Shire (LSE: SHP, NASDAQ: SHPG) provides information in respect of certain factors that should be considered when updating models ahead of Shire’s Q1 2014 results.
Average exchange rates for Q1 2014 were $1.66:£1.00, $1.37:€1.00 and $1.12:CHF1. Foreign exchange is not expected to have a material effect on revenues in Shire’s Q1 2014 results.
|Quarter average rate||Q1 2013||Q2 2013||Q3 2013||Q4 2013||Q1 2014|
|FX impact on Revenue||0%||-1%||0%||0%||-1%|
|YTD average rate||Q1 2013||HY 2013||9m 2013||FY 2013||Q1 2014|
|FX impact on Revenue||0%||-1%||0%||0%||-1%|
FX Ready Reckoner
|Currency||Impact on 2014 Full Year Guidance Non GAAP EPS|
|Pound Sterling||10 cents movement in average exchange rate for full year impacts EPS by approximately +/- 0%|
|Euro||10 cents movement in average exchange rate for full year impacts EPS by approximately +/- 2%|
|Swiss Franc||10 cents movement in average exchange rate for full year impacts EPS by approximately +/- 0%|
Details of our outlook including full year Non GAAP EPS for 2014 and the calculation of Non GAAP EPS are set out in our full Year 2013 results presentation and press release which can be found at:
Number of Shares
The basic weighted number of shares (WANS) in issue during Q1 2014 was 584.3m (Q1 2013: 551.5m).
As of December 31, 2013 the aggregate principal amount of our $1,099,050,000 Convertible Bonds due 2014 (“Bonds”) had been voluntarily converted by bond holders into 33,806,464 fully paid Ordinary Shares. The remaining outstanding Bonds in an aggregate principal amount of $950,000 were redeemed on December 27, 2013. In Q1 2014 no bonds which were convertible into Shire ordinary shares remained outstanding, and therefore no additional shares related to the convertible bonds will be included in diluted WANS in Q1 2014.
|in millions||Q1 2013||Q2 2013||Q3 2013||Q4 2013||Q1 2014 estimated|
|Share based employee awards||3.8||2.6||3.5||4.9||4-6m|
|Note: YTD Diluted WANS||588.9||587.5||587.5||590.3|
(1) Excludes shares purchased by the Employee Benefit Trust and under the share buy-back program, presented by Shire as treasury stock.
The 2013 numbers in table above have been recast to exclude the DERMAGRAFT business as discontinued operations.
On January 17, 2014 Shire announced that it had sold its DERMAGRAFT®(1) business, comprising the key operating assets relating to the development, manufacture and sale of the DERMAGRAFT product, to Organogenesis Inc. (“Organogenesis”). On February 4, 2014 Shire released historical income statements for 2012 and the nine months ended September 30, 2013, recast to show the impact of DERMAGRAFT operations as discontinued, which can be found at:
On February 13, 2014 Shire released Full Year 2013 results which reclassified the DERMAGRAFT business as “discontinued operations” for the years ended December 31, 2013 and 2012 and Q4 2013 and 2012, excluding the impact of the DERMAGRAFT business from continuing operations. These results can be found at:
(1) DERMAGRAFT® is a trade mark of Organogenesis.
Acquisition of ViroPharma Incorporated (“ViroPharma”)
On January 24, 2014, Shire completed the acquisition of all of the outstanding shares of ViroPharma. Shire’s Q1 2014 results will include the results of ViroPharma from January 24, 2014.
Total consideration, including amounts payable in respect of stock options and warrants over ViroPharma’s common stock, was approximately $4.0 billion.
Disposal of CALCICHEW®
From January 1, 2014 Shire has not recorded product sales for CALCICHEW (Q1 2013 product sales $7 million, full year 2013 $34 million). In Q1 2014 Shire transferred the marketing authorisations for the CALCICHEW(2) range of products in the UK and Ireland to Takeda.
(2) CALCICHEW® is a trade mark of Takeda.
Investor news flow
Further investor news issued during Q1 2014 can be found at:
FORWARD - LOOKING STATEMENTS - "SAFE HARBOR" STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995
Statements included in this release that are not historical facts are forward-looking statements. Forward-looking statements involve a number of risks and uncertainties and are subject to change at any time. In the event such risks or uncertainties materialize, Shire’s results could be materially adversely affected. The risks and uncertainties include, but are not limited to, that:
and other risks and uncertainties detailed from time to time in Shire’s filings with the US Securities and Exchange Commission, including its most recent Annual Report on Form 10-K.
For further information please contact:
+1 781 482 0945
+1 781 482 0999
+44 1256 894157
Notes to editors
Shire enables people with life-altering conditions to lead better lives.
Our strategy is to focus on developing and marketing innovative specialty medicines to meet significant unmet patient needs.
We provide treatments in Neuroscience, Rare Diseases, Gastrointestinal and Internal Medicine and we are developing treatments for symptomatic conditions treated by specialist physicians in other targeted therapeutic areas.
Click here for the PDF version of this press release.