REG - Hikma Pharmaceutical - November Trading Statement

Hikma PharmaceuticalsAnnouncement

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RNS Number : 3878G  Hikma Pharmaceuticals Plc  06 November 2025

Hikma confirms 2025 guidance and updates medium-term growth outlook

 

 

London, 6 November 2025 - Hikma Pharmaceuticals PLC (Hikma, Group), the
multinational pharmaceutical group, today provides an update on current
trading.

 

We are making good progress in the second half, as we have continued to launch
products, sign partnerships and execute expansion projects across our global
manufacturing footprint.

 

Injectables

 

Our global Injectables business is trading in line with the expectations set
out in August. We have seen the expected pick-up in higher margin contract
manufacturing business alongside accelerating sales of recent launches. Europe
and MENA, both key strategic growth drivers for this business, remain
particularly strong performers. We now have two US-approved bio-similars and
have today announced the launch of Starjemza(®) (ustekinumab-hmny). We have
also commenced a phased introduction of Tyzavan(TM), our patented,
re-formulated vancomycin ready-to-use bag and expect sales to accelerate on
this important product into the year-end and beyond.

 

We continue to expect 2025 Injectables revenue growth to be in the range of 7%
to 9% and for core operating margin to be in the range of 32% to 33%.

 

Branded

 

The Branded business is trading in line with expectations as we continue to
benefit from our leading positions across the MENA region. Our oncology
franchise remains a key contributor, including a continued strong performance
from Papillio (palbociclib), a breast cancer treatment launched in multiple
markets across MENA. Chronic illness treatments are also supporting growth,
with good performance from our diabetes treatment Dapa (dapagliflozin) and a
notable contribution from the launch of Clodreb (cladribine), a new addition
to our multiple sclerosis portfolio. Other recent launches, including Finjuvi
(finasteride) and Winlevi (clascoterone), are performing well, demonstrating
the strength and depth of our product pipeline.

 

We continue to expect 2025 Branded revenue to grow in the range of 6% to 7%,
with core EBIT margin close to 25%.

 

Hikma Rx

 

Hikma Rx remains on a strong footing, as products across the base business
continue to perform well, with more complex products in our respiratory and
nasal spray categories underpinning our strong performance. We continue to
strengthen our pipeline and have increased our R&D investment, especially
in these complex product areas. We are making good progress with the expansion
of our Columbus site to support our CMO business - an increasingly important
contributor to the growth of this segment over the medium to long-term.

 

We continue to expect Hikma Rx revenue to be broadly flat in 2025 with core
operating margin of around 16%.

 

Organisational changes

 

In order to accelerate pipeline development and realise synergies, we have
centralised R&D under a global structure, led by Hafrun Fridriksdottir,
who will also continue to lead the Hikma Rx business.  Hafrun has a strong
background in managing global R&D teams and has a proven record of product
approvals worldwide. Under the new structure, there will be three main areas
of focus: Injectables; Respiratory, semi-solids & liquids; and Solid
orals, all supported by R&D Operations and Regulatory Affairs teams.
Working more collaboratively together, this new global R&D team will
prioritise co-ordinating and accelerating the delivery of more high-value and
increasingly complex products across our global businesses.

 

Dr Bill Larkins has stepped down from his leadership of the Injectables
business and will leave Hikma at the end of the year.  Until a replacement is
identified, Riad Mishlawi, CEO, will act as the interim head of this
business.  Previously the President of the Injectables business, and with a
strong leadership team reporting to him, Riad is well placed to temporarily
lead this business, alongside his existing CEO role.

 

Full year outlook

 

We continue to expect 2025 Group revenue to grow in the range of 4% to 6%. We
tighten our core operating profit range to $730 million to $750 million, in
line with current market expectations, and updated from the previous range of
$730 million to $770 million.

 

Medium-term outlook Ð three-year CAGR (2024 to 2027)

 

Over the medium-term, we now expect Injectables margins will be around 30%.
This reflects a change in our expectations for the commencement of commercial
production at our new Bedford manufacturing facility, partially related to
global supply chain challenges. We now expect Bedford to be fully operational
towards the end of 2027, with associated revenues accelerating in 2028. It
also reflects our evolving geographic and product mix, capacity expansion
projects across our global footprint and an increase in investment in R&D.

 

We now expect our three-year Group revenue CAGR (2024 to 2027) of 6% to 8% to
be at the lower end of the range.  In addition, we are revising our
medium-term profit expectations and now expect Group core operating profit to
grow in the range of 5% to 7%, down from our previous guidance range of 7% to
9%.  The reduction in our expectations for Injectables operating profit will
be partially offset by improving profitability in Hikma Rx.

