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sanofi-aventis: Strong Performance of Growth Platforms in Q1 2011
Date:4/28/2011

titute, such as the Pierre and Marie Curie University (UPMC), INSERM, the French National Institute of Health and Medical Research, and CNRS, the French National Center for Scientific Research.
  • In April, sanofi-aventis announced that it has entered into a multi-year research collaboration agreement through the Stanford University Bio-X program that supports, organizes, and facilitates interdisciplinary, collaborative and innovative research projects in the early phases of development.

  • First-quarter 2011 financial resultsBusiness Net Income(1)In accordance with IFRS 5.36 and as Merial has ceased to be qualified as held for sale or exchange in Q1/2011, the results of Merial classified as held for sale or exchange in previously-issued financial statements have been reclassified and included in income from continuing operations for all periods presented.

    Sanofi-aventis generated first-quarter net sales of euro 7,779 million, down 1.5% on a reported basis or down 5.2% at constant exchange rates. "Other revenues" were euro 413 million, up 4.6% or 1.5% at constant exchange rates and included increase contribution of Plavix® and the impact of the shortage of Avalide®.

    Gross profit was euro 5,830 million (-4.7%). At constant exchange rates, gross profit decreased by 8.2%. The ratio of cost of sales to net sales reached 30.4%, compared to 27.6% in the first quarter of 2010. This evolution reflected the impact of generic competition (mainly Lovenox®, Ambien®CR and Taxotere® in the U.S. and Plavix® and Taxotere® in Europe) and higher raw heparin prices. In Q1 2010, the ratio benefited from a favorable impact due to sales of A/H1N1 vaccines.

    Research and development expenses declined by 6.0% at constant exchange rates (-4.0% on a reported basis) to euro 1,100 million, reflecting the benefit from reorganization put in place in the recent years. T
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