Net Profits Decline At Ares-Serono In 1st Half

Ares-Serono of Switzerland saw net profits for the first half of 1995 decline 34.4% to $12.1 million. This was said to have been brought about by a reduction of the gross margin by 7.4%. Sales in the first half were $326.8 million, ahead 3.8% on the like, year-earlier period (see also page 26).

Lower gross margins reflect supply problems for infertility products in most of the firm's markets. These supply issues have been caused by a shortage in raw material collection as well as by the interruption of production in some of its manufacturing facilities in order to expand production capacity, the company said.

Shipments of infertility products to the USA have now resumed and the supply issues will gradually be solved, said Ares-Serono.