Perrigo Reports Record Revenue, Earnings and Cash Flow

Allegan-based Perrigo Co. (Nasdaq: PRGO) reported record revenue of $2.27 billion in its fiscal year ended June 26, up 14 percent from $2 billion in the prior fiscal year.

Net income for the year was $224 million or $2.41 a share, up 59 percent from $174.6 million or $1.51 a share in the prior fiscal year.

For the fourth quarter, net income was $49.7 million, or 53 cents a share, up from $32.3 million, or 35 cents a share, in the fourth quarter of the prior fiscal year. Sales were $619.4 million, up from $508.2 million a year earlier.

Adjusted income from continuing operations, which excludes the Israel consumer products business that Perrigo sold Feb. 26, restructuring costs and one-time charges related to acquisitions, was $263 million for the year, or $2.83 a share, up 50 percent. For the quarter, it was $66 million, or 71 cents a share,

Management also announced that expects fiscal 2011 earnings of $3.08 to $3.28 a share, up 28 to 36 percent from the just-concluded fiscal year's performance.

Said chairman and CEO Joseph C. Papa: "For the fourth straight year, we delivered year-over-year record sales, earnings and cash flow from operations. Despite significant challenges, from competition in our largest product to stronger regulatory oversight, we remained focused on execution and delivered results ahead of our own expectations. During the year, we made two business acquisitions that expanded our portfolio into adjacent categories and new geographical areas. We extended our product pipeline into ophthalmics. We also entered strategic partnerships for new products leveraging Perrigo's powerful sales, marketing and distribution capabilities. We are continuing along our strategic path in these challenging times to make quality health care more affordable to consumers around the globe."

Consumer health care sales were $481 million for the quarter, up 18 percent from the year before. The increase for the fiscal year was 12 percent. Sales of generic prescription pharmaceuticals were $84 million in the quarter, up 72 percent from a year earlier. For the fiscal year, the increase was 45 percent. Sales of active pharmaceutical ingredients were $38 million for the quarter, down 2 percent from $39 million a year earlier. For the fiscal year, API sales were up 2 percent. Other sales, which include Israeli pharmaceuticals and diagnostic products, were $16 million for the quarter, up 12 percent from $13 million a year earlier. For the year, other sales were down 13 percent from the prior fiscal year.

To listen to a taped replay of a conference call discussing the results, call (800) 642-1687 in the United States or (706) 645-9291 elsewhere, using access code 88720364.

Perrigo develops, manufactures and distributes over-the-counter and generic prescription pharmaceuticals, infant formulas, nutritional products, active pharmaceutical ingredients and pharmaceutical and medical diagnostic products. The company is the world's largest store brand manufacturer of OTC pharmaceutical products and infant formulas. The company's primary markets and locations of manufacturing and logistics operations are the United States, Israel, Mexico, the United Kingdom and Australia.

More at www.perrigo.com.

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