Solvay's first-half 2008 profit declines 15%

Belgian drugs and chemicals firm Solvay Pharmaceuticals says net income totaled 351.0 million euros ($557.7 million) in first-half 2008, a 15% decline year-on-year, taking into account an 11% fall in operating results to 548.0 million euros and a temporary increase in charges on net indebtedness in the first quarter.

During the period, group sales fell 2% to 4.73 billion euros, although drug turnover was flat on the year before at 1.25 billion euros thanks to growth in its main products together with miscellaneous income, though largely negated by unfavorable exchange rates and sustained investments in R&D, as well the co-promotion of Simcor (niaspan/simvastatin), a combination lipid drug it is developing with US major Abbott Laboratories. Revenues from emerging countries and Europe saw solid growth despite significant pressures resulting from competition from generic drugs, especially in France, and the decrease in prescriptions of Solvay's cannabinoid drug, Marinol, in the USA.