Generics impact Sanofi-Aventis' 3rd-qtr 2010 results, but earnings still rise 13%; buys China's BMP Suntone for $520 million to enhance OTC busine

French drug major Sanofi-Aventis (Euronext: SAN) said third-quarter earnings rose 13% to 1.6 billion euros ($2.21 billion). Adjusted earnings, or business net income, advanced 8.9% to 2.47 billion euros. Business earnings per share (EPS) were 1.89 euros, an increase of 8.6% on the 2009 third-quarter figure of euro 1.74. Net sales rose 5.7% to 7.82 billion euros, though down 1.7% at constant exchange rates, with emerging markets accounting for 29.6% of group sales. Consensus sales forecasts stood at 7.65 billion euros.

Sanofi-Aventis now expects business EPS growth for 2010 to be between 0% and 2% versus 2009 business EPS, at constant exchange rates and barring major unforeseen adverse events. This guidance takes into account generic competition for Ambien CR (zolpidem) in the USA, possible entry of generics of Taxotere (docetaxel) in the USA and the European Union and further erosion of Lovenox (enoxaparin) sales in the USA.

Commenting on the group's performance in Q3 2010, chief executive Christopher Viehbacher said: "This third quarter was marked by the success of the Jevtana [cabazitaxel, for prostate cancer] launch in the USA, by positive Phase III data for lixisenatide and teriflunomide but also by the entry of a generic of Lovenox in the USA. Our Q3 results were also enhanced by favorable currency tailwind. Tight cost control and good performance of growth platforms have allowed the group to slightly raise its guidance for 2010. In addition, we recently commenced a tender offer to acquire Genzyme."