By Lisa Beilfuss
Celgene Corp. said adjusted earnings soared in its latest
quarter, driven by sales of the cancer-drug company's blockbuster
drug.
The Summit, N.J., company, which earlier this month announced
plans to buy autoimmune-drug company Receptos for $7.2 billion, has
been trying to diversify beyond its foothold in drugs treating
multiple myeloma. About 65% of its $7.6 billion in 2014 total
product sales came from just one of these drugs, Revlimid.
In the latest quarter, Revlimid sales grew 19% to $1.44 billion,
on higher volume in the U.S. and abroad and because of increased
duration of therapy. This year, Celgene expects $5.6 billion to
$5.7 billion in Revlimid sales.
Sales of the company's second-biggest drug, small-cell lung
cancer treatment Abraxane, rose 13% to $244 million. The rise was
driven by increased use in pancreatic cancer patients, the company
said.
On Thursday, Chief Executive Bob Hugin said recently announced
transactions with AstraZeneca and Juno, in addition to its Receptos
buy, would accelerate earnings growth beginning in 2019.
In all for the period, the company booked a profit of $356.2
million, down from $597.8 million a year earlier. On a per-share
basis, earnings fell to 43 cents from 90 cents. Stripping out
acquisition-related costs and collaboration expenses, but including
a 6 cent gain from an investment sale, profit per share increased
to $1.23 from 90 cents.
Revenue climbed 22% to $2.28 billion. Celgene, which generates
over 40% of sales abroad, said currency headwinds shaved 2% off its
top line in the second quarter.
Celgene had guided for $1.23 in adjusted earnings per share,
including the aforementioned 6 cent gain, and $2.3 billion in
sales.
The company on Thursday backed the full-year view it recently
raised, still expecting $4.75 to $4.85 in adjusted earnings per
share on $9 billion to $9.5 billion in revenue.
Shares in the company, up about 20% this month, added 0.6%
premarket.
Write to Lisa Beilfuss at lisa.beilfuss@wsj.com
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