have 
always met the criteria for capitalisation. This is still true of 
many of our products. 2025 is the first year the Group has 
incurred investment in earlier stages, and hence the first year 
it has expensed development costs to the income statement.
Subsequent measurement
Subsequent to initial recognition, internally generated 
intangible assets are measured at cost less accumulated 
amortisation and accumulated impairment losses, consistent 
with the accounting treatment applied to separately acquired 
intangible assets. Amortisation is charged on a straight-line 
basis over the estimated useful economic lives of the assets. 
Internally generated intangible assets are reviewed for 
impairment whenever events or changes in circumstances 
indicate that the carrying amount may not be recoverable.
Intangible assets acquired in a business 
combination
Intangible assets acquired in a business combination and 
recognised separately from goodwill are initially recognised 
at their fair value at the acquisition date (which is regarded 
as their cost). Subsequent to initial recognition, intangible 
assets acquired in a business combination are measured 
at cost less accumulated amortisation and accumulated 
impairment losses, on the same basis as intangible assets 
which are acquired separately.
Impairment of non-financial assets
Impairment tests on goodwill are undertaken annually 
at the financial year end. Other non-financial assets are 
subject to impairment tests whenever events or changes in 
circumstances indicate that their carrying amount may not 
be recoverable. Where the carrying value of an asset exceeds 
its recoverable amount (i.e. the higher of value in use and fair 
value less costs to sell), the asset is written down accordingly. 
Where it is not possible to estimate the recoverable amount 
of an individual asset, the impairment test is carried out 
on the smallest Group of assets to which it belongs for 
which there are separately identifiable cash flows: its cash-
generating units (CGUs). Goodwill is allocated on initial 
recognition to each of the Group’s CGUs that are expected to 
benefit from the synergies of the combination giving rise to 
the goodwill.
The Group bases its impairment calculation on detailed 
budgets and forecast calculations, which are prepared 
separately for each of the group’s CGUs to which the 
individual assets are allocated. These budgets and forecast 
calculations generally cover a period of five years. For longer 
periods, a long-term growth rate is calculated and applied to 
future cash flows projected after the fifth year.
Impairment charges are included in profit or loss, except, 
where applicable, to the extent they reverse gains previously 
recognised in other comprehensive income. An impairment 
loss recognised for goodwill is not reversed.
Where goodwill forms part of a CGU and part of the 
operation within that unit is disposed of, the goodwill 
associated with the operation disposed of is included in the 
carrying amount of the operation when determining the gain 
or loss on disposal of the operation. Goodwill disposed of in 
this circumstance is measured based on the relative values 
of the operation disposed of and the portion of the CGU 
retained.
Investments in associates and joint ventures
Until 12 April 2024, the Group carried an investment in 
a joint venture STEM Animal Health Inc. (STEM). As of 
13 June 2025, the Group acquired a 25% strategic equity 
stake in associate InVetro Pty Ltd. The Group’s investments in 
its associates are accounted for using the equity method. 
Under the equity method, the investment in the associate 
was initially recognised at cost. The carrying amount of the 
investment is adjusted to recognise changes in the Group’s 
share of net assets of the associate since the acquisition 
date. Goodwill relating to the associate is included in the 
carrying amount of the investment and is not tested for 
impairment individually.
The income statement reflects the Group’s share of the 
results of operations of the associate. Any change in other 
comprehensive income of the associate is presented as part 
of the Group’s other comprehensive income. In addition, 
when there has been a change recognised directly in the 
equity of the associate, the Group recognises its share of 
the change in the statement of changes in equity. Unrealised 
gains and losses resulting from transactions between the 
Group and the associate are eliminated to the extent of the 
interest in the associate. 
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At each reporting date, the Group determines whether there 
is objective evidence that the investment in the associate 
is impaired. If there is such evidence, the Group calculates 
the amount of impairment as the difference between the 
recoverable amount of the Group’s interest in the associate 
(higher of value in use and fair value less costs to sell), and 
then recognises the loss as “Share of gain or loss of joint 
ventures / associates” in the income statement.
Business combinations
The Group applies IFRS 3 Business Combinations to all 
acquisitions. Business combinations are accounted for using 
the acquisition method, with assets and liabilities recognised 
at their fair values as at the acquisition date, being the date 
on which control is transferred to the Group.
The consideration transferred is measured at fair value 
and includes the fair value of any contingent consideration 
arrangements. Goodwill is recognised as the excess of 
the consideration transferred over the fair value of the 
identifiable net assets acquired. 
Identifiable assets, liabilities and contingent liabilities are 
recognised at the acquisition date only if they meet the 
definition of an asset or liability under IFRS. Subsequent to 
initial recognition, acquired assets and liabilities follow the 
Group’s relevant accounting policies.
Where relevant, the Group discloses the nature, timing and 
strategic rationale for each acquisition, together with the 
financial impact, including the consideration transferred and 
the identifiable assets acquired and liabilities assumed. The 
Randlab acquisition is detailed in note 6.
Discontinued operations
In accordance with IFRS 5 Non-current Assets Held for Sale 
and Discontinued Operations a discontinued operation is a 
component of the Group’s business that represents a separate 
major line of business or geographical area of operations 
which has been disposed of. Accordingly, the prior year net 
results of Identicare Limited have been presented within 
discontinued operations in the Group income statement.
Inventories
Inventories are valued at the lower of cost and net 
realisable value.
Costs incurred in bringing each product to its present 
location and condition are accounted for as follows:
	•
Raw materials: purchase cost determined using the 
weighted average cost method
	•
Goods purchased for resale: purchase cost determined 
using the weighted average cost method
Net realisable value is the estimated selling price in the 
ordinary course of business, less estimated costs of completion 
and the estimated costs necessary to make the sale.
Provisions are made for obsolete, defective and slow 
moving stock.
In a business combination, the fair value uplift on acquired 
inventory is treated as non‑underlying because it arises solely 
from acquisition‑related accounting under IFRS 3 Business 
Combinations and does not reflect the ongoing trading 
performance of the Group once the business is integrated.
Financial assets
Financial assets are classified at initial recognition, and 
subsequently measured at amortised cost, fair value through 
other comprehensive income (OCI), and fair value through 
profit or loss.
The classification of financial assets at initial recognition 
depends on the financial asset’s contractual cash flow 
characteristics and the Group’s business model for managing 
them. With the exception of trade receivables that do not 
contain a significant financing component or for which the 
Group has applied the practical expedient, the Group initially 
measures a financial asset at its fair value plus transaction 
costs, in the case of a financial asset not at fair value through 
profit or loss or OCI. Trade receivables that do not contain 
a significant financing component or for which the Group 
has applied the practical expedient are measured at the 
transaction price.
For purposes of subsequent measurement, financial assets 
are classified in two categories:
	•
Financial assets at amortised cost; and
	•
Financial assets at fair value through profit or loss.
Financial assets measured at amortised cost
This category is the most relevant to the Group. The Group 
measures financial assets at amortised cost if both of the 
following conditions are met:
	•
The financial asset is held within a business model with 
the objective to hold financial assets in order to collect 
contractual cash flows
	•
The contractual terms of the financial asset give rise on 
specified dates to cash flows that are solely payments 
of principal and interest on the principal amount 
outstanding
Financial assets, trade and other receivables, cash and cash 
equivalents at amortised cost are subsequently measured 
using the effective interest rate (EIR) method and are subject 
to impairment. Gains and losses are recognised in profit or 
loss when the asset is derecognised, modified or impaired.
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Impairment of financial assets
The Group recognises an allowance for expected credit losses 
(ECLs) for all debt instruments not held at fair value through 
profit or loss. 
For trade receivables and contract assets, the Group applies 
a simplified approach in calculating ECLs. A loss allowance 
is recognised at each reporting date based on lifetime ECLs. 
The Group established a provision matrix that is based 
on its historical loss experience, adjusted for forward-
looking factors specific to the debtors and the economic 
environment.
For all other receivables, ECLs are based on the difference 
between the contractual cash flows due in accordance with 
the contract and all the cash flows that the Group expects 
to receive, discounted at an approximation of the original 
effective interest rate. The expected cash flows will include 
cash flows from the sale of collateral held or other credit 
enhancements that are integral to the contractual terms. 
ECLs are recognised in two stages. For credit exposures for 
which there has not been a significant increase in credit risk 
since initial recognition, ECLs are provided for credit losses 
that result from default events that are possible within the 
next 12 months (a 12-month ECL). For those credit exposures 
for which there has been a significant increase in credit risk 
since initial recognition, a loss allowance is required for credit 
losses expected over the remaining life of the exposure, 
irrespective of the timing of the default (a lifetime ECL).
Financial liabilities
The Group has financial liabilities measured at amortised 
cost which include loans and borrowings, trade payables 
and other payables and financial liabilities resulting from an 
interest rate swap.
Financial liabilities at amortised cost
Those financial liabilities are recognised initially at fair value 
plus directly attributable transaction costs and are measured 
at amortised cost using the effective interest rate method. 
Gains and losses are recognised in the income statement 
when the liabilities are derecognised as well as through the 
effective interest rate method amortisation process.
Derivative financial liabilities
The Group uses derivative financial instruments to hedge 
the exposure to changes in interest rates; however, the use 
of derivatives is limited and does not represent significant 
amounts. Derivative financial instruments are initially 
measured at fair value. After initial recognition, the financial 
instruments are measured at fair value through profit or loss. 
Such transactions do not qualify for hedge accounting 
criteria, although they offer economic hedging according 
to the Group’s risk policy. Changes in the fair value of such 
instruments are recognised directly in the consolidated 
statement of profit or loss.
Derecognition
A financial liability is derecognised when the obligation under 
the liability is discharged or cancelled or expires.
Offsetting of financial instruments
Financial assets and financial liabilities are offset and the net 
amount is reported in the consolidated statement of financial 
position if there is a currently enforceable legal right to offset 
the recognised amounts and there is an intention to settle 
on a net basis, or to realise the assets and settle the liabilities 
simultaneously.
Share capital
Financial instruments issued by the Group are classified as 
share capital only to the extent that they do not meet the 
definition of a financial liability or financial asset. The Group’s 
ordinary shares are classified as equity instruments.
Shares issued by the company are recognised through equity 
and measured at the fair value of the proceeds received, net 
of directly attributable transaction costs.
The par value of issued shares is recorded in share capital, 
and any amount received in excess of the par value is 
recorded through share premium.
Direct costs related to the issuance of shares are deducted 
from the proceeds and recorded as a reduction in share 
premium. Indirect costs are expensed as incurred.
Dividends
Dividends paid are recognised within the statement of 
changes in equity only when an obligation to pay the 
dividends arises prior to the year end.
Share-based payments
The Group issues equity-settled share-based payments to 
certain employees. Equity-settled share-based payments 
are measured at fair value (excluding the effect of non-
market-based vesting conditions) at the date of grant. The 
fair value determined at the grant date of such equity-settled 
share-based payments is expensed on a straight-line basis 
over the vesting period, based on the Group’s estimate of 
shares that will eventually vest and adjusted for the effect of 
non-market-based vesting conditions (with a corresponding 
movement in equity).
Fair value is measured by use of industry standard methods. 
The expected life used in the model has been adjusted, 
based on management’s best estimate, for the effects of 
non-transferability, exercise restrictions and behavioural 
considerations.
The fair value of the shares issued under the new long-term 
incentive plan were valued on a discounted cash flow basis in 
conjunction with a third-party valuation specialist.
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For cash-settled share-based payments, a liability is recognised 
for the goods and services acquired, measured initially at the fair 
value of the liability. At the balance sheet date until the liability 
is settled, and at the date of settlement, the fair value of the 
liability is remeasured, with any changes in fair value recognised 
in profit or loss for the period. This policy is also applied to 
shares already in issue and subject to potential redemption by 
the Group, which are in effect redeemable shares.
Where the choice of settlement method lies beyond the 
control of both the employee and the entity, a hybrid 
approach is applied, initially treating the arrangement 
as cash-settled and transitioning to equity-settled as the 
settlement method is determined.
Details of the arrangements in place are given in note 27, 
along with details of the derivation of fair value.
Provisions
Provisions are recognised when the Group has a present 
obligation (legal or constructive) as a result of a past event, 
it is probable that an outflow of resources embodying 
economic benefits will be required to settle the obligation 
and a reliable estimate can be made of the amount of the 
obligation.
Employee benefits
SHORT-TERM EMPLOYEE BENEFITS
The Group has short-term employee benefits which are 
recognised when the service is performed as a liability 
and expense. The short-term employee benefit is the 
undiscounted amount expected to be paid.
MANAGEMENT INCENTIVE PLANS
The Group operates incentive plans for certain of its 
employees. The liability recognised is the undiscounted 
amount expected to be paid. 
EMPLOYEE BENEFITS – PENSIONS
The Group operates a stakeholder defined contribution 
pension scheme available to eligible employees. Payments to 
this scheme are charged as an expense as they fall due.
Revenue recognition
Revenue from the sale of goods is measured at the fair value 
of the consideration and excludes intra-group sales and value 
added and similar taxes. The primary performance obligation 
is the transfer of goods to the customer. Revenue from the 
sale of goods is recognised when control of the goods is 
transferred to the customer, at an amount that reflects the 
consideration to which an entity expects to be entitled in 
exchange for those goods.
As sales arrangements differ from time to time (for example 
by customer and by territory), each arrangement is reviewed 
to ensure that revenue is recognised when control of the 
goods has passed to the customer. This review and the 
corresponding recognition of revenue encompass a number 
of factors which includes reviewing delivery arrangements 
and whether the buyer has accepted title, recognising 
revenue at the point at which full title has passed.
Provision for rebates and discounts is reflected in the 
transaction price at the point of recognition to the extent 
that it is highly probable there will not be a significant 
reversal. The methodology and assumptions used to estimate 
rebates and discounts are based on contractual and legal 
obligations, stock with wholesalers and historical trends and 
averages based on the last 12 months.
Sales of services – discontinued operations 
only
The Group recognises service revenue by reference to the 
stage of completion. As there is no contractual restriction on 
the amount of times the customer makes use of the services, 
at the commencement of the contract, it is not possible to 
determine how many times the customer will make use of 
the services, nor does historical evidence provide indications 
of any future pattern of use. As such, income is recognised 
evenly over the term of the contract. Service sales includes 
commission income which is recognised at a point in time. 
Up-front income received in relation to long-term service 
contracts is deferred and subsequently recognised over the 
life of the relevant contracts.
Interest income
For all financial instruments measured at amortised cost, 
interest income would be recorded using the effective 
interest rate, which is the rate that exactly discounts the 
estimated future cash payments or receipts over the 
expected life of the financial instrument or a shorter period, 
where appropriate, to the gross carrying amount of the 
financial asset or liability. Interest income would be included 
under financial income in the income statement.
Financing costs
Financing costs relate to interests and other costs incurred 
by the Group related to the borrowing of funds. Such costs 
mostly relate to interest charges on short- and long-term 
borrowings as well as the amortisation of additional costs 
incurred on the issuance of the related debt. Financing costs 
are recognised in profit and loss for the year or capitalised in 
case they are related to a qualifying asset.
Other financial income and expenses
Other financial income and expenses include mainly foreign 
currency gains or losses on financial transactions and bank-
related expenses.
3. Summary of material accounting 
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Taxes
CURRENT INCOME TAX
Income tax assets and liabilities for the current year are 
measured at the amount expected to be recovered from or 
paid to the taxation authorities. The tax rates and tax laws 
used to compute the amount are those that are enacted, or 
substantively enacted, at the reporting date.
Current income tax relating to items that are recognised 
directly in equity is recognised in equity and not in the 
income statement. Management periodically evaluates 
positions taken in the tax returns with respect to situations in 
which applicable tax regulations are subject to interpretation 
and establishes provisions where appropriate.
DEFERRED TAX
Deferred tax is calculated using the liability method on 
temporary differences at the reporting date between the tax 
bases of assets and liabilities and their carrying amounts for 
financial reporting purposes.
Deferred tax liabilities are recognised for all taxable 
temporary differences. Deferred tax assets are recognised 
for all deductible temporary differences, carry forward of 
unused tax credits and unused tax losses, to the extent that it 
is probable that taxable profit will be available against which 
the deductible temporary differences and the carry forward 
of unused tax credits and unused tax losses can be utilised.
The carrying amount of deferred tax assets is reviewed at 
each reporting date and reduced to the extent that it is no 
longer probable that sufficient taxable profit will be available 
to allow all or part of the deferred tax asset to be utilised. 
Unrecognised deferred tax assets are reassessed at each 
reporting date and are recognised to the extent that it has 
become probable that future taxable profits will allow the 
deferred tax asset to be recovered.
Deferred tax assets and liabilities are measured at the tax 
rates that are expected to apply in the year when the asset is 
realised or the liability is settled, based on tax rates (and tax 
laws) that have been enacted or substantively enacted at the 
reporting date.
Deferred tax assets and deferred tax liabilities are offset, if 
a legally enforceable right exists to set off current tax assets 
against current income tax liabilities and the deferred taxes 
relate to the same taxable entity and the same taxation 
authority.
Fair value measurements
Fair value is the price that would be received to sell an 
asset or paid to transfer a liability in an orderly transaction 
between market participants at the measurement date. 
The fair value measurement is based on the presumption 
that the transaction to sell the asset or transfer the liability 
takes place either in the principal market for the asset or 
liability or in the absence of a principal market, in the most 
advantageous market for the asset or liability. The principal 
or the most advantageous market must be accessible by the 
Group. The fair value of an asset or a liability is measured 
using the assumptions that market participants would use 
when pricing the asset or liability, assuming that market 
participants act in their economic best interest.
All assets and liabilities for which fair value is measured 
or disclosed in the financial statements are categorised 
within the fair value hierarchy, described as follows, based 
on the lowest level input that is significant to the fair value 
measurement as a whole: 
	•
Level 1 – Quoted (unadjusted) market prices in active 
markets for identical assets or liabilities
	•
Level 2 – Valuation techniques for which the lowest level 
input that is significant to the fair value measurement is 
directly or indirectly observable 
	•
Level 3 – Valuation techniques for which the lowest level 
input that is significant to the fair value measurement is 
unobservable
Events after balance sheet date
Events after the balance sheet date that provide additional 
information about the Company’s position as at the balance 
sheet date (adjusting events) are reflected in the financial 
statements. Events after the balance sheet date that are not 
adjusting events are disclosed in the notes where material.
New standards adopted as of 2025
STANDARDS AND INTERPRETATIONS APPLICABLE 
FOR THE ANNUAL PERIOD BEGINNING ON OR 
AFTER 1 JANUARY 2025
	•
Amendments to IAS 21 The Effects of Changes in Foreign 
Exchange Rates: Lack of Exchangeability
The Group has no transactions that would be affected by 
the newly effective standards or its accounting policies are 
already consistent with the new requirements. The Group 
has not early adopted any standards. 
STANDARDS AND INTERPRETATIONS PUBLISHED, 
BUT NOT YET APPLICABLE FOR THE ANNUAL 
PERIOD BEGINNING ON 1 JANUARY 2025
The IFRS accounting standards and interpretations that are 
issued, but not yet effective, up to the date of issuance of 
the Group’s financial statements are disclosed below. The 
Group intends to adopt these standards and interpretations, 
if applicable, when they become effective. 
	•
IFRS 18 Presentation and Disclosure in Financial 
Statements (applicable for annual periods beginning on 
or after 1 January 2027)
	•
IFRS 19 Subsidiaries without Public Accountability – 
Disclosures (applicable for annual periods beginning on 
or after 1 January 2027)
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	•
Amendments to IFRS 9 and IFRS 7 Classification and 
Measurement of Financial Instruments (applicable for 
annual periods on or after 1 January 2026)
	•
Annual Improvements – Volume 11 (applicable for annual 
periods beginning on or after 1 January 2026)
	•
Amendments to IFRS 9 and IFRS 7 Contracts Referencing 
Nature-Dependent Electricity (applicable for annual 
periods beginning on or after 1 January 2026)
None of the IFRS standards issued but not yet effective are 
expected to have a material impact on the Group’s financial 
statements, with the exception of IFRS 18, the new standard 
on the presentation and disclosure of financial statements, 
particularly regarding the consolidated income statement. 
IFRS 18 will not affect the recognition or measurement of 
items in the financial statements; however, it may result in 
changes to the classification of certain income and expense 
items. The Group is currently assessing the impact of 
implementing IFRS 18. 
Material accounting judgements, estimates 
and assumptions
The preparation of the Group’s consolidated financial 
statements requires management to make judgements, 
estimates and assumptions that affect the reported 
amounts of revenue, expenses, assets and liabilities, and 
the accompanying disclosures. Uncertainty about these 
assumptions and estimates could result in outcomes that 
require a material adjustment to the carrying amount of 
assets or liabilities for future periods.
On an ongoing basis, the Group evaluates its estimates, 
assumptions and judgements, including those set out below.
The Group based its assumptions and estimates on 
parameters available when the consolidated financial 
statements were prepared. Existing circumstances and 
assumptions about future developments, however, may 
change due to market changes or circumstances arising 
beyond the control of the Group. Such changes are reflected 
in the assumptions when they occur.
Internally developed intangible assets 
(judgement)
Under IAS 38 Intangible Assets, internally generated 
intangible assets are recognised if certain conditions are 
met. These conditions include technical feasibility, intention 
to complete, the ability to use or sell the asset under 
development, and the demonstration of how the asset will 
generate probable future economic benefits. The cost of a 
recognised internally generated intangible asset comprises 
all directly attributable costs necessary to make the asset 
capable of being used as intended by management. All 
expenditure arising from the research phase and all other 
costs that do not meet the criteria for capitalisation are 
expensed as incurred. 
Determining whether an internally generated intangible 
assets meets the capitalisation criteria requires significant 
judgement, particularly in determining whether the activities 
are considered research activities or development activities, 
whether the product enhancement is substantial, whether 
the completion of the asset is technically feasible, and the 
probability of future economic benefits from the sale or use.
Management has determined that the conditions for 
recognising internally generated intangible assets resulting 
from product development activities are fulfilled only when 
the product attains technical and commercial feasibility. 
The Group continually evaluates this assessment to ensure 
compliance with established criteria.
Income taxes (estimate and judgement)
Deferred tax assets are recognised for unused tax losses 
to the extent that it is probable that taxable profit will be 
available against which the losses can be utilised. Significant 
management judgement is required to determine the 
amount of deferred tax assets that can be recognised, based 
upon the likely timing and the level of future taxable profits 
together with future tax planning strategies.
As at 31 December 2025, the Group had tax losses carried 
forward and other tax credits such as investment tax credits 
and notional interest deduction. These losses relate to the 
subsidiaries that have a history of losses, do not expire and 
may not be used to offset taxable income elsewhere in the 
Group (see note 8.10).
Rebate arrangements (estimate, judgement 
and assumption)
Provision for customer rebates and discounts is reflected 
in the transaction price at the point of revenue recognition 
to the extent that it is highly probable there will not be a 
significant reversal. The methodology and assumptions used 
to estimate rebates and discounts are based on contractual 
and legal obligations, stock held by wholesalers and historical 
trends and averages based on the last 12 months.
Cash generating unit (CGU) (judgement) 
In the preparation of these financial statements, 
management has assessed the Group’s structure and 
determined that it comprises two distinct cash-generating 
units (CGUs): the existing Animalcare operations and the 
recently acquired Randlab business. This assessment reflects 
management’s judgement that the assets within each 
CGU generate interdependent cash inflows, with products 
marketed through common distribution channels and 
strategic decisions taken at a central level.
Accordingly, for impairment testing and other relevant 
accounting purposes, the Group has been treated as two 
CGUs. This represents a change from the prior year (FY24), 
when the Group operated as a single CGU prior to the 
acquisition of Randlab.
3. Summary of material accounting 
policies CONTINUED
ANIMALCARE GROUP PLC Annual Report 2025
126
Notes to the Consolidated Financial Statements CONTINUED
YEAR ENDED 31 DECEMBER 2025

