Albany Molecular Research Inc. (AMRI), Monday reported a loss for fourth quarter, reversing prior year's profit, hurt by charges and lower contract revenues. The company also provided earnings forecast for the first quarter and full year 2010.
Net loss for the quarter was $19.18 million or $0.62 per share for the quarter, compared to a profit of $3.14 million or $0.10 per share recorded in the same quarter a year ago.
Quarterly results includes the impact of a $22.9 million non-cash goodwill impairment charge, or $0.48 per share in the Large Scale Manufacturing segment, a $2 million non-cash write-down of a deferred tax asset or $0.07 per share, and a $0.4 million restructuring charge or $0.01 per share. Excluding these items, net loss was $1.91 million, or $0.06 per share for the quarter.
Total revenue dropped 23% to $43.42 million from $56.39 million in the same quarter a year ago. On average, 3 analysts polled by Thomson Reuters expected revenues of $43.92 million for the quarter.
Revenues were impacted by a 29% decline in total contract revenue, offset slightly by a 13% increase in recurring royalties. Royalties for the quarter amounted to $7.6 million.
Total costs and expenses also increased to $68.17 million from $52.48 million recorded in the year ago quarter. Loss from operations was $24.76 million, compared to income from operations of $3.91 million in the same quarter last year.
Total debt at December 31, 2009 was $13.5 million, down from $13.7 million at December 31, 2008.
For full-year 2009, net loss was $16.7 million or $0.54 per share, compared to net income of $20.6 million or $0.65 per share a year ago. Excluding items, net loss was $0.3 million or $0.01 per share. Total revenue were down 14% at $196.4 million, compared to $229.3 million in the prior year. Street expected earnings of $0.03 per share on revenues of $196.92 million for the year.
Looking ahead to the first quarter, the company said it expects earnings in the range of $0.01 to $0.05 per share and contract revenue in a range from $34 million to $38 million.
For full year 2010, the company expects earnings in the range of $0.04 to $0.08 per share and contract revenue in a range from $165 million to $175 million, an increase of up to 12% versus 2009.
Mark Frost, chief financial officer said, "With regard to our royalty revenues from worldwide sales of Allegra and certain generic forms of Allegra, we expect first quarter royalties of approximately $11 to $12 million and full year 2010 royalties of approximately $29 to $31 million."
AMRI is currently trading at $8.58, down $0.23 or 2.61%, on the Nasdaq.
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