By Sarah Faulkner
Shares in Sirtex Medical (ASX:SRX) closed up nearly 12% today after the Australian medical device company posted huge boosts to both the bottom and top lines.
Sydney-based Sirtex Medical makes targeted liver cancer therapies using resin microspheres called SIR-sphere Y-90.
Sirtex said profits were $40.8 million (A$53.6 million), or 70¢ (A92.2¢) per share, on sales of $177.2 million (A$232.5 million) for the fiscal year ended June 30. That represents profit growth of 32.8% compared with fiscal 2015, on sales growth of 32.0%.
“This record profit result once again highlights the continued execution of our strategies that seek to expand our global footprint, build clinician awareness and referrals, and increase reimbursement coverage for patients suffering from liver cancer,” Sirtex CEO Gilman Wong said in prepared remarks. “Our core SIR-Spheres Y-90 resin microspheres business represents a long term growth opportunity for Sirtex, given our FY16 dose sales imply we have only penetrated approximately 2% of our annual addressable market opportunity, globally.”
“The Americas region continues to perform strongly, which is directly reflected through the outstanding sales results achieved in this challenging market,” added Sirtex Americas CEO Kevin Richardson. “We continue to execute against our strategic initiatives and have made significant progress during this period in the U.S. market by continuing to increase the awareness and education about SIR-Spheres Y-90 resin microspheres therapy within the oncology community. We have also made substantial inroads in our other markets including the recent approval of SIR-Spheres Y-90 resin microspheres for the treatment of unresectable liver tumors in Canada and continued market development activities with key opinion leaders in Latin America.”
Sirtex said it expects sales to grow at a double-digit clip during fiscal 2017.
The jump confirms Sirtex’s preliminary results issued in July, when the company 1st reported the higher-than-expected sales and saw share prices climb 6.5%, the largest rise in more than 8 months.
The news pushed SRX shares up 11.97% to a $26.51 (A$34.80) close today on the Australian stock market.
