Cyber Monday Deal: Up to 60% off InvestingProCLAIM SALE

Jilted Shire raises guidance again after third-quarter earnings jump

Published 24/10/2014, 12:16
© Reuters A sign sits in front of Shire's manufacturing facility in Lexington, Massachusetts
SHP
-
ABBV
-

LONDON (Reuters) - Pharmaceutical firm Shire (L:SHP) raised its guidance for full-year earnings on Friday, underlining its strong prospects as a standalone company after AbbVie Inc (N:ABBV) officially ditched its $55 billion purchase of the group on Tuesday.

Dublin-based Shire, which produces drugs to treat hyperactivity and rare diseases, posted a 60 percent jump in third-quarter earnings per ADS to $2.93 on revenue up nearly a third at $1.6 billion.

It said it now expected to deliver earnings growth in the high 30 percent range for the full year, up from its expectations in July of growth in the low-to-mid 30 percent range.

AbbVie walked away from the deal after the U.S. Treasury department tightened its rules to curtail companies doing deals that would allow them to redomicile overseas to cut corporate tax rates.

© Reuters. A sign sits in front of Shire's manufacturing facility in Lexington, Massachusetts

In its initial defence against a takeover, Shire had said it planned to double sales to $10 billion by 2020, $7 billion of which would come from its existing products and $3 billion from its pipeline.

(Reporting by Paul Sandle; editing by Kate Holton)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.