- Hikma Pharmaceuticals
- 13 August 2024 09:44:41
Source: Sharecast
Hikma reported 10% revenue growth and upgraded guidance for FY24 revenues to 6-8% and core operating profit to $700.0m-730.0m from 4-6% and $660.0m-700.0m, respectively.
Berenberg, which has a 'hold' rating on the stock, stated the upgrades were driven by strong profitability in Hikma's branded business, particularly from sales of oncology and diabetes medication, and the US generics business across the portfolio. Injectables growth was more subdued in H1, but a ramp-up was expected in H2 related to contract manufacturing in Europe.
As a result, the German bank updated its model to factor in guidance upgrades, stating the next catalyst for the stock was likely the filing of denosumab in the US, with development partner Gedeon Richter having already filed in Europe.
Reporting by Iain Gilbert at Sharecast.com