Perrigo Posts Second-Quarter Loss on Elan-Related Costs
NEW YORK (AP) — Perrigo said Thursday that it took a loss in the fiscal second quarter on costs tied to its acquisition of Irish drugmaker Elan.
The company raised its profit outlook for the year, and said revenue from its prescription drug and nutritional products business improved, helped by new products and Perrigo's $8.6 billion purchase of Elan in December. But sales in its consumer health care division slipped, and the quarter's overall revenue fell short of Wall Street estimates. Shares lost $8.15, or 5.3 percent, to $145.13 in afternoon trading.
Perrigo reported a loss of $86 million, or 87 cents per share, in the October-December quarter. The year before it reported net income of $106 million, or $1.12 per share for the period. Excluding one-time items from both periods, the company said its net income rose to $1.87 per share from $1.36 per share.
Revenue grew 11 percent, to $979 million from $883 million.
Analysts expected Perrigo to report net income of $1.60 per share and $996.2 million in revenue, according to FactSet.
The company now expects to earn $6.45 to $6.70 per share this fiscal year, excluding one-time items, up from its previous guidance of $6.35 to $6.60 per share. Analysts forecast $6.63 per share, on average.
Perrigo Co. PLC relocated to Ireland after buying Elan.