CVS Group announce a final dividend of 6.5p per share

DividendMax Ltd.

CVS Group announce a final dividend of 6.5p per share

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

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