H Lundbeck' 2nd-qtr profits fall 69%

Danish drug maker H Lundbeck says that its revenue for the second quarter of 2006 was 2.19 billion Danish kroner ($376.9 million), representing a 4% decline on the comparable period last year. The company attributed the slide to the expected reduction of Lexapro (escitalopram) inventories by US licensee Forest Laboratories, which resulted in turnover from the product falling 36% to 435.0 million kroner.

Despite the drop in demand for Lexapro, several other of the firm's key products saw revenue growth, including: the antidepressant Cipralex (escitalopram), which contributed 856.0 million kroner, up 31%; the 27% rise in sales of its Alzheimer's disease drug Ebixa (memantine), to 337.0 million kroner; and 17.0 million kroner from the Parkinson's disease treatment Azilect (rasagiline).

Overall, the firm's mixed sales results, increased R&D costs, particularly in relation to its Phase II development of Lu AA21004 as a treatment for depression, and administrative expenses, saw its net profits for the quarter fall 69% to 141.0 million kroner. The company, however, remained upbeat and reiterated its full-year price guidance of a profit from operations of approximately 1.6 billion kroner.