Nycomed results hit by patent issues

Nycomed, the Switzerland-based pharmaceutical company, has posted a 21 per cent decline in earnings before interest, taxes, depreciation and amortisation, with the figure falling to €850.5m for 2010.

The company's net turnover decreased by 1.8 per cent to €3.2bn in 2010, due to declining sales of pantoprazole following the loss of patent exclusivity in several markets and the full-year impact of the expiry of the pantoprazole patent in other key European markets.

Håkan Björklund, CEO of Nycomed, said: "Our performance in 2010 demonstrates that Nycomed is well positioned to gain from major trends in the pharmaceutical industry. We are already generating impressive sales and continuing to expand in emerging markets, which will be a powerful engine of growth for the future."

Nycomed reported that its turnover in emerging markets rose by 30 per cent in 2010. Russia/CIS is its largest market, while Brazil has moved into the second place. The company also made an acquisition in China and launched a number of affiliates in Asia, Latin America and the Middle East.

European sales of the company's leading product, pantoprazole, stabilised following widespread patent expiries, it reported. Its portfolio of established and innovative medicines grew strongly, with particularly good performances from Actovegin, TachoSil, Instanyl and Calcichew.

The company said its 2011 performance would be hit by continuing strong marketing and sales efforts around launches of Daxas, the drug to combat chronic obstructive pulmonary disease, which received EU marketing authorisation in July 2010.