Investing.com – Shares of Roche Holding (SIX:ROG) AG (SIX:RO) rose on Thursday after the Swiss pharma giant raised its full-year earnings outlook, expecting mid-single-digit sales growth and high single-digit core earnings per share growth.
The company reported a 5% increase in sales to CHF 29.8 billion in the first half of 2024, driven by strong demand for both its medicines and diagnostics. Excluding COVID-19 related products, sales climbed by a robust 8%.
Its pharmaceuticals division reported sales increase by 5%, with its eye medicine Vabysmo as a key growth driver, generating CHF 1.8 billion in sales. The diagnostics division reported a 5% increase, buoyed by higher demand for immunodiagnostic products.
Roche’s core operating profit jumped 11%, while core earnings per share climbed 9%. However, IFRS net income dipped 4% due to impairment charges and the base effect of litigation provisions released in the prior year.
Several regulatory approvals for its pipeline products, including Vabysmo, Alecensa, and Ocrevus, catalyzed a positive market reaction. The company also plans to increase its dividend in Swiss francs.