Roche Expects Sales, Core Earnings Growth — Update

By Adria Calatayud

Roche Holding expects growth in sales and core earnings to pick up this year after waning demand for Covid-19 products and currency headwinds weighed on its top and bottom lines last year.

The Swiss pharmaceutical giant said Thursday that it expects sales growth in the mid single digit percentage range at constant exchange rates in 2024, with core earnings per share performing in line with sales when excluding the impact from tax disputes in 2023.

Sales at Roche fell to 58.72 billion Swiss francs ($68.17 billion) last year from CHF63.28 billion in 2022. Adjusting for currency movements, sales were up 1% as growth in its pharmaceuticals division made up for a decline in diagnostics.

After-tax profit was CHF12.36 billion compared with CHF13.53 billion, while core operating profit fell 13% to CHF19.24 billion and was down 1% at constant currency.

Analysts expected Roche to report a core operating profit of CHF20.03 billion on sales of CHF59.18 billion, according to consensus estimates provided by FactSet.

The company raised its dividend for the year to CHF9.60 a share from CHF9.50 a year prior, and said it anticipates another increase in 2024.

Write to Adria Calatayud at adria.calatayud@wsj.com

(END) Dow Jones Newswires

February 01, 2024 01:40 ET (06:40 GMT)

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