R-PR Posts Profits Climb But Flat Turnover In First Half

Franco-American drug company Rhone-Poulenc Rorer achieved net profits in the first six months of 1996 of $165.9 million, up 34.8%. Operating income rose 19.4% to $279.5 million, while earnings per share advanced 35.1% to $1.23. Net sales for the group were $2.6 billion, compared with $2.5 billion a year earlier. Figures are calculated on a pro forma basis, taking into account the acquisition of the UK group Fisons (Marketletters passim).

In the second quarter of 1996, group sales were flat at around $1.3 billion. Net income was $91.9 million, up 76%, and operating income grew 39% to $155.4 million. EPS were 68 cents, up 74.3%.

"The second quarter was highlighted by key events that address each component of our strategy," commented Michel de Rosen, chairman, president and chief executive of R-PR. "The launch of Taxotere (docetaxel) in the USA and Europe represents a key event in our strategy to commercialize new, innovative products worldwide. Synergies resulting from the Fisons acquisition are already having a positive impact on improving our cost-structure, as evidenced by the significant reduction in our commercial and administrative expenses during the quarter," he added. Selling, delivery and administrative expenses in the second quarter were $532.5 million, down 7.7%.