Directors of LifeScan Scotland in Inverness downplay long-term impact of Brexit on their business
ONE of the region’s biggest private employers believes Brexit will not have a long-term “material impact” on the business.
Directors of LifeScan Scotland in Inverness are monitoring the UK’s eventual exit from the EU and assessing potential impact including currency movement.
The health company – which specialises in the development and manufacture of advanced blood glucose monitoring products used by diabetics – has significant operations in the UK and parts of the EU.
A spokesman stated: “We continue to monitor the position of Brexit negotiations and members of the senior management team regularly assess the likely impact of operations mainly affecting our supply chain and supply of products to patients.
“As a result, we consider that the possible range of Brexit outcomes are now established and we have concluded that this risk warrants consideration, rather than being viewed as a composite element of other risks.
“Over the longer term we continue to believe that Brexit will not have a material impact on our business.”
The comments are included in the firm’s latest accounts, for the year ended December 30, 2018.
On October 2, 2018 the firm was divested from parent company Johnson and Johnson.
Despite this and a drop in revenue, directors were satisfied with profits.
And although it is expected to be operating in competitive markets this year, directors remain confident the company will continue to perform well.
Revenue dropped from £114,516,000 in 2017 to £106,668,000 last year. For the same period, pre-tax profit increased from £33,960,000 to £227,283,000.
Directors stated revenue was hit by adverse market conditions, while profit grew primarily due to the change in ownership.
The average number of employees dropped from 961 in 2017 to 947 last year, while staff costs increased from £51,630,000 to £56,995,000.
US-based LifeScan Global Corporation is the new parent company.