Shares in Laboratorios Farmaceuticos Rovi rose on Wednesday after the company upgraded its full-year guidance and announced plans for a share buyback.
At 1034 GMT shares in Rovi were up 7.8% at EUR45.08.
The Spanish pharmaceutical company now expects revenue to decline by a high-single-digit percentage, compared to the previous estimate of a low-double-digit decline. Rovi continues to anticipate a decline in earnings.
The revised expectations are based on the assumption that Covid-19 vaccines will be administered once a year as the pandemic becomes a seasonal disease.
To reduce capital and increase profit per share, Rovi plans to buy back 5% of its share capital for up to EUR130 million ($143.7 million), according to the company.
In the first half of the year, Rovi reported a net profit of EUR66.6 million, compared to EUR80.6 million in the same period last year. Revenue remained stable at EUR380.8 million, while operating profit decreased to EUR85.2 million from EUR104.4 million.
The decline in sales is attributed in part to partners maintaining high inventory levels following last year’s surge in orders. This led to a lower order volume forecast for 2023.
TechBerry
Happy Galaxy
Forex Cyborg
Forex Fury
FXgoodway