Daily Stock Setups

Endo Pharma Q4 Profit Rises - Update

Posted on: Fri, 27 Feb 2009 09:39:00 EST

Symbols: ABT, PFE, ENDP

Are you looking to increase your ETF knowledge?

(RTTNews) - Friday, specialty pharmaceutical company Endo Pharmaceuticals Holdings Inc. (ENDP | Quote | Chart | News | PowerRating) posted higher profit in its fourth quarter, with a double-digit growth in topline, driven primarily by strong sales from its Oral Opioid Analgesics. Further, the company issued financial forecast for fiscal 2009.

Q4 Results

The company's fourth-quarter net income was $74.9 million or $0.64 per share, compared to $50.6 million or $0.38 per share in the year-ago quarter.

On an adjusted basis, net income amounted to $82.7 million or $0.71 per share, up from $69.6 million or $0.52 per share in the same quarter of last year.

On average, 20 analysts polled by Thomson Reuters expected the company to report earnings of $0.59 per share for the quarter. Analysts' estimates typically exclude special items.

Quarterly net sales advanced to $347.3 million from the previous year's sales of $304.6 million, and surpassed twenty Wall Street analysts' consensus revenue estimate of $334.11 million for the quarter.

Segmental Analysis

Net sales from the company's generic products, which includes Endocet, Endodan and Zydone, were $24.1 million, compared to $19.2 million in the prior year quarter.

The company's Lidoderm generated fourth-quarter net sales of $205.4 million, down 2% from $208.7 million in the comparable quarter of the previous year. Prescription volume for Lidoderm increased 1% from prior year.

Combined net sales for Oral Opioid Analgesics Opana ER and Opana climbed 81% to $52.3 million from $28.9 million reported last year. Prescription volume for its Opana franchise jumped 64% over 2007. Percocet fetched quarterly net sales of $33.4 million, an increase from the previous year's sales of $30.6 million. Frova posted net sales of $16.8 million for the latest quarter, up from $14.1 million in the year-earlier quarter.

FY08 Highlights

For the full year 2008, the company reported net income of $261.7 million or $2.12 per share, compared to $227.4 million or $1.69 per share in 2007.

Adjusted net income totaled $297.2 million or $2.40 per share, compared to $258.1 million or $1.92 per share last year. Analysts expected earnings of $2.23 per share for fiscal 2008.

Annual net sales for 2008 increased to $1.26 billion from $1.09 billion reported in the previous year. Wall Street analysts had a consensus revenue estimate of $1.25 billion for 2008.

Road Ahead

Looking forward to fiscal 2009, the company expects earnings to be in the range of $1.73 - $1.81 per share, and adjusted earnings of $2.59 - $2.67 per share. Fiscal 2009 net sales are projected to range between $1.39 billion and $1.44 billion. Analysts are looking for earnings of $2.60 per share on revenues of $1.41 billion for the full year.

Other In The Sector

Among Endo Pharma's rivals, Abbott Laboratories (ABT | Quote | Chart | News | PowerRating) reported a 27.3% growth in fourth-quarter earnings, helped by higher sales largely due to double-digit growth in the company's arthritis treatment Humira, and a gain from the sale of its spine business. Further, the company confirmed its prior earnings forecast of $3.65-$3.70 per share for full-year 2009. The midpoint of this 2009-guidance range reflects double-digit growth over 2008 earnings per share.

Another peer, the world's biggest drug maker Pfizer Inc. (PFE | Quote | Chart | News | PowerRating) posted a steep decline in its fourth quarter, hurt by a hefty charge on legal settlement and lower sales. The company also issued forecast for fiscal 2009, expecting earnings of $1.34 - $1.49 per share and adjusted earnings of $1.85 - $1.95 per share, on revenues between $44 billion and $46 billion. In addition, Pfizer said it would reduce its workforce by about 10%.

Stock Performance

Endo Pharma shares, which have been moving between $2.03 and $9.92 in the past 52 weeks, closed Thursday's trading session at $19.93.

For comments and feedback: contact editorial@rttnews.com
Copyright(c) 2009 RealTimeTraders.com, Inc. All Rights Reserved

For full details on Abbott Laboratories (ABT) ABT. Abbott Laboratories (ABT) has Short Term PowerRatings at TradingMarkets. Details on Abbott Laboratories (ABT) Short Term PowerRatings is available at This Link.

For full details on Pfizer Inc (PFE) PFE. Pfizer Inc (PFE) has Short Term PowerRatings at TradingMarkets. Details on Pfizer Inc (PFE) Short Term PowerRatings is available at This Link.

For full details on Endo Pharmaceuticals Hld (ENDP) ENDP. Endo Pharmaceuticals Hld (ENDP) has Short Term PowerRatings at TradingMarkets. Details on Endo Pharmaceuticals Hld (ENDP) Short Term PowerRatings is available at This Link.

More News: Market Updates | Stock Alerts | All Trading News

Disclaimer:

The Connors Group, Inc. ("Company") is not an investment advisory service, nor a registered investment advisor or broker-dealer and does not purport to tell or suggest which securities or currencies customers should buy or sell for themselves. The analysts and employees or affiliates of Company may hold positions in the stocks, currencies or industries discussed here. You understand and acknowledge that there is a very high degree of risk involved in trading securities and/or currencies. The Company, the authors, the publisher, and all affiliates of Company assume no responsibility or liability for your trading and investment results. Factual statements on the Company's website, or in its publications, are made as of the date stated and are subject to change without notice.

It should not be assumed that the methods, techniques, or indicators presented in these products will be profitable or that they will not result in losses. Past results of any individual trader or trading system published by Company are not indicative of future returns by that trader or system, and are not indicative of future returns which be realized by you. In addition, the indicators, strategies, columns, articles and all other features of Company's products (collectively, the "Information") are provided for informational and educational purposes only and should not be construed as investment advice. Examples presented on Company's website are for educational purposes only. Such set-ups are not solicitations of any order to buy or sell. Accordingly, you should not rely solely on the Information in making any investment. Rather, you should use the Information only as a starting point for doing additional independent research in order to allow you to form your own opinion regarding investments. You should always check with your licensed financial advisor and tax advisor to determine the suitability of any investment.

HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN INHERENT LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING AND MAY NOT BE IMPACTED BY BROKERAGE AND OTHER SLIPPAGE FEES. ALSO, SINCE THE TRADES HAVE NOT ACTUALLY BEEN EXECUTED, THE RESULTS MAY HAVE UNDER- OR OVER-COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN.

The Connors Group, Inc.
10 Exchange Place, Suite 1800
Jersey City, NJ 07302

All analyst commentary provided on TradingMarkets.com is provided for educational purposes only. The analysts and employees or affiliates of TradingMarkets.com may hold positions in the stocks or industries discussed here. This information is NOT a recommendation or solicitation to buy or sell any securities. Your use of this and all information contained on TradingMarkets.com is governed by the Terms and Conditions of Use. Please click the link to view those terms. Follow this link to read our Editorial Policy.