The company confirmed its earnings guidance for full-year 2009 of $4.45 – $4.55 per share, which excludes the impact of special items.
“Despite challenging economic and near term business pressures, we continue to deliver solid financial results,” said William C. Weldon, chairman and chief executive officer. “We are continuing to make strategic investments in order to bring important new products to market, positioning us well for long-term growth.”
Worldwide consumer sales of $3.7 billion for the first quarter represented a decrease of 8.7% versus the prior year with a decline of 1.0% operationally and a negative impact from currency of 7.7%. Domestic sales decreased 5.1%, while international sales decreased 11.6%; which reflected an operational increase of 2.4% and a negative currency impact of 14.0%.
LISTERINE antiseptic mouthrinse and the skin care lines of NEUTROGENA and AVEENO had strong sales performance during the quarter. Also contributing were sales from the recently completed acquisition of DABAO, the leading moisturizer in China. Sales comparisons were negatively impacted due to the initial build of inventory by the trade related to the 2008 launch of ZYRTEC.
Worldwide Pharmaceutical sales of $5.8 billion for the first quarter represented a decrease versus the prior year of 10.1% with an operational decline of 5.1% and a negative impact from currency of 5.0%. Domestic sales decreased 9.7%, while international sales decreased 10.7%; which reflected an operational increase of 2.8% and a negative currency impact of 13.5%.
CONCERTA, a treatment for attention deficit hyperactivity disorder; REMICADE in the US, a biologic approved for the treatment of a number of immune mediated inflammatory diseases; INVEGA and RISPERDAL CONSTA, both antipsychotic medications; and VELCADE, a treatment for multiple myeloma, had strong sales performance during the quarter. Sales results of RISPERDAL, an antipsychotic medication, were negatively impacted by generic competition and sales of PROCRIT, a product for the treatment of anemia, were lower due to a decline in the market.
During the quarter, the European Commission approved STELARA for the treatment of moderate to severe plaque psoriasis in adults. Both the European Commission and Health Canada approved a label expansion for PREZISTA, a protease inhibitor, for use in treatment-naïve adults dosed once daily in combination with other antiretroviral agents. In addition, PRILIGY received marketing authorization in several European countries for the on-demand treatment of premature ejaculation in men 18–64 years of age.
The company also submitted two supplemental new drug applications to the U.S. Food and Drug Administration (FDA) requesting approval for the use of INVEGA tablets for the treatment of schizoaffective disorder as monotherapy and for the treatment of schizoaffective disorder in combination with antidepressants and/or mood stabilizers.
Worldwide medical devices and diagnostics sales of $5.5 billion for the first quarter represented a decrease of 2.9% versus the prior year with an operational increase of 3.1% and a negative currency impact of 6%. Domestic sales increased 2.5%, while international sales decreased 7.4%; which reflected an operational increase of 3.6% and a negative currency impact of 11%.
Primary contributors to the operational growth included Ortho-Clinical Diagnostics’ professional products; Ethicon’s surgical care products; Ethicon Endo-Surgery’s minimally invasive products; and DePuy’s orthopaedic joint reconstruction, spine, sports medicine and trauma businesses. Also contributing to growth were sales of products acquired as part of the completed acquisition of Mentor Corporation, a leading supplier of medical products for the global aesthetic market. This growth was partially offset by lower sales in the Cordis franchise, reflecting new competitive entries in the drug-eluting stent market as well as the recent divestiture of the Professional Wound Care products.
During the quarter, the company announced that the FDA granted marketing approval for the NAVISTAR THERMOCOOL Catheter for the treatment of drug refractory recurrent symptomatic paroxysmal atrial fibrillation when used with compatible three-dimensional electroanatomic mapping systems. The FDA also approved the THERAKOS CELLEX Photopheresis System for the palliative treatment of the skin manifestations of cutaneous T-cell lymphoma that are unresponsive to other forms of treatment.
