CSL's jab jitters
Shares in the biotech giant plunged today after a sharp sales decline in its immunisation business in the US, where vaccine-sceptic Robert F Kennedy Jr is set to become health secretary.
When it comes to companies exposed to the whims of Donald Trump's at times erratic utterances and unpredictable policymaking, CSL would not be at the top of the list.
The biotech firm, famed for its blood plasma division, today reported a lift in half-year profit and revenue and reaffirmed its guidance. But the stock tumbled nearly 5%, slicing $5 billion from its market cap after declining vaccine rates in the US ripped a $160 million revenue hole in its key immunisation business, with sales of its influenza shot dropping 9%.
The deterioration comes at an interesting moment for the biotech sector, as Trump’s pick for health secretary, Robert F Kennedy Jr, adds a layer of uncertainty to US health policy. RFK Jr, who appears increasingly likely to be confirmed in the role by Congress, has a history of vaccine scepticism that raises significant questions about how he might use his new platform.
RFK’s appointment was only foreshadowed late in the half, but his popularity may reflect the growing prevalence of alternative health views in the US.
