Bayer profits almost double in 2011

Pharmaceuticals company Bayer has said its profits almost doubled last year, fuelled by sales in emerging markets.Bayer profits almost double in 2011Net income rose 90% from a year earlier to£2.1 billion ($3.4 billion, 2.52 billion euros).

Sales were up by 4.1% to 36.5 billion euros, with sales in emerging markets – including China and Latin America – up by 9% after adjustments for currency fluctuations.

Bayer said it was optimistic about its future drug development.

“Four of our medicines in late-stage development have the potential to become blockbusters,” said chief executive Marijn Dekkers.

That means each of these products could achieve annual sales of 1 billion euros or more, he added.

Mr Dekkers cited their anti-coagulant, Xarelto, which he said could reach peak sales of more than 2 billion euros a year by itself.

That drug has already cost 2 billion euros in development costs to Bayer and its partner, US giant Johnson and Johnson.

However, Bayer said it was concerned about health-care spending cuts in many countries, suggesting that it may deprive companies of funding in the short-term.

“Because the money we earn from today’s medicines pays for the development of tomorrow’s medicines,” Mr Dekkers said, adding that the costs of developing new medicines had risen substantially.

April 26, 2012  Tags: , , , , , ,   Posted in: Business Exports, Business Profits, Business Sales, Business Win, Growing Business, Pharmaceutical Business, Uncategorized, Winning Business

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