Medical supplies company ConvaTec Group PLC (LON:CTEC) has achieved full year revenue growth, driven by a strong performance in its wound dressings business.
The group, which floated in London last October, reported an increase in revenue to $1.7bn in the year ended 31 December 2016, from $1.6bn a year earlier.
Chief executive Paul Moraviec said all of its four franchises grew, particularly in the Advanced Wound Care arm, which posted a 6.5% increase in revenue at constant currencies.
The Ostomy Care franchise, which supplies colostomy bags, reported a 1.7% increase in revenue at constant currencies following strategic actions to improve nursing engagement, investment in the direct-to-consumer programme and the closure of previous gaps in the product portfolio.
Revenues in continence and critical care edged up 3.6% at constant currency, bouyed by growth in the GentleCat intermittent catheter portfolio.
The infusion devices franchise delivered a 4.0% increase in revenue at constant currency on the back of strong end-market demand for infusion pumps.
Adjusted underlying earnings (EBITDA) rose to $508mln from $474mln.
Shortly after raising £1.5bn in its initial public offering, which marked the largest in Europe for 20 years, the company completed its first acquisition as a listed company with Netherlands-based EuroTech. The business is expected to strengthen the Ostomy franchise.
“2016 was a transformative year for ConvaTec, culminating in a successful IPO and the refinancing of our debt. We have a diversified business, with leading positions in large and structurally growing markets together with a strong pipeline of innovative new products,” said Moraviec.
Looking ahead, Moraviec said the group is ahead of schedule on its margin improvement plan and expects to achieve around half of the targeted 300 basis points improvement in 2017.
Shares rose 5.77% to 257.43p in early morning trading.