Cerep of France records its first profit since listing

French biotechnology company Cerep achieved a profit in 2000 for thefirst time since it listed on the stock exchange in 1998. Last year, net profit at the firm was 200,000 euros ($176,000) compared with a loss of 4.2 million euros in 1999. The boost is reportedly due to an improvement in the company's services business, where sales rose 49% to 11 million euros.

Cerep provides animal testing and toxicity studies aimed at analyzing the potential side effects of drugs. Sales generated by drug research contracts also improved, rising by 117% to 7.2 million euros. Cerep already has a research contract, forged in 1999, with Bristol-Myers Squibb and, more recently, signed three-year contracts with Solvay and Roche, signalling its evolution from a simple provider of services into a partner for the major pharmaceutical groups. B-MS has a 9% stake in Cerep.

Cerep's president, Thierry Jean, said that the company expects to conclude new R&D contracts in 2001, adding that its services business is expected to expand by at least 30%.