(Reuters) – Drug distributor AmerisourceBergen raised its full-year profit forecast on Wednesday, as soaring demand for weight-loss drugs and specialty medicines helped soften the blow from a fall in COVID-related drug sales in the third quarter.
Weight-loss drugs have seen overwhelming demand in the United States where more than 40% of the population grapples with obesity, according to government data.
The company now expects 2023 adjusted earnings in the range of $11.85 to $11.95 per share, compared with its prior forecast of $11.70 to $11.90 per share. Analysts were expecting an annual profit of $11.86 per share, according to Refinitiv data.
On an adjusted basis, AmerisourceBergen earned $2.92 per share in the third quarter, beating estimates of $2.82.
The company also said it will change its name to Cencora effective Aug. 30.
AmerisourceBergen has been looking to diversify its specialty services, through which it distributes branded, specialty and generic drugs apart from over-the-counter healthcare products.
The Pennsylvania-based company acquired a minority stake in OneOncology for around $685 million in April, adding a network of cancer specialists to its portfolio of physician management services.
AmerisourceBergen reported U.S. revenue of $59.9 billion in the third quarter, up over 12% from a year earlier. Analysts had expected $57.58 billion.
Total sales came in at $66.95 billion, beating estimates of $63.95 billion.
(Reporting by Mariam Sunny in Bengaluru; Editing by Shounak Dasgupta)
