A full year trading update for Science in Sport has painted a picture of strong e-Commerce growth and a significant revenue uptick on the PhD brand, which has it’s first full year’s data included in the 2019 summary.
Starting with PhD nutrition, acquired in November of 2018 and putting the business on course to double in size, revenues followed the forecast rising from £21.3 million in 2018 to £50.5 million.
The sport nutrition giant described 2019 as a “landmark year” on the back of the acquisition. Underlying sales at PhD grew 23% to £26.0 million (2018: pro forma £21.2 million), representing record growth for PhD.
Science in Sport’s own sales grew 24% to £24.5 million (2018: £19.8 million), contributing to the brand’s six-year CAGR of 25% revenue growth.
During 2019 the business, headed up by CEO Stephen Moon, completed the integration of PhD’s protein production into its in-house operations, while a new PhD e-Commerce platform was launched to add the to firm’s ability to grow online trade.
As a whole, e-Commerce trade grew by 34% to £16.1 million, a £4.1 million pro forma gain on 2018. Growth here is to be bolstered by the October 2019 appointment of specialist e-Commerce Director Neil Tinegate.
Among UK retail gains, additional distribution throughout Lidl for Science in Sport and Aldi for PhD benefited the firm to the tune of £21.8 million, or an 8% gain. Tesco took both brands on an extended distribution.
Exports again mirrored the firm’s upwards trajectory, growing 44% to reach £12.6 million. Launches in to the Middle East and Saudi Arabia were key for PhD’s international ambition, while Brazil proved Science in Sports largest new market. A further distribution deal signed in Colombia proved lucrative.
New product development proved a growth driver for both labels, with fresh lines delivering 25% of the group’s total sales growth. The PhD Smart Plant Bar and SiS Football range, in particular, were key sales winners.
Stephen Moon, Science in Sport’s Chief Executive Officer, commented: “2019 was a landmark year for Science in Sport during which we integrated the PhD acquisition as planned and continued our strategic growth focus on e-commerce and international markets. Our executive management team was significantly strengthened during the year which, along with important operational progress, has positioned the Group for the next stage of its growth. We remain confident of the outlook for 2020 and beyond, supported by a robust balance sheet and strong innovation pipeline.”
The firm’s share price currently sits slightly up at 42.45.