Wyeth reaffirms 2006 guidance

Wyeth has said that if current business trends continue, it will reach at least the upper end of its guidance for the 2006 financial year.

The American company revealed that it was on course for meeting diluted earnings per share of $2.97 to $3.07, although the estimate excludes possible restructuring charges as part of a company structural review.

Wyeth’s chairman and chief executive, Robert Essner, remarked: “Our expectations for 2006 reflect solid ongoing operating performance driven both by revenue growth and cost control.”

“We expect to deliver on our stated goal of growing earnings at a meaningfully faster rate than revenue,” he added.

For Wyeth, the following year is expected to be dominated by the correction of the manufacturing concerns at its Puerto Rico facility that were raised by the FDA in May. The company said it was too early to predict when the corrections would be complete, although it hoped it would be done by the end of the year.

Additionally, Wyeth said that further trials into its investigational depression drug, DVS-233, a serotonin norepinephrine re-uptake inhibitor, will continue in order to define the drug’s profile. A launch of the product in low-dosage forms could be announced at some point during 2007.

Also, the company reported that it expects Lybrel, its new oral contraceptive, to satisfy the terms of the FDA’s approvable letter in June and be available for launch in 2007 following an inspection of Wyeth’s Guayama facility.

In April, Wyeth said it had enjoyed a “great start” to 2006 and had delivered “outstanding performance”, with six product franchises expected to meet sales targets of $1 billion or more by the end of the year.

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