WOODCLIFF LAKE, N.J. (AP) – Par Pharmaceutical posted a first-quarter loss following a quarter in which the generic drug developer saw sales of a key drug slide and also a hefty legal charge.
The $196 million charge was related to a settlement related for federal and state claims that the company improperly inflated wholesale drug prices. Excluding the charge, the company said it earned 96 cents per share. Analysts polled by FactSet expected 89 cents per share in profit on $227.8 million in revenue.
The company lost $109 million, or $3.07 per share, compared with a profit of $26.3 million, or 75 cents per share, during the same period a year prior. Revenue fell 20 percent to $233 million from $291.9 million.
Sales of the heart drug metoprolol, the generic version of Toprol XL, fell 13 percent to $63.4 million. Par makes the authorized generic version of the drug, which has been facing competition from other generic-drug manufacturers. The branded version of the drug is made by AstraZeneca PLC.
The company cited customer buying patterns and the seasonality of certain products for declining sales of other key products.
Par Pharmaceutical Companies Inc. is based in Woodclif Lake N.J.
Date: May 5, 2011
Source: Associated Press
