Generics cut King's 1st-qtr income 16%

The USA's King Pharmaceuticals says that first-quarter 2008 revenues totaled $432.0 million versus $516.0 million in the comparable period the year before, due to the market entry of the first generic substitute for hypertension drug Altace (ramipril) in December 2007. Reported net earnings equaled $88.0 million and diluted earnings per share amounted to $0.36 vs $116.0 million and $0.48, respectively. Excluding special items, the firm's profit during the period reached $90.0 million, or $0.37 per share, vs $118.0 million and $0.48 per share.

Brian Markison, chief executive of King, stated: "we are focused on the continued successful execution of our strategy for long-term growth, which includes the submission of three important New Drug Applications with the US Food and Drug Administration by the end of this year. Once approved, these new products have the potential to provide additional significant value for our shareholders." The three NDAs are Remoxy (long-acting oxycodone), Acurox (short-acting oral oxycodone, niacin and other functional inactive ingredients) and the pharmacological stress imaging agent Corvue (binodenson injection). The Remoxy NDA remains on schedule for submission by the end of June 2008, the firm noted.

Company chief financial officer Joseph Squicciarino stressed that the firm has taken the necessary steps to realize expected sales, general and administrative cost savings of $75.0 million to $90.0 million this year. "Accordingly, we are on track to meet our annual cash flow from operations goal of $400.0 million to $450.0 million for 2008," he said.