Lundbeck Inc. Cuts 175 R&D Jobs, But Adds Sales Reps; Q2 Beats Consensus
8/10/2011 7:17:31 AM
Danish drugmaker Lundbeck reported consensus-beating second-quarter profit, driven by strong sales, and said full-year results would be at the upper end of its guided range. Yet the group warned of increasing generic competition and healthcare reforms, forcing it to cut research and development staff by up to 12.5 percent. Operating profit rose to 1.1 billion Danish crowns ($210 million) in the April-June quarter, from 936 million in the same period last year, exceeding analysts' average forecast for 992 million in a Reuters poll. Lundbeck's shares were up 7 percent at 1047 GMT, against a 1 percent rise in the STOXX Europe 600 healthcare index and a 1.2 percent gain in the Copenhagen bourse's benchmark index.