Forest Laboratories reports 25 per cent profit drop

Forest Laboratories reported a 25 per cent drop in quarterly earning yesterday.

The fall comes as competition from cheaper generic antidepressants hit sales along with disappointing revenue from other drugs.

Revenue for the nine months that ended in December fell by 12 per cent to $2,206.1 million from $2,506.4 million in the previous year.

Net profits for the quarter were at $195.2 million, compared with $260.8 million for the same quarter last year.

However, Howard Solomon, Forest chairman and chief executive, said: “During the quarter sales for our key promoted products increased compared to the prior year.”

He also pointed out that new collaborations would be exploring areas such as chronic pain, anxiety, depression and related conditions.

He said: “These programs strengthen our longer-term development pipeline.”

He also announced that the licensing agreement with Mylan Laboratories for the beta-blocker nebivolol, for the treatment of hypertension and potentially congestive heart failure, represented a “significant near-term product opportunity for the company”.

Mr Solomon added: “We continue to evaluate additional product opportunities that could be commercialised near, mid, and longer term.”

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