Lundbeck shows strong growth on lead products despite generic competition

Danish CNS drug specialist Lundbeck (LUND: CO) has reported revenues of 11.67 billion Danish kroner ($2.11 billion) for the first nine months of 2013, up 7% from 10.96 billion kroner in the same period in 2012, with new product sales rising 41%. The stock rose 4.3% to 126.50 kroner by mid afternoon trading on November 6.

Profit from operations (EBIT) grew by 7% to 1.53 billion kroner during the first nine months, corresponding to an EBIT margin of 13%. In the third quarter Lundbeck recognized the remaining divestiture gain to Italian drugmaker Recordati (RC: MI) of 112 million kroner and the provision related to the Fit-for-the-Future program of 200 million kroner. Earnings per share (and diluted earnings per share) were 1.36 kroner, down from 2.17 kroner in the like 2012 period.

Lundbeck´s president and chief executive Ulf Wiinberg said: “This has been yet another strong period for Lundbeck – from a financial, regulatory and clinical development perspective. With the most recent FDA approval of Brintellix we have achieved a solid platform for our ambition to provide long-term growth”