Mylan Shares Rise on Improved Earnings Guidance
Mylan Laboratories raised its fiscal 2007 earnings forecast, citing the strong performance of its generic drugs business, pushing its shares up as much as 4%.
Mylan said it expects adjusted earnings of $1.60 to $1.63 a share, up from its previous guidance of $1.50 to $1.55 and excluding any contribution from the late March launch of amlodipine besylate, a generic version of Pfizer'sblockbuster Norvasc blood-pressure drug.
Wall Street analysts had, on average, been forecasting adjusted earnings of $1.53 per share, according to Reuters Estimates.
Last month, Mylan launched its generic version of Norvasc after a federal court ruled Pfizer's patent was invalid. Pfizer is planning to launch its own generic version of the drug, which had sales of $2.7 billion.
Mylan Chief Executive Robert Coury said the forecast excludes the Norvasc launch, pending decisions from U.S. regulators related to which company will get exclusive rights to market the drug initially. Still, he said he expects Norvasc to add additional upside to its revised guidance.