Science in Sport has pulled the UK-based sports nutrition business from the market after completing a strategic review.
The brand owner of SiS and PhD Smart “is no longer within an offer period,” the London-listed company said today (13 assets.
At the time, Science in Sport said it had faced a “challenging environment” including supply chain issues and rising raw material costs.
“The Board of Directors confirms that it has not received any applications for the Company at the time of this announcement,” the Company said in today’s filing.
According to Science in Sport, an “ambitious growth and efficiency plan” has now been launched as the company aims to revisit a 23% compound annual growth rate (CAGR) in sales from 2021 to 2021.
Shares were up 5.9% at 9p as of 3:35pm BST in London.
London-headquartered Science in Sport, which sells protein powders and gels, bars and snacks, vitamins and nutritional supplements to sports retailers, supermarkets and online, also has a new facility consolidating operations from its existing location in Nelson, Lancashire .
The Blackburn plant, also in Lancashire, north-west England, opened last year and includes production, warehousing and offices.
“The cost benefits of the facility being deployed now are expected to provide operational leverage and scaling capacity for continued operations-driven global growth for the foreseeable future,” the company said.
The company supplies internationally, but with key markets in China and the US and the UK, and said the “business is responding well to the new plan, with growth in both regions and distribution channels, price increases and lower costs at the recently commissioned manufacturing and distribution facility , all of which contribute to improved profitability”.
Science in Sport also today provided a trading update for the first quarter of fiscal 2023, with sales up 2.3% to £15.6m ($19.5m) through March. The trading margin increased from 13.7% in the previous year to 20.9% as part of the “implementation of the growth plan”.
2022 results will be released before the end of the current quarter, the company said. In the first half of this year, sales rose 10% to £32.3m, Science in Sport announced in September in connection with the strategic review. Underlying EBITDA turned into a £2.3m loss after a £0.6m profit last year.
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