London-listed Shire's shares rise as sales double following its $32bn takeover of Baxalta last year

 
Shruti Tripathi Chopra
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Shire's product sales rose a whopping 110 per cent to $3.4bn (£2.6bn) (Source: Getty)

Shares in FTSE-100 listed Shire nudged up over two per cent this afternoon after the pharma group reported a better-than-expected 14 per cent rise in first-quarter earnings.

The figures

Shire's product sales rose a whopping 110 per cent to $3.4bn (£2.6bn) following its $32bn takeover of Baxalta last year.

The company also reiterated its full-year forecast given in February for product sales to rise to $14.5-14.8bn this year and earnings per share to increase to $14.60-$15.20.

"We are reiterating our full year 2017 guidance and are expecting another strong year for Shire, building on our excellent financial performance in 2016," it said.

Why it's interesting

Shire is looking fit thanks to two big acquisitions it made last year. The London-listed firm bought Baxalta in June last year and is "ahead of plan on integrating" the US business.

It also snapped up Dyax last year and said integration of this new arm of the business was complete.

Read more: Dechra Pharmaceuticals shares leap on double-digit growth

What Shire said:

Flemming Ornskov, Shire's chief executive, said: "In the first quarter we delivered strong top-line growth with quarterly product sales of $3.4bn.

"I am especially pleased to see that our sales growth came from across our broad portfolio, with genertic diseases growing 14 per cent, our recently launched Xiidra product achieving a 22 per cent market share and the Baxalta business growing at eight per cent on a pro forma basis. We also improved our operational efficiency, and are ahead of plan on integrating Baxalta."

Our priorities for the rest of 2017 remain unchanged: launching new products while driving commercial excellence, generating operational efficiencies, and advancing our pipeline of novel therapies. Additionally, we continue to prioritise paying down debt, and we are on track to achieve our full-year financial guidance

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