Merck & Co. (MRK) Matches Q2 Views, to Cut Up to 13% of Workforce By 2015
Tweet
Share
E-mail
Get Alerts MRK Hot Sheet
Price: $152.55 +2.39%
Financial Fact:
Taxes on Income: 2.75B
Today's EPS Names:
BTTX, VAXX, ELYS, More
Financial Fact:
Taxes on Income: 2.75B
Today's EPS Names:
BTTX, VAXX, ELYS, More
Join SI Premium – FREE
Pharmaceutical giant Merck & Co. Inc. (NYSE: MRK) reported healthy second-quarter results which topped Wall Street views on the top line and met them on the bottom line. The company also raised the lower end of its 2011 non-GAAP EPS guidance and announced a workforce reduction plan.
Merck reported non-GAAP EPS of $0.95 in the quarter, in-line with the consensus of $0.95. The results were up from the $0.86 non-GAAP number reported a year ago
Sales rose to $12.15 billion, up from $11.35 billion last year and above the consensus of $11.78 billion.
"Double-digit growth from key products, and successful new product launches in markets worldwide led to Merck's strong second quarter results," said Kenneth C. Frazier, president and chief executive officer. "We're delivering on our promise to grow both the top and bottom lines while continuing our efforts to streamline and transform Merck.
The company said it remains on track to achieve its goal of $3.5 billion in annual cost synergies by the end of 2012. In addition, the company said as the next phase of its Merger Restructuring Program it will reduce its workforce, as measured at December 31, 2009, by an additional 12 to 13 percent by the end of 2015.
Merck raised the lower end of its 2011 non-GAAP EPS range and is now targeting a range of $3.68 to $3.76, which compares to the Wall Street consensus of $3.74. Merck continues to expect full year 2011 revenue to grow in the low- to mid-single digit percent range from a base of $46.0 billion in 2010.
Merck reported non-GAAP EPS of $0.95 in the quarter, in-line with the consensus of $0.95. The results were up from the $0.86 non-GAAP number reported a year ago
Sales rose to $12.15 billion, up from $11.35 billion last year and above the consensus of $11.78 billion.
"Double-digit growth from key products, and successful new product launches in markets worldwide led to Merck's strong second quarter results," said Kenneth C. Frazier, president and chief executive officer. "We're delivering on our promise to grow both the top and bottom lines while continuing our efforts to streamline and transform Merck.
The company said it remains on track to achieve its goal of $3.5 billion in annual cost synergies by the end of 2012. In addition, the company said as the next phase of its Merger Restructuring Program it will reduce its workforce, as measured at December 31, 2009, by an additional 12 to 13 percent by the end of 2015.
Merck raised the lower end of its 2011 non-GAAP EPS range and is now targeting a range of $3.68 to $3.76, which compares to the Wall Street consensus of $3.74. Merck continues to expect full year 2011 revenue to grow in the low- to mid-single digit percent range from a base of $46.0 billion in 2010.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Morgan Stanley Upgrades Merck (MRK) to Overweight
- Wolfspeed (WOLF) Misses Q4 EPS by 174c; Offers Guidance
- Flowers Foods (FLO) Misses Q2 EPS by 3c; Offers Guidance
Create E-mail Alert Related Categories
Corporate News, EarningsRelated Entities
LayoffsSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