Impairment of goodwill (estimate)
At the reporting date, the Group carries goodwill of £74,161k (2024: £39,360k). Of this amount, £34,321k is allocated to the 
Randlab CGU and £39,840k to the existing Animalcare CGU. Goodwill within each CGU has been assessed for impairment in 
accordance with IAS 36 Impairment of Assets.
Impairment testing is performed using a value-in-use (VIU) methodology. The key assumptions for the VIU calculations are 
disclosed and further explained in note 10.
Impairment of slow-moving and obsolete inventory (estimate)
The Group performs regular stockholding reviews, in conjunction with sales and market information, to help determine any 
slow- moving or obsolete lines. Where identified, adequate provision is made in the financial statements for writing down or 
writing off the value of such lines in order to reflect the realisable value of its stock.
Acquired intangible assets (judgement and assumption)
Management applies judgement when determining the fair value of intangible assets acquired in a business combination, 
including a selection of valuation techniques and key assumptions. These judgements involve inherent uncertainty, as fair 
value reflects market-based inputs rather than internal expectations. The resulting fair value uplifts are recognised only where 
the assets meet IFRS 3 Business Combinations recognition criteria at the acquisition date.
4. Non-underlying expenses / (income) 
For the year ended 
31 December
2025 
£’000
2024 
£’000
Amortisation and impairment of acquisition related intangibles
Classified within selling and marketing expenses
2,141
–
Classified within general and administrative expenses1
3,383
3,965
Impairment losses
116
23
Total amortisation and impairment of acquisition-related intangibles
5,640
3,988
Acquisition and integration costs
Classified within cost of sales
1,051
–
Classified within net other operating (expense) / income
820
–
Total acquisition and integration costs
1,871
–
Restructuring costs
602
166
Acquisition and integration costs
–
Gain on sale of joint venture and release of associated liabilities
–
(3,375)
Gain on disposal of intangible assets
(361)
(430)
Expenses related to M&A and business development activities
–
739
Other non-underlying items
192
354
Foreign currency translation on acquisition prepayment
–
988
Total non-underlying items before taxes from continuing operations
7,944
2,430
Tax impact
(2,156)
(588)
Total non-underlying items after taxes from continuing operations
5,788
1,842
Other non-underlying items from discontinued operations
–
94
Gain on disposal of discontinued operation, net of tax
–
(13,723)
Total non-underlying items after taxes
5,788
(11,787)
1	 Following the Group’s strategic investment in next wave biologics of VHH NGF and Sweet Itch, it is now incurring research costs that are expensed directly to the income 
statement. In order to provide more clarity on this overhead investment, and to allow clear reconciliation to the Group’s alternative performance measure of Underlying 
EBITDA pre-R&D (note 5) certain reclassifications have been made to the Consolidated Income Statement, and hence this note. Amortisation has been reclassified to 
Sales and Marketing and General and Administrative expenses as appropriate, with the reclassification applied consistently to both the current and prior year to ensure 
comparability.
Unless explicitly stated otherwise in the table above, costs have been presented within “Net other operating (expenses)/
income” in the Consolidated Income Statement.
Annual Report 2025 ANIMALCARE GROUP PLC
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FINANCIALS
GOVERNANCE
127

The following table shows the breakdown of non-underlying items from continuing operations before taxes by category for 
2025 and 2024:
For the year ended 
31 December
2025 
£’000
2024 
£’000
Classified within cost of sales
1,051
–
Classified within selling and marketing expenses
2,141
–
Classified within general and administrative expenses
3,383
3,965
Classified within net other operating expense / (income)
1,253
(2,546)
Impairment losses
116
23
Classified within finance expenses
–
988
Total non-underlying items before taxes
7,944
2,430
Non-underlying items before taxes from continuing operations totalling £7,944k (2024: £2,430k) principally comprise:
	•
The amortisation and impairment of acquisition-related intangible charge totalling £5,640k (2024: £3,988k) largely relates 
to the historic Esteve acquisition of £371k (2024: £1,125), the reverse acquisition of Animalcare Group plc of £2,648k 
(2024: £2,840) and the acquisition of Randlab Group of £2,505k (2024: £nil). It also includes £116k of impairment 
(2024: £23k)
	•
Restructuring costs of £602k (2024: £166k) primarily relates to an organisational restructuring program in Germany
	•
Acquisition and integration costs amounted to £1,871k, the majority of which relates to the Group’s acquisition of Randlab, 
completed on 3 January 2025 (note 6). This transaction has resulted in acquisition and integration costs of £1,771k, 
including £1,051k of non-underlying cost of sales due to the reversal of a fair value uplift on acquired inventories, £131k 
of acquisition costs and £589k post-acquisition and integration costs. Additionally, on 13 June 2025, the Group acquired a 
25% equity interest in InVetro Pty Ltd, incurring costs of £85k (note 13)
The Group’s prior year non-underlying items are presented below:
	•
Foreign currency translation of £988k arose from a hedging arrangement entered into to support the acquisition of shares 
in Randlab Australia Pty Ltd
	•
Expenses of £739k relating to M&A and business development activities were primarily associated with the acquisition of 
shares in Randlab Australia Pty Ltd
	•
On 12 April 2024, the Group sold its 33.34% minority interest in STEM Animalcare Health Inc. for US$4.7m (£3.8m), 
generating a total gain of £3,375k. This comprised a £2,654k profit on disposal and £721k arising from the termination of a 
capital contribution obligation and the release of future milestone commitments
	•
On 28 February 2024, the Group disposed of its subsidiary Identicare Limited, resulting in a gain on disposal of £13,723k 
(note 7)
	•
Additional non-underlying items within discontinued operations related to share-based payment arrangements linked 
to growth shares in the disposed subsidiary, where the fair value of the plan was tied to subsidiary valuation rather than 
trading activity
Non-underlying items are excluded for KPI purposes as shown in the section on Key Performance Indicators.
5. Segment information – from continuing operations
The Animalcare Europe segment is active in the development and sale of innovative veterinary pharmaceutical products 
across Europe and via the European International Partners network. The Randlab segment is engaged in the development and 
distribution of veterinary pharmaceuticals and nutritional supplements tailored to the equine market. In addition, the segment 
provides professional support services to equine veterinarians across Australia, New Zealand, the Middle East, and selected 
international markets. 
The measurement principles used by the Group in preparing this segment reporting are also the basis for segment 
performance assessment. The Senior Executive Team of the Group acts as the Chief Operating Decision Maker. The Chief 
Operating Decision Maker monitors performance using key performance indicators of the Group’s revenue, gross margin, 
Underlying EBITDA excluding R&D, Underlying EBITDA and EBITDA. EBITDA is defined by the Group as net profit plus finance 
4. Non-underlying expenses / (income) CONTINUED
ANIMALCARE GROUP PLC Annual Report 2025
128
Notes to the Consolidated Financial Statements CONTINUED
YEAR ENDED 31 DECEMBER 2025

expenses, less financial income, plus income taxes and deferred taxes, plus depreciation, amortisation and impairment and 
is an alternative performance measure. Underlying EBITDA equals EBITDA plus non-underlying items and is an alternative 
performance measure. EBITDA and underlying EBITDA are reconciled to statutory measures below. 
The following table summarises the segment reporting from continuing operations for 2025 and 2024. As management’s 
internal reporting structure is principally revenue and profit-based, the reporting information does not include assets and 
liabilities by segment and is as such not presented per segment. 
Following the July 2024 IFRIC agenda decision the Group has presented cost of sales per segment within the table below.
From continuing operations
For the year ended 31 December
2025 
Randlab 
£’000
2025 
Animalcare 
Europe* 
£’000
2025 
Total 
£’000
2024 
Randlab 
£’000
2024 
Animalcare 
Europe* 
£’000
2024 
Total 
£’000
Revenue
13,614
75,493
89,107
−
74,228
74,228
Cost of sales
(4,743)
(32,988)
(37,731)
−
(32,984)
(32,984)
Gross Margin
8,871
42,505
51,376
−
41,244
41,244
Gross Margin %**
65.2%
56.3%
57.7%
−
55.6%
55.6%
Segment underlying EBITDA 
(excl. R&D)
6,474
11,907
18,381
−
11,556
11,556
Segment underlying EBITDA % 
(excl. R&D)
47.6%
15.8%
20.6%
−
15.6%
15.6%
Segment underlying EBITDA
6,435
11,295
17,730
−
11,556
11,556
Segment underlying EBITDA %
47.3%
15.0%
19.9%
−
15.6%
15.6%
Segment EBITDA
4,866
10,560
15,426
−
14,102
14,102
Segment EBITDA %
35.7%
14.0%
17.3%
−
19.0%
19.0%
* Including International Partners.
**The Randlab gross margin disclosed above includes a £1,051k purchase price allocation (PPA) adjustment relating to the fair value uplift of acquired inventory. Excluding 
this adjustment, the 2025 underlying gross margin is 72.9% for the Randlab segment and 58.8% for the Group overall.
The underlying and segment EBITDA is reconciled with the consolidated net profit of the year as follows:
From continuing operations
For the year ended 31 December
2025 
Randlab 
£’000
2025 
Animalcare 
Europe* 
£’000
2025 
Total 
£’000
2024 
Randlab 
£’000
2024 
Animalcare 
Europe* 
£’000
2024 
Total 
£’000
Underlying EBITDA (Excl. R&D)
6,474
11,907
18,381
−
11,556
11,556
Research and development expenses
(39)
(612)
(651)
−
−
−
Underlying EBITDA
6,435
11,295
17,730
−
11,556
11,556
Non-recurring expenses (excl. 
amortisation and impairment)
(1,569)
(735)
(2,304)
−
2,546
2,546
Segment EBITDA
4,866
10,560
15,426
−
14,102
14,102
Depreciation, amortisation and 
impairment
(2,821)
(6,531)
(9,352)
−
(7,047)
(7,047)
Operating profit
2,045
4,029
6,074
−
7,055
7,055
Finance expenses
(18)
(2,403)
(2,421)
−
(2,508)
(2,508)
Finance income
−
2,686
2,686
−
1,205
1,205
Share in net result of associates/joint 
ventures
4
−
4
−
31
31
Income taxes
(1,572)
(1,275)
(2,847)
−
(1,800)
(1,800)
Deferred taxes
1,277
305
1,582
−
834
834
Net profit
1,736
3,342
5,078
−
4,817
4,817
* Including International Partners.
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
129

