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Cumberland Pharmaceuticals Reports Third Quarter 2010 Financial Results
Date:11/11/2010

NASHVILLE, Tenn., Nov. 11, 2010 /PRNewswire-FirstCall/ -- Cumberland Pharmaceuticals Inc. (Nasdaq: CPIX), a specialty pharmaceutical company focused on the hospital acute care and gastroenterology markets, today announced financial results for the third quarter ending September 30, 2010, increasing revenue guidance for 2010.

Net Revenue:  For the three months ended September 30, 2010, net revenue was $12.2 million, compared with $13.6 million for the same period in 2009. Excluding initial wholesaler stocking of $3.2 million for Caldolor in 2009, net product revenues were up 19% year over year.  Net revenue for the nine months ended September 30, 2010, was $33.1 million, up from $32.8 million for the corresponding prior year period.

Operating Expenses:  Total operating expenses for the three months ended September 30, 2010, decreased 13% to $9.7 million, compared to $11.2 million for the same period in 2009. This decrease was primarily due to significant initial launch costs related to Caldolor in 2009, as well as changes in the Company's product mix that reduced cost of products sold. The decrease in operating expenses coupled with strong revenue performance during the third quarter of 2010 resulted in an increase in operating income over the prior year to $2.4 million.

Operating expenses for the nine-month period ended September 30, 2010, were $28.8 million compared with $27.7 million for the same period in 2009. The difference was primarily due to increased selling and marketing expense from expansion of the Company's hospital sales force in the third quarter of 2009, resulting in operating income of $4.3 million for the nine-month period ended September 30, 2010.

Net Income:  Net income for the three months ended September 30, 2010, was $1.0 million, or $0.05 per diluted share, compared with $1.3 millio
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