CSL 1H profit grows 3%

CSL (ASX:CSL) has reported a 3% increase in 1H net profit to US$646 million ($715.2 million), even after the impact of a multimillion-dollar payout to settle a class-action lawsuit.

The company agreed in October to pay US$64 million to settle an antitrust lawsuit which had accused CSL of conspiring to drive up the price of plasma-derived protein therapies. This charge was expensed in the 1H accounts.

Revenue grew 5% to US$2.69 million, with core immunoglobulin product sales up 7% in constant currency terms to US$1.08 billion.

Specialty product sales increased 16% in constant currency to US$302 million as the US FDA approved the company’s Kcentra product for urgent warfarin reversal in patients with acute major bleeding. Approval was subsequently expanded to cover the reversal of acquired coagulation factor deficiency induced by warfarin in adult patients needing urgent surgery.

Sales at immunohaematology subsidiary bioCSL meanwhile declined 7% in constant currency to US$217 million, with the company blaming a decline on European sales after its business partner exited the market.

The company has maintained its forecast of a 7% increase in net profit for the full financial year at FY13 exchange rates.

CEO Paul Perreault commented that the company is “optimistic about continued demand for plasma therapies ... Competition is vigorous but I believe our philosophy of sustainable continuous improvement in everything we do is fundamental to dealing with these pressures.”

CSL (ASX:CSL) shares were trading 3.22% lower at $67.61 as of around 2 pm on Wednesday.