Healthcare group United Drug has reported a strong half-year performance and has signalled a strong performance for 2002 as a whole.

The group reported a 20 per cent rise in pre-tax profits to €12.9 million in the six months to the end of March, compared with €11.9 million in the same period last year.

Chairman Mr Martin Rafferty said its three business divisions - Pharma Wholesale, Contract Distribution and Contract Sales Outsourcing - have been performing well since March.

"I am confident that United Drug will report another successful year," he said yesterday. Shareholders will receive an interim dividend payment of seven cents per share, a 14 per cent increase on 2001. The dividend will be posted to shareholders on June 24th.

The group's earnings per share rose by 15 per cent to 37.48 cents. Turnover was 16 per cent higher at €568,878 with each of the three divisions achieving growth.

Its most recent acquisition, the British medical devices supplier, New Splint, has reported encouraging results, according to Mr Rafferty. It paid €11.4 million for the company in April.

The group has also been investing in infrastructure to further support and develop its businesses.

This includes upgrading and building new facilities at is Pharma Wholesale division in Ballina, Co Mayo and in Limerick.

It's Contract Distribution division has been extended at Swords, Co Dublin and a new facility at Ashfield in the UK will be competed by the end of the year.

During the six months, United Drug claims to have achieved further growth in the Irish pharmaceutical market.

At the same time, operating costs were reduced through investment in infrastructure and technology.

"The combination of these factors has ensured that United Drug has continued its development, both financially and strategically," Mr Rafferty said.