PITTSBURGH (AP) â¿¿ Generic drug maker Mylan Inc. said its fourth-quarter profit surged as it rolled out new products and sales rose in the United States. But overall revenue was below Wall Street expectations as sales fell in Europe, and shares dropped 3 percent in Tuesday trading.
Mylan said its U.S. revenue rose 14 percent from the prior year period to $737.1 million during the fourth quarter. The results were boosted by $71.4 million in revenue from new products.
But some of those gains were offset by weaker sales in Europe, where governments are straining under large budget deficits and consumers are cutting back spending amid high unemployment. The company said revenue in Europe, the Middle East and Africa fell 13 percent to $347.4 million during the fourth quarter. The decline was largely due to price cuts and volume reductions in European markets, the company said.
Mylan said that its net income for the quarter ended Dec. 31 was $129.5 million, or 30 cents per share, compared with $2.6 million, or 1 cent per share, in the same period a year before.
Adjusted to exclude one-time items, Mylan said it earned 53 cents per share. That topped the average forecast for 50 cents per share from analysts, according to FactSet.
Revenue during the quarter was $1.53 billion, up 7 percent from $1.43 billion in the prior year period. That was below the $1.55 billion, on average, that analysts expected.
In spite of the weaker fourth-quarter sales, CEO Heather Bresch said the company was on track in 2012 to have "one of the best years in Mylan's history." She said the firm will push to grow even if the larger global economic picture is gloomy, as European countries struggle to contain the financial crisis there.
The company's results in 2011 were a big improvement over the year before. And Bresch said the Mylan could build on that momentum.