MSD announces ‘strong’ quarterly results

Merck Sharp & Dohme (MSD) has announced that, excluding funds set aside for future legal defence costs and charges involved in restructuring, its earnings per share (EPS) were $0.51 (0.27 pence) for the third quarter of 2006.

Net income was $940.6 million, lower than the third quarter results for 2005, while global sales were $5.4 billion, equal to quarter three in the previous year.

Richard T Clark, chief executive officer and president said that the results show that the firm remains “on track” to meet its goals and its “new business strategy”.

“The third quarter results reflect the recognition of the medical value of Gardasil, our vaccine for cervical cancer. This week’s approval of our first-in-class diabetes drug, Januvia, marks the fifth product approval this year for MSD,” he said.

The firm reported that its manufacturing and production costs increased by 25 per cent during the third quarter, while marketing and administrative costs rose to $2,370.6 million – an increase of 43 per cent.

MSD claims that it “discovers, develops, manufactures and markets” medicines and vaccines to meet current medical needs.