CSL posts solid full year result, but investors disappointed

Australian blood plasma and vaccines company CSL Limited (ASX: CSL) today announced a net profit after tax (NPAT) of $1.38 billion (all US dollars) for the full fiscal year ended June 30, 2015, up 6% on a reported basis when compared to the prior comparable period. This came in short of market expectations of $1.41 billion.

NPAT grew 10% on a constant currency basis, after adjusting for the one-off costs associated with the acquisition of the Novartis influenza vaccine business, which now makes CSL the global number two in influenza vaccines. Sales were $5.46 billion, up 2% on PCP, and 7% higher at constant currency, driven by demand for its biotherapies, with albumin and specialty products growing at double digit rates.

Investors initially dumped shares in CSL in response to the slowing profit growth. The stock fell as much as 65 in the opening minutes of trade on Wednesday, the Sydney Morning Herald reported, but recovered to close 2.2% lower to $93, down from a 12-month high of $100.77 hit last week.