Botox maker Allergan raised its outlook for the year Wednesday after topping expectations for the first quarter.
Executives did not discuss a $45.6 billion offer last month from Valeant Pharmaceuticals International Inc. and activist investor Bill Ackman to buy the company, but did reiterate that that the proposal is under review.
Net income during the quarter grew to $257.3 million, or 85 cents per share, from $12.5 million, or 4 cents per share. A year ago the company wrote down the value of its Lap-Band business by $259 million, which cut into its earnings. Excluding one-time items from both periods, Allergan's net income rose to $1.18 per share from 98 cents per share, better than the $1.13 that industry analysts had been projecting.
Revenue increased 13 percent to $1.65 billion, just edging out analyst projections.
Allergan Inc. is now projecting adjusted net income of $5.64 to $5.73 per share in 2014, and it said net product sales will be between $6.78 billion and $7 billion. It had called for net income of $5.36 and $5.48 per share on $6.65 billion to $6.95 billion in sales. Allergan, based in Irvine, California, is now forecasting better sales of specialty pharmaceuticals, or drugs that require special handling.
Allergan projects second-quarter profit of between $1.41 and $1.44 per share and said sales will range from $1.73 billion to $1.8 billion.
Analysts expect income of $5.47 per share and $6.87 billion in total revenue for the full year, with $1.36 per share in net income and $1.75 billion in revenue in the second quarter.
Almost all of Allergan's revenue comes from product sales, but in the first quarter it reported $27 million in revenue from other sources.
Shares of Allergan lost $2.30 to $164.02 in morning trading. The shares are up 17.1 percent since Valeant and Ackman went public with their acquisition offer on April 22.