5th May 2015 11:16
LONDON (Alliance News) - Indivior PLC on Tuesday said its pretax profit in the first quarter fell on the back of weaker net revenue and higher selling and marketing costs, but the company said its RBP-7000 product has met the primary and secondary endpoints in its phase 3 trial for the treatment of schizophrenia.
The FTSE 250-listed pharmaceutical company said its pretax profit in the first quarter was USD102 million, compared to USD165 million a year earlier. Net revenue for the company fell to USD251 million from USD281 million a year earlier, while selling, distribution and administrative expenses rose to USD92 million from USD77 million, and research and development spending rose to USD20 million from USD16 million.
US market growth in the first quarter was in the low double digits, the company said, boosted in part by the Affordable Care Act, commonly known as 'Obamacare'. Indivior's share of the Suboxone Film market was 59% in the quarter, down from 64% a year earlier, while volumes sold in the US rose year-on-year.
The net revenue figure was pulled lower by higher rebates in the US and in connection to formulary access, similar to trends seen at the end of 2014, and by the strong US dollar against the euro.
"We have enjoyed a good start to the year with first quarter numbers modestly exceeding our plan which anticipated no rapid deterioration in the quarter's trading environment," said Chief Executive Shaun Thaxter.
"In the US, generic tablet pricing has not yet disrupted our market share while branded competitors had very limited impact, although as in the second half of last year, we continued to offer tactical rebates in connection with formulary access for Suboxone Film," Thaxter added.
"In Europe, government austerity measures and price constraints have continued in line with expectation. This overall environment was in line with our plan for the first quarter; if it continues, we may have room to reassess our full-year guidance at the half year," he added.
In a separate statement, the company said the top-line results for its RBP-7000 drug for the treatment of schizophrenia were positive, with clinically significant reductions in the symptoms of acute schizophrenia seen over an eight-week treatment period.
Shares in Indivior were up 4.4% to 212.00 pence midday Tuesday, the best performer in the FTSE 250.
By Sam Unsted; [email protected]; @SamUAtAlliance
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