CSL reported strong profit growth for the past year, but has launched several strategic initiatives, including separating its vaccine business into a standalone company and reducing the number of plasma collection centres in the US.
Revenue for the 2025 financial year rose 5 per cent to $15.6 billion. The highlights were CSL Behring's 6 per cent growth, while CSL Vifor reported 8 per cent growth. The company's net profit after tax rose 17 per cent to $3 billion.
CSL CEO and Managing Director Dr Paul McKenzie said, “I am pleased to report another on-target result for the 2025 financial year, led by CSL Behring and continued strong demand for our life-saving plasma therapies.
“CSL Seqirus continued to show the resilience of its differentiated portfolio and platforms by generating growth in a challenging environment. The majority of avian flu contracts globally were awarded to CSL Seqirus, which was strong recognition of our best-in-class, differentiated platforms.
"CSL Vifor grew strongly, underpinned by our resilient iron business and pleasing momentum across the nephrology portfolio, driven by both established and new products.”
Dr McKenzie said that, despite the progress, the board and management recognise that the operating environment has changed significantly in recent years. "A dynamic geopolitical backdrop, competitive pressure and organisational complexity have challenged CSL and hindered its ability to deliver superior returns," said the company in a statement set against the backdrop of the Trump administration's tariff threat. However, according to the company, its outlook assumes no impact from pharmaceutical tariffs.
“Our business has grown this year despite an unprecedented level of challenge and volatility in our external operating environment. It is from this position of strength that we are taking the opportunity to make significant changes that will continue to drive shareholder returns over the long run. The transformational initiatives we are announcing today will further reshape and simplify the business, provide a platform to renew CSL’s focus on our core strengths, and ultimately create even more value for our stakeholders through sustainable, profitable growth.
“The long-term outlook for CSL’s therapies and vaccines remains distinctly positive, with multiple growth opportunities driven by increasing patient demand, unique competitive positions, and scalable platforms.
“After many years of significant growth, it is important that we stay committed to a winning strategy. So with a sense of urgency, I want us to re-focus on our core strengths, lift R&D productivity, instil a lean and efficient mindset, while at the same time optimising our capital structure and removing complexity,” said Dr McKenzie.
The company announced that it will reduce its global workforce by 15 per cent, or around 3,000 people, including consolidating its R&D footprint, integrating CSL Behring and CSL Vifor functions. It has already closed 22 underperforming plasma collection centres, representing 7 per cent of its US footprint.
The company's vaccine business, CSL Seqirus, will be demerged before the end of the financial year 2026.
It said, "A demerger will allow autonomy to set an independent strategic direction, including capitalising on potential opportunities that may arise in a highly dynamic vaccines market, as well as reducing complexity, making the business more agile and efficient to manage." The new company will be chaired by Mr Gordon Naylor, an experienced company director and former President of CSL Seqirus.
Dr McKenzie said, “We firmly believe that a simplified and focused CSL is best for patients, best for our people, and best for our shareholders. The changes announced today will deliver enduring patient value and durable shareholder returns.”
Dr Brian McNamee AO, Chair of CSL, said, “The Board and Management team are unified in our confidence in the outlook for CSL. We also recognise the need to simplify our structure and remain agile in order to capture this growth. The significant initiatives Paul and his team have outlined today will provide CSL with a renewed focus that will improve shareholder returns. This demerger of CSL Seqirus to our shareholders will create an ASX-listed, global influenza vaccine leader."