Alpharma Q3 earnings fall, exceeds forecasts

Source: Healthcare Digital

Date :10/29/2008 9:43:45 AM

Alpharma Inc said third quarter earnings fell less-than-expected on higher revenue from its drugs and animal health business.

The pharmaceutical company said income from continuing operations was US$4.1 million, or 10 cents a share, compared with US$5.3 million, or 12 cents a share, a year ago. Alpharma earned 34 cents a share in the year-ago period, including income from discontinued operations.

Analysts had expected the company to earn seven cents a share in the latest quarter, according to Reuters Estimates.

Revenue from continuing operations rose 32 percent to US$175.7 million, exceeding analyst expectations of US$169.9 million, boosted by continued strong pharmaceuticals revenue gains and recovery in Animal Health US livestock sales.

Alpharma said sales in its animal health business rose 3.1 percent to US$93.6 million. Of that, US$1.2 million was the result of favorable currency exchange rates.

The company, the target of a hostile takeover bid by King Pharmaceuticals Inc, said it expects earnings of 25 cents a share to 35 cents a share for the full year. Previously it forecast a range of 15 cents to 35 cents a share. Analysts are expecting 20 cents a share.