Trading Update

RNS Number : 7111N

Plant Health Care PLC

16 June 2010

 



16 June 2010

Plant Health Care

Trading Update

The Company announces that following the notification by one of its key customers of lower than expected sales of the Company's Harpin product in the current growing season resulting in an unanticipated carry-over of inventories, the Company has reduced its expectations of sales of Harpin in 2010 and, in consequence, its expected profit before tax for the year.

The Board believes this is a onetime event and the excess inventory will be moved through the customer's existing channels by year end and deliveries of our Harpin product will realign with its expectations beginning with the 2011 marketing year. Whilst it is still early in the season and therefore difficult to forecast uptake the Board considers that it would be prudent to anticipate that the level of sales into this channel in 2010 may be 50% or more below the previously expected levels. Accordingly, whilst the Board will provide further updates as soon as possible, it is likely that it will not have much visibility on sales until the latter part of the year.

The Board believes the long term prospects for this channel remain as strong as previously expected and with potentially new markets available sales will recover to previously forecasted levels. The Board also confirms that discussions with other potential licencees for Harpin continue to progress well and remains confident of achieving further agreements during the year for application on other crops.

It is expected that the interim results will be released by early September at which time a further update will be provided as to the Board's expectations for the current year.

-Ends-

For further information please visit www.planthealthcare.com or contact:

Plant Health Care	Evolution Securities Limited	Tavistock Communications
John Brady Chief Executive	Tim Worlledge(Nomad) /Tim Redfern (Corporate Broker)	Jeremy Carey/Matt Ridsdale
17 -19 June Tel: [phone] Thereafter: 001 603 525 3702	Tel: [phone]	Tel: [phone]

Notes to Editors:

About Plant Health Care

About Plant Health Care plc: Plant Health Care plc ("PHC") is a leading provider of naturally derived products for plants and soil. Established in 1995 in Pittsburgh (Pennsylvania) in the United States, PHC currently has approximately [90] employees and has operations in the United States, Mexico, the United Kingdom, Spain, and the Netherlands. The Company's ordinary shares have been quoted on the Alternative Investment Market ("AIM") of the London Stock Exchange since July 2004 and listed on the Official List of the Channel Islands Stock Exchange ("CISX") in February 2010 (ticker symbol/ mnemonic: PHC).

PHC's products are aimed at the agriculture and landscape industries and are environmentally beneficial. Through the commercialisation of these products, PHC is capitalising on current long-term trends toward natural systems and biological products for plant care and soil and water management. Further information is available at: www.planthealthcare.com.

 

END

 

 

TSTUNARRRKANAAR