UK biotech giant BTG (BTG) improves 3% to 557.5p as revenues for the year to April are expected to be in the top end of guidance. The FTSE 250 constituent anticipates sales between £275 million and £285 million for the year, beating last year’s £233 million. The rise is due in part to a strong performance of its interventional medicine business. Full-year are released on 20 May.


Updates for the year include the preparations to launch Varithena in the US to treat those with varicose veins. It has hired and trained 24 sales staff following November’s approval for the treatment ahead of a phased launch in the country.


Web - BTG - 3 April


Analyst opinion remains divided. FinnCap maintains a 'sell' rating. This is based on BTG facing upcoming patent expiries and a pipeline, while not empty, that's not brimming with exciting new products. The group has gone down the acquisitions route to replace lost revenues and has added new names to its portfolio. It also intends to increase its R&D spend on bringing its Beads and TheraSphere products to market.


Panmure Gordon reiterates its 'buy 'rating, saying it is a core holding for investors looking to introduce healthcare stocks into their portfolio. It comments: 'Just ignore the medium-term valuation on this stock. The business is not yet focussing on being an earnings based company as it is still in investment phase, although it is still committed to remain cash flow generative.'


BTG has almost 600 employees in Europe, North America and Australia engaged in commercial, R&D and manufacturing activities. Other products in its portfolio include snake bite anti-venom CroFab and digoxin toxicity treatment DigiFab.


Issue Date: 03 Apr 2014