14th Feb 2014 07:49
LONDON (Alliance News) - Hikma Pharmaceuticals PLC Friday raised its revenue growth forecasts for 2013, saying its injectables and generics businesses performed strongly towards the end of the year, although it cautioned that generics revenues will likely be lower in 2014.
In a trading statement, the company said it now expects revenue growth of 23% for 2013, up from its previous forecast for 20% growth.
It said revenues grew about 14% in its injectables business, and profitability improved. It now expects an adjusted operating profit margin of about 30% for the business. It said its performance in the US had been particularly strong as it focused in higher value products, improved pricing, new product launches and tight cost control.
"We are confident that our Injectables business will continue to deliver strong revenue growth and an adjusted operating margin above 30% in 2014," it said.
However, revenues in its generics business are expected to fall this year as malaria and bacterial infections treatment doxycycline faces increased competition in the US market. Generics revenues of about USD270 million in 2013 were driven by strong sales of doxycycline.
Hikma said its branded business performed in line with expectations in 2013, with revenues growing about 5%, or 8% at constant currencies. It still expects the unit's operating margin to be about 24%, up more than 50 basis points from 2012.
Hikma expects to release its full results for 2013 and detailed guidance for 2014 on March 12.
By Steve McGrath; [email protected]; @SteveMcGrath1
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