The CVS Group continues to be cash generative, and despite continuing strong levels of investment in facilities, equipment and acquisitions in the year, they reduced their net debt by £11.9m over the course of the year.
In light of the improvements in financial performance and the continued strong cash generation, the Board is recommending a return to a progressive dividend policy, with the payment of a final dividend of 6.5p per share (2020: £nil).
Other financial highlights include:
Revenue increased by 19.2%, to £510.1m from £427.8m, with strong group like-for-like growth of 17.4% benefitting from favourable market dynamics and a continued focus on providing high quality care to their clients and their animals
The Group delivered adjusted EBITDA growth of 37.3%, to £97.5m from £71.0m, through an increase in revenue across all divisions and effective management of costs
Profit before income tax increased by 234.3% to £33.1m from £9.9m
Leverage fell to 0.68x from 1.14x as a result of strong EBITDA growth and reduction in net debt
Cash generated from operations decreased to £80.3m from £94.8m despite the increase in adjusted EBITDA, due to VAT and taxes deferred in the prior year due to COVID-19, paid in the current year