Hikma delivers a strong first half performance

Expects to deliver revenue growth of 20% for the full year

Jordan-based pharmaceuticals firm Hikma Pharmaceuticals has delivered a ‘strong first half performance’ according to chief executive Said Darwazah.

Group revenue increased by 34.8% to US$532.3m, while earnings before interest tax depreciation and amortisation (EBITDA) rose by 47.1% to $103.7m for the six months to 30 June 2012.

The figures were helped by several acquisitions, including last year’s $111m purchase of a controlling stake in Morocco’s Promopharm.

The firm’s operations are conducted through three businesses: Branded, Injectables and Generics. These are based primarily in the Middle East and North Africa (MENA) region, where Hikma is market leader.

Branded revenue growth of 24.6% reflected strong demand across the firm’s MENA markets, with organic growth of 12.8%.

The Injectables division reported a near-doubling of first-half sales to $225m.

Generics revenue fell 27% to $55.8m, reflecting the impact of additional compliance work at Hikma’s West-Ward Pharmaceuticals oral dosage forms facility in Eatontown, New Jersey following the receipt of a warning letter from the US FDA, as well as increased pricing pressure.

This prompted the firm to downgrade its full-year revenue guidance for the division from $135m to $115m.

Darwazah added: ‘Our global Injectables business continues to deliver extremely strong growth, as we benefit from our increased scale and continued investment in quality and products. In our Generics business, we expect sales gradually to improve in the second half.’

‘Overall, the group is performing well and the outlook is positive for the second half. I am pleased to be able to reiterate our group guidance of around 20% revenue growth for the full year.’

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