Hi-Tech Pharmacal said Monday its net income sank in the fiscal first quarter, after it lost a major customer and sales of its generic version of the nasal spray Flonase fell by almost half.
The company said fluticasone sales and prices both decreased, and its revenue from the drug dropped to $11.9 million from $22 million. Overall Hi-Tech's revenue from generic drugs fell 5 percent. That counteracted improved revenue from its health care product and branded drug businesses.
Hi-Tech Pharmacal Co. said its net income fell to $4.6 million, or 33 cents per share, for the three months ended July 31. That compared with $6 million, or 44 cents per share, in the 2012 fiscal first quarter.
Excluding one-time items, the company said its net income sank to 44 cents per share, from 53 cents per share a year ago. Revenue fell 3 percent, to $50.5 million from $52 million.
Analysts, on average, expected Hi-Tech to report net income of 47 cents per share, on $59 million in revenue, according to FactSet. The company's fiscal first quarter ended July 31.
Shares of Hi-Tech picked up 9 cents to $43.14 in morning trading. The stock has traded between $28.70 and $44.33 in the past 52 weeks.
Akorn Inc. is in the process of buying Hi-Tech. The companies said on Aug. 27 that Akorn will acquire Hi-Tech for about $640 million, or $43.50 per share. They expect to complete the deal during the first quarter of 2014.