$ Drags Down Rhone-Poulenc 3rd Qtr

French chemicals/pharmaceutical major Rhone-Poulenc reported third quarter 1995 sales down 6.5% at 19.62 billion French francs ($4.02 billion). Without the decline in the value of the US dollar, the company said turnover would have increased 1.6% for the quarter and 5.7% for the nine months when, at a stated 63.12 billion francs, a decline of 0.4% was noted.

Operating earnings for the quarter were down 20.1% to 1.83 billion francs, while net income declined 17.1% to 669 million francs ($136.9 million). For the nine months operating income advanced 6.5% to 5.78 billion francs, and net income showed a 71.2% rise to 1.96 billion francs. The third-quarter net income decline was attributed to the increase in provisions for restructuring and income taxes. The group has also been making a number of acquisitions and divestments, but it now forecasts a significant improvement for 1995 as a whole.

R-P's pharmaceutical business, Rhone-Poulenc Rorer, reported separate figures (Marketletter October 30), but the health care component for the parent company was third-quarter sales of 8.83 billion francs (5.8% lower), and operating income down 29% at 1.25 billion francs.