Vitamins add pep to Wyeth results

Sales at Wyeth consumer healthcare decreased 6 per cent in the 2002 fourth quarter and 3 per cent for the 2002 full year. Poor performance of the cough and cold products was however partly offset by sales of Centrum vitamins.

Pharmaceutical company Wyeth, which makes the Centrum brand vitamins, today reported an overall increase in net revenue of 4 per cent for both the 2002 fourth quarter and full year.

Sales for the consumer healthcare division however decreased 6 per cent for the 2002 fourth quarter and 3 per cent for the 2002 full year, primarily due to lower sales of its cough/cold/allergy products. This was offset, in part, by initial sales of Alavert, introduced during the fourth quarter, and good sales of the Centrum range, said Wyeth.

Net income for the fourth quarter increased to $1.57 million ($822.7 million in the prior year), helped by after-tax goodwill amortization of $38.7 million from the 2001 fourth quarter results and one-off items in the 2002 fourth quarter.

Net income for the fourth quarter, excluding one-off items and goodwill amortization from the previous year, was flat, impacted by higher cost of goods sold and higher research and development expenses. This was also compounded by lower selling and general and administrative expenses, said the company.

During the quarter Wyeth recorded a special charge for restructuring and related asset impairments of $340.8 million ($233.5 million after-tax), which included closing certain manufacturing facilities and two research facilities, as well as reducing personnel, affecting 3,150 employees worldwide.

Net income for the 2002 full year increased to $4,447.2 million compared with $2,285.3 million in the prior year.