(Reuters) - Medicines Co (MDCO.O) raised its full-year revenue forecast as it expects sales of its anti-clotting drug to remain robust through the year, sending its shares to their highest in more than four years.
The company, which sells anti-clotting drug Angiomax and acute hypertension treatment Cleviprex, said it expects revenue to grow between 11 percent and 12 percent for the year. It had earlier forecast sales growth of 9 percent to 11 percent.
Medicines, however, said it expects to spend more on research and development this year as it invests heavily to move its experimental, intravenous anti-clotting drug cangrelor towards an approval from U.S. health regulators.
The drug is used as a bridging anti-coagulant for patients preparing for surgery as its effects wear off faster than regular anti-clotting agents.
"If the results of the (late-stage) trial are positive, we will launch a year earlier than previously assumed and we estimate that peak annual revenues for cangrelor will increase from $400 million to $450 million," Chief Financial Officer Glenn Sblendorio said on a conference call with analysts.
For the April-June quarter, the 16-year-old drug maker posted a net income of $13.8 million, or 25 cents per share, better than $11.4 million, or 21 cents per share, a year earlier.
Profit was 46 cents per share when adjusted for one-time items.
Revenue increased 14 percent to $135.7 million and Medicines attributed the growth to Europe, which it said had been "a particular bright spot."
Angiomax sales jumped 63 percent in international markets and 8.2 percent in the United States.
Leerink Swann anlayst Joseph Schwartz, who has an "outperform" rating on the company's stock, raised his price target on it by a dollar to $28.
Shares of New Jersey-based Medicines were up 12 percent at $25.65 in afternoon trading on Wednesday. They touched a high of $26.15 earlier in the day.
Reporting by Zeba Siddiqui in Bangalore; Editing by Maju Samuel and Saumyadeb Chakrabarty