Roche Posts Lower Profit
Roche Holding AG (OTC: RHHBY) reported a 16% decline in its full-year net income.
Roche's net income attributable to shareholders dropped to 9.33 billion Swiss francs ($10.34 billion), compared to 11.16 billion francs, in the year-ago period. Analysts expected a profit of 11.54 billion francs. The latest quarter earnings were hit by by impairments, debt restructuring and restructuring costs.
Core net income, excluding one-time items, came in at 12.533 billion francs, or 14.29 francs per share, versus 12.526 billion francs, or 14.27 francs per share.
Its full-year sales climbed to 47.46 billion francs versus 46.78 billion francs, versus analysts' estimates of 47.11 billion francs.
Pharmaceuticals division sales rose 1%, while diagnostics division sales increased 3%.
The company's board proposed a dividend rise of 3% to 8.00 Swiss francs.
Roche CEO Severin Schwan said, “We made good progress in 2014 with solid growth in both divisions driven by our newly launched medicines and diagnostic tests. In addition, we have now made ten targeted acquisitions to complement our existing portfolio in Pharma and Diagnostics. Initial demand for Esbriet, a breakthrough medicine in lung fibrosis which was recently launched in the US following the InterMune acquisition, is strong. In Diagnostics, we successfully launched the cobas 6800/8800 platform, which brings the automation of molecular testing to a new level. With our strong product portfolio and pipeline we are well positioned for the future.”
Roche shares gained 0.63% to close at $35.70 yesterday.
© 2016 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.