Genzyme's 4th-qtr 2007 revenue jumps 21%

US biotechnology major Genzyme's fourth-quarter 2007 revenue increased 21% year-on-year to $1.04 billion, as generally-accepted accounting principles net income increased to $78.9 million, or $0.29 per diluted share, versus a net loss in fourth-quarter 2006 of $268.2 million, or $1.02 per diluted share, which was hit by costs related to its purchase of Bioenvision (Marketletter October 29, 2007). The Cambridge, Massachusetts-based firm noted that its non-GAAP net income increased 19% to $249.2 million.

"We delivered outstanding financial results last year while continuing to build the company to meet our goal of 20% compound non-GAAP earnings growth through 2011," said Henri Termeer, Genzyme's chief executive. Genzyme expects revenue to reach $4.5 billion to $4.7 billion in 2008. This estimate includes sales of the mucopolysaccharidosis drug Aldurazyme (laronidase), which will now be reflected in Genzyme's top line under a restructured agreement with the USA's BioMarin Pharmaceutical. Genzyme's goal is to increase its top line at a compound average rate of 16%-17% over the five-year period from 2006 to 2011. The firm expects annual revenue to reach $7.0 billion by 2012.

Sales of the Pompe disease drug Myozyme (alglucosidase alfa) are expected to increase to $320.0 million-$330.0 million this year, compared with sales of $201.0 million in full-year 2007, while Fabrazyme (agalsidase beta) is forecast to reach $495.0 million-$505.0 million vs $424.0 million, as the European Commission has granted it full marketing authorization, making it the only Fabry disease treatment to earn this designation in Europe, the firm noted.