The Bristol-based company reported total revenues of $1.78 billion during the year ended Dec. 31, 2009, vs. $1.57 billion for 2008. The company reported net income of $92 million and diluted earnings per share of 37 cents for 2009 vs. a net loss of $342 million and a diluted loss per share of $1.40 during the prior year.
During the fourth quarter and year ended Dec. 31, 2008, King recorded a special item in the amount of $590 million for acquired in-process research and development in connection with the Alpharma Inc. acquisition. Excluding certain special items and recurring non-GAAP (generally accepted accounting principle) adjustments, adjusted net earnings equaled $274 million and adjusted diluted earnings per share equaled $1.10 for the year ended Dec. 31, 2009, compared to adjusted net earnings of $378 million and adjusted diluted earnings per share of $1.54 in 2008.
For the 2009 fourth quarter, total revenues equaled $439 million vs. $348 million in the fourth quarter of 2008. The company reported net income of $22 million and diluted earnings per share of 9 cents during the fourth quarter of 2009 vs. a net loss of $551 million and a diluted loss per share of $2.26 in the same period of the prior year. Excluding certain special items and recurring non-GAAP adjustments, adjusted net earnings equaled $58 million and adjusted diluted earnings per share equaled 23 cents during the 2009 fourth quarter, compared to adjusted net earnings of $72 million and adjusted diluted earnings per share of 29 cents in the fourth quarter of 2008.
“This past year was a transformational one for King Pharmaceuticals, beginning with the acquisition of Alpharma,” said King Chairman, President and CEO Brian A. Markison. “We focused on executing the integration plan and did so quickly and without disruption to the business.”
He said King in August received approval from the Food and Drug Administration for Embeda, which was launched at the end of the third quarter.
“During 2010, we plan to resubmit the New Drug Application for Remoxy and work closely with the Food and Drug Administration on a path forward for Acurox. We have become a stronger, more efficient and competitive company as a result of our licensing and acquisition activities, and we continue to believe that our diversified specialty pharmaceutical business model is well positioned to achieve long-term growth and deliver sustainable value to our shareholders,” Markison said.
As of Dec. 31, 2009, the company’s cash and cash equivalents totaled approximately $545 million. During the fourth quarter of 2009 and for the full year 2009, the company generated cash flow from operations of approximately $169 million and $431 million, respectively.
“King’s fourth quarter and full year financial results were exceptional,” said Chief Financial Officer Joseph Squicciarino. “The company generated significant cash flow from operations which to date has enabled us to repay all of the debt related to the Alpharma acquisition. Our cash position and balance sheet remain strong, and we continue to look for business development opportunities to strengthen our portfolio.”
King completed its acquisition of Alpharma on Dec. 29, 2008. Since Alpharma was acquired at the end of 2008, its financial results from operations are excluded from King’s Consolidated Statement of Operations for the year ended Dec. 31, 2008.