logo
  Join        Login             Stock Quote

Merck (MRK) 1Q Earnings Jump As Expenses Drop, Revenue Misses

 April 27, 2012 07:56 AM
 


(By Balachander) Merck & Co. Inc. (NYSE:MRK) reported better-than-expected quarterly earnings, spurred by gains from sale of its diabetes drugs and lower expenses. However, the drug maker's revenue fell shot of Wall Street projections.

On a non-GAAP basis, earnings per share (EPS) increased 7.6 percent to 99 cents, beating market expectations by a penny. GAAP EPS jumped 65 percent to 56 cents.

Sales edged 1.3 percent higher to $11.73 billion, slightly shy of consensus estimate of $11.82 billion on reduction in revenue from alliances and third-party manufacturing sales.

"We're continuing to drive double-digit growth of key brands like Januvia, Gardasil and Isentress, launch new products like Victrelis and achieve solid performance from our diverse businesses," CEO Kenneth Frazier commented.

[Related -Forest Laboratories, Inc. (NYSE:FRX): Should Astrazeneca Plc Buy Forest Labs?]

Sales of diabetes drug Januvia soared 24 percent to $919 million, while revenue of Gardasil, Merck's human papillomavirus vaccine, jumped 33 percent to $284 million.

Research and development expenses dropped 14 percent to $1.86 billion.

Looking ahead for the full year, the company still expects non-GAAP EPS in the range of $3.75 to $3.85 on revenue to be at or near 2011 levels on a constant currency basis. Analysts expect EPS of $3.80 on revenue of $47.4 billion.

MRK shares, which have been trading in the 52-week range between $29.47 and $39.43, closed Thursday's regular trading at $38.47.

iOnTheMarket Premium
Advertisement

Advertisement


Post Comment -- Login is required to post message
Name:  
Alert for new comments:
Your email:
Your Website:
Title:
Comments:
 

rss feed

Latest Stories

article imageIntegrated Device Technology Inc. (IDTI) Q1 Earnings Preview: Another Beat and Pop?

Integrated Device Technology Inc. (NASDAQ:IDTI) will issue first quarter 2015 financial results on July 28, read on...

article imageHerbalife Ltd. (NYSE:HLF) Q2 Earnings Preview: The Potential To Shock?

Herbalife Ltd. (NYSE:HLF) will release its second quarter 2014 financial results after the close of trading read on...

article imageHealth Net, Inc. (HNT): Potential to Be Huge Winners Says Bank of America

As of this keystroke, Health Net, Inc. (NYSE: HNT) shares are up around 4% on the day. The managed health read on...

article imageHomeAway, Inc. (AWAY) Q2 Earnings Preview: Top and Bottom Line Bullish Surprise?

HomeAway, Inc. (NASDAQ:AWAY) will report its financial results for the second quarter ended June 30, 2014 read on...

Advertisement
Popular Articles

Advertisement
Daily Sector Scan
Partner Center



Fundamental data is provided by Zacks Investment Research, and Commentary, news and Press Releases provided by YellowBrix and Quotemedia.
All information provided "as is" for informational purposes only, not intended for trading purposes or advice. iStockAnalyst.com is not an investment adviser and does not provide, endorse or review any information or data contained herein.
The blog articles are opinions by respective blogger. By using this site you are agreeing to terms and conditions posted on respective bloggers' website.
The postings/comments on the site may or may not be from reliable sources. Neither iStockAnalyst nor any of its independent providers is liable for any informational errors, incompleteness, or delays, or for any actions taken in reliance on information contained herein. You are solely responsible for the investment decisions made by you and the consequences resulting therefrom. By accessing the iStockAnalyst.com site, you agree not to redistribute the information found therein.
The sector scan is based on 15-30 minutes delayed data. The Pattern scan is based on EOD data.