Schering's Full-Year Net Rose 11% on Strong U.S. Sales

Schering AG posted better-than-expected profits for 2002 on strong sales, particularly in the U.S., but said it expects growth to slow in 2003.

The German pharmaceuticals firms reported net income of 867 million euros for 2002, or 4.39 European cents a share, up from 418 million euros, or 2.11 cents a share in 2001.

The net income included a one-time gain of 689 million euros from Schering's sale of its 24% interest in Aventis CropScience to Bayer AG and acquisition-related expenses of 262 million euros. After adjustments for the one-time effects, Schering's net profit was up 11% to 464 million euros.

Analysts polled by Dow Jones Newswires had expected Schering to earn 463 million euros for 2002.

Revenue increased by 4%, to 5.02 billion euros from 4.84 billion euros in 2001 on stronger sales volumes and a slight rise in prices. After adjustments for exchange-rate effects, revenue was up 10%.

Looking ahead, Schering said it expects revenue and profit growth to be in the high single digits for 2003.

Schering said strong demand for its fertility-control drugs and its new multiple-sclerosis therapy contributed to profit gains in 2002.

In a statement, the company said it still hopes to gain approval in the U.S. for its hormone-replacement product Angeliq after it was initially rejected by the Food and Drug Administration. Angeliq was approved for use in the European Union in late 2002.