Mixed Earnings But Strong Sales For US Companies

Sales by US pharmaceutical companies were strong in the last fiscal reporting period ended December 1995. Some, such as biotechnology firms, are loss-making as they continue to invest in product development.

Amgen had a successful year in both financial and R&D terms. The firm's two key products, Epogen (epoetin alfa) and Neupogen (filgrastim), "continue to generate good financial results for investors, while funding a large aggressive R&D program," commented Gordon Binder, chairman and chief executive. Worldwide sales of Neupogen were up 12% in the fourth quarter of 1995 to $246 million. For the year, Neupogen sales grew 13% to $936 million. Epogen sales in the fourth quarter were $238 million, up 23%, and up 22% for the year to $721 million.

Sales growth for the fiscal second quarter at generics company Barr Laboratories was attributed to a 12% increase in sales of tamoxifen citrate, which Barr distributes, and a 14% rise in sales of Barr-manufactured products. Earnings were said to have been in line with expectations. "We are pleased with the company's performance during the quarter, " commented Bruce Downey, chairman, president and chief executive at Barr. He added: "we believe the continued investment in product development will strongly position us for future growth." A highlight of the second quarter was the introduction of megestrol acetate - the first product from the firm's revitalized development efforts, he noted.