Irish drugmaker Warner Chilcott PLC said Friday its net income held steady in the first quarter despite lower sales of some of its biggest products.
The company said sales of its ulcerative colitis drug Asacol fell because it stopped selling one dose of the drug after receiving marketing approval for a newer drug that treats the same condition. Revenue from its osteoporosis drug Actonel continued to fall because of generic competition in Western Europe and Canada.
Warner Chilcott said its net income was unchanged at $113 million, or 45 cents per share. Excluding one-time items the company said it earned 92 cents per share in the latest quarter, down from $1.16 per share a year ago. Its revenue fell 13 percent, to $593 million from $685 million.
Analysts were expecting income of 85 cents per share on $592.2 million in revenue, according to FactSet.
In February the Food and Drug Administration approved the company’s new ulcerative colitis drug Delzicol. Warner Chilcott began marketing Delzicol in March, and it stopped selling 400-milligram doses of Asacol. Revenue from Asacol fell 27 percent to $153 million, and Delzicol sales totaled $5 million. Actonel sales in Western Europe and Canada continued to decrease after patent protection expired, and total sales fell 24 percent to $111 million.
The company said sales oral contraceptives grew 6 percent to $151 million.
Warner Chilcott said it expects to take about $3 million in additional restructuring and litigation costs in 2013, but it maintained its annual net income of revenue forecasts. The company called for adjusted net income of $3.20 to $3.30 per share on revenue of $2.3 billion to $2.4 billion.
Analysts are expecting net income of $3.29 per share and $2.34 billion in revenue, on average.
Shares of Warner Chilcott gained 13 percent, or $1.99, or $17 in midday trading, rallying on a media report that Actavis is in early stages to acquire the company. Bloomberg’s report was based on anonymous sources familiar with the process. Warner Chilcott and Actavis Inc., a Parsippany, N.J.-based maker of generic drugs, both declined to comment on the report.
