Merck & Co has stated lower net profit of $1,793 million during the second quarter ended June 2012 as compared to$2,024 million in the corresponding period of last year. Its net sales improved only by one per cent to $12,311 million from $12,151 million.
Its pharmaceutical sales grew by 2 per cent to $10.6 billion largely reflect strong sales growth for Januvia, Victrelis, Janumet, Singulair, Isentress and Gardasil. These increase partially offset by expected declines in sales of Cozaar and Hyzaar as well as European austerity measures. Sales from emerging markets accounted for approximately 18 per cent of pharmaceutical sales in the second quarter. China continues to be a key driver with 27 per cent growth for the second quarter, including a four percent benefit from foreign exchange.
Global sales of anti-hypertensive medicines Cozaar and Hyzaar were down by 17 per cent to $337 million due to the loss of marketing exclusivity in the US and major European markets in 2010. Sales of Gardasil, increased by 17 per cent to $324 million for the quarter driven by vaccinations of males in the US and the launch in Japan.
The company's R&D expenditure increased by 12 per cent during the second quarter ended June 2012 to $2,165 million from $1,936 million. The company is filing regulatory applications for approval of pivotal phase III data of suvorexant by the end of 2012. Further, it continued to advance plans for four additional major regulatory filings by end of 2013.
The company continues to expect full-year 2012 non-GAAP earnings per share to be between $3.75 and $3.85. It continues to expect full-year 2012 revenues to be at or near 2011 levels on a constant currency basis.
For the first half ended June 2012, Merck's net profit improved by 15 per cent to $3,531 million from $3,067 million in the similar period of last year. Its net sales moved up by one per cent to $24,041 million from $23,732 million. Its pharmaceutical sales improved to $20,642 million from $ 20,179 million. Vaccines jumped by 19.8 per cent to $1,900 million from $1,586 million in the sames half of last year.