New division Fresenius Kabi reports first results

Fresenius Kabi Pharmaceuticals, the new holding company formed when German dialysis and home medical care specialist Fresenius acquired US hospital-based injectable drug products firm APP Pharmaceuticals in September (Marketletter July 14), has released financial results for the third quarter ended September 30, 2008. These include APP's results for the period prior to the closing of the acquisition, as well as those from FKP, which also features APP's post-acquisition operations.

The new firm's revenue was $198.0 million, up 29% versus APP's turnover of $153.0 million for the same period in 2007. Net loss was $242.0 million, vs a loss of $8.0 million for APP, after inclusion of a net loss from discontinued operations of $22.0 million in 2007. Excluding acquisition and separation-related charges net income for the quarter was $21.0 million.

FKP also updated investors on its full-year 2008 guidance, predicting revenue between $765.0 million and $785.0 million. Guidance previously provided by APP had expected revenue of $800.0 million to $820.0 million.