Sales start to slow for Swiss group Serono
Swiss group Serono reported a net loss of $106.1m for the full year of 2005, compared with reported net income of $479.7m in 2004. While product sales were up 7.4% to $2,338.9m in 2005 (2004: $2,177.9m), they were flat in the fourth quarter 2005. Full year net income up was up 28.4% and there was an improvement in operating margin. The company made total revenues of $2,586m and product sales of $2,339m for the full year.
Swiss group Serono reported a net loss of $106.1m for the full year of 2005, compared with reported net income of $479.7m in 2004. While product sales were up 7.4% to $2,338.9m in 2005 (2004: $2,177.9m), they were flat in the fourth quarter 2005. Full year net income up was up 28.4% and there was an improvement in operating margin. The company made total revenues of $2,586m and product sales of $2,339m for the full year.
Serono, however, would not comment on speculation of takeovers or mergers, other than to confirm it had hired Goldman Sachs to 'explore various strategic alternatives' for the company.
Its product Rebif now the fastest growing multiple sclerosis (MS) therapy in the US saw full year 2005 world sales rise 16.4%. In addition, two key clinical trials in MS have made significant progress. All patients in the REGARD (REbif vs Glatiramer Acetate in Relapsing MS Disease) study of Rebif vs Copaxone have recently completed their first year of treatment. The Phase III CLARITY study of oral cladribine in the treatment of MS is enrolling patients.
Serono added seven new projects to its R&D pipeline In 2005 through new collaborations with Biomarin for Phenoptin and Phenylase, Genmab for HuMax-CD4 and HuMax-TAC, NovImmune for the fully human monoclonal antibodies, NI-0401 (anti-CD3) and NI-0501 (anti-IFN-gamma) and Rigel for the product candidates from its Aurora kinase inhibitor programme, including R763.
In 2006, Serono expects high single-digit product sales growth.