Declines In 1st Qtr At Warner-Lambert

Sales in the first three months of 1997 at Warner-Lambert were down 3%to $1.78 billion. There was a 3% impact from foreign exchange, and divestitures had a 1% negative effect. After adjustments, turnover rose 1%. Net income was $204 million, down 18%, and earnings per share were 75 cents, down 5%.

Melvin Goodes, W-L's chairman and chief executive, said: "as anticipated, first-quarter results were impacted by foreign exchange, softness in our consumer businesses and a difficult comparison to last year's strongest quarter." He said that the first half of 1997 will reflect the investment the firm has made in the launches of Rezulin (troglitazone) and Lipitor (atorvastatin). "We fully expect to achieve, at a minimum, our original goal of $3.10 per share driven by a double-digit sales gain," he added. Earnings growth is expected to accelerate in the second half.

The pharmaceuticals division achieved a 4% increase in revenues to $686 million. After adjustments for currency and the divestment of generics business Warner Chilcott, the increase was 10%. Lipitor achieved sales of $49 million and Rezulin of $26 million. The anticonvulsant Neurontin (gabapentin) achieved worldwide turnover of $72 million, up 53%.