Eli Lilly Lowers Financial Outlook
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INDIANAPOLIS (AP) _ Eli Lilly and Co. lowered its financial expectations for 2002 on Tuesday, citing delays in the release of two new drugs. Its shares fell nearly 6 percent by midday.
The company had expected to release Cialis, for male erectile dysfunction, and atomexetine, for attention-deficit hyperactivity disorder, this year. Lilly now expects the two drugs to be released in 2003.
The drugmaker said its financial revisions also reflect continued uncertainty about the sale of Xigris, which treats life-threatening blood infections.
``The sales uptake for Xigris and the two product delays are setbacks for Lilly, but only temporary setbacks,″ Lilly Chairman Sidney Taurel said in a printed statement. ``We remain confident that our key marketed products and pipeline of potential best-in-class medicines position Lilly to become the pharmaceutical growth company of the decade.″
Shares of Lilly were down $4 to $64.26 in midday trading Tuesday on the New York Stock Exchange.
The company expects earnings per share to be in the range of $2.60 to $2.65 before onetime items in 2002 and said earnings growth in 2003 will be in the teens.
Analysts surveyed by Thomson Financial/First call were looking for earnings per share from Lilly of $2.68 for 2002 and 17 percent growth to $3.14 in 2003.
Lilly also said it expects roughly flat sales growth in 2002. Strong growth in the company’s newer products, including Zyprexa, Evista and Humalog, is expected to be offset by declines in Prozac sales.