Despite weak demand for the services of electronic instruments group Graseby Plc from the UK’s National Health Service, the company still managed a marked improvement in profits on 1995. The Cambridge company saw a 98.0% rise in profit to 7.7m pounds, including a 290,000 pounds gain on the sales of properties and the disposal of discontinued operations for the year to December 31. Chief executive Paul Lester said the results were above market expectation and he was very pleased. The company said that the medical side of the business had witnessed a swing towards international markets and an increase in marketing and research and development. The acquisition of 3MIT, the drug delivery division of Minnesota Mining & Manufacturing Co in August, boosted medical sales, which would otherwise have been up 11%, but rose to 31.0m pounds, a 51% increase on 1995. Graseby’s product monitoring concerns grew in all markets apart from mainland Europe, and US demand recovered after a lull at the end of 1995 and early 1996. Environmental sales saw a 6% drop on last year, a contributing factor being the reduction of US sales which now account for 60% of the total in this area. The technology arm saw major contracts coming from the US government for its ACADA program, and from the Swiss government amounting to 60m pounds, which Lester said will generate organic growth over the coming year. Lester said Graseby would see improved profits again this year, and will be seeking further acquisitions, with emphasis on the medical sector. The final is unchanged at 3.9p.
