Drug developer Catalent ($CTLT) is reaping the benefits of an acquisitive 2014, boosting its revenue and profit in its first year after an IPO.
The company's net revenue came in at $455.8 million, a 3% increase over the prior year driven by a 33% jump in medication delivery services and 6% growth in clinical services that compensated for a 3% decline in its oral technology business. Catalent posted $46.5 million in profit on the quarter, the second of its fiscal year, and beat the $19.2 million net loss it took in the same period in 2014.
"We are pleased with our second-quarter results, highlighted by revenue growth across all of our business segments and strong levels of profitability," Catalent CEO John Chiminski said in a statement.
The strong quarter comes after Catalent acquired Redwood Bioscience, a longtime partner with a proprietary approach to antibody-drug conjugates, and Micron Technologies, a company that specializes in helping drug developers reduce the size of their therapeutic particles to boost deliverability and bioavailability.
"These recent developments, coupled with the addition of new coating and blister packaging equipment at our Eberbach softgel facility, position Catalent for further growth and market share expansion," Chiminski said.
Now, despite the fact that the company "is trending above its previously issued guidance on a constant currency basis," Catalent is dialing down its annual guidance to account for the strong performance of the dollar, expecting to bring in about $1.8 billion on the fiscal year.
- read the results