Gross profit for the nine months ended September 30, 2011 was $1.92 billion and gross margins were 41.7%. For the nine months ended September 30, 2010, gross profit was $1.64 billion and gross margins were 40.8%. Gross profit for the current year-to-date period is impacted by certain purchase accounting related items, of approximately $278.1 million, which consisted primarily of amortization related to purchased intangible assets associated with acquisitions. Excluding such items, gross margins would have been approximately 48%. Prior year gross profit is also impacted by similar purchase accounting related items in the amount of $217.6 million. Excluding such items, gross margins in the prior year would have been approximately 46%. This increase in gross margin is primarily the result of new product launches in North America and favorable pricing on the EpiPen® Auto-Injector.
Earnings from operations were $758.1 million for the nine months ended September 30, 2011, compared to $627.4 million for the comparable prior year period. Excluding the impact of purchase accounting related items in both periods, as mentioned above, earnings from operations increased to $1.04 billion in the current nine-month period from $845.0 million in the prior year comparable period, mainly due to an increase in gross profit, as a result of an increase in revenues and gross margin improvement, partially offset by increases in R&D and SG&A expense. Also included in the current nine-month period is $28.5 million of net expense related to the settlement of litigation. In the comparable prior year period, Mylan recognized net expense from litigation settlements of $14.3 million.
Interest expense for the nine months ended September 30, 2011, totaled $254.8 million, compared to $240.0 million for comparable prior year period. The increase is primarily due to interest as
|SOURCE Mylan Inc.|
Copyright©2010 PR Newswire.
All rights reserved