 

Our longer-term target for Group revenue to reach $5 billion by 2030 is
unchanged.

 

Riad Mishlawi, Hikma's CEO, said:

 

The business has been performing well in the second half, and I am pleased to
confirm our 2025 guidance.  Looking forward, we remain focused on
significantly expanding our manufacturing capacity, which will enable us to
meet growing demand across our global businesses, and will continue to
increase our investment in R&D, to enhance our capabilities and accelerate
the delivery of increasingly complex products. While we have adjusted our
medium-term expectations, I am confident that these investments will enable us
to deliver our revised growth targets.

 

Further information

Hikma will hold a live Q&A webinar for sell-side analysts at 9:30am GMT. A
recording and transcript will be made available on the Company's website.

 

Please use the following link to register for the webinar:

 

https://sparklive.lseg.com/HikmaPharmaceuticals/events/801f9ee9-1138-4e92-bad3-f46eef2e5e4d
(https://nam04.safelinks.protection.outlook.com/?url=https%3A%2F%2Fsparklive.lseg.com%2FHikmaPharmaceuticals%2Fevents%2F801f9ee9-1138-4e92-bad3-f46eef2e5e4d&data=05%7C02%7Cgfeatherstone%40hikma.com%7C94e86645b18a412eb0e308de05ad6abd%7C178c1a723d3c40afbaa754615303bcdc%7C0%7C0%7C638954440041723216%7CUnknown%7CTWFpbGZsb3d8eyJFbXB0eU1hcGkiOnRydWUsIlYiOiIwLjAuMDAwMCIsIlAiOiJXaW4zMiIsIkFOIjoiTWFpbCIsIldUIjoyfQ%3D%3D%7C4000%7C%7C%7C&sdata=205dI%2B4YxzwxZhusurubO1K2INmYPRKFGXu01z8%2BvrY%3D&reserved=0)

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Enquiries:

Hikma
(Investors)

 Susan Ringdal                                                                +44 (0)20 7399 2760/ +44 (0)7776 477050

 EVP, Strategic Planning and Global Affairs
 Guy Featherstone                                                             +44 (0)20 3892 4389/ +44 (0)7795 896738

 Director, Investor Relations

 FTI Consulting (Media)

 Ciara Martin

                                                                              +44 (0)7779 775979

About Hikma

Hikma Pharmaceuticals PLC (LSE: HIK) (NASDAQ Dubai: HIK) (OTC: HKMPY)
(LEI:549300BNS685UXH4JI75) (rated BBB-/stable S&P and BBB-/positive Fitch)

 

Hikma helps put better health within reach every day for millions of people
around the world. For more than 45 years, we've been creating high-quality
medicines and making them accessible to the people who need them.
Headquartered in the UK, we are a global company with a local presence across
North America, the Middle East and North Africa (MENA) and Europe, and we use
our unique insight and expertise to transform cutting-edge science into
innovative solutions that transform people's lives. We're committed to our
customers, and the people they care for, and by thinking creatively and acting
practically, we provide them with a broad range of branded and non-branded
generic medicines. Together, our 9,500 colleagues are helping to shape a
healthier world that enriches all our communities. We are a leading licensing
partner, and through our venture capital arm, are helping bring innovative
health technologies to people around the world. For more information, please
visit: www.hikma.com (http://www.hikma.com)

©2025 Hikma Pharmaceuticals PLC. All rights reserved.

Forward-looking statements

Hikma cautions shareholders that any forward-looking statements or projections
made by Hikma, including those made in this announcement, are subject to risks
and uncertainties that may cause actual results to differ materially from
those projected. Such factors include, but are not limited to, those risk
factors described in the Principal risks and uncertainties section in Hikma's
latest Annual Report. Where included, such statements have been made by or on
behalf of Hikma in good faith based upon the knowledge and information
available to the Directors on the date of this announcement. Accordingly, no
assurance can be given that any particular expectation will be met and Hikma's
shareholders are cautioned not to place undue reliance on any forward-looking
statements. Other than in accordance with its legal or regulatory obligations
(including under the UK Market Abuse Regulation and the UK Listing Rules and
the Disclosure Guidance and Transparency Rules of the Financial Conduct
Authority), Hikma does not undertake to update any forward-looking statements
contained in this announcement to reflect any changes in events, conditions or
circumstances on which any such statement is based or to correct any
inaccuracies which may become apparent in any such forward-looking statements.

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