Drug giant Roche posts 7 percent profit

02 Feb, 2012

Swiss drug maker Roche posted a seven percent rise in its 2011 net profit to 9.5 billion Swiss francs ($10.3 billion, 7.9 billion euros) on Wednesday, despite the impact of the strong currency against the dollar and euro. The performance was slightly up on analysts expectations who had predicted a figure of 9.3 billion francs, the AWP finance agency reported.
Operating profit dropped nine percent to 15.1 billion francs due to the negative effect of the exchange rate but increased six percent at constant rates. Group sales went down 10 percent to 42.5 billion francs, the pharmaceutical giant said in a statement.
The strengthening of the Swiss franc against the dollar and the euro had a "significant negative impact" on the results expressed in Swiss francs, the group said.
The company head said Roche was continuing to build its business with new products, highlighting 17 "positive" advanced clinical trials last year. The board proposed a dividend increase of three percent to 6.80 Swiss francs.

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