Despite 18.4 percent profit decline, AstraZeneca CEO tells Inquirer no new layoffs are planned in Delaware
Despite an 18.4 percent drop in quarterly profit, AstraZeneca Chief Executive Officer Pascal Soriot said Thursday in response to a question from the Inquirer that there are no plans for more layoffs at the company's facilities in Delaware.
AstraZeneca is based in London and has facilities in Wilmington and Newark.
In March, the company cut 2,300 jobs from its worldwide workforce, including 1200 from its Delaware facility. Some of the positions were moved to AstraZeneca's facility in Gaithersburg, Md., but not all. And reports at the time suggested AstraZeneca considered closing its Wilmington facility entirely. Though most of the research jobs are gone, some U.S. commercial operations remain in Wilmington.
A day after surprising markets with the resignation of chief executive Jeremy Levin, Teva Pharmaceutical Industries reported Thursday a 2 percent revenue increase and a $711 million profit in the third-quarter of 2013, with the profit attributable to a big drop in money set aside for legal settlements.
Teva is based in Israel, but has several operations in Philadelphia suburbs and employs about 2,300 people in Pennsylvania.
Teva is the world's leading seller of generic drugs and the company attributed the revenue gains to improvements in U.S. generic sales. Still, the branded-drug Copaxone, which is used to treat multiple sclerosis, remains the company's single largest revenue generator with $1.01 billion in third quarter sales, a 1 percent increase. The challenge is that Copaxone might have generic competition as soon as May.
British drugmaker AstraZeneca said Thursday that its profit declined 18.4 percent in the third quarter of 2013 compared with the same period in 2012.
AstraZeneca is based in London and has facilities in Wilmington and Newark, Del. The company has cut jobs worldwide and in Delaware in recent months but there was no mention of new layoffs in the report issued Thursday morning before the London Stock Exchange opened.
A link to the press release, with the numbers, is here. The company has conference calls with reporters and analysts scheduled for later Thursday.
The turmoil at Teva Pharmaceutical Industries, Ltd., reached a new high Wednesday morning when the company announced that Chief Executive Officer Jeremy Levin "has agreed" with the board of directors to step down.
Levin was hired on Jan. 1, 2012 and didn't start until May of 2012. The company is based in Israel, but has big operations in suburban Philadelphia. Chief Financial Officer Eyal Desheh will take over as interim CEO.
Teva's statement is here:
Drugmaker Pfizer, Inc., said Tuesday that its profit fell 19 percent in the third quarter of 2013 compared with the same period in 2012.
Based in Manhattan with a big operation in Collegeville, Pfizer cited generic competition as the main cause of declines in revenue and profit. A link to Pfizer's press release and numbers is here.
Pfizer has been re-organizing in hopes of improving efficiency. Part of that was spinning off its animal health unit, Zoetis, which was completed in June.
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Lawyers for Johnson & Johnson's Janssen Pharmaceuticals subsidiary were defending the company and the drug Topamax in trial that began Tuesday in Philadelphia Court of Common Pleas.
In the Bloomberg News story (link here), the attorney for a Virginia woman said J&J had put the woman and her child at risk because of the side effects related to the drug that was prescribed to treat the woman's migraine headaches. In the story, April Czimmer blamed Topomax and Janssen for her son’s cleft palate and lip and claimed Janssen negligently failed to inform patients about its risks until the U.S. Food and Drug Administration ordered stronger warnings in 2011. The attorney said this was among the first of 134 Topomax suits in Philadelphia.
Like most big drug companies, J&J faces thousands of lawsuits in state and federal courts filed by people who say they or their children were harmed by the company's drugs.
The shifting landscape of American health care - for good or bad, depending on your opinion, status, employer, and particular changes - was evident Tuesday when one of the Philadelphia region's larger private employers, Johnson & Johnson, reported financial results for the third quarter of 2013.
The health-care giant had increased sales and profits, but also greatly increased the money set aside to pay pending legal bills, and warned of possible layoffs in a local division because people are postponing elective surgery to repair knees, hips, and backs.
J&J's sales of $17.6 billion and profits of $3 billion for the quarter ending Sept. 30 were higher than the same period of 2012. The figures were boosted by the introduction of patent-protected and profitable prescription drugs. The company's stock, $89.92 at Tuesday's close, has risen more than $20 in the last 12 months. That helps many people, including those who don't know that the stock is in their pension or 401(k) plan. Like drugmakers Pfizer and Merck, J&J is among the 30 companies used to calculate the Dow Jones Industrial Average.