Hikma Pharmaceuticals Share News (HIK)

(Sharecast News) - Hikma Pharmaceuticals said it was confident in its outlook for the year as the company sold more products during the Covid-19 crisis.
The FTSE 100 generic drugs company said it made a strong start to 2020 as sales of anaesthetics, anti-infectives and nasal sprays increased.

Injectables revenue will rise by low to mid single digits in 2020 and generics revenue will be between $700m and $750m, Hikma forecast. Branded products revenue is expected to rise by mid single digits, it said.

Hikma said it had increased production to meet extra demand for injectable products during the crisis. Some of its factories for branded products have had slight disruptions but production is getting back to normal, it said.

The company reported on trading before its annual general meeting, where shareholders will vote on the final dividend of 30 cents a share. The payout will take the total 2019 dividend to 44 cents a share - up 16% from 2018.

"In the current environment, this demonstrates the strength of our balance sheet and our confidence in our ability to maintain strong cash generation and low leverage," Chief Executive Siggi Olafsson said.

"Hikma has made a strong start to the year despite the challenging market conditions that have arisen as a result of Covid-19. This is a complex situation which we are continually monitoring, but we have confidence in the outlook for the group and we are pleased to reiterate our full year guidance for 2020."