Zeneca Reveals Strong '95 Profits

David Barnes, chief executive of UK bioscience company Zeneca, said last week that 1995 had been a year of substantial endeavor for the firm, underlining its strong pipeline with reference to 43 product approvals in the year, and the completion of over 80 regulatory submissions.

Profits before exceptional items in 1995 were L878 million ($1.3 billion), up 15%. With exceptional items factored in, pretax profits were L619 million, down 6% on the previous year. Operating profits rose 12% to L894 million. Earnings per share before exceptional items were 62 pence, up 12%, but after these items, EPS was 35.6 pence, down 24% on 1994. Exceptional items amounted to L65 million

Group sales advanced 9% to L4.9 billion. Double-digit volume growth pushed pharmaceutical sales up to just under L2.2 billion. Operating profits for the drugs business was L687 million, up 9%, or 11% on a pro forma basis. Sales of the ACE inhibitor Zestril (lisinopril) were L547 million, up 12%. Tenormin (atenolol) sales were flat at L415 million, with volume declines cut in the USA due to favorable wholesaler buying patterns. Turnover of anticancer agents amounted to L630 million, up 16%.