Segment non-current assets excluding deferred tax assets located in Europe and Asia-Pacific are as follows: 
As at 31 December
2025 
£’000
2024 
£’000
Europe
58,172
58,660
Asia-Pacific
64,056
−
Non-current assets excluding deferred tax assets
122,228
58,660
Revenue by product category
For the year ended 
31 December
2025 
£’000
2024 
£’000
Companion animals
50,277
49,828
Production animals
17,658
17,027
Equine and other
21,172
7,373
Total
89,107
74,228
Revenue by geographical area
For the year ended 
31 December
2025 
£’000
2024 
£’000
Europe
73,769
72,924
Asia-Pacific
14,886
656
Other
452
648
Total
89,107
74,228
During the current reporting year and following the Group’s acquisition of Randlab, the Group has revised its presentation 
of revenue and non-current assets by geographical region, to enhance clarity and align with strategic reporting practices. 
Our previous categories have been aggregated into three broader geographical segments: Europe, Asia-Pacific, and Other. 
This change reflects a more streamlined view of the Group’s global operations and will facilitate improved comparability in 
future years.
5. Segment information – from continuing operations CONTINUED
ANIMALCARE GROUP PLC Annual Report 2025
130
Notes to the Consolidated Financial Statements CONTINUED
YEAR ENDED 31 DECEMBER 2025

6. Business combination
On 3 January 2025, the Group completed an acquisition of Randlab. The acquisition was executed through a newly 
incorporated Australian entity, Animalcare Australia Pty Ltd, which acquired the entire issued share capital of each Randlab 
Australia Pty Ltd (and its wholly owned subsidiary, Randlab (New Zealand) Ltd), Randlab Pty Ltd and Randlab Middle East 
Veterinary Medicines Trading LLC (together “Randlab”). The acquisition delivers against our strategic goals of expanding our 
geographic reach, acquiring products and brands that enhance our existing portfolio and building our new product pipeline.
The transaction has been accounted for using the acquisition method and the consolidated financial statements include the 
results of Randlab for the twelve-month period from the acquisition date.
The fair values of the identifiable assets and liabilities of Randlab as at the date of acquisition were:
Fair value 
recognised 
on acquisition 
£’000
Assets
Non-current assets
Intangible assets
29,302
Property, plant & equipment
816
Deferred tax assets
130
Total non-current assets
30,248
Current assets
Inventories
3,810
Trade receivables
1,915
Other current assets
39
Cash and cash equivalents
369
Total current assets
6,133
Total assets
36,381
Liabilities
Current liabilities
Trade payables
(331)
Tax payables
(338)
Other current liabilities
(593)
Total current liabilities
(1,262)
Non-current liabilities
Provisions
(69)
Deferred tax liabilities
(9,113)
Total non-current liabilities
(9,182)
Total liabilities
(10,444)
Total identifiable net assets at fair value
25,937
Goodwill arising on acquisition (note 10)
34,263
Consideration transferred
60,200
Annual Report 2025 ANIMALCARE GROUP PLC
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FINANCIALS
GOVERNANCE
131

Analysis of cash flows on acquisition:
Cash flow on 
acquisition 
£’000
Net cash acquired with the subsidiary
(369)
Completion payment
234
Current period cash inflow
(135)
Advanced consideration on 31 December 2024
59,712
Net cash flow on acquisition
59,577
All cashflows on acquisition are included in cashflow used in investing activities.
The cash flow associated with the acquisition comprised an initial payment of AUD$121m (£59,712k) which was paid in 
advance on 31 December 2024, followed by a normalised working capital settlement of AUD$487k (£234k) on 15 May 2025. 
The total cash outflow, net of £369k cash acquired, amounted to £59,577k.
As part of the Group’s acquisition accounting, a Purchase Price Allocation (PPA) exercise was undertaken to determine the fair 
value of identifiable assets and liabilities at the acquisition date. Adjustments to carrying amounts were made across several 
areas to align with fair value measurements in accordance with IFRS 3 Business Combinations.
The disclosures below outline the valuation methodologies applied and key assumptions used in determining these fair values.
The acquisition date fair value of the intangible assets amounts to £29,302k. The assets comprise of brand names, registrations 
and customer relationships. The fair value reflects market participant assumptions regarding future cash flows, useful life, and 
contributory asset charges. The difference between the fair value and carrying amount arises from an updated assessment of 
the revenue generating potential and the application of market-observed discount rates. 
The acquisition date fair value of freehold land and property is £593k. This amount forms part of the total recognised Property, 
Plant and Equipment, which reflects a broader portfolio of acquired physical assets. The valuation of the land and property is 
based on prevailing market comparables and incorporates assumptions around unrestricted use. The difference between the 
fair value and the previous carrying amount arises from revaluation to market terms.
The acquisition date fair value of the inventory amounts to £3,810k. This includes finished goods and raw materials. The fair 
value was determined using the estimated selling price in the ordinary course of business less costs of completion and sale. 
The uplift from the carrying value (£1,051k) reflects adjustments for obsolescence and alignment with market-based recovery 
estimates. The release of the uplift is included in cost of sales (note 8.1) and included in non-underlying acquisition and 
integration costs (note 4).
From the date of acquisition, Randlab has contributed £13,614k of revenue and £1,736k to the net profit from the continuing 
operations of the Group.
The goodwill recognised has been allocated to the Randlab cash generating unit and is primarily attributed to the expected 
synergies and other benefits from combining the assets and activities of Randlab with those of the Group (note 10). The 
goodwill is not deductible for income tax purposes.
Transaction and integration costs within the current period of £1,771k have been expensed and are included in non-
underlying other operating expenses (note 4) in the consolidated income statement and are part of operating cash flows in the 
consolidated cash flow statement.
7. Discontinued operations
On 28 February 2024, the Group sold its entire interest in its majority stake in its subsidiary Identicare Ltd. The Group 
recognised a gain in relation to the sale of £13,723k, which was based on total consideration (net of associated costs and 
cash disposed) of £23,888k, cash disposed of £340k and a net asset value of £10,505k. For further details, please refer to the 
Group’s financial statements for the year ended 31 December 2024.
6. Business combination CONTINUED
ANIMALCARE GROUP PLC Annual Report 2025
132
Notes to the Consolidated Financial Statements CONTINUED
YEAR ENDED 31 DECEMBER 2025

8. Income and expenses – from continuing operations
8.1 Cost of sales – from continuing operations
Cost of sales includes the following expenses:
For the year ended 
31 December
2025 
£’000
2024 
£’000
Purchase of goods and services
36,225
31,050
Stock write off
896
856
Movement in stock provision
(207)
324
Other expenses
817
753
Total
37,731
32,984
The purchase of goods and services include the fair value uplift release on acquired Randlab inventory amounting to £1,051k.
8.2 Research and development expenses – from continuing operations
Research and development expenses include the following:
For the year ended 
31 December
2025 
£’000
2024 
£’000
R&D expenses
651
–
Total
651
–
Following the Group’s strategic investment in next wave biologics of VHH NGF and Sweet Itch (note 11), it is now incurring 
research costs that are expensed directly to the income statement. In order to provide more clarity on this overhead 
investment, and to allow clear reconciliation to the Group’s alternative performance measure of Underlying EBITDA pre-R&D 
(note 5) certain reclassifications have been made to the Consolidated Income Statement, and hence this note. Costs including 
amortisation and depreciation, and employee expenses have been reclassified to Sales and Marketing and General and 
Administrative expenses as appropriate, with the reclassification applied consistently to both the current and prior year to 
ensure comparability.
8.3 Selling and marketing expenses – from continuing operations
Selling and marketing expenses include the following:
For the year ended 
31 December
2025 
£’000
2024 
£’000
Transport costs of sold goods
1,104
902
Marketing expenses
2,584
1,978
Employee expenses
10,309
9,007
Amortisation and depreciation
2,195
−
Other
459
571
Total
16,651
12,458
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
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GOVERNANCE
133

8.4 General and administrative expenses – from continuing operations
General and administrative expenses include the following:
For the year ended 
31 December
2025 
£’000
2024 
£’000
Amortisation and depreciation
7,041
7,020
Employee expenses
9,066
7,926
Professional, regulatory and consultancy fees
5,619
5,407
Travel and representation
1,245
1,080
Other
3,664
2,851
Total
26,635
24,284
The expenses in “Other” mainly relate to fees paid for warehousing, energy, IT and software-related costs.
8.5 Net other operating expenses / (income) – from continuing operations
The net other operating expenses / (income) can be detailed as follows:
For the year ended 
31 December
2025 
£’000
2024 
£’000
Re-invoicing of costs
(4)
(18)
Non-cash movement in IFRS 16 liability
10
(1)
Other operating income
(644)
(3,805)
Other operating expenses
1,887
1,243
Extraordinary depreciations
−
5
Total
1,249
(2,576)
Other operating expenses of £1,887k (2024: £1,243k) relate entirely to nonunderlying items. In addition, non‑operating 
income of £644k (2024: £3,805k) and a non‑cash movement in the IFRS 16 lease liability of £10k (2024: £1k) have been 
treated on the same basis, together with other immaterial items, including £5k of extraordinary depreciation recognised in 
the prior year. These items have been aggregated, with a net nonunderlying charge of £1,253k (2024: net credit of £2,546k) 
presented on the face of the Consolidated Income Statement and further analysed in note 4.
8. Income and expenses – from continuing operations CONTINUED
ANIMALCARE GROUP PLC Annual Report 2025
134
Notes to the Consolidated Financial Statements CONTINUED
YEAR ENDED 31 DECEMBER 2025

8.6 Expenses by nature – from continuing operations
The table below relates to operating expenses and does not include cost of sales.
For the year ended 
31 December
2025 
£’000
2024 
£’000
Other operating lease rentals / short-term leases
262
182
Employee expenses
19,375
16,933
Depreciation and amortisation
9,236
7,024
Transport costs sold goods
1,102
902
Marketing expenses
2,584
1,978
Professional, regulatory and consultancy fees
5,619
5,273
Travel and representation
1,245
1,080
Other operating expenses (note 8.5)
1,249
(2,576)
Impairment losses
116
23
Other expenses
4,514
3,370
Total expenses
45,302
34,189
8.7 Employee expenses – from continuing operations
The following table shows the breakdown of employee expenses for 2025 and 2024:
For the year ended 
31 December
2025 
£’000
2024 
£’000
Wages and salaries
16,009
14,015
Social security costs
2,846
2,580
Other pension costs
520
337
Total
19,375
16,932
The monthly average number of employees during the year was as follows:
Sales and administration
218
201
Included in the employee expenses for the year is the total charge in respect of all share-based payments of £214k 
(2024: £678k) – see note 27 for further details.
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
135

Directors’ emoluments
The various elements of remuneration received by each Director were as follows:
Year ended 31 December 2025
Salary 
£’000
Bonus 
£’000
Benefits 
£’000
Total 
£’000
C Brewster
249
69
14
332
M Coucke*
45
−
−
45
D Hutchens*
50
−
−
50
S Metayer*
50
−
−
50
E Torr*
75
−
−
75
J Winter
364
158
16
538
Total
833
227
30
1,090
Year ended 31 December 2024
Salary 
£’000
Bonus 
£’000
Benefits 
£’000
Total 
£’000
J Boone*
35
−
−
35
C Brewster
237
68
16
321
M Coucke*
45
−
−
45
D Hutchens*
48
−
−
48
S Metayer*
50
−
−
50
E Torr*
60
−
−
60
J Winter
347
90
16
453
Total
822
158
32
1,012
*Indicates Non-Executive Directors.
Jennifer Winter’s benefits comprised a car allowance (£10,500) and private medical insurance (£5,519).
Chris Brewster’s benefits comprised a company car (£11,420) and private medical insurance (£2,918).
Jan Boone stepped down as Chair on 20 June 2024. His annual fee of £75,000 for 2024 was pro-rated from 1 January to 
20 June 2024.
Marc Coucke received an annual fee of £45,000. Els Degroote was appointed as alternate to Marc Coucke in December 2024; 
the Company does not pay fees to alternate directors.
Doug Hutchens received an annual fee of £50,000, including an additional fee of £5,000 for his role as Chair of the 
Remuneration & Nomination Committee. In 2024 the additional fee was pro-rated from the date of his appointment as 
Committee chair on 21 June 2024.
Sylvia Metayer received an annual fee of £50,000 including an additional annual fee of £5,000 for her role as Chair of the Audit 
& Risk Committee.	
Ed Torr received an annual fee of £75,000. In 2024 he received a pro-rated fee from the date of his appointment as Chair. 
The aggregate gain on exercise of LTIP options during the year amounted to £nil (2024: £392,000).
Long Term Incentive Plan
In December 2025, the Board approved the grant of nil-cost options over a total of 294,222 ordinary shares with a nominal 
value of 20p per share to the Executive Directors under the Company’s LTP (the “2025 LTIP Award”). The 2025 LTIP Award 
will vest on confirmation of achievement of the performance criteria being met over the three-year financial period ending 
31 December 2027. These were the only award of options made to Executive Directors under the LTIP during 2025. 
8. Income and expenses – from continuing operations CONTINUED
8.7 Employee expenses – from continuing operations CONTINUED
ANIMALCARE GROUP PLC Annual Report 2025
136
Notes to the Consolidated Financial Statements CONTINUED
YEAR ENDED 31 DECEMBER 2025

Details of the performance target set and actual achievement against them in respect of the 2022 LTIP awards vesting, based 
on three-year performance to 1 July 2025, are set out below: 
Performance measure
Weighting
Performance 
period end
Threshold 
(25% vesting)
Maximum 
(100% vesting)
Actual
% vesting for 
this part of 
the award
Underlying EPS 
50%
1 July 2025
13.0p
15.8p
14.8p
78%
TSR
50%
1 July 2025
Median
Upper quartile
Upper quartile
100%
On assessment of the three-year performance period as set out above, a total of 164,083 options granted to the Executive 
Directors vested under this award. 
These options have yet to be exercised; the participants have seven years in which to exercise these options. 
The individual interests of the Executive Directors under the LTIP are set out below: 
Date of 
grant 
End of 
three-year 
performance 
period* 
Number of 
LTIP nil cost 
options 
awarded
Vested 
but not 
exercised
Lapsed
Exercised
Total 
remaining
Jenny Winter
05/11/21
31/12/24
106,844
53,422
53,422
–
53,422
28/04/22
01/07/25
130,620
116,413
14,207
–
116,413
23/04/24
31/12/26
243,913
–
–
–
243,913
22/12/25
31/12/27
219,296
–
–
–
219,926
Chris Brewster
05/11/21
31/12/24
43,806
21,903
21,903
–
21,903
28/04/22
01/07/25
53,488
47,670
5,818
–
47,670
23/04/24
31/12/26
100,004
–
–
–
100,004
22/12/25
31/12/27
74,926
–
–
–
74,926
* The earliest exercise date is three years after the date of grant or the end of the applicable performance period whichever is the later.
Directors’ interests in the share capital of the Company
The Directors’ interests in share capital of the Company as at 31 December 2025 and the movements during the year are set 
out below: 
Director
Number of shares 
held at 
1 January 2025
Acquired during 
the period
Number of shares 
held at 
31 December 2025
Percentage of ISC at 
31 December 2025
Chris Brewster
285,513
–
285,513
0.41
Marc Coucke
15,611,889
–
15,611,889
22.61
Ed Torr
107,455
–
107,455
0.16
Douglas Hutchens1
5,000
7,500
12,500
0.02
Jennifer Winter
100,650
–
100,650
0.15
2	 Douglas Hutchens acquired 7,500 shares on 19 November 2025.
There were no changes in the Director’s interest in shares between 31 December 2025 and the date of these financial 
statements. 
Further information relating to Directors’ share options is set out in note 27.
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
137

8.8 Finance expenses – from continuing operations
Finance expenses include the following elements:
For the year ended 
31 December
2025 
£’000
2024 
£’000
Interest expenses
898
400
Foreign currency losses
1,386
2,012
Other finance costs
137
96
Total
2,421
2,508
8.9 Finance income – from continuing operations
Finance income includes the following elements:
For the year ended 
31 December
2025 
£’000
2024 
£’000
Foreign currency exchange gains
2,624
148
Income from financial assets
25
1,057
Other finance income
37
−
Total
2,686
1,205
8.10 Income tax expense – from continuing operations
Current tax receivables and current tax liabilities
Current tax receivables £1,043k (2024: £694k) and current tax liabilities £896k (2024: £623k) solely relate to income taxes.
Income tax expense
The following table shows the breakdown of the tax expense for 2025 and 2024:	
For the year ended 
31 December
2025 
£’000
2024 
£’000
Current tax charge
(2,968)
(1,525)
Tax adjustments in respect of previous years
121
(275)
Total current tax charge
(2,847)
(1,800)
Deferred tax - origination and reversal of temporary differences
1,673
438
Deferred tax - adjustments in respect of previous years
(91)
396
Total deferred tax credit
1,582
834
Total tax expense for the year
(1,265)
(966)
8. Income and expenses – from continuing operations CONTINUED
ANIMALCARE GROUP PLC Annual Report 2025
138
Notes to the Consolidated Financial Statements CONTINUED
YEAR ENDED 31 DECEMBER 2025

