Generics still driving growth at Biovail

Until brand-name products begin to fuel revenue at Canada's Biovail,"sales of generic drugs will drive growth," according to the firm's chairman, Eugene Melnyk, who told the firm's annual meeting that its "branded products pipeline "represents a second powerful wave." Last year, Biovail launched five generic products through its marketing partner Teva Pharmaceuticals USA, and has three new introductions under way, representing potential total brand sales of $2 billion.

Mr Melnyk told company shareholders that Biovail is developing improved brand versions of five controlled-release drugs, with a "sales opportunity" exceeding $3 billion based on existing turnover. In addition, the firm has eight branded flash-dose drugs, which dissolve in the mouth, which he says have an estimates sales potential of $7 billion.

According to The Globe and Mail newspaper, Biovail, which reported first-quarter 2001 profit of C$29.2 million (S19.2 million), or 20 cents a fully-diluted share on revenues of C$119.2 million, expects fully-diluted earnings per share of C$1.23-C$1.30 for the full current year, up from C$0.78, excluding one-time charges last year, on C$540-C$570 million turnover.