The challenges faced by CSL during the pandemic’s lockdown, primarily reliant on plasma collection, were to be expected. However, a remarkable resurgence, fueled by a surge in post-pandemic plasma collections and a strategic $11.7 billion acquisition of Swiss blood specialist Vifor, has reignited the growth trajectory of Australia’s leading biotech giant.
A soaring 31% increase in plasma collections, catapulting to an all-time high for the company, propelled CSL to report a staggering $13.3 billion in revenue for the fiscal year 2023, marking an impressive 26% surge. Factoring in constant currencies, CSL’s sales soared to $13.8 billion, experiencing a significant 31% uplift. This surge incorporates $2.0 billion in revenue attributed to Vifor, a contribution spanning 11 months since the completion of the acquisition.
The past seven years have witnessed CSL’s sales more than doubling, escalating from $6.1 billion in 2016. The upward trajectory shows no signs of abating as CSL projects a prospective 9% to 11% increase in revenue for fiscal year 2024, with anticipated profits ranging from $2.9 to $3 billion, reflecting an impressive 13% to 17% gain.
Dominating the revenue landscape is CSL Behring, the largest among the company’s three business units, which contributed a significant $9.3 billion, marking a commendable 12% increase. This growth owes much to the surging plasma collections. Amid the year, CSL established 12 novel collection sites while managing to trim collection costs by a notable 14% compared to the preceding fiscal year, encompassing labor and donor compensation expenses.
CSL attributes this upswing to “improved post-COVID social mobility, targeted marketing campaigns, and enhanced digital initiatives aimed at attracting donors.” Benefiting from enhanced plasma-based product manufacturing capabilities, CSL’s immunoglobulin (Ig) sales surged by a substantial 21%, reaching $4.7 billion. This remarkable achievement follows a previous fiscal year marked by a 3% decline in Ig sales due to the pandemic’s impact on plasma collections. Notably driving this growth is Privigen, which achieved an impressive 21% rise in sales.
“We’ve been navigating the challenges posed by COVID with caution. Our focus was to ensure that patients continue to receive our brands uninterrupted. Now, our global commercial teams are eager to seize opportunities for increased Ig volume after exercising restraint over the past few years.”
– Bill Campbell, CSL’s Chief Commercial Officer
CSL’s remaining business units, namely CSL Seqirus and CSL Vifor, each generated revenue exceeding $2 billion, showcasing growth of 9% and 14%, respectively. CSL Seqirus, specialising in vaccines, attributes 90% of its sales to flu shots.
“For CSL Vifor, our focus is on organising ourselves to unlock the value and growth within this business, a business we are yet to fully leverage. The iron and nephrology markets are evolving, and I have no doubt there will be challenges in the CSL Vifor growth profile, but the unmet patient need within these markets is significant.”
– Paul McKenzie, CSL’s CEO
Last November, CSL achieved FDA approval for its groundbreaking hemophilia B gene therapy, Hemgenix, which holds the distinction of being the world’s highest-priced drug at $3.5 million. The company proudly announced the dosing of its first US patient in this groundbreaking venture.”
