Shares in biotech manufacturer CSL are more than 4% higher this morning after the company upgraded its full-year profit guidance.
CSL now forecasts that net profits in the 2018 financial year reach between $US1.68 billion ($2.23 billion) to $US1.71 billion on a constant currency basis.
The blood-products company — which has carried out one of Australia’s most successful off-shore strategies — applies a constant currency basis to remove the effect of exchange rate movements.
CSL now generates about 90% of its revenue offshore. This month, it became one of the top 5 larges companies on the ASX by market capitalisation.
It’s the second profit upgrade CSL has announced this year, after providing guidance in February for full-year profit of between $US1.55 — $US1.60 billion.
CEO Paul Perreault called the results pleasing, and highlighted particular success for two product lines used in the treatment of hemophilia and angioedema — a skin condition which causes swelling.
“I am pleased to report an improved Company outlook for the financial year, underpinned by a confluence of positive outcomes as we work to deliver on our strategy,” Perreault said.
“Of particular note has been a positive product and geographic sales mix shift. The phasing of investments in some of our clinical trials has also yielded a positive financial variance.”
Perreault said the company’s flu treatment products were also performing well after severe influenza season in the northern hemisphere.
A short time ago, CSL shares had pushed above $180 in morning trade: