Boehringer Ingelheim outperforms the market

German pharmaceutical company Boehringer Ingelheim has reported substantial growth in sales and operating income for 2001. Sales rose by 8.2% to €6.7bn (US$5.9bn), from €6.2bn ($5.5bn) in 2000, while operating income improved by 22.5% to €980m ($863m). At €401m ($353m), net income showed an increase of 5.8% on the previous year.

Professor Rolf Krebs, chairman of the board of managing directors, was 'extremely satisfied' with the results, which not only exceeded the company's own expectations but also outpaced the general market trend, allowing Boehringer Ingelheim to increase its profitability despite the difficult economic conditions.

The human pharmaceuticals business, which accounts for 95% of sales, saw an increase of 8.3% to €6.4bn ($5.6bn). Prescription medicines, with sales of €5.3bn ($4.7bn), was again by far the largest business segment, posting growth of 10.4%. But consumer healthcare was sluggish due to difficult market conditions in the US and Brazil.

While business boomed in North America, growth in Europe, Australasia, Asia and Africa was rather modest. Sales in the US increased by almost 18% to €2.6bn ($2.3bn), whereas in Europe they grew by only 7.2% to €2.1bn ($1.8bn).

Business in Japan declined to €771m from €790m as a result of the weak yen, although sales in local currency were up by more than 5%.

For 2002, sales are expected to grow by around 20% with a 13% increase in operating income. The company holds out high hopes for Spiriva, a medicine to treat chronic obstructive pulmonary disease (COPD) that is due to be launched in a number of European countries in the summer. The product, which is to be co-promoted by Pfizer, has a sales potential of more than €2bn ($1.8bn), according to Boehringer Ingelheim`s estimates.

In addition to Spiriva, products in Phase IIb/III development, new indications and new dosage forms will boost sales growth considerably in the medium and longer term, the company believes.