The total tax expense can be reconciled to the accounting profit as follows:
For the year ended 
31 December
2025 
£’000
2024 
£’000
Profit before tax
6,343
5,783
Share of net gain in associate / joint venture
(4)
(31)
Profit before tax, excl. share in net gain of associate / joint venture
6,339
5,752
Tax at 25.0%
(1,585)
(1,438)
Effect of:
Overseas tax rates
(26)
16
Non-deductible expenses
(245)
(285)
Income not subject to tax - gain on sale of joint venture
−
844
Use of tax losses previously not recognised
54
−
Recognition of tax losses previously not recognised
605
−
Tax adjustments in respect of previous year
30
121
Non-recognition of deferred tax on current year losses
−
(481)
Derecognition of formerly recognised deferred tax assets
−
(49)
Deferred taxes on share-based payments
(9)
251
Other
(89)
55
Income tax expense as reported in the consolidated income statement
(1,265)
(966)
The tax credit of £2,156k (2024: £588k) shown within “Non-underlying items” on the face of the consolidated income 
statement, which forms part of the overall tax charge of £1,265k (2024: £966k), relates to the items in note 4.
The tax rates used for the 2025 and 2024 reconciliation above are the corporate tax rates of 25.0% (Belgium), 19.0% (the 
Netherlands), 30.7% (Germany), 25.0% (Spain), 25.0% (Italy), 21.0% (Portugal), 25.0% (the United Kingdom), 30.0% (Australia), 9.0% 
(United Arab Emirates) and 28.0% (New Zealand). These taxes are payable by corporate entities in the above-mentioned countries on 
taxable profits under tax law in that jurisdiction.
Deferred taxes at the balance sheet date have been measured using the enacted tax rates.
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
139

Deferred tax
(a) Recognised deferred tax assets and liabilities
Assets
Liabilities
Total
2025 
£’000
2024 
£’000
2025 
£’000
2024 
£’000
2025 
£’000
2024 
£’000
Goodwill
−
−
(1,749)
(1,550)
(1,749)
(1,550)
Intangible assets
−
214
(9,512)
(2,129)
(9,512)
(1,915)
Property, plant and equipment 
including right-of-use assets
−
−
(722)
(511)
(722)
(511)
Financial fixed assets
−
1
−
−
−
1
Inventory
121
−
−
(24)
121
(24)
Trade and other receivables / 
(payables)
−
129
(608)
−
(608)
129
Lease liabilities
577
461
−
−
577
461
Share-based payments
275
488
−
−
275
488
Accruals and deferred income
343
189
−
−
343
189
Tax losses carried forward
2,620
1,529
−
−
2,620
1,529
Netting by tax entity
(2,288)
(819)
2,288
819
−
−
Total
1,648
2,192
(10,303)
(3,395)
(8,655)
(1,203)
The table above presents deferred tax assets and liabilities on a gross basis prior to allowable offsetting within tax jurisdictions 
as presented on the face of the consolidated statement of financial position.
(b) Movements during the year
Movement of deferred taxes during 2025:
Balance as 
at 1 January 
2025 
£’000
Recognised 
in income 
£’000
Recognised 
in reserves 
£’000
Acquisition 
of 
subsidiaries 
£’000
Foreign 
exchange 
adjustments 
£’000
Balance as at 
31 December 
2025 
£’000
Goodwill
(1,550)
(119)
−
−
(80)
(1,749)
Intangible assets
(1,915)
1,196
−
(8,802)
9
(9,512)
Property, plant and equipment 
including right-of-use assets
(511)
(184)
−
−
(27)
(722)
Financial fixed assets
1
(1)
−
−
−
−
Inventory
(24)
373
−
(197)
(31)
121
Trade and other receivables / 
(payables)
129
(770)
−
−
33
(608)
Accruals and deferred income
189
325
(194)
−
23
343
Lease liabilities
461
25
67
−
24
577
Share-based payments
488
(213)
−
−
−
275
Tax losses carried forward and other 
tax benefits
1,529
950
63
−
78
2,620
Net deferred tax
(1,203)
1,582
(64)
(8,999)
29
(8,655)
8. Income and expenses – from continuing operations CONTINUED
8.10 Income tax expense – from continuing operations
ANIMALCARE GROUP PLC Annual Report 2025
140
Notes to the Consolidated Financial Statements CONTINUED
YEAR ENDED 31 DECEMBER 2025

Movement of deferred taxes during 2024:
Balance at 1 
January 2024 
£’000
Recognised 
in income 
£’000
Recognised 
in reserves 
£’000
Disposal of 
subsidiaries 
£’000
Foreign 
exchange 
adjustments 
£’000
Balance at 
31 December 
2024 
£’000
Goodwill
(1,444)
(171)
−
−
65
(1,550)
Intangible assets
(2,525)
626
−
−
(16)
(1,915)
Property, plant and equipment 
including right-of-use assets
(645)
66
−
40
28
(511)
Financial fixed assets
1
(1)
−
−
1
1
Inventory
(54)
26
−
−
4
(24)
Trade and other receivables / 
(payables)
30
95
−
−
4
129
Accruals and deferred income
132
63
−
−
(6)
189
Lease liabilities
580
(94)
−
−
(25)
461
Share-based payments
−
251
237
−
−
488
Tax losses carried forward and other 
tax benefits
1,636
(27)
−
−
(80)
1,529
Net deferred tax
(2,289)
834
237
40
(25)
(1,203)
Tax losses
The Group has unused tax losses, tax credits and notional interest deduction available in an amount of £13,052k for 2025 
(2024: £10,680k). The tax losses carry forward indefinitely, as there is no expiration date prescribed for their utilisation.
Deferred tax assets have been recognised on available tax losses carried forward for all legal entities, resulting in amounts 
recognised of £2,620k (2024: £1,529k). This was based on management’s estimate that sufficient positive taxable profits will 
be generated in the near future for the related legal entities with fiscal losses. The deferred tax asset is not expected to be 
recovered within the next 12 months and is anticipated to be fully recovered thereafter.
The total unrecognised tax losses as at 31 December 2025 were £2,568k (2024: £4,961k).
9. Earnings per share
Basic earnings per share amounts are calculated by dividing the net profit for the period attributable to ordinary equity holders 
of the parent company by the weighted average number of ordinary shares outstanding during the year.
Diluted earnings per share is calculated by dividing the net profit attributable to ordinary equity holders of the parent by the 
weighted average number of ordinary shares outstanding during the period, adjusted for the effects of dilutive instruments.
The following income and share data was used in the earnings per share computations:
As at 31 December
Underlying 
2025 
£’000
Underlying 
2024 
£’000
Total 
2025 
£’000
Total 
2024 
£’000
Net total profit 
10,866
6,707
5,078
18,494
Net total profit attributable to ordinary equity holders of the 
parent adjusted for the effect of dilution 
10,866
6,707
5,078
18,494
Net continuing profit 
10,866
6,659
5,078
4,817
Net continuing profit attributable to ordinary equity holders of 
the parent adjusted for the effect of dilution 
10,866
6,659
5,078
4,817
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
141

Average number of shares (basic and diluted)
As at 31 December
Underlying 
2025 
Number
Underlying 
2024 
Number
Total 
2025 
Number
Total 
2024 
Number
Weighted average number of ordinary shares for basic 
earnings per share
69,250,726
61,110,644
69,250,726
61,110,644
Dilutive potential ordinary shares
197,152
666,052
197,152
666,052
Weighted average number of ordinary shares adjusted  
for effect of dilution
69,447,878
61,776,696
69,447,878
61,776,696
Basic earnings per share 
As at 31 December
Underlying 
2025 
Pence
Underlying 
2024 
Pence
Total 
2025 
Pence
Total 
2024 
Pence
From total operations attributable to the ordinary equity holders 
of the company
15.7
11.0
7.3
30.3
Total basic earnings per share attributable to the ordinary equity 
holders of the company
15.7
11.0
7.3
30.3
From continuing operations attributable to the ordinary equity 
holders of the company
15.7
10.9
7.3
7.9
Total continuing basic earnings per share attributable to the 
ordinary equity holders of the company
15.7
10.9
7.3
7.9
Diluted earnings per share 
As at 31 December
Underlying 
2025 
Pence
Underlying 
2024 
Pence
Total 
2025 
Pence
Total 
2024 
Pence
From total operations attributable to the ordinary equity holders 
of the company
15.6
10.9
7.3
29.9
Total diluted earnings per share attributable to the ordinary 
equity holders of the company
15.6
10.9
7.3
29.9
From continuing operations attributable to the ordinary equity 
holders of the company
15.6
10.8
7.3
7.8
Total continuing diluted earnings per share attributable to the 
ordinary equity holders of the company
15.6
10.8
7.3
7.8
10. Goodwill
On acquisition, goodwill acquired in a business combination is allocated to the cash-generating units (CGUs) that are expected 
to benefit from that business combination. This CGU corresponds to the nature of the business. The goodwill has been 
allocated to CGU as follows: 
As at 31 December
2025 
£’000
2024 
£’000
CGU: Animalcare Europe
39,840
39,360
CGU: Randlab
34,321
−
Total
74,161
39,360
9. Earnings per share CONTINUED
ANIMALCARE GROUP PLC Annual Report 2025
142
Notes to the Consolidated Financial Statements CONTINUED
YEAR ENDED 31 DECEMBER 2025

The changes in the carrying value of the goodwill can be presented as follows for the years 2025 and 2024:
Total 
£’000
As at 1 January 2024
50,656
Disposal of Identicare Limited (note 7)
(10,855)
Currency translation
(441)
As at 31 December 2024
39,360
As at 1 January 2025
39,360
Acquisition of Randlab (note 6)
34,263
Currency translation
538
As at 31 December 2025
74,161
Goodwill allocated to the Animalcare Europe cash-generating unit (CGU), which included Identicare Limited, arises from past 
business combinations. To determine the portion of this goodwill to be disposed of with the sale of Identicare Limited in the prior 
year, the transaction value was calculated as a percentage of the Group’s total market capitalisation at the time of disposal.
Goodwill allocated to the Randlab cash-generating unit (CGU) arises from the business combination disclosed in note 6.
The two principal assumptions used in our value-in-use calculations are the discount rate and the perpetuity growth rate. The 
discount rate is determined to reflect the Group’s cost of capital and risk profile, while the perpetuity growth rate represents 
the long-term sustainable growth of future cash flows.
The discount rate and growth rate (in perpetuity) used for value-in-use calculations are as follows:
Animalcare Europe CGU
2025 
%
2024 
%
Discount rate (pre-tax)
14.2
12.9
Growth rate (in perpetuity)
2.0
2.0
Randlab CGU
2025 
%
2024 
%
Discount rate (pre-tax)
14.9
–
Growth rate (in perpetuity)
2.0
–
The Group’s discount rates, used in the impairment testing of goodwill, have been developed with the assistance of an 
independent third-party adviser. Our adviser’s approach reflects the Group’s geographical exposure by weighting government 
bond yields in line with our operating footprint and incorporating a relevant country-specific risk premium. This methodology 
ensures that the risk-free rate accurately mirrors current market conditions while appropriately capturing the Group’s inherent 
risks, thereby supporting a robust impairment assessment.
Cash flow forecasts are prepared using the current operating budget approved by the Directors, which covers a five-year 
period and an appropriate extrapolation of cash flows, using the long-term growth rate, beyond this. The cash flow forecasts 
assume revenue and profit growth in line with our strategic priorities. Further, we have assessed the potential impact of 
climate change, with reference to our principal risks and the environmental disclosures made in the Sustainability Report and 
consider that the impact on the valuation of goodwill is limited.
The Group conducts its impairment review across both CGUs by assessing a range of reasonably possible changes in key 
assumptions, including discount rates and perpetuity growth rates. Sensitivity analyses show that although the calculated recoverable 
amount is sensitive to movements in these assumptions, none of the scenarios modelled would result in an impairment, indicating 
that while headroom is sensitive, the overall outcome for Animalcare Europe remains robust under all reasonably possible variations. 
As the Randlab CGU was acquired during the year, its performance will continue to be monitored closely against the assumptions 
underpinning the acquisition case, and any underperformance may indicate a potential impairment in future periods.
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
143

11. Intangible assets 
The changes in the carrying value of the intangible assets can be presented as follows for the years 2025 and 2024:
R&D 
assets 
£’000
Patents, 
distribution 
rights, 
licenses & 
registrations 
£’000
Product 
portfolios, 
product 
development 
costs & 
brand names 
£’000
Capitalised 
software 
£’000
Intangible 
assets under 
construction 
£’000
Customer 
relationships 
£’000
Total 
£’000
Acquisition value/cost
As at 1 January 2024
10,904
18,779
41,500
4,983
203
−
76,369
Additions
812
59
788
589
554
−
2,802
Disposals
(74)
−
−
(3)
−
−
(77)
Identicare disposal
−
−
−
(1,554)
(198)
−
(1,752)
Transfers
(1,756)
58
2,115
130
(547)
−
−
Currency translation
(215)
(653)
(848)
(174)
(12)
−
(1,902)
As at 31 December 2024
9,671
18,243
43,555
3,971
−
−
75,440
At 1 January 2025
9,671
18,243
43,555
3,971
−
−
75,440
Additions
491
1,434
896
712
498
−
4,031
Assets acquired through 
business combinations
−
3,794
3,567
−
−
22,477
29,838
Disposals
(29)
1
−
−
−
−
(28)
Transfers
(230)
20
557
151
(498)
−
−
Currency translation
236
661
902
221
−
(369)
1,651
As at 31 December 2025
10,139
24,153
49,477
5,055
−
22,108
110,932
R&D 
assets 
£’000
Patents, 
distribution 
rights, 
licenses & 
registrations 
£’000
Product 
portfolios, 
product 
development 
costs & 
brand names 
£’000
Capitalised 
software 
£’000
Intangible 
assets under 
construction 
£’000
Customer 
relationships 
£’000
Total
£’000
Accumulated amortisation
−
−
As at 1 January 2024
(5,629)
(17,187)
(29,135)
(3,834)
−
−
(55,785)
Amortisation
(876)
(870)
(3,402)
(895)
−
−
(6,043)
Identicare disposal
−
−
−
1,362
−
−
1,362
Impairments
(23)
−
−
−
−
−
(23)
Currency translation
163
629
715
139
−
−
1,646
As at 31 December 2024
(6,365)
(17,428)
(31,822)
(3,228)
−
−
(58,843)
At 1 January 2025
(6,365)
(17,428)
(31,822)
(3,228)
−
−
(58,843)
Amortisation
(862)
(741)
(3,573)
(762)
−
(1,798)
(7,736)
Impairments
(4)
(29)
(83)
−
−
−
(116)
Currency translation
(195)
(714)
(825)
(188)
−
(44)
(1,966)
As at 31 December 2025
(7,426)
(18,912)
(36,303)
(4,178)
−
(1,842) (68,661)
Net carrying value
As at 31 December 2025
2,713
5,241
13,174
877
−
20,266
42,271
As at 31 December 2024
3,306
815
11,733
743
−
−
16,597
ANIMALCARE GROUP PLC Annual Report 2025
144
Notes to the Consolidated Financial Statements CONTINUED
YEAR ENDED 31 DECEMBER 2025

R&D assets relates to acquired development projects as part of the Esteve business combination in 2015, the reverse 
acquisition of Animalcare Group plc in 2017 and external and internal R&D costs for which the capitalisation criteria are met. 
Patents, distribution rights, licenses & registrations include amounts paid for exclusive distribution rights as well as distribution 
rights acquired as part of the Esteve business combination in 2015 and the reverse acquisition of Animalcare Group plc 
in 2017. 
Product portfolios, product development costs and brand names relate to amounts paid for acquired brands as well as external 
and internal product development costs capitalised on the development projects in the pipeline for which the capitalisation 
criteria are met.
The net book value of non-commercialised development projects, which refers to projects that have not yet reached the 
commercial launch phase (the point at which the asset becomes available for use) is £2,991k (2024: £2,666k) and is allocated 
to R&D assets for £598k, Patents, distribution rights, licenses & registrations for £1,410k and Product portfolios, product 
development costs & brand names for £983k. No amortisation was charged.
The capitalised software includes IT driven by accelerated CRM software investment.
The total amortisation charge for 2025 is £7,736k (2024: £6,043k), which is included in selling and marketing expenses and 
general and administrative expenses of the consolidated income statement. Included in the total amortisation charge is 
£5,640k (2024: £3,988k) relating to acquisition-related intangibles and £2,096k (2024: £2,055k) relating to other intangibles. 
An impairment charge of £116k (2024: £23k) related to a non-cash impairment charge of acquisition-related intangibles of 
R&D assets. In 2025, Animalcare Group plc invested £4,031k (2024: £2,802k) in intangible assets.
During the year, the Group acquired full ownership of the VHH NGF antibody programme and associated intellectual property 
from Orthros Medical for €1,041k (£908k). The acquisition provides the Group with ownership and control of intellectual 
property and associated assets, as a result, all remaining development, regulatory and commercial milestone obligations, as 
well as future royalty commitments linked to product commercialisation, have been extinguished. Upfront payments made in 
prior years under the original licensing arrangements (€600k, of which €530k is recognised within “Product portfolios, product 
development costs & brand names”) remain appropriately capitalised, with no further financial obligations due under the 
previous agreements.
The Group has also entered into a licence agreement with 272Bio to develop a novel biological treatment for a common 
equine skin condition (Sweet Itch). The Group made an upfront licence payment of €575k (£501k) during the year which has 
been capitalised and is recognised within “Patents, distribution rights, licenses & registrations ”.
During the year, the Group completed the acquisition of Randlab, resulting in the recognition of additional intangible assets 
within the consolidated balance sheet. As outlined in note 6, the recognised assets comprise customer relationships, brand 
names and registrations, all measured at fair value at the acquisition date in accordance with IFRS 3 Business Combinations.
The transfers of intangible assets under construction involves the allocation of internally generated assets to various R&D 
projects, including those relating to patents, distribution rights, licenses, as well as product portfolios and development costs.
Transfers from R&D assets to product portfolios, product development costs & brand names occur when an R&D project 
advances to a stage where it is ready for commercialisation. Subsequently, the transferred value of these assets initiates 
depreciation in accordance with their remaining useful life.
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
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GOVERNANCE
145

