Aspen profit beats expectations, business soars

Johannesburg - Aspen Pharmacare [JSE:APN], posted a 3.9% gain in full- year profit, beating expectations, as the expansion of its international business outweighed the rising cost of imported materials.

Net income climbed to R5.2bn in the year through June, the Durban based company said in a statement on Wednesday. That compares with the R5.16bn estimate of six analysts surveyed by Bloomberg. Sales increased 22% to R36.1bn, boosted by a 46% gain in international revenue.

Aspen, which supplies medicines in more than 150 countries, has said it’s seeking acquisition opportunities, particularly in Asia. In May, the company agreed to sell a drugs business to Dublin-based Endo International Plc for about $130m and two pharmaceutical portfolios to units of Strides Arcolab of India for $301m.

The shares gained 2.2% to R333.13 as of 12:39 in Johannesburg, paring the loss for this year to 18% and valuing the company at R152bn.