Crucell hit by charges relating to Quinvaxem
European Commission approves Johnson & Johnson takeover of Dutch company
Dutch biopharmaceutical company Crucell reported a loss in 2010 owing to a vaccine charge related to manufacturing issues in Korea and higher operating costs.
Crucell, which is the target of a takeover by Johnson & Johnson, halted shipments of paediatric vaccine Quinvaxem from the Shingal facility in Korea last October and November because of microbiological contamination and took a €23m vaccine impairment charge.
In December, Crucell resumed shipments of non-contaminated Quinvaxem stock and last month the Korea Food & Drug Administration supported the restart of production at the plant.
Crucell reported an operating loss of €34m for 2010, compared with an operating profit of €39m in 2009.
Total revenues and other operating income was €365m, compared with €358m in 2009.
Product sales were down slightly to €291m, representing sales of paediatric vaccines (61%), travel and endemic vaccines (25%), respiratory vaccines (7%), and other products (7%).
Crucell said higher sales of travel and endemic vaccines were more than offset by lower sales of respiratory vaccines due to the limited availability of flu antigen, weaker overall demand and the temporary suspension of Quinvaxem shipments.
Research and development expenses increased to €100m, compared with €70m in 2009.
In December 2010 Johnson & Johnson offered €24.75 per share for Crucell, a move that won European Commission approval last month.
In November Crucell started a discovery programme leading to the development and commercialisation of a Human Papilloma Virus (HPV) vaccine.
This is part of an existing collaboration with Johnson & Johnson, through its subsidiary Ortho-McNeil-Janssen Pharmaceuticals, signed in September 2009, to develop antibodies for influenza prevention and treatment.
Ronald Brus, chief executive of Crucell, said the key event of 2010 was the offer for the company made by Johnson & Johnson.
‘We strongly believe that this agreement is in the best interest of Crucell and all our stakeholders,’ he said.
Crucell expects strong Quinvaxem sales in 2011 and is currently establishing its own sales organisation in Canada for Dukoral.
