Business Description:
CSL Limited (CSL) is a biopharmaceutical company that researches, develops, manufactures and markets products to treat and prevent serious human medical conditions. Geographic segments include the USA, Germany, Australia, Switzerland, and other countries. The operational businesses include CSL Behring (incorporating CSL Plasma) and CSL Biotherapies.

Strategy Analysis:
CSL will seek to retain its competitive position by extracting the highest financial yield from blood products. It will continue to strengthen access to blood plasma through broadening ownership of collection centres. Research on extending the use of blood plasma products to a variety of different conditions will widen the addressable market. Development of higher margin branded compounds aims to further differentiate product and increase margins. CSL will use excess financial capacity to invest in promising biotechnology within its field of expertise, taking acquisitions from the laboratory to the market. CSL reported NPAT down 10.7% to $940.6m for the year ended 30 June 2011. This result included an unfavourable foreign exchange impact of $116m. On a constant currency basis, operational NPAT grew 14% after excluding a one-off contribution from the sale of pandemic influenza vaccine (H1N1) in the prior period. Revenues from ordinary activities were $4.32bn, down 6.6% from last year. Diluted EPS was 173.60 cents compared to 185.19 cents last year. Net operating cash flow was $1.02bn compared to $1.17bn last year. The final dividend declared was 45 cents, taking the full year dividend to 80 cents, in line with 80 cents last year. Looking ahead to fiscal 2012, the company anticipates similar trading conditions to fiscal 2011.