Oct. 29, 2009 (PR Newswire) --

SILVER SPRING, Md., Oct. 29 /PRNewswire-FirstCall/ -- United Therapeutics Corporation (Nasdaq: UTHR) today announced its results of operations for the quarter ended September 30, 2009.

Revenues for the third quarter of 2009 were $97.2 million, up from $75.0 million for the third quarter of 2008. Net income for the third quarter of 2009 was $11.9 million, or $0.22 per basic share, compared to $11.0 million, or $0.24 per basic share for the same quarter last year. Gross margins from sales were $84.2 million for the third quarter of 2009, compared to $66.7 million for the third quarter of 2008. Earnings before non-cash charges, defined as net income before taxes and interest, depreciation, amortization, impairment charges and share-based compensation (stock option and share tracking award expense), were $38.3 million for the third quarter of 2009, compared to $37.4 million for the third quarter of 2008. All per share amounts appearing in this press release reflect the two-for-one split of our common stock effected during the quarter ended September 30, 2009.

Results for the third quarter of 2008 have been adjusted for the retrospective adoption of Financial Accounting Standards Board (FASB) Accounting Standards Codification(TM) 470-20, Debt with Conversion Options and Other Options (formerly FASB Staff Position No. APB 14-1) (FASB ASC 470-20), which became effective January 1, 2009.

"The commercial launches of our two new medicines to treat pulmonary arterial hypertension, Tyvaso and Adcirca, got off to a great start this quarter," said Martine Rothblatt, Ph.D., United Therapeutics' Chairman and Chief Executive Officer. "Equally important, our flagship product, Remodulin, achieved its highest quarterly sales levels ever. Taken together, these therapies evidence our keen focus on helping people with PAH."

Third Quarter 2009 Financial Results

Revenues

The following table sets forth the components of net revenues (dollars in thousands):

Three Months Ended
September 30,
--------------------    Percentage
2009            2008      Change
----            ----    ----------
Cardiovascular products:
Remodulin                   $87,400         $72,081          21.3%
Tyvaso                        5,113               -         100.0%
Adcirca                       1,514               -         100.0%
Telemedicine
services and
products                       2,904           2,373          22.4%
Other                             284             578         (50.9)%
---             ---         -----
Total revenues              $97,215         $75,032          29.6%
=======         =======          ====

The growth in revenues for the three months ended September 30, 2009, corresponded in large part to the continued increase in the number of patients being prescribed Remodulin (treprostinil sodium) Injection and to the commercial launches of both Tyvaso (treprostinil) Inhalation Solution (Tyvaso) and Adcirca (tadalafil) tablets (Adcirca).

Research and Development Expenses

The table below summarizes research and development expenses by significant component (dollars in thousands):

Three Months Ended
September 30,
--------------------    Percentage
2009            2008      Change
----            ----    ----------
Program:
Cardiovascular              $14,145         $11,678          21.1%
Other                         5,829           2,834         105.7%
Share-based compensation     11,577           4,701         146.3%
------           -----         -----
Total research and
development expenses     $31,551         $19,213          64.2%
=======         =======          ====

Cardiovascular. The increase in cardiovascular program expenses for the third quarter of 2009 was attributed to expenses related to the amended FREEDOM-M and FREEDOM-C2 Phase 3 clinical trials.

Share-based compensation.