PPD Projects 12% Growth in 2009
Wilmington, N.C.-based PPD expects net revenue for 2009 to be in the range of $1.595 to $1.670 billion, a 12% increase over the CRO’s 2008 net revenue forecast. The company projects diluted earnings per share (EPS) for the full year 2009 will be in the range of $1.97 to $2.05, an 18% increase over its full year 2008 EPS forecast.
In October, based on Q3 financial results, the company lowered its full year 2008 revenue projection to between $1.47 billion and $1.49 billion from $1.54 billion to $1.59 billion as a result of an FDA delay in approving diabetes drug alogliptin.
“Our 2009 financial guidance demonstrates our confidence in the core development business, and we plan to continue to focus our efforts on sales execution and operational excellence throughout the year,” PPD CEO Fred Eshelman said in a company release.
PPD announced earlier this week that it has entered into a strategic alliance with World Health Information Science Consultants in order to expand its post-approval drug safety expertise in epidemiology, risk management and pharmacovigilance.
Last week, the company announced a strategic collaboration with Merck that will significantly expand PPD’s global central laboratory business.
“While we enter 2009 facing the stiff headwinds of a global recession, which may affect R&D spending, it is clear that biopharmaceutical companies see strategic partnering as an imperative,” PPD chief operating officer William Sharbaugh told investors in a conference call this morning.
PPD’s shares were down 1.69% to $1.16 in early morning trading.