Sigma Pharmaceuticals year profit rises 27 pct

‘Australian drugs firm Sigma Pharmaceuticals Ltd. reported a 27 percent rise in underlying annual profit, as expected, boosted by its takeover of Arrow, and reaffirmed its outlook for the year ahead.

Drugs manufacturer and distributor Sigma snared Arrow for its pipeline of generic drugs, a high margin business seen as a hot source of growth in the Australian market, where the government wants to curb growth in its spending on prescription drug subsidies.

It said it remained confident of achieving underlying profit growth of about 15 percent, excluding a one-off tax benefit and facilities closures tied to the takeover of Arrow.

The result and outlook were in line with expectations, and following a small run-up over the past two weeks Sigma’s shares traded flat in a firmer market after the result.’

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