Hikma Pharmaceuticals PLC (LON:HIK) said the quarter to 31 March saw higher demand driven by the spread of the coronavirus.
The FTSE 100-listed pharma giant boosted production within the injectables segment, which includes products used for tackling the pandemic such as anaesthetics and anti-infectives, and is making “significant investments” in the product pipeline.
“We are prioritising the production and delivery of the medicines in highest demand, while continuing to ensure we can supply our broad range of other important medications,” chief executive Siggi Olafsson commented.
The firm recommended the payment of the 30 cents final dividend, bringing the total distribution for 2019 to 44 cents, up 16% on 2018, reiterating guidance for the current year across its segments.
Injectables is expected to grow revenue up to 5-6%, generics revenue is forecast at US$700-750mln and sales in the branded segment are estimated to be around 5%.
According to analysts at Peel Hunt, it is in line with “management’s prudent and conservative approach, but in view of recent sell-side upgrades and the strong share price performance, may see some disappointment reflected in the shares”.
The stock rose 2% to 2,379p on Thursday at the opening bell, close to all time highs of 2,600p reached in 2016.
Published at Thu, 30 Apr 2020 08:53:00 +0000-Hikma sees pandemic-driven demand spike