WOODCLIFF LAKE, N.J., Aug. 2, 2012 /PRNewswire/ -- Par Pharmaceutical Companies, Inc. (NYSE: PRX) today reported results for the second quarter ended June 30, 2012.
For the second quarter ended June 30, 2012, the Company reported total revenues of $294.3 million and income from continuing operations of $51.3 million, or $1.38 per diluted share, which includes amortization expenses and certain transaction costs. On an adjusted cash basis (non-GAAP measure), which excludes amortization and transaction costs, income from continuing operations was $60.3 million, or $1.62 per diluted share for the second quarter 2012. (Refer to attached reconciliation table between GAAP and adjusted non-GAAP amounts.)
Second Quarter Highlights
Key Product Sales (Net sales comparisons at the product level are to first quarter 2012.)
- Modafinil: Net sales for modafinal were $57.5 million in the second quarter. Par launched the product on April 6, 2012.
- Metoprolol: For the quarter ended June 30, 2012, net sales of metoprolol succinate were $49.0 million compared to $61.8 million in the first quarter 2012. The decrease was driven by non-recurrence of first quarter customer buying patterns. Par Pharmaceutical, the Company's generic drug division, is the authorized generic for all strengths of AstraZeneca's Toprol XL®.
- Budesonide EC: Net sales for budesonide EC in the second quarter 2012 were $33.5 million compared to $38.0 million in the first quarter 2012. The decrease was driven by non-recurrence of first quarter customer buying patterns. Par Pharmaceutical is the authorized generic for AstraZeneca's Entocort® EC.
- Propafenone Hydrochloride ER: Net sales for propafenone hydrochloride ER in the second quarter were $17.9 million compared to $19.1 million in the first quarter 2012. Par Pharmaceutical remained the exclusive supplier of generic Rythmol SR® throughout the second quarter.
- Sumatriptan: Net sales of sumatriptan succinate were $13.9 million in the second quarter compared to $16.7 million in the prior quarter. The decrease was driven by a reduction in customer orders in anticipation of Par's exit from the market in the third quarter.
- Bupropion Hydrochloride ER: Net sales of bupropion were $12.0 million in the second quarter 2012. Par recorded $11.4 million of net sales in the first quarter.
- Zolpidem Tartrate: Net sales of zolpidem tartrate of $5.3 million in the second quarter 2012. Par recorded $6.9 million of net sales in the first quarter. The reduction in sales was the result of a small decline in net pricing resulting from customer mix.
- Fentanyl Citrate Lozenges: Net sales for fentanyl for the second quarter were $2.6 million compared to $2.0 million in the first quarter. The increase is due to customer buying patterns.
- Other Generic Products: For the second quarter 2012, net sales from all other generic products were $81.3 million. This compares to first quarter net sales of $95.3 million. The decline was primarily due to the seasonality of the Chlorpheniramine/Hydrocodone product.
- Megace® ES: Net sales were $14.2 million for the second quarter compared to $12.2 million in the first quarter. The increase was due to non-recurrence of unfavorable first quarter customer buying patterns.
- Nascobal® B12 Nasal Spray: Net sales were $5.4 million for the second quarter compared to $5.9 million in the first quarter. The decrease was due to the timing of customer orders, despite higher prescription volume.
Revenues and adjusted gross margin for the second quarter 2012 were $294.3 million and $156.0 million, respectively, compared to $271.5 million in net sales and $110.7 million in adjusted gross margin during the prior quarter (Q1 2012). The adjusted gross margin rate on the Company's consolidated product portfolio was 53.0% versus 40.8% in the first quarter 2012, with this increase driven by the launch of modafinil. (Par is now presenting non-GAAP gross margin on an adjusted basis. See detailed reconciliation table at the end of this press release.)
Key Par (Generic)
All Other (Generic)
Total Par Generics
Strativa (Branded) Products(2)
Total (All Products)