3TC Royalties Mean Profit For BioChem Pharma

Largely due to royalty revenues from Glaxo Wellcome on sales of 3TC, also known as Epivir (lamivudine), a treatment for HIV infection used in combination with GW's zidovudine, Canada's BioChem Pharma Inc has declared a profit for first-quarter 1996. Added to this was increased profitability of the company's diagnostic operations.

Net earnings for the quarter were C$1.4 million ($1.0 million), or C$0.03 per share, compared to a net loss of C$1.0 million, or C$0.20 per share for first-quarter 1995. Total revenues increased 4.3% to C$50.9 million. Sales were down 7.4% to C$40.3 million, but royalties increased from C$2.8 million to C$7.6 million. For the first quarter of 1996, BioChem said its R&D spending amounted to C$6.9 million, compared to C$4.9 million in the like, year-earlier quarter.