![]()
- US Will Borrow Less as Banks Pay Back Funds: Geithner
- Wal-Mart Holiday Forecast Light, Profit Beats
- US Mortgage Refinancing Up; Buying Demand Sinks
- Intel Agrees to Pay AMD $1.25 Billion to Settle Disputes
- Kohl's Profit Beats Street, But Outlook Falls Short
- United Tech to Buy GE Security Unit for $1.82 Billion
- Gold Hits $1,122, Barrick Chief Says Selloff Possible
- Wall Street Pay Is Often too High: Bill Gates
- Morgan Stanley Gets Aggressive in Luring Brokers
- Ford, Hyundai, Audi Gaining Interest
- This Drug Firm Will Snap Up 50% By Mid-2010: Trader
- Warren Buffett Ranked #14 On Forbes 'Most Powerful People' List
- What to Expect From Disney Earnings?
- HP's Shot Across Cisco's Bow
- USC Football Blog Leads All-Access Space
- Clowning Around At Work
- Ahead of Earnings Disney Restructures Studio
- Nov. 11: Unusual Volume Leaders
MOST SHARED
- Jobless Claims Post Another Drop as Picture Improves
- Wal-Mart Holiday Forecast Light, Profit Beats
- How the Droid and Google Threaten the GPS Makers
- CNN Anchor Lou Dobbs Says He is Leaving Network
- Highest State Foreclosure Rates
- Pricier Beer Helps AB InBev Operating Profit
- Rising Jobless Biggest Threat to World Trade: WTO
- Obama Most Powerful Person in World: Forbes
- US Will Borrow Less as Banks Pay Back Funds: Geithner
- Jobless Claims, Wal-Mart Earnings to Sway Sentiment Thursday
Genentech reported earnings that edged forecasts on increased demand for its cancer drugs, but sales of all four of its big brand-name drugs, including Avastin, fell short of forecasts.
![]() |
AP The Genentech campus is seen in South San Francisco, Calif. |
The company was expected to earn 82 cents a share and see a 9 percent increase in sales to $3.113 billion, according to Thomson Financial.
Perhaps more importantly for investors, however, the company turned in sales figures for its biggest drugs that were short of forecasts.
Genentech sold $600 million worth of Avastin in the quarter, its most important cancer drug, compared with an expected $629 million.
"Genentech beat our earnings estimate, but Avastin sales were definitely light," said RBC Capital Markets analyst Jason Kantor.
"Everything else was fairly in line. So that's the news today, that Avastin was on the light side, and the stock trades very much on Avastin sentiment," Kantor said.
Among other major Genentech drugs, Rituxan sales reached $605 million, shy of the anticipated $607 million; Herceptin revenue was $339 million, compared with forecasts of $343 million, and Lucentis sales reached $198 million, compared with forecasts of $202 million.
Genentech shares were down about 1 percent in very choppy extended electronic trading. The stock [DNA
Loading...
()
] rose 0.37 percent to $78 during regular market hours Thursday.
"They don't get a gold star, but people were not expecting much out of this quarter ... People are looking for Avastin growth in breast cancer," said Analyst Mike King of Rodman & Renshaw, noting that FDA approval for that indication came too late in the quarter to have a major impact on sales.
On a non-adjusted basis, the world's second-largest biotechnology company posted a net profit of $790 million, or 74 cents per share, compared with a profit of $706 million, or 66 cents per share, a year earlier.
Shares of Genentech rose about 21 percent in the first quarter, closing at $81.18 March 31. The increase topped several broader indexes, which fell amid increasing concerns over the credit crisis and weakening economy.
- Reuters contributed to this report.
- Billboard allows music lovers to watch concerts for free online, with five different camera angles.
- US real estate prices have fallen dramatically, but some places are still doing well. See the best-performing zip codes this year.
- An Italian cashmere maker aims to make profits while creating ideal conditions for his workers.
- Just in time for the holidays, the Triumph company of Japan offers the latest innovation in women’s undergarments.
- Vote and suggest your own, and remember--there's a fine line between a hero and a zero.
- The NYT explains what the Senate needs to do to improve cost and quality in U.S. health care.













