WASHINGTON: Shire PLC SHP said net profit fell in the first quarter even as revenue more than doubled, largely due to higher sales-related costs.
The Dublin-based biopharmaceuticals company said net profit declined 11% in the three months to March 31 to $375 million from $419 million a year earlier, while revenue rose to $3.57 billion from $1.71 billion. There was a sharp increase in the cost of sales, which ballooned to $1.33 billion in the first quarter, from $248.6 million a year earlier. Shire’s revenue has roughly doubled since it closed its acquisition of Baxalta in June. The hard-won deal, initially opposed by Baxalta management, has added new drugs for hemophilia, cancer and immunodeficiency conditions to Shire’s portfolio.
