Shire reports 1Q13 earnings, unveils business changes

Shire plc (LSE:SHP; NASDAQ:SHPG) reported 1Q13 earnings on Thursday and unveiled a plan to realign its business structure to include a single R&D organization, as well as a marketed products group focused on "commercial delivery." The R&D organization will also now house Shire's business development, with a focus on late stage development programs. The marketed products group will initially comprise five business units focused on rare diseases, neuroscience, gastrointestinal, regenerative medicine and internal medicine. Flemming Ornskov, who took over as CEO on April 30, said a potential sixth commercial business unit is ophthalmology, driven by the acquisitions of Premacure AB and SARcode BioSciences Inc. this year (see BioCentury, April 1).

Shire reported 1Q13 non-GAAP diluted earnings of $1.63 per ADS, beating the Street's estimate of $1.57 and up from $1.48 in 1Q12. First quarter revenues were $1.16 billion, down 1% from 1Q12 revenues of $1.17 billion and below the Street's $1.21 billion estimate. Shire said it now expects product sales growth in the mid-to-high single digits. Previously the company expected growth in the low single digits. ...