(Alliance News) - Hikma Pharmaceuticals PLC on Friday reported sizeable interim profit growth and lifted the full-year outlook for its Generics division.
Revenue for the first half of the year rose 7.4% to USD1.22 billion from USD1.13 billion a year prior as all three of its divisions - Generics, Global Injectables and Branded - performed well.
Pretax profit rose 16% year-on-year to USD319 million from USD274 million, reflecting a solid performance from all three Hikma divisions. Profit attributable to shareholders was USD248 million, a rise of 17%.
Generics delivered "strong" revenue growth and significant margin improvement, while Global Injectables saw modest sales growth after a stellar showing a year ago. Branded achieved double-digit revenue growth and improved margins.
It now expects Generics revenue in the range of USD810 million to USD830 million for 2021 as a whole, up from previous guidance of USD770 million to USD810 million. The guidance boost reflects a strong performance from recently launched products, Hikma explained.
"Our strong performance included solid year-over-year increases in revenue and operating profit, underscoring our ability to generate positive results in challenging market conditions," commented Chief Executive Siggi Olafsson.
"We are continuing to benefit from investments we have made to build our pipeline of new medicines and our progress in the first half underpins our improved outlook for the full year. Looking ahead, our clear strategy, strong pipeline and agility give us the confidence to drive continued growth and deliver increased value to all our stakeholders," Olafsson added.
Full-year forecasts for the other two units were retained. Expected revenue growth for both the Branded and Injectables divisions remains in the mid-single digits.
Hikma declared an interim dividend of 18.0 US cents, up 13% on 16.0 US cents a year previously.
Shares were down 2.7% to 2,570.34 pence in London on Friday early morning.
By Will Paige; willpaige@alliancenews.com
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Hikma Pharmaceuticals (HIK)