AMRI revenues grow in first quarter 2011
Strong contract and large-scale manufacturing performance boosts income
US contract services provider AMRI recorded a total rise in revenues of 15% to US$56.9m, compared with $49.3m in the same period in 2010.
Although the company recorded a small net loss of $0.5m, compared with Q1 2010 development/small scale manufacturing contract revenue rose strongly by 24% to $10.5m, and large scale manufacturing contract revenue by 22% to $21.8m.
Together with a 15% rise in discovery services contract revenue to $10.6m, this brought total contract revenue to $42.9m, an increase of 10% compared with the first quarter of 2010.
Recurring royalties from worldwide sales of the non-sedating antihistamine Allegra in the first quarter of 2011 were $14m, an increase of 34% from $10.4m in the first quarter of 2010.
‘We are pleased to announce significant revenue growth for the first quarter of 2011, led by our development and large scale API manufacturing operations,’ said AMRI chairman, president and ceo Thomas E. D'Ambra. ‘We continue to experience increasing demand for services in our locations outside the US, particularly in India and Singapore.’
Dr D'Ambra also reported some significant milestones related to the remediation activities at the company’s Burlington, Massachusetts facility. ‘We resumed GMP production at the site in late March, and have submitted a final response letter to the FDA. We look forward to working with the FDA to close out the Warning Letter as expeditiously as possible,’ he said.
‘We also recently announced the addition of Peter Hansbury to lead the Burlington operations, who brings more than 30 years of technical, sales and leadership experience in sterile products for the pharmaceutical, biopharmaceutical and healthcare industries. We believe his experience will be an important contributor to the overall short and long term success of AMRI's Burlington operation.’
According to AMRI chief financial officer Mark T. Frost, in the second quarter contract revenue is expected to range from $43–46m, an increase of up to 13% on 2010. For the full year 2011, an increase in contract revenue of 15% to $179–187m is expected.