12. Property, plant and equipment
The changes in the carrying value of the property, plant and equipment for 2025 and 2024 are presented below:
Property, 
plant and 
equipment 
£’000
Office 
furniture 
and office 
equipment 
£’000
Warehouse 
and office 
fittings 
£’000
Leasehold 
improvements 
£’000
Total 
£’000
Acquisition value/cost
As at 1 January 2024
256
1,375
142
279
2,052
Additions
−
42
1
165
208
Disposals
(123)
(174)
−
(49)
(346)
Identicare disposal
−
(91)
(143)
−
(234)
Currency translation
(11)
(57)
−
(13)
(81)
As at 31 December 2024
122
1,095
−
382
1,599
As at 1 January 2025
122
1,095
−
382
1,599
Additions
27
194
−
−
221
Acquired assets through business combinations
640
85
−
106
831
Disposals
−
(26)
−
−
(26)
Currency translation
(36)
49
−
9
22
As at 31 December 2025
753
1,397
−
497
2,647
Accumulated depreciation
As at 1 January 2024
(170)
(1,187)
(25)
(267)
(1,649)
Depreciation charge for the year
(10)
(61)
(2)
(37)
(110)
Disposals
123
174
−
49
346
Identicare disposal
−
19
27
−
46
Currency translation
7
52
−
14
73
As at 31 December 2024
(50)
(1,003)
−
(241)
(1,294)
At 1 January 2025
(50)
(1,003)
−
(241)
(1,294)
Depreciation charge for the year
(24)
(71)
−
(40)
(135)
Disposals
−
7
−
−
7
Currency translation
2
(50)
−
(9)
(57)
As at 31 December 2025
(72)
(1,117)
−
(290)
(1,479)
Net book value
As at 31 December 2025
681
281
−
207
1,168
As at 31 December 2024
72
92
−
141
305
ANIMALCARE GROUP PLC Annual Report 2025
146
Notes to the Consolidated Financial Statements CONTINUED
YEAR ENDED 31 DECEMBER 2025

13. Investments in associates
The Group carried an investment in a joint venture (STEM Animal Health Inc.) which was accounted for using the equity 
method up to 12 April 2024 when the interest in the joint venture was sold.
On 13 June 2025 the Group announced that it had acquired a 25% strategic equity stake in InVetro Pty Ltd (InVetro), an 
Australian-based Companion Animal health business. The Group acquired it’s 25% share, via its 100% subsidiary Animalcare 
Australia Pty Ltd, for a cash consideration of AUD$3m (GBP£1.4m), which was payable at the point of completion. Based on 
the existing voting rights (25%) and other contractual arrangements, the Group does not have control over the investee as 
defined under IFRS 10 Consolidated Financial Statements but is considered to hold significant influence in accordance with IAS 
28 Investments in Associates and Joint Ventures.
Name of entity
Place of 
business/
country of 
incorporation
% of ownership 
interest
Nature of 
relationship
Measurement 
method
Carrying amount
2025 
%
2024 
%
2025 
£’000
2024 
£’000
InVetro Pty Ltd
Australia
25.00%
–
Associate Equity method
1,493
–
The tables below provide summarised financial information for the interest in InVetro Pty Ltd. which is material to the group. 
The information disclosed reflects the amounts presented in the financial statements of InVetro Pty Ltd and not Animalcare’s 
share of those amounts.
As part of Animalcare’s 25% investment in InVetro Animal Health Pty Ltd, the Group entered into put and call option 
arrangements that allow the parties to transact additional shares between 1 July 2029 and 30 June 2030. These options are 
classified as derivatives in accordance with IFRS 9 Financial Instruments and are measured at fair value through profit or loss. 
Based on current projections, exercise of the options is not currently expected to generate an economic benefit for either 
party, resulting in a fair value of nil at 31 December 2025.
As at 31 
December 
2025 
£’000
As at 31 
December 
2024 
£’000
Non-current assets
124
−
Current assets
1,496
−
Total assets
1,620
−
Non-current liabilities
−
−
Current liabilities
(30)
−
Total liabilities
(30)
−
Net assets
1,590
−
The table below shows the Animalcare Group share at 25%:
As at 31 
December 
2025 
£’000
As at 31 
December 
2024 
£’000
Net assets
398
−
Goodwill
1,095
−
Investment value in associate
1,493
−
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
147

Summarised statement of comprehensive income
For the year 
ended 31 
December 
2025 
£’000
For the year 
ended 31 
December 
2024 
£’000
Sales
566
636
Operating expenses
(552)
(533)
Financial result, net
−
38
Net gain for the year
14
141
For the year 
ended 31 
December 
2025 
£’000
For the year 
ended 31 
December 
2024 
£’000
Group share in net gain
4
47
Depreciation on fair value adjustments on intangible fixed assets (net of deferred tax)
−
(16)
Total Group share in net gain for the year
4
31
Other comprehensive expense
−
(25)
Group share in total comprehensive income
4
6
Reconciliation of the aforementioned financial information with the net carrying amount of the investment in the consolidated 
financial statements:
As at 31 
December 
2025
£’000
As at 31 
December 
2024
£’000
As at 1 January
−
1,119
Acquisition in equity accounted investee InVetro Pty Ltd.
1,440
−
Group share of net gain
4
31
Foreign currency translation differences
49
(25)
Sale of joint venture STEM Animal Health Inc.
−
(1,125)
As at 31 December
1,493
−
14. Inventories
Inventories include the following:
As at 31 December
2025 
£’000
2024 
£’000
Raw materials
1,167
1,625
Goods purchased for resale
12,103
10,129
Total inventories (at cost or net realisable value)
13,270
11,754
The amount of inventory recognised as an expense during 2025 amounts to £36,225k (2024: £31,050k). The inventory 
includes a provision for write-off of £1,013k (2024: £1,220k). Inventory write-offs during 2025 amounted to £896k (2024: 
£856k). These costs are classified as part of costs of goods sold.
13. Investments in associates CONTINUED
ANIMALCARE GROUP PLC Annual Report 2025
148
Notes to the Consolidated Financial Statements CONTINUED
YEAR ENDED 31 DECEMBER 2025

15. Trade receivables, other current assets and other non-current financial assets
Trade receivables include the following:
As at 31 December
2025 
£’000
2024 
£’000
Trade receivables
16,059
13,545
Expected credit loss
(85)
(44)
Total
15,974
13,501
The Group applied the IFRS 9 Financial Instruments simplified approach to measuring expected credit losses which uses a 
lifetime expected loss allowance for all trade receivables based on historical losses. Trade receivables are non-interest-bearing 
and are generally on payment terms of between 30 and 90 days.
As at 31 December 2025, trade receivables of an initial value of £85k (2024: £44k) were impaired and fully provided for. The 
table below shows the changes in the allowance of receivables.
£’000
As at 1 January 2024
(32)
Additional impairments
(12)
As at 31 December 2024
(44)
At 1 January, 2025
(44)
Additional impairment
(41)
As at 31 December 2025
(85)
Other current assets include the following:
2025 
£’000
2024 
£’000
Other receivables
127
59,951
Prepayments
901
346
Total
1,028
60,297
Other receivables in the prior year included an amount of £59.7m relating to the payment made to acquire Randlab Australia 
Pty Ltd.
Other non-current financial assets are cash guarantees and amount to £82k (2024: £82k) at the end of the reporting year.
16. Cash and cash equivalents
Cash and cash equivalents include the following:
As at 31 December
2025
2024
£’000
£’000
Cash at bank
2,913
11,715
Total
2,913
11,715
Cash and cash equivalents comprise cash and short-term bank deposits with an original maturity of three months or less. 
There were no restrictions on cash in either 2025 or 2024. The year-on-year decrease in cash balance reflects the utilisation of 
funds raised through the Group’s successful £20m equity raise in 2024.
Annual Report 2025 ANIMALCARE GROUP PLC
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FINANCIALS
GOVERNANCE
149

17. Trade payables
As at 31 December
2025 
£’000
2024 
£’000
Trade payables
12,010
12,908
Total
12,010
12,908
The Directors consider that the carrying amount of trade payables approximates to their fair value.
18. Borrowings
Loans and borrowings include the following:
Interest 
rate
Maturity
As at 31 December
2025 
£’000
2024 
£’000
Revolving credit facilities
Euribor +1.26%
March 2029
5,235
16,584
Acquisition loan
Euribor +1.50%
March 2029
6,745
4,146
Lease liabilities
See note 24
3,228
2,435
Total loans and borrowings
15,208
23,165
Of which
Non-current borrowings
9,863
19,754
Non-current lease liabilities (note 24)
2,024
1,594
Current borrowings
2,117
976
Current lease liabilities (note 24)
1,204
841
Borrowing facilities
As of 31 December 2025, the Group had total credit facilities of €54.0m, provided by a syndicate of four banks, with all 
facilities set to mature on 31 March 2029. These facilities include a committed €44.0m revolving credit facility (RCF) and a 
€10.0m acquisition line, which is restricted to acquisition purposes and cannot be used for operational funding.
The loans carry a variable, EURIBOR-based interest rate with an applicable margin of either 1.26% or 1.50%. The RCF features 
bullet repayment at maturity in March 2029, while the acquisition line is amortised through quarterly payments, also 
concluding in March 2029.
The Group centrally manages its banking arrangements through a cross-currency cash pooling system, whereby funds are 
swept daily from various bank accounts into central accounts. This approach optimises the Group’s overall net finance 
expense.
The Group’s credit facilities are subject to the following financial covenants, which are monitored and maintained on a 
monthly basis:
	•
Net debt to underlying EBITDA ratio of no more than 3.5x
	•
Underlying EBITDA to interest ratio of at least 4.0x
	•
Solvency ratio (total assets less goodwill/total equity less goodwill) of more than 25%
At 31 December 2025, net debt (excluding IFRS 16 lease liabilities) was £9.1m (2024: £9.0m). Including net cash balances, total 
on headroom on the revolving credit facility (RCF) was £36.1m as at 31 December 2025.
As at 31 December 2025, and throughout the financial year, the Group was in full compliance with all covenant requirements, 
maintaining significant headroom across all three measures.
ANIMALCARE GROUP PLC Annual Report 2025
150
Notes to the Consolidated Financial Statements CONTINUED
YEAR ENDED 31 DECEMBER 2025

Net debt reconciliation
For the year ended 
31 December
2025 
£’000
2024 
£’000
Net debt
Cash and cash equivalents
2,913
11,715
Borrowings
(11,980)
(20,730)
Lease liabilities
(3,228)
(2,435)
Total
(12,295)
(11,450)
Liabilities from 
financing activities
Other assets
Borrowings 
£’000
Leases 
£’000
Cash 
£’000
Total 
£’000
Net debt as at 1 January 2024
(2,933)
(2,943)
4,642
(1,234)
Financing cash flows
(17,812)
1,090
9,612
(7,110)
New leases and modifications
−
(874)
−
(874)
Foreign exchange adjustments
−
109
(2,539)
(2,430)
Disposal Identicare
−
297
−
297
Interest expense
15
(114)
−
(99)
Net debt as at 31 December 2024
(20,730)
(2,435)
11,715
(11,450)
Financing cash flows
9,651
1,507
(9,063)
2,095
New leases and modifications
−
(1,226)
−
(1,226)
Foreign exchange adjustments
(821)
(80)
261
(640)
Changes due to business combinations
−
(812)
−
(812)
Interest expense
(80)
(182)
−
(262)
Net debt as at 31 December 2025
(11,980)
(3,228)
2,913
(12,295)
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
151

19. Provisions
Provisions consist of the following:
As at 31 December
2025 
£’000
2024 
£’000
Severance costs
152
129
Other
22
21
Total
174
150
Severance payment provisions relate to legal obligations towards commercial agents in Italy.
Severance 
costs 
£’000
Other 
£’000
Total 
£’000
Carrying amount at start of the year
129
21
150
Charged to profit and loss
23
1
24
Carrying amount at end of the year
152
22
174
20. Accrued charges
As at 31 December
2025 
£’000
2024 
£’000
Accrued charges
86
47
Total due within one year
86
47
Accrued charges mainly relate to employee and accrued bank interest costs.
21. Other current liabilities
Other current liabilities include the following:
As at 31 December
2025 
£’000
2024 
£’000
Employee-related liabilities
3,637
3,072
Indirect taxes payable
1,212
1,398
Other rebate related payables
38
743
Total
4,887
5,213
Indirect taxes payable relate to outstanding VAT payable.
ANIMALCARE GROUP PLC Annual Report 2025
152
Notes to the Consolidated Financial Statements CONTINUED
YEAR ENDED 31 DECEMBER 2025

22. Fair value
Financial assets
The carrying value and fair value of the financial assets for 31 December 2025 and 2024 are presented as follows:
Carrying value
Fair value
2025 
£’000
2024 
£’000
2025 
£’000
2024 
£’000
Financial assets measured at amortised cost
Trade and other receivables (current)
15,974
13,501
15,974
13,501
Other financial assets (non-current)
82
82
82
82
Cash and cash equivalents
2,913
11,715
2,913
11,715
Total financial assets measured at amortised cost
18,969
25,298
18,969
25,298
The fair value of the financial assets has been determined on the basis of the following methods and assumptions:
	•
The carrying value of the cash and cash equivalents and the current receivables approximate their fair value due to their 
short-term character
	•
Trade and other receivables are being evaluated on the basis of their credit risk and interest rate. Their fair value is not 
different from their carrying value on 31 December 2025 and 2024
Financial liabilities
The carrying value and fair value of the financial liabilities for 31 December 2025 and 2024 are presented as follows:
Carrying value
Fair value
2025 
£’000
2024 
£’000
2025 
£’000
2024 
£’000
Financial liabilities measured at amortised cost
Borrowings
11,980
20,730
11,980
20,730
Lease liabilities
3,228
2,435
3,228
2,435
Trade payables
12,010
12,908
12,010
12,908
Other rebate related payables
38
743
38
743
Total financial liabilities measured at amortised cost
27,256
36,816
27,256
36,816
Total non-current
11,887
21,348
11,887
21,348
Total current
15,369
15,468
15,369
15,468
The fair value of the financial liabilities has been determined on the basis of the following methods and assumptions:
	•
The carrying value of trade payables and other liabilities approximates their fair value due to the short-term character of 
these instruments
	•
Loans and borrowings are evaluated based on their interest rates and maturity date. Most interest-bearing debts have 
floating interest rates and their fair value approximates to their amortised cost value
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
153

23. Share capital 
As at 31 December
2025 
Number
2024 
Number
Allotted, called up and fully paid ordinary shares of 20p each
69,045,945
68,976,418
As at 31 December
2025 
£’000
2024 
£’000
Allotted, called up and fully paid ordinary shares of 20p each
13,809
13,795
The Company does not have a limited amount of authorised share capital.
The following share transactions have taken place during the year ended 31 December 2025:
As at 31 December 2025
Number
£’000
At 1 January 2025
68,976,418
13,795
Exercise of share options
69,527
14
At 31 December 2025
69,045,945
13,809
As at 31 December 2024
Number
£’000
At 1 January 2024
60,107,926
12,022
Exercise of share options
266,342
53
Capital increase (net of costs)
8,602,150
1,720
At 31 December 2024
68,976,418
13,795
Dividends
As at 31 December
2025 
£’000
2024 
£’000
Ordinary final dividend as at 31 December 2023 of 3.0p per share
−
1,803
Ordinary interim dividend paid as at 31 December 2024 of 2.0p per share
−
1,216
Ordinary final dividend as at 31 December 2024 of 3.0p per share
2,070
−
Ordinary interim dividend paid as at 31 December 2025 of 2.2p per share
1,517
−
3,587
3,019
The interim dividend of 2.2 pence per share was paid in November 2025. 
Following the announcement on 16 April 2026 of a recommended acquisition of Animalcare, the Board proposes no final 
dividend for the year ended 31 December 2025.
ANIMALCARE GROUP PLC Annual Report 2025
154
Notes to the Consolidated Financial Statements CONTINUED
YEAR ENDED 31 DECEMBER 2025

