MENU

Acrux reports profit of $6.9 million

Innovative drug developer Acrux (ASX: ACR) continues to head in the right direction for shareholders. The company has announced a 56% increase in revenues but due to a normalisation in taxes reported a slight decrease in net profit after tax to $6.9 million.

Highlights from the result included net sales from its key therapy Axiron which more than doubled to US$124 million with Acrux’s share of royalties from sales jumping from $6 million to $14 million. Axiron is now the second largest product in the US testosterone therapy market based on share of total prescriptions. The company also provided details around a milestone payment of US$25 million due in March next year, which due to impressive sales of Axiron, it looks very likely to receive.

With cash reserves of nearly $23 million, the board has declared a final dividend of 8 cents per share – which is exempt from tax thanks to Acrux’s structure as a Pooled Development Fund. Guidance was also given that the company expects to pay an interim dividend during the 2014 year upon receipt of the milestone payment.

Companies with the ability to pay a growing stream of dividends to shareholders can make a healthy addition to an investor’s portfolio. Interested in our #1 dividend-paying stock? Discover The Motley Fool’s favourite income idea for 2013-2014 in our brand-new, FREE research report, including a full investment analysis! Simply click here for your FREE copy of “The Motley Fool’s Top Dividend Stock for 2013-2014.”

More reading


Motley Fool contributor Tim McArthur does not own shares in any of the companies mentioned in this article.

Two New Stock Picks Every Month!

Not to alarm you, but you’re about to miss a very important event! Chief Investment Advisor Scott Phillips and his team at Motley Fool Share Advisor are about to reveal their latest official stock recommendation. The premium “buy alert” will be unveiled to members and you can be among the first to act on the tip.

Don’t let this opportunity pass you by – this is your chance to get in early!

Simply enter your email now to find out how you can get instant access.

By clicking this button, you agree to our Terms of Service and Privacy Policy. We will use your email address only to keep you informed about updates to our website and about other products and services we think might interest you. You can unsubscribe from Take Stock at anytime. Please refer to our Financial Services Guide (FSG) for more information.