Shire: Excellent Performance Across All Areas of the Business and Accelerating New Product Sales Drive Revenue Growth of 36%
BASINGSTOKE, England and PHILADELPHIA, February 21, 2008 - Shire plc (LSE: SHP, NASDAQ: SHPGY) the global specialty biopharmaceutical company announces results for the twelve months to December 31, 2007 - a year which has seen significant growth in launched products.
2007 Full Year
* Product sales up 41% to $2,170m
* Product sales up 55% to $661m
* New product sales $489m, 23% of product sales(1)
* New product sales $210m, 32% of product sales (1)
* Total revenues up 36% to $2,436m
* Total revenues up 46% to $725m
* Non GAAP Earnings per ADS up 38% to $2.95
* Non GAAP Earnings per ADS up 67% to $0.94
* US GAAP Earnings per ADS down 592% to -$8.06
* US GAAP Earnings per ADS up 175% to $1.11
* Dividend up 20% (in US$ terms)
(1) New product sales include VYVANSE, LIALDA/MEZAVANT, DYNEPO, ELAPRASE, FOSRENOL and DAYTRANA
Matthew Emmens, Chief Executive Officer, commented:
"Shire had an excellent 2007, growing sales from our portfolio of both new and established products by a total of 41% and raising revenue guidance throughout the course of the year. We generated substantial cash inflows from operations of $475 million, after expending $156 million on the acquisition of new product candidates in both our Human Genetic Therapies and Specialty Pharmaceutical businesses. Based on these strong results we were able to bring forward several new R&D programs.
During the year, we undertook three major new product launches - VYVANSE, LIALDA / MEZAVANT and DYNEPO - which have gone well and also continued the roll-out of ELAPRASE and FOSRENOL into new geographies. These products, together with DAYTRANA that was launched last year, represented 32% of our fourth quarter product sales.
The acquisition of New River Pharmaceuticals gave us full ownership and control of VYVANSE, and this new generation ADHD treatment is establishing itself in the US, where it has already gained a market share of 6%*. The launch of VYVANSE continues to progress well and we are confident about the medication's future growth supported by new clinical studies and expected additional indications. Our total ADHD franchise has now grown to 32% of the total US ADHD market, compared to 28% at the end of 2006, extending our leadership position in this specialist area.
We've also acquired five pipeline compounds in new technologies and new markets, by licensing the marketing and co-development rights to a range of both biological and small molecule products from Renovo, Amicus Therapeutics and Alba Therapeutics.
Looking forward, we will continue to execute our strategy, which has provided good returns for shareholders, by building on the success of our growing specialist drugs portfolio focused on the treatment of symptomatic diseases. We currently expect 2008 revenue growth to be in the mid to high teens range and positive revenue growth through 2010."
Claire Rowell Manager Financial Communications
Holborn Gate, 26 Southampton Buildings London, WC2A 1PB
T +44 (0)20 7269 7285 F +44 (0)20 7242 8695
Posted: February 2008
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