24. IFRS 16 Leases
The balance sheet shows the following amounts relating to leases as at 31 December 2025:
As at 31 
December 
2025
As at 31 
December 
2024
£’000
£’000
Buildings
1,538
1,237
Vehicles
1,312
1,074
Other
203
5
Total right-of-use assets
3,053
2,316
Current lease liabilities
1,204
841
Non-current lease liabilities
2,024
1,594
Total lease liabilities
3,228
2,435
Below are the carrying amounts of right-of-use assets recognised and the movements during the year:
Land and 
buildings 
£’000
Vehicles 
£’000
Other 
£’000
Total 
£’000
Acquisition value/cost
As at 1 January 2024
2,367
2,518
19
4,904
Additions
178
594
3
775
Disposals
(97)
(519)
–
(616)
Disposal of Identicare Limited
(351)
–
(7)
(358)
Currency translation
(90)
(116)
(1)
(207)
Contract modifications
63
29
–
92
As at 31 December 2024
2,070
2,506
14
4,590
Additions
–
884
200
1,084
Acquired assets through business combinations
812
–
–
812
Disposals
–
(691)
–
(691)
Currency translation
88
125
10
223
Contract modifications
37
(166)
48
(81)
As at 31 December 2025
3,007
2,658
272
5,937
Accumulated depreciation
As at 1 January 2024
(782)
(1,298)
(5)
(2,085)
Depreciation charge for the year
(294)
(730)
(4)
(1,028)
Disposals
97
519
–
616
Disposal of Identicare Limited
111
–
–
111
Contract modifications
–
8
–
8
Currency translation
35
69
–
104
As at 31 December 2024
(833)
(1,432)
(9)
(2,274)
Depreciation charge for the year
(573)
(733)
(59)
(1,365)
Disposals
–
648
–
648
Contract modifications
(9)
244
–
235
Currency translation
(54)
(73)
(1)
(128)
As at 31 December 2025
(1,469)
(1,346)
(69)
(2,884)
Net book value
At 31 December 2024
1,237
1,074
5
2,316
At 31 December 2025
1,538
1,312
203
3,053
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
155

Below are the values for the movements in lease liability during the year: 
Lease 
liability 
£’000
As at 1 January 2025
2,435
Additions
1,084
Change due to business combination
812
Interest expense
182
Payments
(1,507)
Modifications
142
Currency translation adjustment
80
As at 31 December 2025
3,228
Lease 
liability 
£’000
At 1 January 2024
2,943
Additions
775
Disposal of Identicare Limited
(297)
Interest expense
114
Payments
(1,090)
Modifications
99
Currency translation adjustment
(109)
At 31 December 2024
2,435
The following amounts are recognised in the income statement:
As at 31 December
2025 
£’000
2024 
£’000
Depreciation expense of right-of-use assets
(1,365)
(1,028)
Interest expense on lease liabilities
(182)
(114)
Gain on IFRS 16 modification
(10)
1
Expense relating to short-term leases and low-value assets
(262)
(182)
Total amount recognised in the income statement
(1,819)
(1,323)
Cash-flows relating to leases are presented as follows:
	•
Cash payments for the principal portion of the lease liabilities as cash flows from financing activities
	•
Cash payments for the interest portion consistent with presentation of interest payments chosen by the Group
	•
Short-term lease payments, payments for leases of low-value assets and variable lease payments that are not included in 
the measurement of the lease liabilities as cash flows from operating activities. In the current and prior year, the cash flow 
for these items equalled the charge to the income statement
24. IFRS 16 Leases CONTINUED
ANIMALCARE GROUP PLC Annual Report 2025
156
Notes to the Consolidated Financial Statements CONTINUED
YEAR ENDED 31 DECEMBER 2025

25. Risks
In the exercise of its business activity, the Group is exposed to credit, liquidity and market risks.
Credit risk
As of 31 December 2025 the Group’s maximum credit risk exposure amounted to £15,974k, corresponding to the trade 
receivables reported in the consolidated financial statements (2024: £13,501k).
The Group manages this risk through a stringent credit collection process. Historically, no significant bad debt losses have been 
incurred. Additionally, the Group does not have any individual customers that account for a material proportion of either the 
consolidated turnover or the year-end trade receivables balance.
The following is an ageing schedule of trade receivables:
Total 
£’000
Non-due 
£’000
< 30 
days 
£’000
31–60 
days 
£’000
61–90 
days 
£’000
91–180 
days 
£’000
> 181 
days 
£’000
Expected 
loss rate
31 December 2025
15,974
14,805
723
94
370
20
(38)
0.5%
Receivables
16,059
14,805
723
94
370
105
(38)
Expected credit loss
85
−
−
−
−
85
–
31 December 2024
13,501
12,806
637
185
(72)
(34)
(21)
0.3%
Receivables
13,544
12,806
637
185
(72)
(34)
22
Expected credit loss
43
−
−
−
−
−
43
Liquidity risk
Liquidity risk represents the risk that the Group may be unable to meet its financial obligations as they fall due. The Group 
manages this risk by relying primarily on operating cash flows to service its financing commitments and by maintaining 
sufficient headroom on its existing credit facilities to provide an additional working capital buffer.
As at 31 December 2025, the Group had the following sources of liquidity available:
	•
Cash and cash equivalents: £2,913k
	•
Undrawn credit facilities with a syndicate of four banks: £33,159k
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
157

The table below provides an analysis of the maturity dates of the financial liabilities:
< 1 year 
£’000
1–3 years 
£’000
4–5 years 
£’000
> 5 years 
£’000
Total 
£’000
At 31 December 2025
Borrowings1
(2,177)
(9,878)
−
−
(12,055)
Lease liabilities
(1,307)
(1,874)
(293)
(12)
(3,486)
Trade payables
(12,010)
−
−
−
(12,010)
Other current liabilities
(4,887)
−
−
−
(4,887)
Total
(20,381)
(11,752)
(293)
(12)
(32,438)
< 1 year 
£’000
1–3 years 
£’000
4–5 years 
£’000
> 5 years 
£’000
Total 
£’000
At 31 December 2024
Borrowings1
(1,021)
(2,927)
(16,886)
−
(20,834)
Lease liabilities
(841)
(1,290)
(325)
(143)
(2,599)
Trade payables
(12,545)
−
−
−
(12,545)
Other current liabilities
(5,213)
−
−
−
(5,213)
Total
(19,620)
(4,217)
(17,211)
(143)
(41,191)
1	 The maturity analysis for borrowings includes both principal and the related interest components, reflecting the variable interest rate in effect at the reporting date. This 
results in £60k being included within borrowings due within one year and £15k within borrowings due in one to three years, whereas the balance sheet presents only 
the contractual principal amounts.
The amounts disclosed in the table above are the contractual undiscounted cash flows. The lease liabilities are translated at 
closing rate. Balances due within one year equal their carrying balances as the impact of discounting is not significant. 
The Group’s indebtedness and its restrictions and covenants agreed upon in the financing agreements may adversely affect 
the Group’s liquidity position. Any breach of covenants can lead to loans being immediately due and payable.
To enhance cash management, the Group operates an international cash pooling system across multiple banks, designed to 
reduce excess cash holdings. The Group closely monitors cash balances across its entities and utilises short-term credit line 
withdrawals to further optimise cash levels.
25. Risks CONTINUED
ANIMALCARE GROUP PLC Annual Report 2025
158
Notes to the Consolidated Financial Statements CONTINUED
YEAR ENDED 31 DECEMBER 2025

Foreign exchange risk
The Group undertakes transactions denominated in foreign currencies which give rise to the risks associated with currency 
exchange rate fluctuations. Exposures are managed by a combination of matching foreign currency income and expenditure, 
maintaining foreign currency deposits and the use of forward contracts. The carrying values of the Group’s foreign currency 
assets and liabilities, including intercompany balances, at the reporting date were:
As at 31 December
Assets 
2025 
£’000
Asset 
2024 
£’000
Liabilities 
2025 
£’000
Liabilities 
2024 
£’000
EUR/GBP
(491)
13,328
79,934
62,435
GBP/EUR
307
30,245
56
44,267
EUR/USD
1,994
1,460
2,007
703
GBP/USD
(134)
−
26
153
EUR/CAD
−
−
18
17
EUR/SEK
7
6
−
2
EUR/DKK
−
−
1
1
EUR/AUD
26,123
59,327
−
−
GBP/AUD
324
324
−
−
AUD/USD
−
−
24
−
AUD/GBP
−
−
48
−
AUD/NZD
248
−
2
−
NZD/AUD
−
−
425
−
AED/AUD
−
−
524
−
The cumulative effect of the foreign currency translation effects is reported as other reserves in the statement of financial 
position and amounts to £1,915k (2024: £2,090k) with the movement of £175k charge (2024: charge of £528k) recognised 
through the consolidated statement of comprehensive income.
At the end of the reporting year, the Group is mainly exposed to EUR, AUD and USD. The following table details the effect of 
a 10.0% increase and decrease in the exchange rate of these currencies against the functional currencies GBP and EUR when 
applied to outstanding monetary items denominated in foreign currency as at 31 December 2025. A positive number indicates 
that an increase in profit would arise from a 10.0% change in value of GBP, EUR or AUD against these currencies; a negative 
number indicates that a decrease would arise.
Strengthening 
£’000
Weakening 
£’000
EUR/GBP
8,043
(8,043)
GBP/EUR
5,578
(5,578)
AED/AUD
52
(52)
NZD/AUD
42
(42)
GBP/USD
16
(16)
EUR/CAD
2
(2)
GBP/AUD
(32)
32
EUR/USD
1
(1)
AUD/NZD
(25)
25
EUR/AUD
(2,621)
2,621
AUD/USD
2
(2)
AUD/GBP
5
(5)
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
159

Interest rate risk
The maturity dates and interest rates of the Group’s financial debts and liabilities are detailed in note 18. The Group’s exposure 
to interest rate risk primarily relates to its existing borrowing facilities, which are subject to variable interest rates. There are no 
significant differences between the nominal interest rates disclosed in note 18 and the effective interest rates of these loans.
A 100 basis point (bp) change in interest rates would have impacted the Group’s financial result by approximately £149k in 2025 
and £154k in 2024. In 2025, a 100 bp increase would have reduced the financial result, while a 100 bp decrease would have 
improved it. In 2024, the opposite applied: a 100 bp increase would have improved the financial result, and a 100 bp decrease 
would have reduced it. The change in sensitivity between years reflects the Group’s cash management approach. In 2024, the 
Group held excess cash in term deposits, increasing exposure to interest rate movements. In 2025, no excess cash was placed in 
term deposits, resulting in a lower potential uplift from rising rates and a corresponding shift in the sensitivity profile.
26. Remuneration paid to the Company’s auditors
For the year ended 
31 December
2025 
£’000
2024 
£’000
Fees payable to the Company’s auditor for the audit of the Company’s annual financial statements
316
324
The audit of the Company’s subsidiaries pursuant to legislation
176
151
Total audit fees
492
475
Other services
10
9
Total non-audit fees
10
9
Total auditors’ remuneration
502
484
Of which paid to:
Current auditor
502
409
Prior auditor
−
75
25. Risks CONTINUED
ANIMALCARE GROUP PLC Annual Report 2025
160
Notes to the Consolidated Financial Statements CONTINUED
YEAR ENDED 31 DECEMBER 2025

27. Share-based payments
The Group operates a number of equity-settled share-based payment programmes that allow employees to acquire shares in the 
Group. The Group also operates long-term incentive plans for certain members of the Senior Executive team and other members 
of the Leadership team. Equity-settled share-based payments are measured at fair value (excluding the effect of non-market 
based vesting conditions) at the date of grant. The fair value determined at the grant date of such equity-settled share-based 
payments is expensed on a straight-line basis over the vesting period, based on the Group’s estimate of shares that will eventually 
vest and adjusted for the effect of non-market based vesting conditions (with a corresponding movement in equity).
The fair value of the options issued under the long-term incentive plan have been determined using industry standard 
methods, in conjunction with a third-party valuation specialist.
The Group recognised a total share-based payment charge of £214k (2024: £678k). In the prior year, £259k of the total charge 
was included within nonunderlying items
Long-term incentive plan (LTIP)
The Group has made a number of awards pursuant to the long-term incentive plan as follows:
2025 LTIP 
option
2024 LTIP 
option
2023 LTIP 
option
2022 LTIP 
option
2021 LTIP 
option
2020 LTIP 
option
2019 LTIP 
option
Outstanding at 1 January
−
439,690
168,008
280,579
−
−
−
Granted during the year
449,367
−
−
−
−
−
−
Vested during the year
−
−
−
(250,062)
−
−
−
Lapsed during the year
−
−
(75,048)
(30,517)
−
−
−
Outstanding at 31 December
449,367
439,690
92,960
−
−
−
−
Exercisable at 31 December 2025
214,284
99,055
11,844
7,916
The options outstanding and exercisable at the year-end have a weighted average remaining contractual life of 8.3 years.
The options granted will vest subject to the following performance conditions based on EPS being met:
Earnings per share growth
Extent to which EPS tranche will vest
Less than 3%
0%
3%
25%
10%
100%
Between 3% and 10%
Between 25% and 100% on a straight-line basis
All options granted are subject to the same TSR performance criteria as per the table below:
Rank of the Company’s TSR compared to the comparator 
group
Extent to which the TSR tranche will vest
Upper quartile or above
100%
Between median and upper quartile
Pro rata between 25% and 100% on a ranking basis
Median
25%
Below median
0%
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
161

2025 LTIP Options
On 28 November 2025 and 22 December 2025, the Board approved two separate grants of nil‑cost options under the LTIP. 
These comprised 155,145 options awarded to members of the Leadership Team and 294,222 options awarded to members 
of the Senior Executive Team, each over ordinary shares with a nominal value of 20.0 pence per share. The awards will 
become exercisable upon vesting on 31 December 2027 and 22 December 2028 respectively and may be exercised until 
28 November 2035 and 22 December 2035, being the tenth anniversary of the relevant grant dates.
50% of the option award will be subject to the EPS performance condition and the remaining 50% will be subject to the TSR 
performance condition. Accordingly, if one of the performance conditions is met but the other is not, the Option award will 
vest in part. 
Inputs into the option pricing models were as follows:
Senior 
Executive 
Team
Leadership 
Team
Weighted average share price 
£2.38
£2.49
Weighted average exercise price 
£0.20
£0.20
Expected volatility 
27.2%
26.7% 
Expected life 
2.03 years
2.09 years 
Expected dividend yield 
2.02%
2.09% 
Fair value per option – EPS tranche 
£2.05
£2.20 
Fair value per option – TSR tranche 
£1.77
£1.89 
Risk-free rate 
3.67%
3.62% 
2024 LTIP Options
On 24 April 2024, the Board approved the grant of nil-cost options under the LTIP over a total of 439,690 ordinary shares with 
a nominal value of 20.0 pence per share which were awarded to certain members of the Senior Executive Team. The options 
were originally intended to be granted on 30 October 2023, however were deferred due to MAR-related conditions. The LTIP 
awards will vest on 31 December 2026 subject to the performance criteria being met over the three-year financial period 
ending 31 December 2026. On vesting, awards can be exercised until 24 April 2034, being the tenth anniversary of the date 
of grant.
50% of the option award will be subject to the EPS performance condition and the remaining 50% will be subject to the TSR 
performance condition. Accordingly, if one of the performance conditions is met but the other is not, the Option award will 
vest in part.
Inputs into the option pricing models were as follows:
Weighted average share price 
£2.17 
Weighted average exercise price 
£Nil 
Expected volatility 
27.9% 
Expected life 
2.69 years 
Expected dividend yield 
2.30% 
Fair value per option – EPS tranche 
£2.03 
Fair value per option – TSR tranche 
£1.50 
Risk-free rate 
3.85% 
27. Share-based payments CONTINUED
ANIMALCARE GROUP PLC Annual Report 2025
162
Notes to the Consolidated Financial Statements CONTINUED
YEAR ENDED 31 DECEMBER 2025

