Merck CEO Talks Growth

Updated from 7:55 a.m. EST

Merck (MRK Quote) released fourth-quarter earnings that beat Wall Street's estimates, as sales held steady while restructuring and legal costs were slightly lower in the latest period.

The drugmaker also issued 2006 guidance that was in line with analysts' predictions. Merck's sliding financial performance could hit its nadir this year, thanks to the continuing impact of patent expirations on big products, as well as the continuing uncertainty over Vioxx litigation.

Beyond this year, Merck's progress will depend on how well new drugs perform, how many experimental compounds make it to the market, how effectively Merck makes licensing deals or acquisitions and how juries react to Vioxx. ...