CSL Annual Profit Rises by 20% on Immunoglobulins Growth — Update

By Rhiannon Hoyle

Australia-based pharmaceuticals company CSL on Tuesday said its annual profit rose by 20% on strong growth in its main blood-plasma business and that it expects earnings to rise further in the year ahead.

CSL said its net profit totaled US$2.64 billion in the 12 months ended June 30 versus US$2.19 billion in the year-prior period.

Underlying profit on a constant currency basis was up by 15% to US$3.01 billion. CSL expects underlying profit of between US$3.2 billion and US$3.3 billion at constant currency in fiscal 2025, equal to growth of between 10% and 13%.

CSL has previously said it expects annualized double-digit earnings growth over the medium term and, on Tuesday, Chief Executive Paul McKenzie said the company is well placed to achieve that goal. The company has recently recorded strong growth from immunoglobulins, a key substance collected from plasma.

Directors declared a final dividend of US$1.45 per share, taking its full-year dividend to US$2.64 a share, up 12% year over year.

"Our largest franchise, the immunoglobulins portfolio, delivered exceptional growth driven by significant patient demand and the recovery in CSL Behring's gross margin is progressing to plan," said McKenzie.

Immunoglobulin product sales reached US$5.67 billion, up by 20% on a constant currency basis on what CSL said was strong growth across its markets worldwide. A post-pandemic rebound in plasma collections has continued and the cost per liter, including for donor compensation and labor, has reduced further, CSL said.

CSL's Behring unit, which operates a network of collection centers for plasma to make life-saving therapies, took a hit during the pandemic when lockdowns forced people to stay at home.

McKenzie said CSL's Seqirus business, which makes vaccines, "outperformed the market in a challenging environment" while its Vifor unit, which makes treatments for iron deficiency, continues to grow iron volume in Europe despite generic entrants.

Write to Rhiannon Hoyle at rhiannon.hoyle@wsj.com

(END) Dow Jones Newswires

August 12, 2024 19:23 ET (23:23 GMT)

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