Bayer HealthCare predicts strong performance in medium term

Bayer HealthCare has provided an update of its medium-term financial forecasts at an investor conference, predicting continued sales and earnings growth.

At the event in Leverkusen, the Bayer group said it expects to see its recent strong momentum continue between now and 2016, with its healthcare division set to play a key role in this. Recently launched pharmaceutical products are set to be a major driver of this growth.

Bayer HealthCare plans to increase total sales by an average of six percent a year through 2016 and improve its earnings margin before special items to about 30 percent. Sales of Xarelto, Eylea, Stivarga, Xofigo and Adempas are expected to have a combined peak annual sales potential of at least 7.5 billion euros (6.27 billion pounds).

The consumer health division is also expected to perform well, thanks primarily to its non-prescription medicines and animal health businesses.

Bayer chief executive officer Dr Marijn Dekkers said: "We're optimistic for all of our subgroups and see continuing potential for further sales and earnings growth in the medium term."

This comes after the firm announced plans for a major expansion of its German sites in Wuppertal and Leverkusen for the production of new haemophilia A drugs earlier this week.