Pre-tax profits at the Irish arm of the maker of Cystic fibrosis (CF) drug Orkambi grew last year by 29.5 per cent to $6.29 million (€5.4 million).
New accounts show Vertex Pharmaceuticals Ireland Ltd recorded the increase in pre-tax profits in 2020 after revenues rose by 54 per cent from $532.4 million to $818.7 million.
Last year, the company enjoyed the first full year impact of its decision to change its operating model where now all sales to Vertex entities in the EU are fulfilled by Vertex Ireland.
It made the move as part of the Vertex Group’s strategy to mitigate the supply risk caused by Brexit.
The company’s shareholder funds last year increased to $391.58 million and the directors said“total assets have increased as the company continues to build significant safety stock into its supply chain to facilitate the continuous supply of goods to the EU market”.
The business has not been adversely impacted by the pandemic, the directors said.
In June 2017, Vertex Ireland reached an agreement with the HSE for the sale of Orkambi to about 600 people with CF in Ireland after those living with it took to the streets demanding the government grant free access to the drug which treats the underlying causes of the inherited disease.
Vertex also sells Kalydeco, another ground-breaking drug, which treats the rare genetic disease that primarily affects the lungs and the digestive system.
Ireland has the highest incidence of CF in the world and Cystic Fibrosis Ireland said there “has been a very high take-up” of Orkambi here. It says the availability of the two drugs reduces hospitalisations for CF patients by 30 per cent.
Last year, the Vertex group’s global revenues from Orkambi totalled $908 million with revenues from Kalydeco totalling $803 million.