2023 LTIP Options
On 30 October 2023, the Board approved the grant of nil-cost options under the LTIP over a total of 194,346 ordinary shares with 
a nominal value of 20.0 pence per share which were awarded to certain members of the Senior Executive Team and Leadership 
Team. During the year 75,048 of the options lapsed due to cessation of employment, leaving 92,960 options outstanding.
The LTIP awards will vest on 31 December 2026 subject to the performance criteria being met over the three-year financial 
period ending 31 December 2026. On vesting, awards can be exercised until 30 October 2033, being the tenth anniversary of 
the date of grant.
50% of the option award will be subject to the EPS performance condition and the remaining 50% will be subject to the TSR 
performance condition. Accordingly, if one of the performance conditions is met but the other is not, the Option award will 
vest in part.
The fair value of the options issued under the LTIP have been determined using industry standard methods, in conjunction 
with a third-party valuation specialist.
Inputs into the option pricing models were as follows:
Weighted average share price 
£1.73 
Weighted average exercise price 
£Nil 
Expected volatility 
31.8% 
Expected life 
3.2 years 
Expected dividend yield 
2.55% 
Fair value per option – EPS tranche 
£1.59 
Fair value per option – TSR tranche 
£1.08 
Risk-free rate 
4.39% 
2022 LTIP options
On 28 April 2022, the Board approved the grant of nil-cost options under the LTIP over a total of 302,037 ordinary shares with 
a nominal value of 20.0 pence per share which were awarded to the Company’s Executive Directors and certain members of 
the Senior Executive Team and Leadership Team. During 2023 and 2024 8,175 and 13,283 of the options lapsed respectively 
due to cessation of employment, leaving 280,579 options outstanding.
On 1 July 2025, 250,062 options vested,with the remaining 30,517 options lapsed. Of the 250,062 vested options, 35,778 
options were exercised during the year, leaving 214,284 options unexercised as at 31 December 2025. The participants have 
6.5 years in which to exercise these options.
Details of the performance targets set and actual achievement against them in respect of the 2022 LTIP awards vesting, based 
on a three-year performance to1 July 2025, are set out below:
Performance 
measure
Weighting
Performance 
period end
Threshold (25% 
vesting)
Maximum (100% 
vesting)
Actual
% of vesting 
award
Underlying EPS
50%
1 July 2025
13.0p
15.8p
14.8p
78%
TSR
50%
1 July 2025
Median
Upper quartile
Upper quartile
100%
2021 LTIP option
On 31 December 2024, 124,307 options vested, with the remaining 124,307 options lapsed. Of the 120,307 vested options, 
25,252 options were exercised during the year, leaving 99,055 options unexercised as at31 December 2025. The participants 
have 6 years in which to exercise these options.
2020 LTIP options
On 31 December 2023, 164,982 options vested, with the remaining 164,982 options lapsed. Of the 20,341 vested options 
brought forward to 1 January 2025, 8,497 options were exercised during the year, leaving 11,844 options unexercised as at 
31 December 2025. The participants have 4.9 years in which to exercise these options.
2019 LTIP options
On 6 June 2022, 145,382 options vested, with the remaining 198,709 options lapsed. Of the 7,916 vested options 
brought forward to 1 January 2025, nil options were exercised during the year, leaving 7,916 options unexercised as at 
31 December 2025. The participants have 3.4 years in which to exercise these options.
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
163

28. Related party transactions
This disclosure provides an overview of all transactions with related parties. Interests in subsidiaries are disclosed in note 29.
Transactions between the Company and its subsidiaries, which are related parties, are eliminated in the Consolidated Financial 
Statements and no information is provided thereon in this section. 
Remuneration of the Directors, who are the key management personnel of the Group, is included in the Directors’ 
Remuneration Report, and further disclosed below:
For the year ended 
31 December
2025 
£’000
2024 
£’000
Short-term employee benefits
1,222
1,583
Post-employment benefits
27
27
Share-based payments
168
213
Total
1,417
1,823
Short-term employee benefits include £nil (2024: £392k) arising from gains associated with the exercise of LTIP options during 
the year.
In addition, during the year the Group also acquired a 25% minority interest in InVetro Pty Ltd. This transaction is classified as 
a related party transaction under IAS 24 Related Party Disclosures, as InVetro Pty Ltd is an associate of the Group and not a 
wholly owned subsidiary. The total consideration paid amounted to £1,440k – see note 13. 
ANIMALCARE GROUP PLC Annual Report 2025
164
Notes to the Consolidated Financial Statements CONTINUED
YEAR ENDED 31 DECEMBER 2025

29. Subsidiary undertakings
Name
Country of 
incorporation
Registered address
% equity interest
Consolidation 
method
2025
2024
Ecuphar NV
Belgium
Legeweg 157i, 8020 Oostkamp
100%
100%
Fully consolidated
Ecuphar BV
The Netherlands
Verlengde Poolseweg 16, 4818 
CL Breda
100%
100%
Fully consolidated
Ecuphar Veterinary 
Products BV
The Netherlands
Verlengde Poolseweg 16, 4818 
CL Breda
100%
100%
Fully consolidated
Ornis Sarl
France
Rue de Roubaix 33, 59200 
Tourcoing
100%
100%
Fully consolidated
Ecuphar GmbH
Germany
Brandteichstraße 20, 17489 
Greifswald
100%
100%
Fully consolidated
Euracon Pharma 
Consulting und 
Trading GmbH
Germany
Max-Planck Str. 11, 85716 
Unterschleißheim
100%
100%
Fully consolidated
Ecuphar Veterinaria Slu Spain
C/ Cerdanya, 10-12, pl 6. 08173 
Sant Cugat del Vallés Barcelona
100%
100%
Fully consolidated
Ecuphar Italia S.r.l
Italy
Viale Francesco Restelli, 3/7, 
piano 1, 20124 Milano
100%
100%
Fully consolidated
Belphar LDA
Portugal
Sintra Business Park, Edifício 1, 
Escritório 2K 2710-089 Sintra
100%
100%
Fully consolidated
Animalcare Ltd
United Kingdom
Moorside, Monks Cross, York, 
YO32 9LB
100%
100%
Fully consolidated
Animalcare Australia 
Pty Ltd
Australia
71 Milperra Rd, Revesby NSW
100%
100%
Fully consolidated
Randlab Australia 
Pty Ltd
Australia
71 Milperra Rd, Revesby 
NSW 2212
100%
0%
Fully consolidated
Randlab Middle East 
Veterinary Medicines 
Trading LLC
United Arab 
Emirates
Warehouse 5 Area 3, AL Qusais 
Industrial Estate, Dubai
100%
0%
Fully consolidated
Randlab (New 
Zealand) Ltd
New Zealand
3/180 Montgomerie Road, 
Mangere, Auckland, New Zealand
100%
0%
Fully consolidated
Randlab Pty Ltd
Australia
71 Milperra Rd, Revesby 
NSW 2212
100%
0%
Fully consolidated
InVetro Pty Ltd
Australia
Level 24, Three International 
Towers, 300 Barangaroo Avenue, 
Barangaroo, NSW 2000
25%
0%
Equity method
30. Subsequent events
On 16 April 2026, subsequent to the reporting date, Animalcare Group plc announced that it had reached agreement on 
the terms of a recommended cash offer by CCP Paw 2 Limited, a wholly owned indirect subsidiary of funds managed by 
Charterhouse Capital Partners LLP, to acquire the entire issued and to be issued share capital of the Company. Further details 
are set out in the scheme document that was published on 12 May 2026.
The announcement constitutes a non adjusting event after the reporting period for the purposes of IAS 10 – Events after the 
Reporting Period, and accordingly no adjustments have been made to the financial statements in respect of this.
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
165

Note
As at 31 December
2025 
£’000
2024 
£’000
Non-current assets
 
Investments in subsidiary companies
4
148,696
148,293
Trade and other receivables
5
57,668
19,448
Right-of-use-assets
8
8
20
Deferred tax asset
9
454
571
 
 
206,826
168,332
Current assets
Trade and other receivables
5
2,850
8,643
Cash and cash equivalents
6
–
14
 
 
2,850
8,657 
Total assets
 
209,676
176,989
Current liabilities
 
Trade and other payables
7
(994)
(1,180)
Lease liabilities
8
(7)
(12)
 
 
(1,001)
(1,192)
Net current assets
 
1,849
7,465 
Non-current liabilities
 
Lease liabilities
8
–
(7)
Trade and other payables
7
(24,365)
–
 
 
(24,365)
(7)
Total liabilities
 
(25,366)
(1,199)
Net assets
 
184,310
175,790 
Capital and reserves
Called-up share capital
10
13,809
13,795
Share premium account
149,992
149,992 
Retained earnings
 
20,509
12,003 
Total shareholders’ funds
 
184,310
175,790 
Under Section 408 of the Companies Act 2006 the Company is exempt from the requirement to present a separate Profit and 
Loss account in these separate financial statements. The total comprehensive income dealt with in the financial statements of 
the Company was £11,677k (2024: £6,883k).
The notes on pages 168 to 175 are an integral part of these financial statements.
The financial statements of Animalcare Group plc, registered number 01058015, on pages 166 to 175, were approved by the 
Board of Directors and authorised for issue on 13 May 2026. They were signed on their behalf by: 
JENNIFER WINTER	
	
CHRIS BREWSTER	
Chief Executive Officer	
	
Chief Financial Officer
ANIMALCARE GROUP PLC Annual Report 2025
166
Company Statement of Financial Position 
AS AT 31 DECEMBER 2025

Note
Share 
capital 
£’000 
Share 
premium 
£’000
Retained 
earnings 
£’000
Total 
shareholders’ 
funds 
£’000
Balance at 1 January 2024
12,022
132,798
7,745
152,565
Total comprehensive income for the year
–
–
6,883 
6,883 
Transactions with owners of the Company, recognised in 
equity:
Capital increase (net of costs)
10
1,720
17,194
–
18,914
Exercise of share options
10
53
–
–
53
Dividends paid
3
–
–
(3,019)
(3,019)
Share-based remuneration 
11
–
–
394
394
Balance at 31 December 2024 and 1 January 2025
 
13,795
149,992
12,003
175,790 
Total comprehensive income for the year
–
–
11,677
11,677
Transactions with owners of the Company, recognised in 
equity:
Exercise of share options
10
14
–
–
14
Dividends paid
3
–
–
(3,587)
(3,587)
Share-based remuneration 
11
–
–
416
416
Balance at 31 December 2025
 
13,809
149,992
20,509
184,310
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
167
Company Statement of Changes in Equity 
YEAR ENDED 31 DECEMBER 2025

1. Material accounting policies
The following accounting policies have been applied 
consistently in dealing with items which are considered 
material in relation to the financial statements of the 
Company.
Financial Information
Animalcare Group plc (“the Company”) is a public company 
limited by shares incorporated in the United Kingdom under 
the Companies Act 2006 and is domiciled in the United 
Kingdom. The address of its registered office is Moorside, 
Monks Cross, York, YO32 9LB. The Company’s principal 
activities are that of a holding company for the Group’s 
subsidiaries.
Basis of preparation
The Company financial statements cover year from 
1 January 2025 to 31 December 2025. 
The financial statements have been prepared and approved 
by the Directors under the historical cost convention, in 
accordance with Financial Reporting Standard 101 “Reduced 
Disclosure Framework” (FRS 101) and in conformity with the 
requirements of the Companies Act 2006. 
The Company has elected to adopt FRS 101 for the year 
ended 31 December 2025 and its comparatives. In preparing 
these financial statements, the Company has applied the 
recognition, measurement and disclosure requirements of 
International Financial Reporting Standards as adopted by 
the UK (UK-adopted international accounting standards), but 
has made amendments where necessary in order to comply 
with the Companies Act 2006 and to take advantage of FRS 
101 disclosure exemptions. The Company has departed 
from consistent accounting policies with the Group as the 
Group financial statements are prepared under UK-adopted 
international accounting standard and the Company 
Directors have taken the decision to prepare the Company 
financial statements in accordance with FRS 101.
Under Section 408 of the Companies Act 2006 the Company is 
exempt from the requirement to present a separate Profit and 
Loss account in these separate financial statements. The total 
comprehensive income dealt with in the financial statements 
of the Company was £11,677k (2024: £6,883k profit). 
Disclosure exemptions adopted
Under FRS 101, the following disclosures exemptions have 
been adopted:
	•
Preparation of a cash flow statement – IAS 7 Statement of 
Cash flows
	•
Paragraphs 45(b) and 46 to 52 of IFRS 2 Share-based 
Payment requiring the details of the number and 
weighted average exercise prices of share options, and 
how the fair value of goods or services received was 
determined
	•
The requirements in IAS 24 Related Party Disclosures to 
disclose related party transactions entered into between 
two or more members of the Group as they are wholly 
owned within the Group
	•
Paragraph 17 of IAS 24 Related Party Disclosures (key 
management compensation)
	•
Paragraphs 30 and 31 of IAS 8 Accounting policies, 
changes in accounting estimates and errors (requirement 
for the disclosure of information when an entity has not 
applied a new IFRS that has been issued but is not yet 
effective)
	•
IFRS 7 Financial Instruments: Disclosure
Going concern
The Company is the Parent of the Group, therefore for the 
purposes of the assessment of going concern the Group as a 
whole is considered, as financing is arranged on a group-wide 
basis. 
​As of 31 December 2025, the Group had total credit facilities 
of €54.0m, provided by a syndicate of four banks, with all 
facilities set to mature on 31 March 2029. These facilities 
include a committed €44.0m revolving credit facility 
(RCF) and a €10.0m acquisition line, which is restricted to 
acquisition purposes and cannot be used for operational 
funding.
The Group centrally manages its banking arrangements 
through a cross-currency cash pooling system, whereby 
funds are swept daily from various bank accounts into central 
accounts. This approach optimizes the Group’s overall net 
interest payable position.
The Group’s credit facilities are subject to the following 
financial covenants, which are monitored and maintained at 
all times:
	•
Net debt to underlying EBITDA ratio of no more than 3.5x
	•
Underlying EBITDA to interest ratio of at least 4.0x
	•
Solvency ratio (total assets less goodwill/total equity less 
goodwill) of more than 25%
As of 31 December 2025, and throughout the financial 
year, the Group was in full compliance with all covenant 
requirements, maintaining significant headroom across all 
three measures.
The principal risks and uncertainties facing the Group are set 
out in the Strategic Report.
ANIMALCARE GROUP PLC Annual Report 2025
168
Notes to the Company Financial Statements
YEAR ENDED 31 DECEMBER 2025

The Directors have prepared cash flow forecasts covering 
a period to December 2027, being at least twelve months 
from the date of approval of these financial statements (the 
going concern assessment period). These forecasts indicate 
that the Group will have sufficient funds and liquidity to 
meet its obligations as they fall due, in particular when taking 
into account the potential impact of “severe but plausible” 
downside scenarios to factor in a range of downside revenue 
estimates, higher than expected inflation across our cost 
base, and a higher level of investment in our early-stage R&D 
portfolio, with corresponding mitigating actions. The Group 
also conducted a reverse stress test assessment to evaluate 
the performance decline necessary to breach its banking 
covenants. The required decline was found to be so severe 
that it was considered implausible, as it would necessitate a 
significant reduction in both gross margin and cash conversion 
to breach the Group’s tightest covenant. The output from 
these scenarios shows that the Group expects to comply with 
its banking covenants associated with the current committed 
facilities throughout the going concern assessment period. 
Subsequent to the reporting date, on 16 April 2026, 
the Group announced a recommended acquisition (the 
“Acquisition”) of Animalcare Group plc by CCP Paw 2 Limited, 
a wholly‑owned indirect subsidiary of funds managed 
by Charterhouse Capital Partners LLP (“Charterhouse”). 
Completion of the transaction remains subject to customary 
conditions, including shareholder approval and court 
sanction, and therefore there is uncertainty at the date of 
approval of these financial statements as to whether, and 
when, the transaction will complete.
The Directors have considered Charterhouse’s stated 
intentions for the Group, but acknowledge that decisions as 
to the future of the Group will be outside of their control.
The Acquisition, therefore, gives rise to a material uncertainty 
related to events or conditions that may cast significant 
doubt on the Group’s ability to continue as a going concern. 
Notwithstanding this, these financial statements have been 
prepared on a going concern basis and therefore do not 
contain the adjustments that would result if the Group was 
unable to continue as a going concern. The Directors do not 
expect this to impact the continued operation of the Group 
in the 12 months from the date of approval of these financial 
statements.
In the event that the acquisition does not complete, the 
Group would continue to operate as normal, relying on its 
existing funding arrangements and the successful execution 
of its business plan. Notwithstanding the uncertainty set out 
above, and for the reasons set out above, the Directors are 
satisfied that it is appropriate to prepare the Group financial 
statements on a going concern basis.
Employee benefits – pensions
The Company operates a stakeholder pension scheme 
available to all eligible employees. Payments to this scheme 
are charged as an expense as they fall due. 
Investments in subsidiaries
Investments in Group companies are stated at cost less 
provisions for impairment losses.
Share options issued by the Company to employees in a 
subsidiary of the Group are capitalised as an asset in the 
Company’s financial statements. The capitalised amount is 
recorded as an investment in the subsidiary, and the value of 
the issued Share Options is transferred to the subsidiary. The 
transfer is recorded as an intercompany transaction, with the 
corresponding entry in the subsidiary’s financial statements.
Impairment indicator assessments are undertaken annually 
at the financial year end.
Whenever events or changes in circumstances indicate that 
the carrying amount of investments may not be recoverable, 
they are subject to impairment tests.
Where the carrying value of investments exceeds its 
recoverable amount (i.e. the higher of value in use and fair 
value less costs to sell), the investments are written down 
accordingly.
The Company bases its impairment calculation on detailed 
budgets and forecast calculations, which generally cover a 
period of five years. For longer periods, a long-term growth 
rate is calculated and applied to future cash flows projected 
after the fifth year.
Impairment charges are included in profit or loss.
Dividends
Dividends paid are recognised within the statement of 
changes in equity only when an obligation to pay the 
dividend arises prior to the year end.
Share-based payments
The Company operates a number of equity-settled share-
based payment programmes that allow employees to 
acquire shares of the Company via a Long-Term Incentive 
Plan for certain members of the Leadership Team and 
Executive Directors. Equity-settled share-based payments are 
measured at fair value (excluding the effect of non-market 
based vesting conditions) at the date of grant. The fair value 
determined at the grant date of such equity-settled share-
based payments is expensed on a straight-line basis over 
the vesting period, based on the Company’s estimate of 
shares that will eventually vest and adjusted for the effect of 
non-market based vesting conditions (with a corresponding 
movement in equity).
The fair value of the options issued under the Long-Term 
Incentive Plan has been determined using industry standard 
methods, in conjunction with a third-party valuation 
specialist. 
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
169

