COVID-19 Tests Boost Roche's Q1 Sales, Reaffirms FY22 Outlook

Roche Holdings AG's RHHBY Q1 FY22 sales reached CHF 16.44 billion, +10% Y/Y to (11% at constant exchange rates) on strong U.S. demand for rapid COVID-19 antigen tests, Ocrevus against multiple sclerosis and hemophilia drug Hemlibra.
Ocrevus revenue gained 18% to reach CHF1.45 billion, and Hemlibra sales jumped 30% to CHF853 million, offsetting a decline in established off-patent cancer medicines Herceptin, Avastin, and Rituxan due to cheaper rival products.
The diagnostics division accounted for most of the positive surprise, reporting sales growth of 24% to CHF5.3 billion on the usage of its COVID-19 tests and cardiac tests.
The portfolio COVID-19 tests contributed significantly to the division's overall sales growth with CHF 1.9 billion, compared to CHF 1.2 billion a year ago.
Roche reiterated that it expected currency-adjusted 2022 sales to be flat or grow in the low-single-digit percentage range, below last year's 9% gain.
It also reaffirmed that COVID-19 medicines and diagnostics sales would decrease by about CHF2 billion this year to around CHF5 billion.
Sales losses to biosimilars in 2022 are expected to be roughly CHF 2.5 billion.
Price Action: RHHBY shares closed at $47.88 on Friday.
Picture via company website