3rd Nov 2015 12:21
LONDON (Alliance News) - Pharmaceuticals company Indivior PLC upgraded its net revenue guidance for 2015 again, having done so previously at its interim results, despite its net income and net revenue both declining in the third quarter.
FTSE 250-listed Indivior said it has upgraded its net revenue guidance to a range of USD990.0 million to USD1.01 billion from USD935.0 million to USD965.0 million previously. It had already upgraded that guidance at its interim results in September, when it had hiked guidance from a range of USD850 million to USD880 million.
In addition to the net revenue guidance upgrade, Indivior also upgraded its net income guidance once more, up to a range of USD215.0 million to USD225.0 million from USD185.0 million to USD210.0 million previously. That too had been upgraded at the interims from a range of USD130 million to USD155 million.
The upgraded guidance assumes market conditions in the US, which have been stronger than expected, continue to be robust.
For the third quarter to end September, Indivior's net revenue fell to USD249.0 million from USD270.0 million and its net income declined to USD48.0 million from USD93.0 million. For the nine months to the end of September, net revenue fell 9% to USD766.0 million from USD844.0 million, as strong growth in the opioid dependence market was offset by a weaker market share for Indivior's Suboxone Film treatment and higher rebates in the US.
Net income for the nine-month period was down to USD191.0 million from USD326.0 million, reflecting the lower net revenue and the higher operating costs for the business operating as an independent company. It was spun-out of consumer goods giant Reckitt Benckiser Group PLC last year.
"Our performance this year to date continues to run well ahead of our plan, which anticipated a more challenging market environment beginning in the second quarter," said Chief Executive Shaun Thaxter.
"As we see no imminent change in conditions, we can raise our guidance for the full year. This over-delivery against our plan allows us both to reward shareholders with higher than expected profits, while using a proportion of the over-delivery to reinvest in the long-term organic growth drivers of our business," Thaxter added.
Indivior shares were down 3.2% to 206.70 pence on Tuesday.
By Sam Unsted; [email protected]; @SamUAtAlliance
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