Taxation
The tax expense represents the sum of the tax currently 
payable and deferred tax.
The tax currently payable is based on taxable profit for 
the year.
Taxable profit differs from net profit as reported in the 
statement of comprehensive income because it excludes 
items of income or expense that are taxable or deductible 
in other years and it further excludes items that are never 
taxable or deductible. The Company’s liability for current 
tax is calculated using tax rates that have been enacted or 
substantively enacted by the balance sheet date.
Deferred tax is the tax expected to be payable or recoverable 
on differences between the carrying amounts of assets and 
liabilities in the financial statements and the corresponding 
tax bases used in the computation of taxable profit and 
is accounted for using the balance sheet liability method. 
Deferred tax liabilities are generally recognised for all taxable 
temporary differences and deferred tax assets are recognised 
to the extent that it is probable that taxable profits will be 
available against which deductible temporary differences can 
be utilised. Such assets and liabilities are not recognised if 
the temporary difference arises from the initial recognition 
of goodwill or from the initial recognition (other than in 
a business combination) of other assets and liabilities in 
a transaction that affects neither the tax profit nor the 
accounting profit.
The carrying amount of deferred tax assets is reviewed at 
each balance sheet date and reduced to the extent that it 
is no longer probable that sufficient taxable profits will be 
available to allow all or part of the asset to be recovered.
Deferred tax is calculated at the tax rates that are expected 
to apply in the period when the liability is settled or the 
asset is realised. Deferred tax is charged or credited in the 
statement of comprehensive income, except when it relates 
to items charged or credited directly to equity, in which case 
the deferred tax is also dealt with in equity.
Deferred tax assets and liabilities are offset when there is a 
legally enforceable right to set off current tax assets against 
current tax liabilities and when they relate to income taxes 
levied by the same taxation authority and the Company 
intends to settle its current tax assets and liabilities on a 
net basis.
Financial instruments
Financial assets and financial liabilities are recognised in the 
Company’s balance sheet when the Company becomes a 
party to the contractual provisions of the instrument.
Where the Company enters into financial guarantee 
contracts to guarantee the indebtedness of other companies 
within its group, the Company considers these to be financial 
instruments and accounts for them as such. In this respect, 
the Company treats the guarantee contract as a contingent 
liability until such time as it becomes probable that the 
Company will be required to make a payment under the 
guarantee. 
The Company measures loss allowances at an amount equal 
to lifetime ECL, except for bank balances for which credit risk 
(i.e. risk of default occurring over the expected life of the 
financial instrument) has not increased significantly since 
initial recognition which are measured as 12-month ECL. 
Loss allowances for trade receivables and contract assets are 
always measured at an amount equal to lifetime ECL. 
When determining whether the credit risk of a financial 
asset has increased significantly since initial recognition and 
when estimating ECL, the Company considers reasonable 
and supportable information that is relevant and available 
without undue cost or effort. This includes both quantitative 
and qualitative information and analysis, based on the 
Company’s historical experience and informed credit 
assessment and including forward-looking information. 
Measurement of ECLs
ECLs are a probability-weighted estimate of credit losses. 
Credit losses are measured as the present value of all cash 
shortfalls (i.e. the difference between the cash flows due to 
the entity in accordance with the contract and the cash flows 
that the Company expects to receive). ECLs are discounted at 
the effective interest rate of the financial asset. 
Write-offs
The gross carrying amount of a financial asset is written 
off (either partially or in full) to the extent that there is no 
realistic prospect of recovery.
Cash and cash equivalents
Cash and cash equivalents comprise cash in hand, deposits 
repayable on demand, and other short-term highly liquid 
investments that are readily convertible to a known amount of 
cash and are subject to an insignificant risk of changes in value.
Financial liabilities and equity
Financial liabilities and equity instruments are classified 
according to the substance of the contractual arrangements 
entered into. An equity instrument is any contract that 
evidences a residual interest in the assets of the Company 
after deducting all of its liabilities. 
Shares issued by the company are recognised through equity 
and measured at the fair value of the proceeds received, net 
of directly attributable transaction costs. The par value of 
issued shares is recorded in share capital, and any amount 
received in excess of the par value is recorded through share 
premium. Direct costs related to the issuance of shares are 
deducted from the proceeds and recorded as a reduction in 
share premium. Indirect costs are expensed as incurred.
1. Material accounting policies CONTINUED
ANIMALCARE GROUP PLC Annual Report 2025
170
Notes to the Company Financial Statements CONTINUED
YEAR ENDED 31 DECEMBER 2025

New standards adopted as of 2025
Standards and interpretations applicable for the annual period beginning on or after 1 January 2025
	•
Amendments to IAS 21 The Effects of Changes in Foreign Exchange Rates: Lack of Exchangeability
The Group has no transactions that would be affected by the newly effective standards or its accounting policies are already 
consistent with the new requirements. The Group has not early adopted any standards. 
Material accounting judgements, estimates and assumptions
CARRYING VALUE OF INVESTMENTS IN SUBSIDIARY COMPANIES
Investments in subsidiaries are reviewed annually for impairment. This assessment required management to make significant 
judgements and estimates, including an initial assessment as to whether indicators are identified. When indicators are 
identified, determining whether the Company’s investments in subsidiaries have been impaired requires estimations of the 
investment’s value in use or consideration of the net asset value of the entity. These value in use calculations require the entity 
to estimate the future cash flows expected to arise from the investments and suitable discount rates in order to calculate 
present values. Where such calculations are required, they prepared in conjunction with the impairment test in relation to 
goodwill, details of which are provided in note 10 of the consolidated financial statements.
2. Directors’ remuneration and interests
Information relating to Directors’ emoluments and share options, including awards made during the financial year, is set out in 
note 8.7 of the Group’s consolidated financial statements. 
3. Dividends
For the year ended  
31 December
2025 
£’000
2024 
£’000
Ordinary final dividend for the year ended 31 December 2023 of 3.0p per share 
–
1,803
Ordinary interim dividend paid for the year ended 31 December 2024 of 2.0p per share
–
1,216
Ordinary final dividend for the year ended 31 December 2024 of 3.0 p per share 
2,070
–
Ordinary interim dividend paid for the year ended 31 December 2025 of 2.2p per share
1,517
–
3,587
3,019
An interim dividend of 2.2 pence per share was paid in November 2025. Following the announcement on 16 April 2026 of a 
recommended acquisition of Animalcare, the Board proposes no final dividend for the year ended 31 December 2025.
4. Investments in subsidiary companies
Subsidiary undertakings
Cost and net book value
2025 
£’000
2024 
£’000
At 1 January
148,293
148,114
LTIP awards for subsidiary employees
403
179
At 31 December
148,696
148,293
Investments in subsidiaries are assessed annually to determine if there is any indication that these may be impaired. 
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
171

A list of the subsidiary undertakings at the date of the statement of financial position, all of which are wholly owned, is given 
below. 
Name
Country of 
registration or 
incorporation
Registered address
Principal activity
Class
Ecuphar NV
Belgium
Legeweg 157i, 8020 Oostkamp
Holding company, 
marketer of veterinary 
pharmaceuticals
Ordinary
Animalcare Limited1
United Kingdom Moorside, Monks Cross, 
York YO32 9LB
Developer and marketer of 
veterinary pharmaceuticals
Ordinary
Ecuphar BV1
The 
Netherlands
Verlengde Poolseweg 16, 4818 
CL Breda
Marketer of veterinary 
pharmaceuticals
Ordinary
Ecuphar Veterinary 
Products BV1
The 
Netherlands
Verlengde Poolseweg 16, 4818 
CL Breda
Non-trading
Ordinary
Ornis SARL1
France
Rue de Roubaix 33, 59200 Tourcoing
Non-trading
Ordinary
Ecuphar GmbH1
Germany
Brandteichstraße 20, 17489 Greifswald
Marketer of veterinary 
pharmaceuticals
Ordinary
Euracon Pharma 
Consulting & 
Trading GmbH1
Germany
Max-Planck Str. 11, 85716 
Unterschleißheim
Non-trading
Ordinary
Ecuphar 
Veterinaria SLU1
Spain
Carrer Cerdanya, 10, 12, 08173 Sant 
Cugat del Vallès, Barcelona
Developer and marketer of 
veterinary pharmaceuticals
Ordinary
Ecuphar Italia SRL1
Italy
Viale Francesco Restelli, 3/7, 
piano 1, 20124 Milano
Marketer of veterinary 
pharmaceuticals
Ordinary
Belphar LDA1
Portugal
Sintra Business Park , nº 7, Edifício 1 - 
Escritório 2K, 2710 089 Sintra
Marketer of veterinary 
pharmaceuticals
Ordinary
Animalcare 
Australia Pty1
 Australia
71 Milperra Rd, Revesby NSW 2212
Holding company
Ordinary 
Randlab Australia 
Pty Ltd1
Australia
71 Milperra Rd, Revesby NSW 2212
Marketer of veterinary 
pharmaceuticals
Ordinary
Randlab Middle East 
Veterinary Medicines 
Trading LLC1
United Arab 
Emirates
Warehouse 5 Area 3, AL Qusais Industrial 
Estate, Dubai
Marketer of veterinary 
pharmaceuticals
Ordinary
Randlab (New 
Zealand) Ltd1
New Zealand
3/180 Montgomerie Road, Mangere, 
Auckland, New Zealand
Marketer of veterinary 
pharmaceuticals
Ordinary
Randlab Pty Ltd1
Australia
71 Milperra Rd, Revesby NSW 2212
Holding company
Ordinary
1	
These subsidiaries are indirectly owned through related undertakings in the list.
4. Investments in subsidiary companies CONTINUED
ANIMALCARE GROUP PLC Annual Report 2025
172
Notes to the Company Financial Statements CONTINUED
YEAR ENDED 31 DECEMBER 2025

5. Trade and other receivables 
Trade and other receivables include the following:
As at 31 December
2025 
£’000
2024 
£’000
Current receivables
Corporation tax – Group relief 
2,485
2,843
Prepayments
23
58
Amounts due from subsidiaries 
342
5,742
Total current receivables 
2,850
8,643
Non-current receivables
Amounts due from subsidiaries
57,668
19,448
Total non-current receivables
57,668
19,448
Total receivables
60,518
28,091
The corporation tax receivable reflects the relief allocated to fellow Group companies within the same tax group, arising from 
the cumulative taxable loss built up within the Company. 
The Directors consider that the carrying amount of other receivables approximates to their fair value. 
Non‑current amounts due from Group undertakings at 31 December 2025 are unsecured, and repayment may only be made 
with the unanimous written consent of all Parties and only where such repayment would not impair solvency or liquidity. 
There is no expectation of repayment in the foreseeable future.
Current amounts due from Group undertakings are unsecured, have no fixed repayment date and are repayable on demand.
6. Cash and cash equivalents 
As at 31 December
2025 
£’000
2024 
£’000
Cash and cash equivalents
–
14
Cash and cash equivalents comprise cash and short-term bank deposits with an original maturity of three months or less
7. Other financial liabilities
As at 31 December
Note 
2025 
£’000
2024 
£’000
Current liabilities
Trade payables
119
296
Lease liabilities
8
7
12
Taxes and social security costs
139
126
Other creditors
140
201
Accruals
502
557
Amounts due to subsidiaries
94
–
Total current liabilities
1,001
1,192
Non-current liabilities
Amounts due to subsidiaries
24,365
–
Lease liabilities
8
–
7
Total non-current liabilities
24,365
7
Total financial liabilities
25,366
1,199
The Directors consider that the carrying amount of trade and other payables approximates to their fair value. 
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
173

8. IFRS 16 Leases
The balance sheet shows the following amounts relating to leases as at 31 December:
2025 
£’000
2024 
£’000
Vehicles
8
20
Total right-of-use assets
8
20
Current lease liabilities
7
12
Non-current lease liabilities
–
7
Total lease liabilities
7
19
Below are the carrying amounts of right-of-use assets recognised and the movements during the year:
Vehicles 
£’000
Acquisition value/cost
At 1 January 2025 and 31 December 2025
48
Accumulated depreciation
At 1 January 2025
(28)
Depreciation charge for the year
(12)
At 31 December 2025
(40)
Net book value
At 31 December 2025
8
The following amounts are recognised in the income statement:
For the year 
ended 
31 December 
2025 
£’000
Depreciation expense of right-of-use assets
(12)
Total amount recognised in the income statement
(12)
Below are the values for the movements in lease liability during the year:
Lease 
liability 
£’000
As at 1 January 2025
(19)
Payments 
12
As at 31 December 2025
(7)
Interest expense on lease liabilities recognised in the income statement amounted to less than £1k and is therefore not 
disclosed in the tables above. There was no expense incurred during the current or prior year in respect of short-term leases, 
low-value assets or variable lease payments.
ANIMALCARE GROUP PLC Annual Report 2025
174
Notes to the Company Financial Statements CONTINUED
YEAR ENDED 31 DECEMBER 2025

9. Deferred tax asset
The following are the major components of the deferred tax assets recognised by the Company, and the movements thereon, 
during the current and prior reporting period:
Accelerated 
tax 
depreciation 
£’000
Share-based 
payments 
£’000
Tax losses 
’000 
FX gain/loss 
through OCI 
£’000
Other 
£’000
Total 
£’000
Balance at 1 January 2025
(2)
(488)
–
–
(81)
(571)
Credit to income
–
57
(318)
–
77
(184)
Credit to equity reserves 
–
209
(63)
155
–
301
At 31 December 2025
(2)
(222)
(381)
155
(4)
(454)
In the Spring Budget 2021, the UK Government announced that from 1 April 2023 the corporation tax rate would move to 25% 
(rather than remain at 19%, as previously enacted). Deferred taxes as at the balance sheet date have been measured using 
these enacted tax rates and reflected in these financial statements.
10. Called-up share capital
Share capital 
As at 31 December
2025 
Number
2024 
Number
Allotted, called up and fully paid ordinary shares of 20p each
69,045,945
68,976,418
As at 31 December
2025 
£’000
2024 
£’000
Allotted, called up and fully paid ordinary shares of 20p each
13,809
13,795
The Company does not have a limited amount of authorised share capital.
The following share transactions have taken place during the year ended 31 December 2025:
2025
Number
£’000
At 1 January 2025
68,976,418
13,795
Exercise of share options
69,527
14
At 31 December 2025
69,045,945
13,809
11. Share-based payments
For details of the company’s share-based payments arrangements see note 27 of the Group’s consolidated financial statements.
12. Subsequent events
For details of the company’s subsequent events see note 30 of the Group’s consolidated financial statements.
Annual Report 2025 ANIMALCARE GROUP PLC
STRATEGIC REPORT
FINANCIALS
GOVERNANCE
175

Board of Directors
Chair
Ed Torr
Chief Executive Officer
Jennifer Winter
Chief Financial Officer
Chris Brewster 
Non-Executive Directors
Doug Hutchens  
Sylvia Metayer  
Marc Coucke 
Alternate Director to Marc Coucke – Els Degroote
Company Secretary 
Chris Brewster
Company Number	
01058015
Registered Office	  
Moorside, Monks Cross  
York  
YO32 9LB
Independent Auditors 
Grant Thornton UK LLP 
7th Floor, City Square House 
11 Wellington Street 
Leeds 
LS1 4DL
Bankers	
 
KBC Bank UK 
111 Old Broad Street 
London 
EC2N 1BR
Solicitors	
 
Squire Patton Boggs (UK) LLP 
6 Wellington Place 
Leeds 
LS1 4AP
Nominated Adviser 
Stifel Nicolaus Europe Ltd 
150 Cheapside 
London 
EC2V 6ET 
Broker 
Panmure Liberum 
Level 12 Ropemaker Place 
25 Ropemaker Street  
London  
EC2Y 9LY
Registrars 
MUFG Corporate Markets 
Central Square  
29 Wellington Street 
Leeds  
LS1 4DL
ANIMALCARE GROUP PLC Annual Report 2025
176
Directors and Advisers 

The production of this report supports the work of the 
Woodland Trust, the UK’s leading woodland conservation 
charity. Each tree planted will grow into a vital carbon store, 
helping to reduce environmental impact as well as creating 
natural havens for wildlife and people.

Moorside 
Monks Cross Drive  
York 
YO32 9LB, UK
T: +44 (0) 1904 487687 
communications@animalcaregroup.com 
www.animalcaregroup.com