Merck Tops Estimates, Schering Net Soars

Merck ( MRK) reported second-quarter adjusted earnings of 83 cents a share, topping the estimates of analysts of 77 cents a share.

Including restructuring charges and merger-related expenses, second-quarter earnings were 74 cents a share. Net income fell to $1.56 billion from $1.77 billion a year earlier.

Worldwide sales fell 3% to $5.9 billion in the quarter. Merck said excluding the impact of foreign exchange total revenue would have risen 3%. Analysts forecast sales of $5.84 billion.

In a statement Tuesday, Merck said earnings were driven by "strong growth" in its newest pharmaceutical products and in allergy drug Singulair.

Merck is expected to complete its merger with Schering-Plough in the fourth quarter. Schering-Plough saw its profit rise 48% in the quarter, as it recorded lower one-time costs.

Schering-Plough earned $633 million, or 38 cents a share, compared with $424 million, or 26 cents a share, in the same period a year ago. Excluding one-time items, profit rose to 46 cents a share from 45 cents a share, beating analyst estimates by a penny a share.

Copyright 2009 TheStreet.com Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed. AP contributed to this report.

More from Stocks

One-on-One With Carnival Corporation CEO Arnold Donald (Watch)

One-on-One With Carnival Corporation CEO Arnold Donald (Watch)

Replay: Jim Cramer on the Markets, Tiffany, Micron Technology and Union Pacific

Replay: Jim Cramer on the Markets, Tiffany, Micron Technology and Union Pacific

Carnival CEO Arnold Donald: China Will Become the Largest Cruise Market

Carnival CEO Arnold Donald: China Will Become the Largest Cruise Market

Stocks Finish Higher After Release of Fed Minutes

Stocks Finish Higher After Release of Fed Minutes

Has Wall Street Completely Lost Its Mind on General Electric?

Has Wall Street Completely Lost Its Mind on General Electric?