Thursday, July 24, 2003

SCHERING-PLOUGH'S SECOND-QUARTER FINANCIAL RESULTS FALL; LOSS OF CLARITIN PRESCRIPTIONS HAS LARGE IMPACT

Schering-Plough Corp. posted financial results for the second quarter of 2003 that were lower than results from the same quarter of last year as the company felt the negative impact of having its pharmaceutical brand Claritin (loratadine) introduced for over-the-counter sale.

Net income in the second quarter of this year fell 71 percent to $182 million compared with net income of $633 million in the same quarter of 2002. Schering's earnings per share plummeted from $0.43 in the prior-year quarter to $0.12 in the second quarter of 2003.

Revenue in this year's second quarter totaled $2.3 billion, a 17 percent decline from $2.8 billion in the prior-year period, while worldwide pharmaceutical sales fell 23 percent from $2.5 billion to $1.9 billion in the second quarter of 2003.

In the United States, sales of pharmaceuticals totaled $797 million compared with $1.4 billion in the 2002 period, representing a 45 percent decline.

Schering-Plough noted that results from the second quarter of this year are in line with its quarterly earnings guidance provided on July 7.

Separately, the company said it intends to sumbit a U.S. marketing application for its asthma therapy Asmanex (mometasone) later this year. Some analysts have predicted the drug could generate peak annual sales of more than $1 billion, Reuters reported.

Shares of Schering-Plough closed at $17.75, up $0.78, or 4.6 percent, in moderate Wall Street trading.