Results round-up

First-half results from Shire confirmed the drugmaker's strong performance so far in 2016, completing two acquisitions and continuing to grow its underlying business.

Just a week after it unveiled a sparkling set of second-quarter results, Shire posted interim numbers that showed total reported product sales up 36% to $3.9bn in the six months to 30 June, thanks to robust sales across all legacy businesses and $559m of product sales from almost one month from the newly acquired Baxalta.

Product sales improved at double-digit rates across all of Shire’s legacy business, with genetic diseases up 14% to $1.3bn, neuroscience up 19% to $1.3bn, and internal medicine up 18% to $0.8bn.

Earnings before interest, tax, depreciation and amortisation rose 35% on the previous year to $1.9bn.

Chief executive Flemming Ornskov said the closing of the Baxalta acquisition at the start of June was the "capstone" of the first half of the year, but it would be remiss to overlook the acquisition of Dyax in January, which brought on board some exciting pre-revenue drugs.

A trading update from Nanoco, the maker of cadmium-free quantum dots for TVs and other display screens, revealed revenues and year-end cash levels were in line with expectations, with a larger royalty paid by key partner Dow Chemical.

Unaudited revenues in the year to 31 July were £1.9m, down 5% on the last full year, which is an improvement on the 80% decline in the first half of the year.

This is better than some analysts were predicting for the full year, for example Stifel had earlier this month forecast £1.6m revenue and a £10.6m loss before tax, though other analysts had expected nearer £2m of revenue.

The balance sheet showed the results of the company's prudent cash management, with unaudited net cash of £14.4m at the year end, down from £18.3m over the last six months.

Fully-listed Nanoco, which took the big step in March of giving up some of the short-term revenue benefits of an exclusive deal with Dow to move to a non-exclusive model instead, said its quarterly royalty payment from Dow for the quarter ended 30 June 2016 was "modest" but was higher than the first royalty received earlier this year. The company is currently in the process of transferring its improved manufacturing processes to Dow, which will enable increased productivity and is expected to result in a fee being paid by Dow.