Amylin Hurt by Lower Sales of Diabetes Drug

AmylinAMLN missed analysts' first-quarter estimates on lower-than-expected sales of its diabetes drug Byetta, and the biopharma also scaled back full-year guidance.

Amylin on Monday reported a loss of $68.8 million, or 51 cents a share, vs. a loss of $49.4 million, or 38 cents a share in the year-ago quarter. Revenue rose to $197.2 million from $171.9 million but still missed targets.

Shares of the San Diego-based company were down $2.76, or 8.8%, to $28.65 in recent trading.

Analysts surveyed by Thomson Financial had expected a loss of 48 cents a share on revenue of $233 million.

First-quarter sales totaled $178.7 million, up from $162 million in the comparable 2007 quarter. This included $158.5 million for Byetta, an injection for diabetes patients that the company co-markets with Eli LillyLLY.

Amylin said on a Monday conference call that inventory movements negatively affected the drug's first-quarter results by $20 million to $25 million, but the company was still disappointed with lower-than-expected sales.

Amylin's Symlin, a post-meal glucose-control injection for diabetes patients, generated $20.2 million in revenue vs. $15.5 million in the year-ago quarter.

Amylin competitor MerckMRK said Monday that its type II diabetes drug Januvia reached $272 million sales in the quarter.

Sales, general and administrative expenses rose to $98.2 million from $87.8 million in the 2007 quarter, due primarily to increased promotional expenses and infrastructure growth.

Looking ahead, the company lowered 2008 revenue guidance to a range of $900 million to $950 million, from $900 million to $1 billion.

Analysts surveyed by Thomson Financial were expecting $960 million in 2008.