CSL profit declines despite plasma bounce-back

Biotech giant CSL says the pandemic has put it two years behind schedule on the growth of blood plasma collections crucial for its medicines as it reported a 6 per cent fall in full-year profits.

The $142 billion company saw its net income fall to $US2.24 billion ($3.2 billion) in the 12 months to June 30, which was at the higher end of its forecasts but down on the $US2.38 billion profit it made in 2021. Sales rose 4 per cent to $US10.7 billion on a constant currency basis, CSL said on Wednesday morning in a statement to the ASX.

Several of CSL’s medicines use human blood plasma, which is collected from donor centres across the US to get refined into its therapy treatments. A shortage of collections throughout the pandemic is now flowing through to sales of these medicines, with revenues from Ig (immunoglobulin) products down 3 per cent for the year.

CSL chief executive Paul Perreault said plasma collections have now bounced back. But the costs of collection have also increased as the company works hard to coax donors into its centres, luring them with fees for their plasma.

“Collections were up 24 per cent, which we expect will underpin strong sales growth in our core plasma products, Ig and albumin,” he said.

“Having said that, the pandemic has put us two years behind projected growth in plasma collections — which is suboptimal for patient care.”

The company had forecast a weaker second half after delivering a record $US1.76 billion profit in the six months to December, and its full-year profits are at the upper end of its forecast range.

Perreault said the company was expecting a return to profit growth in 2023, seeing its earnings come in at $US2.4 billion to $US2.5 billion for the year.

This does not include projected earnings and costs from the CSL’s recent multi-billion acquisition of Vifor, which closed last week.