CSL boosts FY13 profit by 19%

CSL (ASX:CSL) has reported a 19% increase in FY13 profit to US$1.21 billion ($1.33 billion), despite exchange rate losses taking a bite out of both profit and revenue.

Excluding a US$18 million forex impact, net profit would have grown 21% in constant currency.

Sales for the quarter increased 7% to US$5 billion, but were up 10% at constant currency.

CSL attributed the higher revenue to strong sales growth in its immunoglobulin, albumin and specialty product segments. Sales at plasma division CSL Behring increased 10% to US$4.5 billion.

“The company’s core products of immunoglobulin and albumin have performed very well and we have strengthened our margins through a change in sales mix and a relentless pursuit of efficiency,” CSL CEO Paul Perrault said.

“Our suite of specialty products [also] grew strongly, supported by the registration in the US of Kcentra, a product used in the urgent reversal of anticoagulant warfarin in patients with acute major bleeding.”

Revenue from bioCSL meanwhile grew 8% in constant currency, but influenza sales declined due to global influenza market dynamics and the Australian operating environment.

Despite ongoing economic pressures, the company is forecasting profit growth of around 10% at constant currency for FY14.

CSL also announced two changes to its board, including the immediate appointment of a new director.

Marie McDonald, a partner of Ashurst and chair of the Corporations Committee of the Business Law Section of the Law Council of Australia, has joined the board.

McDonald has a strong background in corporate and commercial law. She has also served as a member of the Australian Takeovers Panel from 2001 to 2010.

Long-serving director Ian Renard announced his decision to retire from the board. Renard has been a director of the company since 1998. He has been a member of the company’s audit and risk management committee since the year he started and chair of the committee since 2008.

Before becoming a CSL director, he advised the board on its privatisation and ASX listing in 1994, under his capacity at the time as a partner of Arthur Robinson & Hedderwicks.