Elan set for first profit in a decade
Elan, in which US group Johnson & Johnson is an 18 per cent shareholder, reported a 5 per cent rise in full-year revenue to $1.2bn yesterday, close to the $1.16bn forecast in a poll by Reuters.
Revenue was boosted by an 18 per cent increase in sales of multiple sclerosis drug Tysabri, which Elan makes in partnership with Biogen Idec.
Advertisement
Hide AdAdvertisement
Hide AdThe revenue increase combined with a 9 per cent drop in operating costs, before other charges and gains, led to a jump of 73 per cent in adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) to $166.5m.
Overall, however it posted a net loss for the year of $325m due to problems with its Zonegran drug.
Elan said the net loss for the year rose from $176.2m to $324.7m and was mainly due to the settlement agreement it reached with the US government regarding Zonegran.