Injectables business boosts Hikma Pharma's profit

March 13 Wed Mar 13, 2013 3:39am EDT

March 13 (Reuters) - Hikma Pharmaceuticals Plc reported a 19 percent rise in full-year profit, helped by strong growth in its lucrative injectables business, which has drawn interest from several bidders.

The company, founded in 1978 in Jordan, said it expected overall revenue to increase 10 percent in 2013, with revenue in the injectables business expected to grow in the low double-digits.

The company's profit attributable to shareholders rose to $120.5 million on an adjusted basis in the year ended Dec. 31, from $100.9 million last year.

Revenue increased 21 percent to $1.11 billion.

Revenue in the injectables business rose 49 percent to $470 million, driven mainly by an 83 percent increase in sales in the United States.

Hikma's injectables business, the second-biggest supplier of generic injectables in the United States, has been able to take advantage of a drug shortage there as several generic drugmakers have been forced to cut capacity in the face of stringent regulatory scrutiny due to quality issues.

Hikma said earlier this month it was reviewing options for the injectables business after getting several expressions of interest at a time when M&A activity in injectables is heating up.

The company did not offer an update on the review in Wednesday's statement.

Hikma's shares, listed on the London Stock Exchange in 2005, closed at 975 pence on Tuesday.

A couple walks along the rough surf during sunset at Oahu's North Shore, December 26, 2013. REUTERS/Kevin Lamarque

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